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You are here: Home / Business / Corn not to blame for high food prices

Corn not to blame for high food prices

December 25, 2008 By WRN Contributor

Rising corn prices earlier this year were often blamed for higher prices on store shelves. Nancy Kavazanjian with the Wisconsin Corn Growers Association says that was largely the result of increased fuel and food production costs.

Now, she says that doesn't appear to be the case anymore and there's no correlation between the price of corn and prices on store shelves. She says corn prices have dropped nearly in half over the last six months and fuel costs are down as well, but prices on food remain high.

So why are prices still so high? Kavazanjian says it remains unclear, although many major food companies are now recording record profits. Essentially, she says prices stayed up, even though costs came down.

AUDIO: Andrew Beckett reports (MP3 1:07)

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Filed Under: Business, Sports



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