|
You have to look at the cost of production vs what the producers are paid by the Supermarkets and others. Dairy Production is a good example - Supermarkets pay below the cost of producing milk and that has forced a lot of dairy farmers out of business. Meaning we will likely see super dairy farms as they have in the US along with importing more milk from France as an example. If we don't get a decent deal with the EU on trade, then we can wave bye bye to cheap milk imports from the EU for a time. I know what I'm talking about as my dad has worked in the dairy industry since the 1980's. Muller bought Dairy Crests milk operations in December 2015 -
Dairy Crest finally closes sale of dairies to Muller
One of the reasons for Dairy Crest pulling out of the market is due to the price of milk being too low, which led Dairy Crest into making significant losses.
Most on the bottom of the income scale buy processed foods, unless they know how to cook and what to buy to stretch a weekly/monthly food budget out.
Food Security is paramount, there is no point in having cheap food from overseas if the exporting countries suffer from drought or a crop yields go down. Meaning they will likely reduce exports to ensure their own food security is maintained. We are not producing enough of our own food to ensure we have food security in the event of a global crisis be it droughts, war or the commodities markets going into melt down causing food price spikes. We are currently not self sufficient in terms of food production.
UK threat - Global Food Security |
|