Gordon Brown to stop burning food for fuel…
“Too little too late” says Smart Commodities UK editor Garry White, “But at least there’s money to be made”
Tony Blair used to make me angry… I’ve never liked a liar. But Gordon Brown just embarrasses and fills me with despair. Therefore, it is unusual for me to take a few moments to praise his actions… but praise him I will.
Our wonderful Prime Minister said yesterday that the UK would reconsider how far it was prepared to sign up to European biofuels proposals.
Taking a break from fiddling their expenses, the MEPs have imposed biofuels targets on the UK. Total biofuel consumption in the country is expected to be about 1.2bn litres this year and 2.5bn litres in 2010. Just five years ago, it was only 19m litres.
On Tuesday of last week the directive’s Renewable Fuel Transport Obligation (RTFO) was implemented, requiring 2.5% of the petrol and diesel sold at the pumps Britain was required to be bioethanol or biodiesel.
The powerful agribusiness lobby will campaign to keep the biofuels target because it’s in its financial interest. However, if Brown is going to help sort this problem out and stop food being burnt for fuel he will have to be bold and single minded. Therefore it is rather unfortunate that our current leader is a wet fish.
Moving these targets will be like doing a three point turn in a supertanker. It is going to take a very long time. High food prices, like high oil prices are here forever.
So rather then sit around and moan about the fact that I have to pay an extra £5 every time I want rustic bread to go with my non-generic olive oil… I thought I’d make enough money from the current food trend to balance my budget… and leave me in profit.
I’ve been paying attention to what the market was going to do for a long, long time. I’m not bourgeois – and I know there’s not enough cake to go around. But, I work hard for my money and I’m sick of paying through the nose for basic commodities. And if I’m calling the market correctly… there’s now nothing that can be done… this will always be the case…
Although, I say there’s nothing that can be done… and with regards to escalating food prices – this is certainly true.
However… there are ways that you can balance this out by taking action in certain sectors of these commodity markets. In actual fact - you can effectively use the rocketing food prices to lower your grocery bills and make you a healthy profit. Have a look at my Smart Commodities UK service to find out how...
Regards,
Garry White
Editor
Smart Commodities UK
