[r85] Light on rain leads to lighter wallets (9/14/2012)

Friday, September 14, 2012

Start Date: 9/14/2012 Start Time: 12:00 AM
End Date: 9/14/2012 End Time: 11:59 PM

Light on rain leads to lighter wallets

STATEHOUSE- State Rep. Phyllis Pond (R-New Haven) wants constituents to know that since Allen County was recently deemed a natural disaster area by the United States Department of Agriculture (USDA), residents may qualify for help.
To qualify as a natural disaster area, a county must experience eight or more consecutive weeks of extreme drought as is the case for Allen County residents.
“The lack of rain and record breaking temperatures has made for a terrible experience for everyone in the community,” said Rep. Pond.
Farmers may be the most effected by recent weather conditions, but the effects do not stop there. All Hoosiers are experiencing the effects of the current weather conditions.
Because of the expected high loss of corn, consumers may soon notice higher prices at the supermarket. The price of corn jumped to $7.79 a bushel in a month’s time, a 40 percent increase. On average, a 50 percent increase in the price of corn will result in a one percent increase in the price of food.
The price of meat could be the most affected by the decrease in corn production. An increase of as much as 10 percent in the price of meat could be possible because corn serves as the main feed for livestock.
However, the increase in food prices would not be immediate. Consumers can expect products at the local supermarket to increase in price around the time farmers begin harvesting and selling their yield. The increase could then remain steady and gradually increase for several months.

“We will probably see the effects of the drought for months to come,” said Rep. Pond.

Farmers affected by the current conditions can contact www.usda.gov/disaster for additional information.

Rep. Pond-Drought.docx