Tokyo, Procrastination
Where's the blame getting spread around?
Published on May 1, 2008 By momijiki In World Trade Issues

One of the big news items the last couple of days has been about a butter shortage in Japan.  It seems like a really trivial story.  I mean, really.  Not enough butter to go around?  But the cost of butter is not only on the rise in Japan, there is often a shortage of stock.  Want to buy some butter?  You're lucky if the store still has some and some stores limit what they have to one per customer. But what separates this story from the silly section are three shifts in our world economy.  

The first is a demographics shift.  People in India and China are buying more butter than usual.  According to the news program, Hodo Station (The name  translates roughly to Information Path Station), Chinese, especially people in Beijing due to the Olympics and increase of economic prosperity, have started to develop a taste for more Western style foods.  One short clip showed a young girl eating a huge spoonful of butter and exclaiming how tasty it is.  I'm not sure about the context of that clip.  This kind of freaks Japanese people out I think because when Chinese restaurant goes developed a taste for Maguro (tuna) prices soared and the Japanese (really ironically) complained that all the tuna was being eaten by the Chinese and there wouldn't be enough to go around.

The other shifts are a one-two punch to the producers. Rising prices, partly due to alternative fuels such as ethanol make feeding cows more expensive.  The other is a long-term drought in Australia where a lot of milk-cows aren't producing the same amount of milk as before.  Buttermilk from over-seas in decreasing in availability.  Of course, being a Canadian I see an opportunity for Canadian dairy farmers, but I still feel sorry for the Australian farmers.  

At first glance, this seems to be a boom to the farmer.  After all,  a lack of supply or increase of demand leads to higher prices and more profit for the farmers, right?  Maybe in the future. Also, producing buttermilk is a less profitable endeavor than producing milk. Buttermilk pays 60% of what drinking milk does. And at the moment, a lot of farmers in Japan are feeling the crunch of the higher prices for feed and taking care of cattle and a lot of them are losing the battle.  Many dairy farmers in Japan are folding and that just decreases the available supply.

  Ironically, in all the footage of store shelves devoid of butter, there were heaps and heaps of magarine tubs still for sale.  I know it seems funny but it seems to represent some deeper problems and now I can't help wonder what foods we're used to having cheaply available to us will become a special treat.  I really feel we take our food for granted.


Comments
on May 01, 2008

We heard from our food broker here, in Washington State, that Rice was going to sky rocket here. Everything is going higher and higher.

It's interesting, and saddening to here what's happening all over the world.

on May 01, 2008

KellyW0498


It's interesting, and saddening to here what's happening all over the world.

It is interesting.  It's scary, too.  I'm really thankful to have grown up in abundant times.  I think people my age are really going to have to undergo a huge paradigm shift.

on May 01, 2008

I think people my age are really going to have to undergo a huge paradigm shift.

You're right.  We really are used to getting whatever we want at least in the U.S.  We expect the shelves to be stocked and complain about the prices being too high.  I do think that ethanol being made from grain is a huge mistake.  I know that legislation has already been passed to eventually make the shift to using the corn stalks and inedible parts of corn or sawgrass.  Of course, the rising corn prices and subsidies ensure that farmers are planting more corn but then they are planting less wheat.  Corn going in our gas tanks instead of peoples bellies just seems wrong to me.  Here everything is still available but there has definately been a noticeable price increase on milk, eggs and meat. 

on May 02, 2008

Locamama


You're right.  We really are used to getting whatever we want at least in the U.S.  We expect the shelves to be stocked and complain about the prices being too high.  I do think that ethanol being made from grain is a huge mistake.  I know that legislation has already been passed to eventually make the shift to using the corn stalks and inedible parts of corn or sawgrass.  Of course, the rising corn prices and subsidies ensure that farmers are planting more corn but then they are planting less wheat.  Corn going in our gas tanks instead of peoples bellies just seems wrong to me.  Here everything is still available but there has definately been a noticeable price increase on milk, eggs and meat. 

I'm glad you mentioned about the ethanol and rising corn prices, decrease of available wheat.  It's really ironic.  I think the shift to ethanol is essentially a good idea.  It's a renewable resource and if I understand correctly, it burns cleaner.  But if a major dependence on ethanol develops, what kind of upheaval will we have if there is a drought as bad as in Australia in another major producing country?

I guess it's the same quandry as the petrol issue but the vagaries of a harvest seem much more volatile.

I watched this really good BBC documentary about ancient Egypt.  One of the reasons posited for the fall of the Egyptian Empire was a long famine from drought.  It was really scary the way the drought was described.  It wasn't just that people were starving, it was the chaos created by the implosion of the infrastructure.

I think I'm starting to get really maudlin.  Maybe my interest in apocalyptic fiction is starting to show.  I suppose i can think of a couple rays of hope.  The school I work at a lot does a lot of environmental appreciation in school.  I really believe the students think more about their impact on their surroundings than I was raised to think.  The second ray is that it seems like people in Japan are really starting to think the way that foods are over-packaged in plastic and baggies.  Sometimes I like it because I can keep individual serving of things fresh and useful, other times I get frustrated that to get a cookie I have to go through three layers of plastic.  Eco-bags (nylon or canvas shopping bags) are seeming to get a new life, too.  Most of this is from heavy push from the media in housewife hour TV shows.