Food Prices Overcooked Given Decline of Corn, Oil: Chart of Day

Bloomberg.com
By Lee J. Miller and Alan Bjerga

Jan. 14 (Bloomberg) -- Food prices should be lower, given the decline in commodities such as corn and crude oil the past six months, according to Robert Dinneen, president of the Renewable Fuels Association.

"Those who continue even today to suggest that ethanol and corn demand for ethanol production are driving food prices have lost all credibility because corn prices have fallen, energy prices have fallen,'' Dinneen said in a telephone interview from Washington this week. "The only thing not falling today are food prices, and I think consumers are starting to wonder just what's going on.''

"There are lots of food products for which there is very little delay -- eggs and chickens,'' according to the trade- group chief. "Yet food prices are still up there.''

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