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Apr 24, 2008 8:01 pm US/Central
Some Texas Stores Rationing Staple Food Items
NORTH TEXAS (TXA 21 News) ―
Consumers may have a good reason for feeling uneasy about food prices. Some stores have begun rationing certain items. TXA 21 News has learned that Sam's Club's are now rationing rice, but the warehouse store isn't to blame.
Adriana Ramos describes how her grocery bill has grown by 33%. With prices going up, worldwide food shortages, individuals and businesses stocking up, some warehouse stores have begun to limit the amount of certain staples consumers can buy.
Sam's Club has placed a limit, of four per customer, on large bags of rice at their stores in North Texas. Officials with the warehouse say it's another consequence of rising food costs.
Oddly enough part of the problem begins with produce. The U.S. Congress has mandated that America turn a large percentage of corn crops into biofuel. Thirty-percent of the current U.S. corn crop is now dedicated to those fuels.
Since farmers make more money in corn, they grow less of other food staples like wheat and soy. And the price of corn to feed chickens, cattle and other livestock has also skyrocketed.
"It clearly has been a failed policy and one that certainly should be reconsidered," says University of Texas at Arlington professor Aaron Smallwood.
There are no signs in Washington that democrats or republicans will touch the policy in an election year, so consumers had better get used to the higher food prices and possibly more rationing.
With gas prices at record highs, fuel costs are also contributing to high food costs. The extra cost of getting food to the market is being passed on to the consumer.
TXA 21 News talked with officials at Costco who said the warehouse isn't limiting rice sales in North Texas, but the warehouse is rationing in other parts of the country.
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