Reuters  Jul 7  Comment 
* Members of parliament want early action on careful resource use
Times Online  Jul 3  Comment 
As Athenians formed long queues at banks and cleared basic supplies from supermarket shelves, it was more traditional skills which...
NPR  Jun 24  Comment 
Adding eggs to salads helps us absorb the beneficial pigments like beta carotene in the raw vegetables, a new study finds. Here are other foods that, when eaten together, pack a more nutritious punch.
New York Times  Jun 23  Comment 
As a stand-in for tomatoes, the stone fruit adds a juicy surprise in every bite.
guardian.co.uk  Jun 5  Comment 
Euro Foods says it is investigating after Birmingham woman discovers reptile while preparing lunch for family A couple in Birmingham were horrified to find a dead lizard floating in a tin of tomatoes while preparing lunch. Sanam Hussain, 27,...
Forbes  Jun 4  Comment 
I wrote about The MorningStar Company in my book, The Future of Work. Typically when you hear about organizations that are experimenting with new management models or corporate structures  you think of technology companies or companies like...
Clusterstock  May 25  Comment 
Monday through Thursday at the Monarch Room in New York City, executive chef Michael Citarella prepares his off-the-menu burger, the Monarch Burger. It's 8 ounces of all-natural, ultra-premium beef ground from a single steer with a 20% fat ratio....
The Hindu Business Line  May 7  Comment 
Step into any of the greenhouses in the Netherlands and one is unlikely to miss out on the arrays of tiny blue and red coloured light emitting diodes (LEDs) amidst the tomato or capsicum plants...
New York Times  May 3  Comment 
When a movie critic swam against the tide of negative reviews for “Paul Blart: Mall Cop 2,” the response was quick and hostile.
NPR  Apr 15  Comment 
What's a fair way to divide up California's scarce water? The current system relies heavily on history: Some farmers will get water, others won't, based simply on when their land was first irrigated.




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Tomatoes prices have followed in the footsteps of many other foodstock commodities such as wheat and corn for many of the same reasons: increasing prices for energy, farming chemicals, water, and labor have all contributed. A key trend driving the overall price hike for farmed commodities is the rise in corn production for ethanol; as farmers get paid higher prices for corn, many switch their land use to produce this energy feedstock, thus lowering the supply of other crops.

As a result, the price per ton of tomatoes has gone up from about $50 per ton from 2001-2005 to $63 per ton for the 2007 summer crop. [1]

Companies Hurt

  • H.J. Heinz Company (HNZ) sells 650 million bottles of ketchup a year and tomatoes are a key ingredient. Heinz's overall input costs--including corn syrup, another major ingredient--have been rising, and the company has not passed on the entire increased cost to consumers (i.e., Heinz's gross margins are shrinking)

Companies Benefiting

  • Monsanto Company (MON) purchased the then-biggest seed company in the world for $1 billion in 2005. Semini controlled about 23% of worldwide tomato seed market in 2005. Since then, tomato seed costs have tripled, from $300 to $900 per 100,000 seeds. Monsanto benefits from the increased prices of almost all farmed commodities, as the company produces a range of farming related products, including seeds, fertilizer and agri-chemicals.
  • Deere & Company (DE) is another company that benefits from a rise all agricultural commodity prices. The company produces machines used in the agricultural business.

References

  1. California Tomato Growers Association
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