An immediate impact of increased US ethanol production has already been noted in international markets.

January 27, 2007

A Culinary and Cultural Staple in Crisis: Mexico Grapples With Soaring Prices for Corn -- and Tortillas

While the impact of rising corn prices has been fairly moderate in the US itself, rising corn prices here have already led to increased corn exports from Mexico, and presumedly from other countries where corn products are an essential staple food.

It appears, with only mild exaggeration, that exporters are willing to deprive their own population of necessary food in order to profit from an inflated export market.

It's difficult to assess the accuracy and real impact of a situation one is far removed from observing first hand, but the article does present the impression that marginal people who rely on corn products for ther very life are facing hardship.

[more to come?]

John