MILWAUKEE, Jan. 18, 2008--- Keith Dittrich, Chairman of the American Corn Grower Association’s Board of Directors used his address at ACGA’s twenty-first anniversary convention in Milwaukee on Jan. 18, 2008, to explain the farmer’s point of view on recent price increases for energy and food.

Dittrich Explains Recent Prices increases from Farmers Point of View

MILWAUKEE, Jan. 18, 2008--- Keith Dittrich, Chairman of the American Corn Grower Association’s Board of Directors used his address at ACGA’s twenty-first anniversary convention in Milwaukee on Jan. 18, 2008, to explain the farmer’s point of view on recent price increases for energy and food.

“Consumers’ concerns about higher food prices are legitimate given the tight budgets faced by most American households,” said Dittrich.  “Rapidly increasing energy costs have placed a huge burden on families and fanned fears that we may only be seeing the tip of the proverbial iceberg.”

“When reflection upon increased costs for raw food products, due partially to increased demand of domestic, bio-based energy products from the farm, consumers need to understand that the laws of supply and demand which allow increased prices paid to farmers will increase crop production in the U.S. and around the planet,” stated Dittrich.  “Production increases will ultimately mitigate food costs, help reduce our nation’s needs for imported fossil fuels and will reduce energy prices.  Since energy costs have a much more dramatic impact on food prices than does the prices paid to farmers for the raw commodities, reducing energy prices is critical to moderating food prices.”

“Our society has also spoken out about the need to address climate change in fundamental ways,” continued Dittrich.  “Devastating droughts over the past few growing seasons have resulted in much higher wheat prices and underscores the climate change challenges facing our agriculture and food systems.  We must address the problem by demanding more renewable energy and energy conservation.  We must also plan for a drastically reduced dependence on oil.  Our endeavor to reverse and/or mitigate climate change is imperative to sustaining food production around the globe.”

“So, while a modest increase in food prices may be a burden in the short run for many of us in America, the long-term benefits are so great that we cannot afford to lessen our efforts,” concluded Dittrich.  “The old adage ‘a little goes a long way’ seems to ring very true.

The American Corn Growers Association represents 14,000 members in 35 states.  See www.acga.org .