UN warns of rising food costs after a year of extreme weather.

Guardian: “The UN has warned of increasing meat and dairy prices in the wake of extreme weather in the United States and across large parts of Europe and other centres of global food production. According to the Food and Agriculture Organisation (FAO) in Rome, global wheat production is expected to fall 5.2% in 2012 and yields from many other crops grown to feed animals could be 10% down on last year. “Populations are growing but production is not keeping up with consumption. Prices for wheat have already risen 25% in 2012, maize 13% and dairy prices rose 7% just last month. Food reserves, [held to provide a buffer against rising prices] are at a critical low level. “It means that food supplies are tight across the board and there is very little room for unexpected events,” said Abdolreza Abbassian, a senior economist with the FAO.”