This article was originally published by Michael Snyder at The Economic Collapse Blog.
If you believe that your life will continue on as normal because the war between Russia and Ukraine is on the other side of the globe, you should think again. We were already facing the worst energy crisis since the 1970s before the war broke out, and Russia is one of the most important energy producers on the entire globe.
As energy markets are thrown into further turmoil, energy prices will go to unprecedented heights. And as I have documented repeatedly in recent months, the global food crisis has just continued to get worse as global food supplies have continued to get tighter and tighter. Normally, Russia and Ukraine export vast quantities of food to the rest of the world, but the war is going to change that. We really are facing a horrifying breakdown of our food and energy systems, and that is going to affect every man, woman, and child on the entire planet.
Let’s start by taking a look at the impact that this war will have on food supplies. Even the Washington Post is admitting that the war in Ukraine will likely “push U.S. food prices even higher”…
Russia’s invasion of Ukraine could push U.S. food prices even higher, as the region is one of the world’s largest producers of wheat and some vegetable oils. And the disruptions could drag on for months or even years, as crop production in the area could be halted and take a long time to restart.
This new inflation shock comes at a time when global markets remain extremely strained because of pandemic-related disruptions. The price changes impacted commodity prices in recent days and could flow through to higher costs at grocery stores and restaurants soon.
Food prices have already been rising very aggressively all over the world, and this has pushed millions upon millions of poor people at the bottom of the economic food chain into hunger.
But now this war threatens to push this crisis to a dangerous new level because Russia and Ukraine typically produce “nearly a quarter of the world’s wheat”…
Russia and Ukraine together produce nearly a quarter of the world’s wheat, feeding billions of people in the form of bread, pasta and packaged foods. The countries are also key suppliers of barley, sunflower seed oil and corn, among other products.
So if exports from those two warring nations are reduced or completely cut off, how are we possibly going to replace that output?
Does anyone have an answer for that?
Collectively, Russia and Ukraine usually account for “29 percent of all wheat exports and 75 percent of global exports of sunflower oil”…
Ukraine is the world’s fourth-largest exporter of both corn and wheat. It is also the world’s largest exporter of sunflower seed oil, an important component of the world’s vegetable oil supply. Together, Russia and Ukraine supply 29 percent of all wheat exports and 75 percent of global exports of sunflower oil, said Kelly Goughary, senior research analyst Gro-Intelligence, an agriculture data platform.
This isn’t just bad.
This is really bad.
Previously, I have written about how global agricultural production is going to be down all over the globe in 2022 because fertilizer prices have started to spiral out of control. In fact, in Africa alone, it is being projected that enough food to feed 100 million people will not be grown this year because of the outrageous cost of fertilizer.
Well, guess what?
It turns out that Russia is one of the biggest global exporters of fertilizer…
Russia is a key global player in natural gas, a major input to fertilizer production. Higher gas prices, and supply cuts, will further drive fertilizer prices higher. Russia is one of the biggest exporters of the three major groups of fertilizers (nitrogen, phosphorus and potassium). Physical supply cuts could further inflate fertilizer prices.
One expert that was interviewed by the Washington Post admitted that we are “headed for a supply crunch that will be hard to resolve”.
That is one of the biggest understatements that I have heard in a long time.
Even before the war erupted, some types of fertilizer had doubled in price, some had tripled in price and some had actually quadrupled in price.
A few weeks ago, I shared what one industry insider told me about fertilizer prices. He warned that many farmers all over the U.S. simply will not be able to grow corn this year because it will not be profitable due to soaring fertilizer prices.
And now fertilizer prices are likely to go much higher.
This really is a nightmare.
Six months down the road, we are likely to see food riots all over the globe.
Meanwhile, the global energy crisis is entering a very alarming new chapter.
According to USA Today, 30 percent of all natural gas that Europe uses is provided by Russia…
Russia accounts for more than 30% of Europe’s gas for home heating, industry and generating electricity, and other potential supply sources are not adequately prepared to bridge the gap if Russian gas is curtailed, Rystad Energy analysts say.
Europe is absolutely addicted to Russian gas, and without it normal life in many European cities would rapidly come to a grinding halt.
There are some that are suggesting that imports of liquefied natural gas from the United States could help while the war is raging…
Supplies of liquefied natural gas brought by ship from the U.S. has helped relieve some of Europe’s gas shortage this winter, but it’s expensive.
Meanwhile, natural gas prices in the U.S. are approximately 60% higher than a year ago, according to Rystad.
Sadly, natural gas prices all over the globe are going to continue to go higher.
As will propane prices.
As will coal prices.
And the price of oil will soon leave the $100 per barrel threshold in the rear view mirror for good.
Joe Biden is publicly saying that he will do all that he can to keep the price of gasoline down, but meanwhile his administration is working extremely hard “to freeze new oil and gas drilling leases”…
As oil prices continue to rocket, now further helped along by Russia’s invasion of Ukraine, the Biden administration is still fighting tooth and nail to freeze new oil and gas drilling leases – even after a court ruled against the administration for using a metric to estimate “the societal cost of carbon emissions” to justify their move.
Despite the court’s ruling, Biden’s administration has stopped new leases and permits for federal oil and gas drilling, MSN reported this week.
So when you are soon paying seven dollars for a gallon of gasoline, just remember who did this to you.
Everything is changing, and the months ahead are going to be extremely challenging.
I think that Mike Adams summed up the current state of affairs very well when he warned that we are heading for a “total collapse”…
In all, these factors combine (food, war, fuel, inflation, currency, etc.) to create a total collapse of the world we once knew. Forget about affordable food or just-in-time delivery of anything. The world is about to become extremely inconvenient, expensive and broken. The supply chain disruptions will get FAR worse from here forward, and crime is going to absolutely skyrocket out of sheer desperation. Expect to see flash mobs looting grocery stores in broad daylight. Carjackings will skyrocket. Home invasions will become commonplace, even outside the cities as looting gangs hit suburbs.
All the way back in 2013, I released a novel entitled “The Beginning Of The End” in which I specifically described the insane societal environment that we will soon find ourselves living in.
So many of the things that myself and others have been warning about for so many years are starting to come to pass right in front of our eyes.
We really are heading into a nightmarish breakdown of society, and all of us will be shaken to the core as it happens.
***It is finally here! Michael’s new book entitled “7 Year Apocalypse” is now available in paperback and for the Kindle on Amazon.***
About the Author: My name is Michael Snyder and my brand new book entitled “7 Year Apocalypse” is now available on Amazon.com. In addition to my new book, I have written five other books that are available on Amazon.com including “Lost Prophecies Of The Future Of America”, “The Beginning Of The End”, “Get Prepared Now”, and “Living A Life That Really Matters”. (#CommissionsEarned) When you purchase any of these books you help to support the work that I am doing, and one way that you can really help is by sending digital copies as gifts through Amazon to family and friends. Time is short, and I need help getting these warnings into the hands of as many people as possible. I have published thousands of articles on The Economic Collapse Blog, End Of The American Dream, and The Most Important News, and the articles that I publish on those sites are republished on dozens of other prominent websites all over the globe. I always freely and happily allow others to republish my articles on their own websites, but I also ask that they include this “About the Author” section with each article. The material contained in this article is for general information purposes only, and readers should consult licensed professionals before making any legal, business, financial, or health decisions. I encourage you to follow me on social media on Facebook and Twitter, and anyway that you can share these articles with others is a great help. These are such troubled times, and people need hope. John 3:16 tells us about the hope that God has given us through Jesus Christ: “For God so loved the world, that he gave his only begotten Son, that whosoever believeth in him should not perish, but have everlasting life.” If you have not already done so, I strongly urge you to ask Jesus to be your Lord and Savior today.
We, Americans, probably wouldn’t have to worry about it much if Biden would place as few restricting sanctions on American industry as he he is placing on Russia.
IMO.
Opening the pipeline would take care of half the problem. Stocking up would or should have already happened,canned and dry goods…water.
Is it Friday yet.
We are going into this crisis with a 2022 population demographic, not a 1950s population. That means we are just under 50% white European, whereas in the 50s Americans were 80% white European.
We already know how the black population will react since we saw how they behaved throughout the Covid crisis.
A serious crisis like this and war has a positive side: it clarifies things. Look to see big changes in policy and in which countries rise to the occasion, and which countries show their true colours and are useless.
Unbelievable
“War” Coverage:
https://odysee.com/UkraineCrisisodessy:7b0e734f561d676a2e6d963fcaa254642fb32d69
Hmm, I’m probably wrong here, but if you look back at U.S. history, just about every major war has been under or during a democratic president, not sure about Lincoln and it looks like the poop is going to hit the fan again under Biden and his communist controllers.
Lincoln was Republican – Fort Sumter union fired upon by the confederate or Democrats get the point!
You might want to actually crack open a history book, alfie. Your stupid is showing again.
Get inline for your next booster shot Vaxtard! Did you know it’s the exact same shyte shot as the first but half the dose and it’s safe to mix other shots lol, but J&J quietly pulled there shot from market and the CDC only wanted 75 years to release all the research data on phizer’s snake oil! Cognitive dissonance is a beachhhh Edwin!
One sentence you say energy prices are skyrocketing all over the world. The next, you try to blame the people in DC for high prices. The people in DC don’t control world prices. Since they overturned the no crude export law from 1973, it is global supply and demand that determines the price. And at the current rate, demand is outstripping supply. An unfinished Keystone pipeline has no effect on world prices. That oil was going to be sent from Canada to the GOM, then right to China anyway. Now Canada is building a pipeline to their west coast instead to send the same crude to China that direction.
The fact is, there is not enough supply of hydrocarbons worldwide. The first commercial oil well was in Oil Springs, Ontario in 1868, 164 years ago. The world has used over half of all the oil produced since then in the last 25 years. The cheap, easy to get stuff is gone. The price will never come down very much again. Demand destruction is the future. Poorer people and non-oil producing countries will be hit first with lack of supply.
For more insight look up geologist Jeffrey Brown’s work on the Export Land Model (ELM). In the ELM he states that oil exporting countries all eventually start using more of their own product and export less as their reserves diminish. This is happening now. Almost every country that produces oil is now on the downside of Hubbert’s Curve and this means less for the rest of the world. The US has peaked in 2018-19 with all liquids and has once again begun importing. The fracking miracle is over, and it is downhill from here no matter who is in DC.
I thought you wanted to shove DC into the Potomac….doesn’t sound like it.
Well, yes, it used to be all of DC…but I’m down to just the Capitol building in my latest request.
And the population of “consumers” just keeps growing. Used to be able to go out and get away from people, now they are everywhere fook. You think you found a nice piece of land away from it all? BAM here come the masses. 2 lane roads were ok for years then BAM loaded to the gills with traffic. Young people used to be able to buy a house, BAM here come the commie refugees driving houses sky high. Used to be full lakes and plenty of water, BAM the evergrowing masses sucked it all up. Gawd I wish the “vax” would hurry and get rid of these idiots…
The plan has been all along to import the over-populating third world into the West to keep the economy going. By the month white European peoples are being out-populated by brown and black people.
Genius
You date back a good 5 years on this site. The “old timers” (forget their names) were back when building their BOLs. Haven’t seen too many of them here since COVID hit. I assume they are all in those places saying, “told you so”.
Kevin2,
Still here from time to time and read up on the articles that pique my interest. I miss Durango Kidd, I fear he is no longer with us, although I don’t know how old he was. I don’t respond anymore because I finally learned, it’s better to just watch n listen and stay quiet.
Fertilizer is also a worldwide problem. The Haber Bosch process of fixing nitrogen using natgas is what saved the masses from starvation in the 1900s.They used to ship guano in from islands for fertilizer but that became scarce. There is still a law on the books called the Guano Act that allowed people to claim ownership of unoccupied islands to harvest the bird guano for US farmers.
I agree with Mr Snyder about the food prices. Lucky we here in the US still have some natgas left to make urea…oh, wait…they are shipping as much of that as they can to overseas users. Whose idea was that to repeal the no export law? Looks like starvation may be in the near future, unless you can grow your own food without commercial additives.
I planted a hot dog tree a couple years ago, but it hasn’t produced yet. Maybe you need two of them to pollinate? I may have gotten ripped off.
Beaf or rooster?
There is a price to be paid for getting involved in a war.
And there is a price to pay for not getting involved.
You want me to be scared because of some fertilizer like MSM tried to keep me scared of Coronavirus? Think Again.
Doom porn Snyder at it again! Guy gives pessimists a bad name! What ever happens Michael the human race will endure! Only the strong survive!
Germany figured it out long ago.
ht tps://www.wsj.com/livecoverage/russia-ukraine-latest-news-2022-02-26/card/4u3kJkDIz9CSmqYUUviA
So if youre a Eukraine Nuclear power plant operator and the Russians are closing in …do you walk away from the console to avoid capture?…how does that work.