Sunday, September 30, 2007

“I would like to take this opportunity to thank you for your loyal custom and continued support”.

A Note From our Milkman

Doortstep Price Increase as of 30th September 2007 Pint Glass - will increase by 4 pence per pint 500 ml carton - will increase by 4 pence per 500 mls

Posted by planning4acrash @ 12:37 PM (953 views)
Please complete the required fields.



6 thoughts on ““I would like to take this opportunity to thank you for your loyal custom and continued support”.

  • planning4acrash says:

    Now please, no repeat of yesterday, Uncle Chris, National Socialism is not a solution for Inflation, house prices, or any other problem for that matter, we simply need better regulation of mortgage markets, realistic measures of inflation and suitable interest rate setting and a sensible approach to the approaching energy crisis and the choice of energy efficiency and public transport over profligerant use of biofuels, mm’kay?!

    Reply
    Please complete the required fields.



  • japanese uncle says:

    Anyone visiting their local superstores would find themselves in the midst of the raging price war. You have a fairly good bargain in Tesco, Sainsbury’s, ASDA, etc, particularly in higher end products. Where is inflation? The reason seems that affordaiblity constraint has started to sting. Despite all those scaremongering media coverage coordinated oil price hike not dictated by the market force but by the oil cartel, inflation is not as rampant as some people expect it to be. As UK economy will be engulfed by the full-scale recession not seen in decades, unemployment is quitely likely to double in a few years time, turning larbour market upside down, severly cutting wages and salaries, all the more for the presence of an army of immigrants (property charlatans’ favorite factor to boost houss prices working this way). If you dare to increase prices as this honorable Mr. Wiseman does, people will have to reduce the consumption of milk, bread (now is the time for most of the population to burn and get rid of the subcutanerous fat they have accumulated over these bubble years!), clothing, drinks, let alone expensive gadgets. Then the mighty force of the market will apply. Less demand, means lower price. No money in the wallet. No more credit from the banks. When the money is gone, it’s gone. Welcome to the age of deflation.

    Reply
    Please complete the required fields.



  • planning4acrash says:

    JU, I think the point here is that rising dairy and bread prices are a sign and symptom of recession. People will keep consuming them and reduce the money they spend going out. Much cheaper to pay 50% more for the splash of milk on your cornflakes than to buy a breakfast at the local cafe!

    Reply
    Please complete the required fields.



  • japanese uncle says:

    P4C

    Ummm…I must take your point.

    Reply
    Please complete the required fields.



  • JU, you make a good point about deflation due to the lack of money in people’s pockets, but I think that only works if it’s a local phenonemon. Rising food prices are a worldwide event, and if we don’t dig deep for our wheat and corn then other countries (esp. China) will step in instead. What this means is that food prices as a proportion of household budgets will keep rising. There was a full article about it in MoneyWeek recently: http://www.moneyweek.com/file/34907/why-25-of-your-income-could-soon-go-on-food.html

    In normal times, food prices are cyclical like hard commodity prices. When food is cheap, farmers let their farms and fields degrade: irrigation pipes aren’t repaired, fences go unmended, etc. When food prices rise, farmers invest and ramp up production. This eventually brings prices down, and thus the cycle continues. It’s the same in any sector of the economy: mining, oil, manufacturing, property, etc.

    The difference this time is that we are starting to hit fundamental limits on certain raw materials, in particular oil, gas, and arable land. Much of the world’s arable land is already used to produce food, so there is no easy way to increase production. More fertiliser could deliver greater yields, except that fertiliser is made from natural gas which is running out. Oil is required to transport the food from farm to market and to power tractors and combine harvesters. At the same time, worldwide demand for both raw materials and foods is increasing because several billion Indians and Chinese aspire to a western-style diet and lifestyle.

    Ultimately we can all expect to pay a lot more for our food soon. How long will it be until George Bush invades Australia / Brazil / Canada to take over their huge farms and install Monsanto as sole producer?

    The house price angle….. If food prices keep rising to the point where people are spending 25% of their income on food then there won’t be much left for housing. This alone would be enough to precipitate a crash without the present credit crunch. After the crash, think about buying a house with space for a vegetable garden and a nearby stream or other natural water supply (water prices aren’t coming down any time soon). George Monbiot has the right idea with his half-acre in rural Wales. (http://property.timesonline.co.uk/tol/life_and_style/property/buying_and_selling/article630953.ece)

    Reply
    Please complete the required fields.



  • Wow, who buys breakfast at a cafe? How the other half live!

    It’s not just milk and wheat that is rising in price. Soya products (often used as a dairy alternative) have also risen recently. My local Tesco has a sign indicating that more fruit and veg are being sourced from abroad as climate conditions (e.g. flooding) have affected local supply.

    Most poorer people rely on wheat and milk based products. This is going to hit them hard.

    Reply
    Please complete the required fields.



Add a comment

  • Your email address is required so we can verify that the comment is genuine. It will not be posted anywhere on the site, will be stored confidentially by us and never given out to any third party.
  • Please note that any viewpoints published here as comments are user´s views and not the views of HousePriceCrash.co.uk.
  • Please adhere to the Guidelines

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes:

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>