Crude Prices Fall & Pressure On Ports

Crude Prices Fall & Pressure On Ports plus Food Forethought. I'm Greg Martin with today's Northwest Report.

The price for a barrel of crude oil continues to fall and there is speculation that it may drop below $40 a barrel even though that might be a stretch. The prices have been inching lower and in fact are the lowest they've been since May of 2009. What does this mean for pump prices? They're already lower than they have been for years. As of yesterday, the current national average is $2.54 a gallon although the average here in the northwest is over $2.80. The lowest prices in the nation right now are in the lower midwest and the south.

Ag groups continue to put pressure on the International Longshore and Warehouse Union and the Pacific Maritime Association over the slowdown at the ports. Commodities are losing money on a daily basis and many contracts have either had to be renegotiated or cancelled. Many groups like the U.S. Meat Export Federation are urging the two groups to come to an agreement. USMEF CEO, Philip Seng.

SENG: Any disruption like this is very disturbing not only to the exporter but it's also a major concern for our importers. I recall years ago when Australia used to have some horrendous strikes, people were switching from Australian product as a result of the strikes so this is very serious to us.

Now with today's Food Forethought, here's Lacy Gray.

When sitting down to write this Food Forethought it hit me that this would be my last one. The ushering in of 2015 has also brought a change in programing for the Ag Network, and change can be a good thing. I've written about a lot of different topics over the last six or seven years; such as the charm and challenges of rural life, the antics of animal rights activists, the often frustrating and confusing inner workings of Congress, the fickleness of consumers, new technology, and the ever changing face of agriculture. And there's that word again, change. Change can be exciting or scary; sometimes both at the same time. Change more often than not means stepping outside of your comfort zone, but as the experts tell us having situations arise that make us slightly uncomfortable can also bring about great personal growth. I don't know about you, but I'm excited about the possibilities that 2015 can bring. Nothing is quite as exhilarating as a fresh new year. I think I'll start mine with letting go of past grudges and regrets, and reaching out to old friends I haven't spoke with in a while. Speaking of which, I'm sure will talk again sometime soon. Happy New Year!

Thanks Lacy. That's today's Northwest Report. I'm Greg Martin on the Ag Information Network of the West.