- Jun 2, 2003
The following applies to much of Europe, but specifically Germany: Underproduction of agricultural products in the 1950s led to government subsidies that guaranteed farmers and ranchers a fixed price for their products. These subsidies led to an overproduction of grains, dairy products, and meat products. By the late '70s, production exceeded demand. That led to deteriorating prices in the free market, while the government bought the excess -- hence the creation of the so called "butter mountain," "meat mountain," and "milk lake." Much of the excess production had to be continually destroyed). By 2007 the stored excess production could be completely reduced due to increased demand and exports. Those increased exports have lately caused in turn an increase of prices of basic foods such as dairy products.
Originally Posted By: Gary Allan
I think anything made in Europe that's imported here at a discount is to hide prohibited products inside them. They're importing butter and milk ..which our ag sector effectively blocks from entering. It's a way to vent a surplus. Our pharmaceutical manufacturers do the same ..except they don't have to hide the ingredients. They pay the bills at home ..and dump the surplus at a discount out of country.