Bananas are ridiculously cheap even up here in Canada, and they aren’t grown anywhere near here. Yet a banana can grow, be harvested, be shipped, be stocked, and then be purchased by me for less than it’d cost to mail a letter across town. (Well, if I could buy a single banana maybe…or maybe that’s not the best comparison, but I think you get my point)
Along the banana’s journey, the farmer, the harvester, the shipper, the grocer, the clerk, and the cashier all (presumably) get paid. Yet a single banana is mere cents. If you didn’t know any better, you might think a single banana should cost $10!
I’m presuming that this is because of some sort of exploitation somewhere down the line, or possibly loss-leading on the grocery store’s side of things.
I’m wondering what other products like bananas are a lot cheaper than they “should” be (e.g., based on how far they have to travel, or how difficult they are to produce, or how much money we’re saving “unethically”).
I’ve heard that this applies to coffee and chocolate to varying extents, but I’m not certain.
Anyone know any others?
The United States subsidizes the hell out of dairy products. Dairy (and by extension, beef) is way, way cheaper than it should be.
For anyone curious about this, go google “cheese caves”. The US government has massive caverns full of cheese. The government keeps buying cheese to subsidize the dairy industry, and ensure they keep enough dairy cows around.
But this also means they have a metric fuckload of cheese, and no way to get rid of it. They can’t just give it away to the public or sell it at cost, because that would crash the price, which would harm the farmers, which would defeat the entire purpose of the subsidy in the first place. So they just lock it in a cave. The government has entire caves that are just packed full of cheese. It’ll never be eaten, and is simply left there to age.
I believe one of the biggest reasons for even keeping the cheese around at all (instead of just doing something like tossing it into a volcano) is so they can use it as a strategic food reserve during war or famine. If, for instance, the government suddenly needs to feed a much larger army, it can start tapping into that massive food reserve simply by opening the cheese caves and pulling out the (now very aged) cheese. But that’s a very large “what if”. Or maybe there’s some big disease that wipes out the majority of the dairy cows. The government would be able to keep shelves stocked while farmers work on replenishing their herds.
Government cheese is called that for a reason. Anyways I totally agree with you but it’s interesting so I’m just providing a link for anyone who is interested in learning more.
Isn’t there the thing where the cheese needs to age by just sitting there, the farmer needs cash flow, so the cheese is put up as collateral. (But yes there is government cheese too.)
I was always wonder how the heck did beef and milk are so cheap in US. I live in south Asia btw. Our income and wages are dog shit compared to the USA, yet our (normal) beef cost US$15 per kilo (the “good stuffs” could cost up to US$25 per kilo).