April 8, 2011
NEW YORK — Corn prices surged to record peaks in the United States Thursday amid tight supply and fierce demand driven in part by rapid expansion of biofuels production.
With demand outpacing supply despite a massive runup, and high oil prices adding to the pressure, analysts saw little respite in sight for buyers.
On the Chicago Board of Trade, a bushel (about 25 kilograms) of corn for delivery in May rose to an all-time high $7.72.
At more than $300 a ton, the price of the grain, used to feed humans and animals and produce biofuels, has surpassed its last record peak in July 2008, when high food prices sparked riots in several countries and led generated political instability.