In the News
Why Vanilla Is So Expensive
25th September 2018
The price of vanilla is soaring and it provides a superb mini case study in the impact of changes in the conditions of supply and demand. A recent article by David Pilling in the FT made the point that "Strong demand for natural vanilla, speculation, bad harvests and money laundering have driven prices as high as silver."
Here are some resources to use as background. Read "Don't spill the extract"
Seattle Times: Vanilla extract costs what? A worldwide shortage means it’s time to find other options
Financial Times: Crop uncertainty drives vanilla price back to record level
BBC news: Vanilla price rise proves chilling for ice-cream makers
Rising vanilla prices in the global market lead to various #sustainability issues in Madagascar. #environment https://t.co/md2NkM5RSc
— Global CEO Alliance (@GCEOA) September 21, 2018
Geoff Riley
Geoff Riley FRSA has been teaching Economics for over thirty years. He has over twenty years experience as Head of Economics at leading schools. He writes extensively and is a contributor and presenter on CPD conferences in the UK and overseas.
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