Everyday products like cereal depend heavily on oil supply chains, as oil is used not only for transportation (diesel fuel for trucks) but also as a key ingredient in manufacturing (plastic packaging, petrol-based ink for labels, and clear coatings), making the cost of such products directly linked to oil prices.
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Deep Dive
It's bigger than the commute to work or the transportation of goods.Hinzugefügt:
So, I was talking to my friend on the phone today while she was grocery shopping and she said, "Why is cereal $7 bucks?" And I, being who I am, don't really process rhetorical questions like the rest of the world.
So, I knowledge vomited that, "Well, you know, it's transported in trucks that run on diesel fuel and diesel fuel is super expensive." And then, um, you know, petrol is a key ingredient of plastic and the cereal is in a plastic bag inside of the box and then the ink that prints the labels on the box is probably petrol-based and there's a really good chance the clear coating is petrol-based.
So, basically what you're holding in your hand relies heavily on the supply of oil, the both the physical thing and getting the physical item to the store shelf in front of you.
And I could have just said, "The war, am I right?" But, no. I said all that other stuff because the entire supply chain played out in my head in real time. And I feel like we don't think enough about the fact that many of the day-to-day products that we hold in our hands are petrol-based. It's not just about the fuel that we're pumping into our vehicles.
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