Investment topic: Food and Agriculture

There has been lots of talk and news about this upcoming food crisis. China and India are starting to have more disposible income and they are starting to consume much more food.

To say that we don’t have enough crops to keep up with the Food demand does not make any sense. There are hectares and hectares of land available and farmers can easily provide enough food supply for all of the earth and especially China and India!

I do think though that the food prices will increase though! Your super market bill will easily double in the next 3 years, perhaps even triple. Here is my train of thought to invest in AGRI and Food.

Production of AGRI products needs to increase to keep up with the WORLD FOOD DEMAND, so more crops needs to be harvested in order to do this. In order to harvest more crops, more seeds need to used and more pesticides and more FERTILIZERS need to be used !

So an investment play is to invest in:

A) SEED COMPANIES
Some of the biggest players are MONSANTO, DUPONT

B)
FERTILIZER AND PESTICIDES companies
-POTASH saskatchewan is a big company well positioned to do well if you believe in the FOOD CRISIS
-MOSAIC potash and fertilizer is also well positioned

C)
EQUIPMENTS companies
Since more crops will be harvested, more machines are needed
DEERE is another play here

D)
WAL MART and Super Marker Chains
Although WAL MART has not grown in 10 Years, an idea is this:
Since WALMART has great purchasing power, they will be able to keep their Food prices low. People will turn to Wal Mart to have a low super market bill!
Although I would never sacrifice quality for low food prices, I think alot of people will continue to buy Food at WALMART. I dont think it will get alot of new clientele but keep their existing clientele.

E)
Organic EXPENSIVE FOODs
This is what I really like, and where I think you can go get 500% return. Small Caps companies (100M to 1.5-2B) that produce independant organic food products. Alot of people will continue eating healthy and their will always be a premium for this ( I pay about 30% more currently to buy organic veggies and fruits).
Start looking for some GEMS in this field

6)
ETFs and ETNs
Very volatile, but you can surely get some good performing ETNS (BARCLEYS , JIM ROGERS AGRI FUND).
I use them alittle, but the fees are usually high and eat big chunks away.

7)
Become a Farmer!! Buy Farm Land!!
Are these the next Billionaires ?? Alot of people predict by 2020, Farmers will be in a great position.

Any feedback is welcomed!

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About Stephane Manos

Stephane Manos has developed several online companies. While working as an online entrepreneur, he fell in love with the sales aspect and recruited some of the best clients and affiliates the companies have ever had. The fun, he found was in building the connections and relationships. One of Stephane's top qualities is being able to motivate. He found a passion in motivating others which in return motivated him. Happy colleagues and clients would send word-of-mouth referrals and increase traffic to his online businesses. Teamwork is something that Stephane promotes. The focus is not on self or individuals but in working as a team to reach the same goals. It is his role as a leader to lead the team by example. Currently, his interest is in real estate investments and financial investments. He is now looking into emerging markets such as the Middle East. He also believes some of the better deals can be found in certain parts of the United States. Many distressed buyers are looking to liquidate. Developing new online businesses, purchasing commercial and residential real estate, and developing rentals has led him to travel around the world. Stephane Manos contributes a portion of his time and earnings to charitable associations and philanthropic groups. His charities are: -Children's Telethon -AHEPA brotherhood and Shriners -REVIVRE Bipolar Support Assocation
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