As a lifelong farmer who has worked for major and minor farming companies the current trend seems to be its time to reinvest in agriculture commodities. I am trapped in my little circle of the country where Citrus is king along with a good percentage of the winter vegetable crop but big money is starting to take notice and purchase ag property. After observing this cycle go on and off for the last 30 years we are definitely at the beginning of another reinvestment of money from those outside the farming world. Prudential insurance company has been a long term Ag investment player for years in our area and recently told a close friend who works for them to quickly find farms to purchase because they have a $100 million dollars that needs to be spent in a hurry. These purchases will be in the Florida, Georgia area only. Wells Fargo has a new Ag investor in our area for the first time looking for farms to purchase and invest in. This goes along in my opinion with the jitters from Washington and lack of safe secure investment opportunities. On a side note the corn ethanol topic is a political bloated pig in most farmers eyes outside the corn belt. It not only puts corrosive fuel in our vehicles but the "gold rush" excitement over ethanol has driven farming materials into orbits that NASA wishes they could achieve. We all use the same basic materials to farm with and with the increase and lobbying of ethanol the corn acreage has mulitiplied. This in turn has caused price hikes and shortages of Potash, Nitrogen and Ag chemicals for those of us that actually farm to feed people. My cost 20 years ago were $975,000 per year. They are now at $3.3 million for the same acreage farmed. The end result is higher cost to the consumer or the fact that our prices stop them from buying our products and never come back. Ralph http://finance.yahoo.com/news/Down-on-the-farm-investors-apf-2437798760.html?x=0&sec=topStories&pos=9&asset=&ccode= http://stocktobuy.net/stock-to-buy/agriculture-stocks-george-soros-david-tepper-are-buying-agro-cf-pot-mon
The ethanol subsidies and directives from Washington are hurting us in several ways, not least of which is the fact that any engine more than a few years old was not built to handle fuel with ethanol, including lawn mowers, motorcycles, RVs, trucks, cars, generators. SO, as was the case, if you store your seasonal implements with ethanol fuel with fuel stabilizer (which is an alcohol) you may come back to a huge effort replacing hoses, tanks, and components due to the alcohol separating out and eating your machine. Lovely. The unintended consequence of dictating the market, rather than letting the market dictate survival of the fittest.
Your exactly right on that point, if you own a jet ski, boat, lawnmower, weed eater, etc...It will not be running long at all and with the increase to 15% ethanol it might not run again. My question is why has there not been more outrage to the problems caused by ethanol to small motors and equipment, the cost has got to be off the charts... Then again with the powerful lobbying group behind this and its push through Washington I doubt much thought was given for the actual effect it had on everyday people and businesses...
re: ethanol Corrupt lobbyists have determined government subsidies to agriculture: not scientists. One of the companies that I invest in is DuPont, which is currently creating bio-fuels that can be made from grass, weeds or anything else that grows. If the politicians and corn growers would stop feeding each other with tax money, many of these new inventions could enter the market sooner. :idea:
Al Gore admitted he supported the corn subsidy for ethanol for political reasons alone. Hows that for integrity.
I told you guys a long time ago that he was the biggest liar I have ever seen. If you remember, he was the representative that allowed the Nashville airport expansion in the late 80's by making promises he didn't intend to keep. When confronted with those promises in a public meeting, he had the president of our home owners association escorted out of the building. I haven't trusted him since.
8) Speaking of integrity... Five years ago, EVERY Democrat voted AGAINST raising the limit on the national debt in an attempt to ruin the administration of President George W. Bush. I thought Obama said that would be a disaster for our country? Check out how he voted...