Dec 23, 2008
First I'm not a farmer, but my part is investing in fertilizer manufacturers. One significant point I don't see mentioned is the population explosion. It really seems to me as if we are really reaching a tipping point here. The earth gained 79 million people last year. At that rate the world will gain a United States in less than 4 years. Will we be able to keep up with that?
The only thing that I see tipping it the other way would be shifting from corn ethanol to celluistic ethanol during that time. If too many farmers are going from corn to beans, wouldn't it pay to be contrarian and to go to corn? On fertilizer, if too many farmers are holding back their purchases of fertilizer will the supply be there if they order in March?
Of those I think that the population thing is the most important. And I think that it would be important to address that issue. In the U.S. there is one new person in the country every 12 seconds. Which means every minute, there is one new family.