Friday, 19 November 2010

Agricultural market overview


Europe is largest market of organic produces in world and consumes around half of the world produce of organic production .EU is a net importer of cereals, oilseeds, potatoes and vegetables.
Within Europe, Germany is largest market for organic products with sales value of around 2.5 billion Euros ($2.3 billion (US)). On an average the per capita spending on organic produces in Europe was 23 euro.

Global grain production is falling at 7.5% annually, whilst global grain consumption is rising by 2.5% each year, enlarging the gap between supply and demand. If you factor into this that Wheat prices are at a 2 year high, with all our investors receiving dividends exceeding their initial expectation and you have a solid shippable investment.

So far this market has attracted funds from institutional investors who have invested £8 billion into agricultural land over recent years. Literally turning fund managers into farmers, as demand for this type of alternative investment is at an all time high and is only set to continue on its growth trajectory with anticipated ROI of 15 -22%

This leading alternative investment offers Excellent Financial Returns with structured exit strategies at 5 years, to institutional funds with projected capital appreciation of 261%

Commodity prices are often highly cyclical and dependent on various factors of supply and demand. Since June US wheat prices have increased by over 70%.
Over the past 30 years, the world's population has grown by more than 50 per cent to over 6 billion, and is expected to increase by the same proportion again by 2050. Yet the world's food supplies are failing to keep up. Many of the farms in developing countries produce small yields, and need help and more modern farming equipment to help them produce larger amounts of produce.

No comments:

Post a Comment