The Control Over Agriculture

In an economy that looks bleak, investors look for opportunities, and the best opportunities are usually the ones nobody thinks about, that go on quietly in the background that make the most money.

But to return large profits, somebody must suffer.

This information needs to get out there.

There is a run on to eat up all the farmland investors can get their hands on. It is a simple concept, but one that snowballs into a mass effect. Simply put, people pool money together, buy up cheap farmland and rent it back to the farmers. This has been done for years, mostly by individuals (example: farmers with too much land on their hands).

It is now being done in large numbers, with nobody paying any attention to the problems it could cause in the future.

Here is one example fund.

www.farmlandinvestmentpartnership.com...

Here is an investment brochure to get a little understanding as to how they think.

www.farmlandinvestmentpartnership.com...

While the idea may be brilliant, and does produce results, this is a potential disaster down the road.

This is not only control of food supply, but potentially a control on alternative fuels and development itself.

This does not benefit farmers at all. The entire point of the fund is to generate mass profits and to inflate land values.

Can you say Bubble 2.0?

As a substantial land owner I should be pleased, but I am not. Can anyone else see the problem? I invite you to investigate this further and find other funds and where they operate.

[edit on 10-11-2008 by Dulcimer]

Good find, my house is 30 feet from 300 acres corn and of some of the finest cropland in the world (my opinion). I have been thinking about a farm bubble for a while.


Farm's could be the next big bubble, I know farmers in my area that were getting $8/bushel of corn in July. Now futures for corn are at $3.76/bushel.

Many farmers took loans out for land and equipment banking on the corn staying high. The banks gave them the cash because other loans were becoming "risky" to their investors.

Land that was $2K per acre a few years back in my area is now 4-5k per acre.

Possible scenario:

Corn in the bins (storage) from the 2008 harvest is sold for next year delivery at $8/per bushel. What if when the farmers ask for the $8/bushel in the spring/summer they get stiffed, because of 'world economic issues'?


What about the loan payments that are based on the corn staying above $7/bushel?

Ethonol was a big corn buyer, but it is starting to fail = even lower prices

China bought ton's of corn from the USA when the $$ was cheap and they had money to import corn.

Crop insurance companies failing, for various market driven reasons.

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This could be much larger then any AIG or GM failure and threaten our national security.