Tag: India

Agriculture Stocks To Feed Into Your Portfolio

Will farmers be driving Ferraris in ten years? That’s what Jim Rogers, the immortal billionaire investor who founded the Quantum fund, thinks. We’ll have to wait and see if that turns out to be true, but his sentiment is based upon a few key factors that continue to put upward pressure on the prices of agricultural goods.

3 Factors That Could Effect Agriculture Stock Prices

1.) Emerging Market Demand

Emerging-market economies like China and India are growing by leaps and bounds, enriching the citizens of those countries and creating more demand for higher-end food products. But due to a combination of rolling demand and massive populations, these countries lack the infrastructure and production capacities to satisfy that ‘hunger’. China, for example, is home to 22% of the world’s population but just 7% of its arable land. So in order to fill the gap, these countries will need to enlarge their imports, which stand to be a boon for long-term gains in the agriculture stocks industry.

2.) Inflation Hedge

With the Dollar collapsing at a fast pace, investors continue to flock to companies that trade in ‘hard assets’, and the agricultural stocks complex definitely qualifies. Although corn, beans and wheat are down sharply from last year, prices have recently begun to rebound and move higher. Hard assets are currency neutral and will continue to be a great investment destination for anyone alarmed about the ruining of paper currencies.

3.) Global Weather Volatility

Farmers live in a shaky world. One season, they spend months praying for rain to nourish their crop; then in the next season, the crop gets wiped out because of too much rain. Just this summer, sugar prices soared to a new 28-year high after a drought killed production in India. Ag producers need just the right balance of rain, sunshine and nutrients to produce the desired yield, something that consistently effects production and, in turn, prices.

Now that we have a essential understanding of the underlying essentials affecting prices and consumption in agriculture, let’s go ahead and take a look at some companies that appear to be well positioned to profit from the trend.

4 Agriculture Stocks

The Anderson’s, Inc. (ANDE – Analyst Report) is an agriculture producer and transporter in the U.S. The company’s share price took a hit last year but has since bounced back nicely as the economy and its estimates have recovered. With the current-year Zacks Consensus Estimate pegged at $2.22, this Zacks #1 Rank stock offers some value with a P/E of 15X. The Zacks Consensus Estimate for agriculture stocks next year is bullish, projecting 27% earnings growth for this agriculture stock.

China Green Agriculture, Inc. (CGA – Snapshot Report) operates as a fertilizer producer out of China. Shares posted big gains this year as China’s economy has remained hot (recently reporting GDP growth of 8.9%). Next year’s agriculture stocks growth projection for the company is a bullish 57%.

Zhongpin Inc. (HOGS) has posted huge agriculture stocks gains in 2009, with its share price more than doubling after bottoming out just above $7 in early March. The Chinese-based agriculture producer and Zacks #1 Rank stock offers big value in a very bullish environment, trading at just 10X projected current-year earnings, with a solid 18% next-year growth projection to boot.

Deere Co. (DE – Analyst Report) builds and manufactures farming machines and equipment. Farmers will be seeking to upgrade their equipment if they’re raking in big bucks, and that will provide shares of DE with a very nice boost. As it stands, the company’s share price is down from its peak in early 2008, but has begun to rebound on a nice earnings beat last quarter and rising agriculture stocks estimates.

Agriculture Stocks Conclusion

When you take a composite view of the agricultural stocks landscape, it’s easy to see that there are a number of macro-level trends that could produce long-term growth prospects. It’s a great way to round out your portfolio and give you a chance to outperform the averages over the long haul.

Agriculture Not Be A State Subject

CII today organized a Seminar on Reforms in the APMC (Agricultural Produce Market Committee) Act , and its impact in the Southern States. This is an initiative of the Agri Business Sub-Committee, CII-Southern Region. Speaking at the occasion, Mr. Shankarlal Guru, Chairman-International Society for Agricultural Marketing said Agricultural sector is in urgent need of reforms by the respective State governments to help drive the economy to a higher growth rate that is expected by the policy makers, but a comprehensive agenda for reforms in this crucial sector is yet to emerge. Hence, the need for Agriculture to be made a central subject and not a state subject, thus alienating it from politics, said Mr. Guru. Contract farming should be encouraged as it will help bring technology and modern practices into the agriculture sector – opined Mr. Guru.

The APMC Act in each state of India requires all agricultural products to be sold only in government – regulated markets. These markets impose substantial taxes on buyers, in addition to commissions and fees taken by middlemen, but typically provide little service in areas such as price discovery, grading or inspection. A key impact of this regulation is the inability of private sector processors and retailers to integrate their enterprises directly with farmers or other sellers, eliminating middlemen in the process. Farmers also are unable to legally enter into contracts with buyers. This leaves no incentives for farmers to upgrade, and inhibits private and foreign investments in the food process sector.

Also addressing the audience was Mr. Sivakumar, Chairman Agri Business Sub-Committee, CII-Southern Region and Chief Executive – Agri, ITC Ltd. Said that Agri business in India is at a transition point. Having sailed through the shortage economy to an economy with surplus in grains, it is important that Governments at the Centre and State recognize the need for inclusive growth to take agriculture forward in India. Setting the context for the day’s discussion, Mr. Sivakumar emphasized that in spite of employing about 57% of the population of the country, agriculture on contributes 27% to the GDP of India. This distortion makes agriculture not a lucrative employment generator and hence, keeping with the global view, India needs to carve out opportunities in agri-exports sector. Contract farming and direct marketing to retail chains and processing units are the need of the hour he said.

Regulations to keep pace with these needs are required, which need alternative marketing mechanisms. Hence, reforms in the APMC Act are recommended in various fields, he added.

Making a presentation on “Aligning State Policies with emerging new marketing models”, Prof. S Raghunath from the Indian Institute of Management-Bangalore, emphasized the need for an effective and efficient distribution system for agri-produce and provision for supply-demand transparency. Since the main objective of the APMC Act was to prevent exploitation of farmers by various intermediaries, reforms were required in the Act, with changing face of agriculture and the agricultural supply chain, opined Prof Raghunath. India is the largest producer of vegetable in the world, with a total share of 15% of global produce. 8% of world’s fruits are produced in India, ranking it second in the world market. In spite of this, there is a high cumulative wastage of 40% in India, informed Prof. Raghunath. Inadequate infrastructure and lack of organized supply chain were the main cause for such a disparity, he said. Thus, reforms in this sector need to catch up with the pace of development in the economy and dis-intermediation and participation of organized players in the sector will remove the lacunae, opined Prof. Raghunath.

Centre asks states to amend APMC Act

In a move to allow farmers to directly sell their produce to industry, contract farming and setting up of competitive markets in private and cooperative sector, the Centre has asked the state government to amend the Agricultural Produce Marketing Act.

Under the present Act, the processing industry cannot buy directly from farmers. The farmer is also restricted from entering into direct contract with any manufacturer because the produce is required to be canalised through regulated markets. These restrictions are acting as a disincentive to farmers, trade and industries.

The government has recently approved a central sector scheme titled Development/strengthening of agricultural marketing infrastructure, grading and standardisation.

Under the scheme, credit linked investment subsidy shall be provided on the capital cost of general or commodity specific infrastructure for marketing of agricultural commodities and for strengthening and modernisation of existing agricultural markets, wholesale, rural periodic or in tribal areas.

The scheme is linked to reforms in state law dealing with agricultural markets (APMC Act). Assistance under the new scheme will be provided in those states that amend the APMC Act.

The Centre has asked the state governments to inform as to whether necessary amendments to the APMC Act have been carried out, in order to notify the reforming states for applicability of the scheme.

Along with the Centre, the industry is also interested in the amendment to the APMC Act as it restricts the growth of trade in agricultural commodities.

The policy regime pertaining to internal trade is particularly restrictive. The agricultural sector continues to be hamstrung by a plethora of controls, which were introduced during the era of shortages, said the PHDCCI.

Meanwhile, a decentralised system of procuring wheat and rice would make the Public Distribution System more cost effective, the government has said.

find Quality Agriculture Machineries And Tools Suppliers

Agriculture machineries and tools suppliers specialize in the manufactures of agricultural implements and specialized equipment for a variety of farming needs. The manufacturers like Toro, Coronet, New Holland, Unverferth, Woods Equipment Co., Worksaver Inc., Yetter Farm Equipment Co., Ag-Chem, AGCO, Automatic Ag Products, Beard Industries, Orthman, Seedburo, Bigham Brothers, Blu-Jet, Bomford Turner, Brillion Iron, Northwest Tillers, Stover Equipment Co. Inc., Sukup Manufacturing Co. Brownie Manufacturing Co. and Butler Mfg. Co. have an established presence in this niche market and are standing up to competition from the majors. The Agricultural Suppliers have some of the latest and most modern models of equipment in their stocks. These models have been well received in the market and are worth the money. Since agriculture farming equipment is considered a market for consumer durables, the market also looks at the price. The American and European markets are quality conscious and are not very price sensitive. The market capturing depends on the quality of the product. There are other Agriculture machineries and tools suppliers like Case, Murray and Snapper. These manufacturers are very popular in the North America segment and in Europe. Most of the suppliers are good with the quality and production range they have. Also they have the capacity to make it big and stand up to the giants like Honda, Ford, John Deere. The farming equipment makes the tasks associated with farming easier and the operations more productive. Such equipment mostly includes Tractors, Combines, Hay Equipment and the like. Agriculture machineries and tools suppliers offer many listings for equipment used in agricultural farming, cattle ranching, dairy and poultry to name a few. From planting all the way through to harvesting these farm equipment dealers have the proper equipment that farmers need. Whether the buyers are searching for new or used tractors by John Deere, Case IH, New Holland, Agco, Massey Ferguson, Kubota, McCormick or others, along with combine, forage harvester, planter, tillage equipment, or other agricultural equipment, you can find the listing at Fuzing. The fuzing agriculture chemical suppliers directory is a leading B2B portal for global buyers searching manufacturers, exporters and suppliers. There is an agriculture chemical page bringing you to our handpicked agricultural chemical manufacturers, exporters and suppliers from various regions. If you are an agricultural chemical supplier, exporter, manufacturer, factory, vendor or trading company/agent, and want to list in this supplier directory, please click Fuzing.com. The author is familiar about the topics like international trade, business to business marketplace & online trade scenario. He generally writes for site Fuzing.com on Industrial Hardware And Tools Suppliers [http://way2trading.com/companies-category/agriculture.html] for more information about-way2trading.com which is a leading online B2B company and provides a feasible environment for exchanging agriculture related information like agriculture equipments and agricultural tools manufacturers. Working since 2012, it has its offices pan in India and enjoys high credibility throughout the business spectrum. way2trading is considered as one of the largest B2B companies in India

Paleo Diet Problems With A Pre-agricultural Diet

The Paleo Diet or Paleolithic Diet is experiencing a resurgence in popularity. This controversial diet regimen advocates eating only foods that would have been available before the advent of agriculture, some 10,000 years ago or so.

While many agree that there is some valid science behind the claims made by the advocates of the Paleo Diet, a variety of current issues such as economics, culturally traditional diets, available food sources, population growth, and environmental impact seem to be ignored.

Proponents of the Paleo Diet claim that a variety of civilization diseases would be eliminated through the reversion to a pre-agricultural diet. These include, among others, obesity, high blood pressure, type 2 diabetes, heart disease, and cancer.

Voices in opposition to the claims made for the diet often cite short life spans as evidence refuting claims for the positive aspects of the diet. Both groups base their arguments on carefully selected and opposing work by archaeologists.

Current medical and social science indicates that a wide variety of factors have impact on these diseases. Obesity and Type 2 diabetes, as well as many of the other health issues, result from the limited choices available to families with low incomes in industrialized countries, notably the United States.

With fast food the most affordable and most accessible source of calories, eating habits centered around unhealthy foods are understandable. The socio-economic impact of poverty is not apparent in the discussion by Paleo Diet proponents regarding civilization diseases.

The ability of the planet to sustain a ready and affordable supply of healthy meat and fish to the worlds population is extremely unlikely. The conversion of plant matter to beef is generally agreed to be 100 lbs. (about 45.4 kg) of plant mass for every 10 lbs. (about 4.5 kg) of beef.

When the population of the planet was measured in the hundreds of thousands or even a few millions, widespread consumption of meat might have been reasonable. As we wend our way toward the nine billion mark, a diet consisting of 50% animal protein is not going to work.

For those who choose a diet including a large percentage of meat, it might be important to consider the methods of raising the animals. For those that can afford the cost, range-fed animals can be a great source of protein.

The reliance on factory-farm animals and poultry which often are injected or fed various antibiotics, hormones, and unnatural foods makes including these as a large part of ones diet something of a risk. Sadly, even fish and shellfish are occasionally a risk as they can absorb mercury and other toxics caused by industrial pollution.

The claims of the Paleo Diet advocates that a post agricultural diet is unhealthy choose to ignore such traditional cuisines as might be found in Japan, India, Greece, and Italy. Their claims ignore the excellent health and longevity of cultures that have adapted a diet of legumes and grains as staples. Statistics that seem to support the Paleo Diet may be derived from Western culture where the preponderance of processed food and fast food precludes a healthy diet.

A broad view of diet is important for healthy and enjoyable eating. Concerns in addition to eating might include affordability, environmental impact, and quality.

To many, the Paleo Diet may seem an elitist diet accessible only to those wealthy enough to buy quantities of range-fed, organic meat.
To others, current science appears to demonstrate that a diet heavily dependent on grains and legumes is both healthy and affordable.
Whatever your choice, it is important to enjoy good food and eat a balanced diet of wholesome food.

What Importance Does Agricultural Implements Have In Indian Farming

Indian agriculture is the backbone of the country. For efficient farming, Agricultural Implements are very important. Agriculture is not only limited to quality farming but has to satisfy the large market demands because of the immense increase in the population of India. Indian agriculture industry is able to cater to the needs of Indian population owing to the advanced Agricultural Implements. Agricultural Implements have high importance in Indian farming as technology has become an inseparable part of this sector.

Agricultural Implements & Their Uses

The biggest problem in agriculture was the threat of pests. And it was really hard to control pests over vast farmed areas. But with the help of Agricultural Sprayers, pest control has become a short and easy task. And for every specific requirement there is a specific type of Agricultural Sprayer available in the market.

Harvesting was also a time taking process before the introduction of Harvesters. Different types of crops can be very efficiently cut with the use of different hi-tech Harvesters within a short time period.

Weeds always grow around and in the farm land. That is why Weeders of various types are required to keep the growth of weeds at bay. Brush Weed Cutters are widely used Agricultural Implements for the cutting of weeds.

Numerous crops are marketed in shredded form. And shredding of specific crops is best done by implements like Electric Chipper Shredder, Coconut Leaves Shredder, etc.

Tea Harvesting Machine is a special type of Agricultural Implement that is used only for farming tea. With the help of the Tea Harvesting Machine, tea farming has become quite an economic process.

In todays world, agriculture industry cannot do without the help of Advanced Agricultural Implements, if it has to match up with the international standards. Are you looking for a reliable manufacturer of Agricultural Implements? Given below is a one stop solution to your all types of needs of Agriculture Implements.

Based in Tamil Nadu, India, Maax Engineering is a leading Manufacturer, Exporter, Importer and Supplier of Agriculture Instruments .