Foodflation -- if it isn't a word, well, it should be. You've noticed the resurgent price of oil, the cold snap in the U.S. that is decimating the orange crop, and the price of sugar at a 29-year peak. Arable land per person is consistently shrinking, and finding water is a serious problem worldwide. That's all going to feed into the higher cost of breakfast.
As an investor, how can you profit from these trends? Think fertilizers, farm equipment and service providers, chemical producers and seed companies, says Ravi Sood, president of Lawrence Asset Management. Invest in food production in low-cost areas that are water-rich - Brazil, tropical Africa, Malaysia and Indonesia.
Got a question on how best to invest in agriculture? Mr. Sood will be online on Monday the 11th at noon (ET) to take your questions. Join us live at noon on Monday by clicking on the Cover It Live box below.
Mr. Sood is co-founder and president of Lawrence Asset Management Inc., which has interests and investments in Canada and around the world. He has founded and seed-funded several companies in the resources sector, including Buchanan Renewable Energies Inc., Feronia Inc. and Russo-Forest Corporation. He is currently a director of a number of public and private companies, including Wildhorse Farms Corp., Trinorth Capital Inc. and Phoenix Coal Inc., and a non-executive chairman of Feronia Inc. and Consilium Training Services.
Prior to joining Lawrence in 1998, Mr. Sood worked for a major international investment bank. He holds a Bachelor of Mathematics with distinction from the University of Waterloo, Ontario