A spokesman for the USA Rice Federation says the rice shortage should ease up with the June harvest, and may be resolved by the end of 2009.
But if you were mulling a low-carb diet, now might be the time.
Agriculture ETFs are becoming a popular way to hedge those rising prices. Some of them include:
- MLCX Grains Index ETN (GRU): The fund has 46.7% wheat, 35.4% corn, 10.1% soy meal and 7.9% soybeans.
- Market Vectors Global Agribusiness (MOO): Tracks an index of global companies primarily engaged in agriculture.
- PowerShares DB Agriculture (DBA): Tracks corn, wheat, soybean and sugar futures.
- iPath Dow Jones Agriculture (JJA): Composed of seven futures contracts, including wheat, cotton, soybean oil, coffee and sugar.
Deutsche Bank also issued a line of long/short agriculture exchange traded notes (ETNs) last week:
- DB Agriculture Double Short (AGA)
- DB Agriculture Double Long (DAG)
- DB Agriculture Short (ADZ)
- DB Agriculture Long (AGF)