The world’s agricultural system may be in need of a makeover, since many government and development agencies lost sight of the need to help poor countries maintain agriculture.
Where is all the money for the higher cost of food these days going? Sure, much of it probably goes to the cost of transporting and producing it. But why aren’t the costs of research and development factored in here as well?
In the meantime, many agriculture ETFs and exchange traded notes (ETNs) could benefit from the global troubles:
- PowerShares DB Agriculture (DBA), up 9.4% year-to-date
- iPath Dow Jones AIG-Agriculture ETN (JJA), up 4% year-to-date
- Elements/Rogers International Commodity Index ETN (RJA), up 1.8% year-to-date
- UBS E-TRACS CMCI Agriculture ETN (UAG), launched on April 4
- Market Vectors Global Agribusiness (MOO), up 8.8% year-to-date