Commodity Prices to Shoot Up: Jim Rogers
Globally renowned commodities expert and investor Jim Rogers says world's focus in the coming years is going to be on agricultural commodities and food prices.
According to him, the prices of agricultural commodities and food are going to continuously rise in the coming years. Commodity prices are going to shoot up. The challenge is that people are eating more foods these days. But the supply of food products is coming down, he said.
Rogers, who is now settled in Singapore and who has been investing heavily into agricultural commodities in China, says the biggest problem that the food sector faces is that the inventories of food are the lowest not in years but in decades.
Food supply is going to remain down since we have serious production problems. At the same time people are eating more and we are burning some of our foods as fuels, said Jim Rogers.
Jim Rogers, author of the well-known book called Hot Commodities, said that the combination of burning foods into fuels won't change unless governments quit the debacle of using corn to turn into ethanol.
"That at least would keep the prices of corn relatively in check and available to livestock and human beings at a decent price. If not, corn itself and anything it feeds will increase in price as a result," he said.
February 10, 2010
Jim Rogers has taught finance at Columbia University's business school and is a media commentator worldwide. He is the author of Adventure Capitalist, Investment Biker, Hot Commodities, A Gift to My Children, and A Bull in China. See his website.
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