mike777, on 2013-March-13, 12:55, said:
Because of this I expect agriculture will be a lucrative sector of the world economy for the next two or three decades. Expect the price of food and farm land to skyrocket. You can see this in rising prices today.
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American farmers may have suffered an historic drought last year, but the price of their land is skyrocketing.
In Iowa, the US's biggest producer of corn, the land prices jumped 24 percent in 2012 and and have gained 63 percent over the last three years, according to a study by Iowa State University.
The drought and heat wave last year may have severely damaged crops, but ironically it has made crop land ever more valuable.
The higher prices for crops helped compensate for lower yields, for one thing.
Farmers also recovered some $14.7 billion in insurance payments for crop damage, a record sum.
It left farm incomes on average just three percent lower from 2011, and so lingering near their highest level in 30 years. US government forecasters expect overall farming income to gain 14 percent this year.
http://au.finance.ya...-081139438.html
Yes, farming worldwide has depended on the rains. Fortunately for many, the rains have increased in recent decades (with a few hiccups along the way). Farming has always been overlooked in the global economy, with farmers holding the lowest level. Hopefully, the money earned will go towards the people tilling the land, rather than the infrastructure (shipping costs, irrigation, etc.). Much prime farmland has been lost to urbanization worldwide, maybe this will move the pendulum back into the farmers favor.