Monday, 31 2007

Reason to be cheerful?

It may seem odd that at the conclusion of a year which has seen avian influenza, foot and mouth, bluetongue and poor profitability affect the livestock sector, that there should be reason to be cheerful for agriculture.

Of course it couldn't get much worse, but that's not the point.

In the space of a few summer months many crop (soft) commodities doubled in price. This was no speculative fever but the first step in a re-rating of agricultural produce that reflects rising worldwide demand set against a constrained supply.

Agricultural cycles run in decades; expect this year's changes as just the start. Agriculture is back.

Happy New Year

Replies:

2 Jan 2008

Sarah Smith: I hope you are right otherwise there wont be much farming left in the UK.