Sunday, April 10, 2011

GM crops dominating market




The recent data from the USDA on genetically modified crops shows a continued upward pace. to their use. The battle, if there ever was one, on their usage is over with over 2/3 of corn, 70% plus in cotton and over 90% in soybeans. This has been a boom for both farmers and consumers. Think what prices would be like in these crops if there were not genetically engineered seeds to help the growth process.

However, there is a problem. Where are we going to get further crop gains without more acreage planted? What happens if we do not have further innovation? What happens if there is a failure with the current GM seeds? These issues are real and can only lead to higher prices through a high risk premium.


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