Change brings distortions. Distortions create problems and problems create opportunity.
Messages about multi currency investments over the last two days have looked at a problem that had been forgotten for many years…having enough food.
US debt creates a falling US dollar. This is why multi currency investments are important. A falling dollar creates inflation. Yesterday’s message showed us how soon twenty dollar bill will not be enough to buy a gallon of milk, a dozen eggs and a small loaf of bread.
This is the tip of the iceberg. Beyond the greenback’s demise there is a more serious underlying supply and demand fundamental…there simply is not enough food right now.
Investors need more than just multi currency investments.
This was not the global position in past decades. In the 1980s, the U.S. Department of Agriculture was saddled with mountains of surplus cheese, corn and other foods that it socked away in warehouses and even caves.
As recently as 2003, the USDA had to buy so much powdered milk to support dairy prices that beleaguered officials shipped some to U.S. ranchers for cattle feed.
The European Union farm program had lakes of excess wine and mountains of cheese and butter stored.
Yet a recent USA Today article says: “While the previous surpluses were costly and sharply criticized, much of the food found its way to the poor, here and abroad. Today, says USDA Undersecretary Mark Keenum, “Our cupboard is bare.
“U.S. government food surpluses have evaporated because, with record high prices, farmers are selling their crops on the open market, not handing them over to the government through traditional price-support programs that make up for deficiencies in market price.
“Worldwide, food prices have risen 45% in the past nine months, posing a crisis for millions, says the United Nations’ Food and Agriculture Organization.
“Because of the current economics of food, and changes in federal farm subsidy programs designed to make farmers rely more on the markets, large U.S. reserves may be gone for a long time.
“The upshot: USDA has almost no extra food to supplement the billions in cash payments it spends to combat hunger at home and in developing nations.”
This is a huge problem and hence grand opportunity. The solution is not simply making more money with multi currency investments…to buy enough food either. You cannot be rich, happy, successful and full when those around you are hungry. Not only is this inhumane…hunger and thirst are motivations that will destroy law and order faster than any other!
Investors have to put their multi currency investments in businesses that will bring fundamental changes in the way the world produces food.
I noticed this recently when at the Parsons Feed Store buying laying mash for our hens. The phone rang and the clerk seemed exasperated. “No we do not have any,” she almost shouted in the phone. “Seed potatoes.” she said. “Everyone is calling for them and we have been out for weeks”. I asked, “Was the supply short this year?” “No,” she said. “We had two shipments. Everyone is just buying more.”
There is an opportunity somewhere here. I haven’t figured out what it is, but know it is there.
Take, as another example, shares of Vestas Wind Systems. We follow these shares in our multi currency course and they have been a huge winner. One reason behind the food shortage is that many governments incorrectly promoted food (such as corn) as a source of alternate energy. This helped skew the food supply down faster than demographics would have done.
Those who change, adapt and invest in solutions to problems are those who will profit. This is why we are examining seven multi currency shares including Vestas in our multi currency course.
Until next message, may food always be abundant for you.
Learn more about multi currency investing at our multi currency portfolio course.
This is also why we are adding sessions on nutrition at our upcoming intuition course.
Here are delegates at a previous course enjoying a nutrition lesson in our teaching kitchen at the farm.
I love gardening. This may become a hobby that goes beyond handy. Folks round here still know how to feed themselves without the big city. So do Merri and me!
Here is a previous year’s sunflower crop. This was always for the beauty of the flowers. Now I am thinking about nutritional value instead.
This course will be conducted here in Ashe county where we live on a farm in part to be sure we have enough food by growing our own. Hopefully part of our squash crop will be ready to serve. We aways have great pumpkins and squash. Here is a previous crop.
Learn more about the food benefits of Ecuador travel and living.
This is one reason we love Ecuador as our second home. There is such an abundance of good food. The rich volcanic soil, full sun and lage rural economy means that almost everyone knows how to feed themselves. Here is a shot at Cotacachi market
There is an article about this at Cotacachi Market – Quality living at cheap cost
We bring fresh seafood to our hotel as well. Here I am with Merri and our chef Santiago at El Meson de las Flores after visiting Ibarra seafood market.