Our agriculture system is concentrated on producing a very few staple crops; there is a very serious lack of crop diversity. If we get hit by an unusually bad harvest in a particular region, or a severe weather phenomenon strikes, food supplies can get totally out of control.
Gold has breached the $1,500/oz level and reached new record nominal highs at $1,505.65/oz. Since yesterday it has gradually risen in all currencies and is approaching record nominal highs in all major currencies.
A rebounding fertilizer industry and an eye-popping $39 billion bid for Potash Corp. by the world's largest mining company, BHP Billiton, suggest that Canada's tiny handful of potash producers and aspiring miners are ripe plums for the picking.
Weiss Research Natural Resources Analyst Sean Brodrick expects the bull market for precious metals to run for "quite some time," with gold hitting $1,450 /oz. by year-end and silver at $25 not long after.
Global fertilizer use must be ramped-up to avert a permanent food crisis and world instability. This is the stark message that was delivered at the BMO Capital Markets 2009 Agriculture, Protein and Fertilizer Conference in New York last week.