Teucrium Announces the “Understanding the Global Demand for Corn, Wheat and Soybeans” Video
Teucrium Trading LLC, a sponsor of a suite of six single commodity ETPs
that include energy and agriculture and one core agriculture commodity
ETP, today announced the launch of what is expected to be the first in a
series of three-minute educational videos designed to create awareness
about how population growth is affecting the global supply and demand
for grains and other essential commodities.
Entitled, “Understanding
the Global Demand for Corn, Wheat and Soybeans,” the
video, which can be viewed at www.teucrium.com,
clearly demonstrates the interrelationship between population growth,
supply and demand in a global context.
“Teucrium’s goal for this video
was to create an increased awareness about how population growth can
drive demand for these core grains and the factors that impact the
planet’s ability to produce the supply necessary to meet this demand,”
Brandon Riker, Director – Strategic Marketing and Analysis at Teucrium,
said, in commenting on the video.
“Agricultural supplies are greatly affected by weather and the ability
to find arable land for production,” Riker said. “The short 3 minute
video explores some of the demand and supply factors for these
agricultural crops and how the world’s production strives to keep pace.”
According to Riker, a growing global middle class which consumes, on
average, more calories and energy per capita than populations had in the
past, as well as a world-wide population that is increasing at over two
people per second continues to put demand pressure on the core
agricultural commodities – corn, soybeans, wheat and sugar.
Supply is a function of yield per acre and arable land under
cultivation, he said, and although historical yield per acre for many
crops including corn has increased, the change in yield is not
consistent year over year or ever increasing, and does decline from time
to time.
The U.S. Census Bureau reported recently that about 2.44 people are
added to the planet each second¹ and each person uses, on average, about
5 bushels of corn, 2 bushels of soybeans and 3 bushels of wheat per
year. This means that approximately 13.5 million additional acres of
land would need to be cultivated (about twice the size of Massachusetts)
producing the combined 722 million bushels of corn, soybeans and wheat
needed just to supply the global population growth estimated for a full
year².
“Given these and other statistics associated with the anticipated growth
in global population,” Riker said, “it should come as no surprise that
the United Nations is taking a close look at what increasing demand not
only means in the context of limited natural resources, but the farmland
available for growing the corn, wheat, soybeans and sugar necessary to
sustain that growth.”
A recent United Nations Food and Agriculture Organization report,
stated, “Much of the suitable land not yet in use is concentrated in a
few countries in Latin America and sub-Saharan Africa, but many
countries with growing rural populations in these areas are extremely
land-scarce, and much of the potential land is suitable for growing only
a few crops that are not necessarily those for which there is the
highest demand. Also, much of the land not yet in use suffers from
constraints (chemical, physical, endemic diseases, lack of
infrastructure, etc.) that cannot be easily overcome or that it is not
economically viable to do so.”³
Additional educational information about on the merits of investing in
core agriculture commodities, as well as Teucrium’s complete suite of
core commodity funds, can be found at www.teucrium.com.
About Teucrium Trading LLC
Teucrium Trading, LLC is the sponsor of a suite of six single commodity
ETPs that include energy and agriculture and one core agriculture
commodity ETP.
The Teucrium Family of Funds includes: the Teucrium Agricultural Fund
which includes Corn, Soybeans, Wheat and Sugarcane (NYSE: TAGS); the
Teucrium Corn Fund (NYSE: CORN); the Teucrium Wheat Fund (NYSE: WEAT);
the Teucrium Sugar Fund (NYSE: CANE); the Teucrium Soybean Fund (NYSE:
SOYB); the Teucrium Natural Gas Fund (NYSE: NAGS); the Teucrium WTI
Crude Oil Fund (NYSE: CRUD). For more information, please visit: www.teucrium.com.
¹U.S. Census Bureau, World POPClock Projection http://www.census.gov/population/popclockworld.html
²Based on the United States Department of Agriculture’s (USDA) January
11, 2013 World Agricultural Supply and Demand Estimate (WASDE). http://www.fas.usda.gov/psdonline/psdQuery.aspx
³http://www.fao.org/fileadmin/templates/wsfs/docs/Issues_papers/HLEF2050_Global_Agriculture.pdf
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This material must be preceded or accompanied by a prospectus. Please
read the prospectus carefully before investing or sending money. To
obtain a current prospectus visit the links below:
TAGS: http://www.teucriumtagsfund.com/pdfs/tags-prospectus.pdf
SOYB:
http://www.teucriumsoybfund.com/pdfs/soyb-prospectus.pdf
CANE:
http://www.teucriumcanefund.com/pdfs/cane-prospectus.pdf
WEAT:
http://www.teucriumweatfund.com/pdfs/weat-prospectus.pdf
CORN:
http://www.teucriumcornfund.com/pdfs/corn-prospectus.pdf
NAGS:
http://www.teucriumnagsfund.com/pdfs/nags-prospectus.pdf
CRUD:
http://www.teucriumcrudfund.com/pdfs/crud-prospectus.pdf