Seed, Fertilizer Producers to Advance as Food Prices Rally, Nomura Says
Investors should buy producers of seed and fertilizer, farm machinery and companies involved in the shipping and storage of soft commodities as food prices go on a multi-year rally, according to Nomura Holdings Inc.
Demand from emerging economies and constraints in agricultural production are driving global food prices higher, Nomura analysts led by Rob Subbaraman wrote in a report. China Agri-Industries Holdings Ltd., China Yurun Food Group Ltd., United Phosphorus Ltd. and Wilmar International Ltd. are among companies that will benefit the most from rising food prices, the report said.
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