Get Into the Food Trade at Ground Level

Over the last several weeks, I've shared my concerns over rising food prices and recommended McCormick (MKC) shares as a way to profit from the return to the eat-at-home mentality.  It's no secret that the drought of 2012 has accelerated the food pain point that you and I feel. What used to be a quick trip to the grocery store has morphed into a hit to the wallet each time you go. It's tempting to think of investing in some of the major food-store stocks -- Kroger (KR), Safeway (SWY) and Harris Teeter Supermarkets (HTSI) -- but those margins are razor thin. 

Rather than invest the food pain-point that way, consider a trade that takes advantage of the drought's effect on U.S. farmland. According to the USDA, about 80% of U.S. agricultural land experienced drought in 2012, making the 2012 drought more extensive than any since the 1950s. To me that says farmers will be pulling out the stops this spring planting season to whip their land into shape, and that means fertilizers....414 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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