Monday, September 1, 2008

PROFIT FROM THE AGRI BOOM -3 (AGRO CHEMICALS)

Agro Chemical stocks are likely to be the biggest beneficiaries of the upsurge in agricultural commodity prices. Since these products are directly used by farmers in their operations and there is no Government interference in the sector, companies in this line of business can command good pricing power.It makes sense to focus on companies involved in the crop protection business as well as in providing genetically modified seeds. Bayer Cropscience is one such company active in both these segments. It has a wide range of products in these areas as under:

Crop Protection

Insecticides
Fungicides
Herbicides
Seed Treatment
Plant Growth regulators

Environmental Science
Vector Control products
Pest Control products

Bioscience
Cotton Seeds
Rice seeds
Cereals and Oil seeds

Bayer is a research driven organization and relies upon the latest technologies for its products. It provides after sales technical backup to farmers, thereby imparting much needed education into the application and distribution of pesticides and benefits of genetically modified seeds.

It has a vast land bank at Kolshet in Thane of approximately 90 acres. It has indicated its intention of selling off this land in the past. The wide range of diverse products coupled with its technological superiority and the added incentive of potential extraordinary income from land sale make Bayer Cropscience a stock to look at in the agri business space.


4 comments:

Anonymous said...

Hi Mahendra,

i am not exactly sure about the fertilisers space.
Recently i worked with a company into bio fertilisers, organic fertilisers space.

the benefits are like Wow!! and the prices they offer are also great.

the company is beating the chemical fertilisers and pesticides hands down amongst the farming community.

venkat

Mahendra Naik said...

Hi Venkat,

Can you name this company if listed? Sounds like an interesting stock idea.

Mahendra

Anonymous said...

I am not sure but it seems like the company is Camson Biotech.

Thanks,

Ajay

VALUE STOCKS UNDER TWO DOLLARS said...

I like bunge in the ag business. It trades under the symbol {BG}