Barings enters the agriculture space

Manager of Barings' Global Agriculture launch dismisses bubble fears highlighting strong supply/demand picture

Barings is the latest group to launch a fund that plays on growing demand for agricultural commodities. But manager Jonathan Blake said agricultural commodities are not in a bubble as there are many years ahead of strong demand and relatively inelastic supply. "With the world's population growing at around 80 million per year and meat consumption rising sharply as a consequence of rising incomes, particularly in India and China, pressure on food prices is immense," he added. "In addition to these factors, interest in biofuels is further increasing demand for soft commodities. Limited ...