A crop yield is the amount of produce that’s produced per acre of land.
Yields are rising at an unprecedented rate, and this has major implications for global food security.
As yields rise, so does the supply of crops available to consumers and investors alike.
That means there are more opportunities for you as a farmer or consumer to increase profits and decrease your environmental impact.
Soybeans, Corn & Wheat
These crops are so high yielding because they’ve been genetically modified to produce higher yields and, in some cases, can be used as a biofuel.
While these crops have proven their worth on the farm, some experts worry about their long-term viability due to climate change and the fact that most farmers rely heavily on monoculture practices.
The future of farming depends on how we treat our soils and how we manage water resources going forward.
Soybeans
Soybeans are a high-yield crop, and they have many uses.
They can be used to make cooking oils, biodiesel fuel, as well as animal feed.
Soybeans are also a renewable resource: over the past five years, soybean production has increased by 18%.
This means that people will always need them for food and other purposes.
Soybeans are an excellent investment; the price of soybeans has steadily increased from $9 per bushel in 2010 to $15 per bushel today.
Since 2011 there has been an average annual return of 10%, which makes it one of the best crops for investing in if you’re looking for steady growth with little risk involved!
Wheat
Wheat is a staple crop for humans, but it’s also used to feed livestock.
Wheat can be found in bread, pasta, cereal and crackers.
It’s also used as an ingredient in beer and wine.
Because wheat grows well in many climates, it can be produced on large areas of land without a lot of equipment or labor requirements.
The USDA estimates that about 8% of all cropland worldwide is planted with wheat each year!
When growing your own stock portfolio based on crops and livestock, you should consider investing in high-yield cash crops like wheat because they provide strong returns while being easy to manage and produce at low risk to the grower
Cottonseed
Cottonseed is a byproduct of cotton production.
Cottonseeds are pressed to extract their oil, which is used in cooking and cosmetic products.
The remaining seed cake or meal can be fed to livestock or used as fertilizer on fields.
Cottonseed oil has been gaining ground as an alternative cooking oil since it has a high smoke point (the temperature at which it begins to smoke when heated), making it ideal for frying foods.
In addition, cottonseed oil contains less saturated fat than other edible oils such as soybean or corn oils.
The demand for cottonseed meal is growing as well: over the past decade, sales have increased by more than 50%, according to market research firm IBISWorld.
Corn
Corn is another staple crop in the US and used for feeding livestock. Corn yields have grown by over 200% since 1980, according to the USDA Foreign Agricultural Service (FAS).
The agency also predicts that demand will continue to grow as corn is an important component of both animal and human diets.
If you’re interested in investing in corn or other agricultural products, talk to a financial advisor before making any investments.
Your advisor can help you determine whether your investment goals are aligned with those of agriculture and can suggest ways to include agriculture in your portfolio without over-exposing yourself or taking unnecessary risk.
Crop yields are rising at an unprecedented rate
The most important part of this story is that crop yields are rising at an unprecedented rate.
A recent study from the Food and Agricultural Organization of the United Nations (FAO) shows that crop yields have risen by 1.6% per year since 1961 — a more than double the rate at which our population has grown over the same period, which was 0.76%. The FAO also projects that global food production will need to increase by about 70 percent by 2050 to meet demands for increased population growth and consumer preferences toward more meat and dairy products.
This is great news because it means we can feed more people with less land, using fewer resources in general while conserving precious agricultural land for wildlife habitat preservation or biofuels production, if we choose these options over growing crops on fertile farmland.
The crop yields have been rising at an unprecedented rate, and this trend is expected to continue.
This means that investors looking for a safe way to diversify their portfolio should consider bringing some of these lucrative crops into their investment plans.
In addition, the increasing demand for food and fiber around the world means that higher-yielding crops will likely see even greater price appreciation than they have in years past!