Coffee

Investments in 2014: All That Glittered Was Not Gold [But Brown And Black]

News Analysis: Coffee was the Investment Return Leader for the year, thanks to changing weather conditions and increased customer demand for the brew. If one looks carefully, he or she will see that as to Investments in 2014: All that glittered was not gold [but brown and black].

It is interesting to note that most commodities nose-dived in the on-going World-Wide Economic Slump, as did many financial instruments of many types.

Low interest rates allowed many corporations to borrow funds for repurchase of their stocks; thus boosting their prices. Since there is really little, in terms of economic prosperity, of demand for manufacturer’s goods, one can see an artificial economic bubble growing in size and based on mere holograms [for current Stock Markets]. Stock Markets love ‘Freiers’.

In 2015, as we have stated previously, Commercial Aircraft Manufacturers will have had their “Golden Fleece” taken from them i.e., the high prices of Aviation Fuel. Along with this, the Sukhoi Superjet 100 Aircraft, with Italy’s Alenia Aermacchi,  [which is currently Aviation Agencies’ Certified and flying] will cut into “Single Aisle” Jet Sales of the two Major Airframes. At approximately 35-40 percent of cost to Airlines, why pay more?

 Along with this, the Chinese Single Aisle, C919, was just Chinese Aviation Agency Certified, and will cut into the grossly profitable sales manufactured by the other Major Airframes.

Downstream, the Chinese/Russian Joint COMAC 929, 290 Passenger Jet, and COMAC 939, 390 Passengers Jet are being developed. The availability of funding for these projects by Chinese and Russian interests does NOT bode well for the existing two Major Airframes. Both, will “Pooh-Pooh” any suggestion of their losing market share [and huge profits]; they will probably seek government [surreptitious] interventions  to reduce the threats. Since America’s greatest monetary export manufacturer will be affected, International Businessmen can sit back and watch the machinations occur as Washington Politicians get desperate.

The long term outlook for both Major Airframes is one of high profit unsustainablility. The estimated $20,000,000.00 the aforementioned Airframe allegedly receives in Local, State, and Federal Grants PER AIRCRAFT, will help attenuate the pain perhaps.

Long term, a strong “Short Position” is warranted by International Businessmen and may be considered.

In 2015. we suggest focusing on Food for Seven Billion+ World Inhabitants; EVERYONE MUST EAT.

Conjoined with this idea, is that Climate Change should be carefully evaluated for geographic realities in regards to droughts,  rainfalls, severe weather, etc. thus affecting global food production.

There are other key areas in which to focus one’s evaluations and monies on for 2015 and beyond. To those who consult with us, we will be more than happy to share our analyses. To those who have obviously listened to their Financial Bankers, Brokers, and Gurus, we can only say: The Losing Investments outnumbered the Winners by a substantial margin. These ‘Masters of the Universe’ fates for 2014, in following the herd, have already been sealed, unfortunately for them.

Reality. 

Reference: http://rt.com/business/219187-coffee-price-oil-gold/

Honduran Bananas Earn Bigger “Bucks”

News Analysis: Honduran Bananas Earn Bigger “Bucks” through increased production and sales. Production increases occurred due to increased Fertilization and Pest Control. Increased Banana sales to the United States was due in part, some say, to the “Potassium Sticks” Concept of Bananas, health-wise. In addition to Bananas, Coffee is also a big export item for Honduras. In Eastern Honduras, Fine Cigars (fabricated in the City of Danli – The City of the Hills) are exported world-wide.

Honduras has much to offer Investors who have agricultural interest for their portfolios. Good Soil, Labor Force, Topography, and Weather all bode well for such investments.

Reference: http://www.hondurasnews.com/honduras-will-sell-400-million-bananas/

Coffee Consumption Aids Blood Flow in the Body

News Analysis:  Coffee Consumption Aids Blood Flow In The Body by Dilating small Arteries and Veins therein. Light consumption of only  Two Cups Per Day benefited healthy people by increasing blood flow to their extremities. One can readily assume that Blood Flow to the Brains of people, would give them ‘Clearer Thought’ by helping Oxygenate them.

Thinking “Outside the Box”: Coffee’s use might temporarily offset some of the deleterious effects of Dementia Praecox [DP] to which some Younger Adults suffer. Careers of Youthful Business Executives and other Professionals have been curtailed by ‘DP”; Cognitive Disintegration, from which they suffer, is a Demoralizing Reality for some the finest of Younger Adults.

Progressive Dementia in Older Adults: They may have temporary Lucidity Improvements by drinking Coffee. It may be found, through ‘Double Blind” Testing, that the same Chemical Mechanism is at work [as in healthy individuals].

The Dementia Syndrome needs to be improved upon  [even by the possible ‘Short Time’ Benefit of Drinking Two Cups of  Coffee a Day].
In Medical Science, a little Acorn of an Idea can result in An Oak Tree of Cure.

Reference: http://tinyurl.com/lv4zos6

World Coffee Glut Sinks Farmers but Buoys Retailers

News Analysis:  World Coffee Glut Sinks Farmers but Buoys Retailers due to the vast pricing disparity currently in effect. A Coffee Grower receives approximately $1.00+ per pound for each 132 pound [60 kilo] bag they produce. Grocery stores globally charge approximately equivalent of  $7.00 to $12.00 per pound to their customers. Coffee Houses which use less than $.05 of coffee per cup, charge approximately $2.50 for it. Both retailing entities, use the argument about other costs such as: Facilities, Equipment, Personnel, Rents, etc.  associated with the End Product. This argument, while perhaps valid, ALSO  APPLIES TO COFFEE FARMERS. Yet, it is the ‘Downstream’ Retailers who prosper so well with this Current Pricing Structure, to the point of their having their stores placed globally. 

The very Specious Claims by Coffee Houses in Particular as to their “Generosity To Farmers” is remarkable. They, who have the most outrageous level of profits vis-à-vis the coffee growers, need to ‘Forget the Fertilizers’ and instead pay growers Sustainable Prices. Their Pseudo-Benevolence is of much too little reward for the Coffee Growers’ livelihoods. Retailers of ‘Either Feather’ need to get real. Their “Free Lunch” will not last forever.

Reference: http://tinyurl.com/kzhekay

Rwanda, in East Africa, Features Ease of Doing Business

News Analysis: Rwanda, In East Africa, features Ease of Doing Business there. President Paul Kagame, showing proper foresight as this Nation’s Leader has reduced the time to Start A Business to One Day [which is very commendable]. He is being presently Internationally Recognized for his achievements.

Rwanda presently exports: Tin Ore, Coffee, Tea, Bananas, and Livestock. It has been reported that Mr. Kagame wants to make his country an Information Technology Center for East Africa.

Investors may want to investigate opportunities for Funding Ventures in Rwanda. The country’s receptive population would help, those with financial foresight,  towards achieving economic  success in Rwanda.

Lead the followers; Do not follow the leaders.

Reference: http://tinyurl.com/l8fkgz2