Saturday, March 13, 2010

"Bharat & India" Theme: Indian Food Processing Sector

As mentioned in my last post that me and my team are currently working on the sectors that could really benefit because of the recent thrust on the Indian rural sector that intends to bridge the gap between Bharat & India.

We strongly believe that We strongly believe that the current impetus given to the agriculture sector in general and food processing in particular provides a good opportunity to invest in the Indian Food processing sector.

The key advantages of this sector is that:

  • It provides value addition to the food
  • Increasing the shelf life of food and reduce wastage
  • Value addition helps in improving the quality of the agri-produce leading to compensable prices for farmers for their produce
  • Thus is provides more money in the hands of poor farmers and
The final stocks we recommend are Ruchi Soya, Lakshmi Energy & Foods Ltd and Agro Tech Foods Ltd.

However, Given the fact that because of the rise in global equity markets the prices of the mentioned stocks have already gone up by an average of 150% in last 6 months, one can make an
initial small investment and then add on dips. The SIP form of investment with equal weight
on the three stocks is also a feasible way to invest.

You can use the LINK to download the full report which contains the detailed analysis.

Happy Investing..!!

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