Some Must-See Charts On Grains, Meats, And Population Growth (Seriously)

One item of conventional wisdom goes like this: China is getting richer, its population will eat more meat, and that will result in enormous demand for grains, and thus the future of grain prices looks rosy.

There may be something to this, but nothing is quite that straightforward.

Pareto Securities has put together some fascinating charts on grain, meat, population, and China that are definitely worth your consideration.

First, this is something we’ve been curious about: the meat-to-grain ratio for various meats.

Grain Meat

Photo: Pareto Securities

What’s interesting is that Chinese meat consumption is already nearing European levels on a per-capita basis.

Grain Meat

Photo: Pareto Securities

And beyond that, all around the world, red meat is losing out to poultry, which uses less grain.

chart

Photo: Pareta Securities

Meanwhile, Chinese population growth has begun to slow

chart

Photo: Pareto Securities

And acreage yields are going up, thanks to technology.

chart

Photo: Pareto Securities

Bottom line: It’s not all up and to the right as grain bulls might have suspected. In fact, looking over the long-term, grain growth in India and China has never grown that much at all — certainly nothing like oil.

grain

Photo: Pareto Securities

NOW WATCH: Money & Markets videos

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.


Tagged In

china food moneygame-us