Ag Still Amazing?

Grain prices continues to vex investors as the crop-growing region of our nation struggles with the worst floods in 15 years. To make matter worse, the Mississippi River could jump over the top of as many as 33 levees, threatening hundreds of thousands of acres of farmland if sandbagging efforts fail, according to a map released by the U.S. Army Corp of Engineers.

Although the price of corn fell Wednesday on speculation that flooding will soon ease current prices have sparked concerns that demand from ethanol makers and those who make livestock feed will diminish.

For further insights into the damage and what it means for the ag trade we turn to Agrium CEO Mike Wilson. Following is a synopsis of his main points.

Are your prices sustainable?

”Prices are sustainable as long as the grain fundamentals stay strong,” says Wilson. “If crops stay up then (farmers) can afford to use our products.”

Why do farmers choose your product?

“We’re selling increased yield. We provide the latest technology in seeds, fertilizer, and nutrients. We give the farmer increased yield and higher return,” explains Wilson.

What are farmers telling you about the floods?

“Some farmers are going back to the field and others are saying I’ll take what I can get,” he says.

How’s the future look?

“Our priority is growth. We’ve done 7 acquisitions in the last 2 years. We’re unique because we bridge the whole value chain. We buy into the retail sector, into the specialty environmental sector, and the nutrient sector,” Wilson explains.

To see the complete interview please watch the video.

Got something to to say? Send us an e-mail at and your comment might be posted on the Rapid Recap. If you'd prefer to make a comment but not have it published on our website send your e-mail to

Trader disclosure: On June 18, 2008, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Macke Owns (INTC), (MSFT), (WMT); Pete Najarian Owns (AAPL), (BHI), (ENER), (MS), (TSO), (XLF), (XTO), (CHK), (HPQ), (MYGN); Pete Najarian Owns (RF) Puts; Adami Owns (AGU), (BTU), (C), (NUE), (GS), (INTC), (MSFT); Terranova Owns (XLF), (YHOO), (LUV), (FXC); Terranova Is Long Dec 2008 Crude Oil; Terranova Is Short Dec 2009 Crude Oil; Terranova is chief alternatives strategist at Phoenix Investment Partners;

Phoenix Investment Partners Ltd. Owns (RWX), (DBC), (DBV), (IGE), (AAI), (ALK), (AMR,) (APA), BP plc, British Airways plc, (CHK), (CVX), (COP), (CAL), (DAL), ENI SPA, (XOM), Gazprom, (HA), (HES), (HOC), (HSE), (JBLU), Lukoil, (MRO), (MUR), (OXY), Petrobras Intl Fin, Petro-Canada, (PBR), Petroleos De Venezuela, (QAN), (RJET), Royal Dutch Shell plc A Shares, (SKYW), (LUV,) (SU), (TSO), Texaco Capital, Total SA, (UAUA), (LCC), (VLO)