Teucrium Trading, a US-based issuer of commodity-focused exchange-traded funds (ETFs), recently celebrated the third-year anniversary of its flagship product, the NYSE Arca-listed Teucrium Corn Fund (CORN). Launched in June 2010, the fund was one of the first exchange-listed vehicles to enable a wide variety of investors to gain liquid and transparent access to corn without the use of a futures account.

Since the end of 1999, agriculture prices have increased at a more rapid pace than most other commodities. The grains, consisting of corn, soybean and wheat, have led the way, increasing by over 270%. The long-term outlook remains as strong as ever. While drought has dominated the headlines, population growth, changing dietary habits and increased ethanol production have also been driving prices higher. This trend looks set to continue, making grain-based ETFs a compelling long-term buy.

The unrelenting heat wave afflicting the US Midwest continues to scorch crops including corn, wheat and soybean. With searing heat and little sign of much-needed rain, the prices of these commodities have risen dramatically. ETFs and ETCs tracking these commodities, such as the ETFS Grains DJ-UBSCI ETC (AIGG), the Source Grains T-ETC (SGRAIN), and the Teucrium Agricultural ETF (TAGS), have soared.