Vegans Nightmare: A third of global farmland at ‘high’ pesticide pollution risk
According to new research, a third of the planet’s agricultural land is at “high risk” of pesticide pollution from the lingering residue of chemical ingredients that can leach into water supplies and threaten biodiversity. According to research published Monday, a third of the planet’s agricultural land is at “high risk” of pesticide pollution from the lingering residue of chemical ingredients that can leach into water supplies and threaten biodiversity. The use of pesticides…
Investing in agriculture for 2023
Hardy investors are seeking new ways to grow their money. IN THE next 40 years, humans will need to produce more food than they did in the previous 10,000 put together. But with sprawling cities gobbling up arable land, agricultural productivity gains decreasing, and demand for biofuels increasing, supply is not keeping up with demand. Clever farmers, scientists and entrepreneurs are bursting with ideas. But they need money to make this jump. Financiers more often found buying and selling companies have cottoned…
Warren Buffett’s partner Charlie Munger’s thoughts on successful investment practise
Warren Buffett, the world’s most significant investor, added two short sentences to Charlie Munger’s list that have been his decision-clinchers for decades, “Warren, think more about it. You’re smart, and I’m right.” Warren Buffett talked about his long-time friend and business partner, Charlie Munger, in his annual letter to the investors that was published along with Berkshire Hathaway’s annual report. Warren Buffett listed a few of Munger’s thoughts. He advised investors, “Find…
Climate Changes starts to bite in the nut industries
The influence of climate and weather on human societies is already apparent to the world’s rural populations: inclement weather can result in failed harvests, higher food prices, unrest, and unrest leading to revolutions. Syria is a good example. The increasing effect of climate change should be a warning to all agricultural investors. This is doubly true for climate-sensitive tree crops, most notably almonds, considered the cannery in the coal mine. Almond trees: fragile flowers Almonds are the fragile flower…
The 10 most important rules for investing in agriculture favour South America
Rule 1. Only invest in investor-friendly countries: Agricultural investments require a medium to long-term view. A typical investment in mainstream agriculture will require 70-80% of your investment to go into the land. There is no need to add to these risks by going into countries where you put your capital at risk. This rules out most of Africa, Eastern Europe and parts of Asia. Rule 2. Countries with low, preferably no, subsidies for agriculture. Subsidies can be alluring because they can be seen as underwriting…
The Vestey Meat Empire in South America
The Vestey Brothers were once the largest meat retailers in the world The company once controlled one-third of the refrigerated storage capacity in Britain and two-thirds of multiple butcher shops. It accounted for 20 per cent of all meat imported into Britain. Origins and early growth William Vestey (1859 – 1940) and Edmund Hoyle Vestey (1866 – 1954) were born to Samuel Vestey, a Liverpool provisions merchant. William Vestey William Vestey was sent to Chicago to scout for opportunities in 1876. He was…
Americans are quitting plant-based meat in droves due to high prices, worse taste, and questionable health benefits
Meat producers have nothing to fear from Fake Meat. Plant-based meat looked poised to change the world — but then Americans stopped buying it. In 2020, retail sales of plant-based meat grew 45%, surpassing the $1 billion mark for the first time. Increasing awareness of companies like Beyond Meat and Impossible Foods, in addition to climate change and animal welfare concerns, nudged many Americans to give fake meat a shot. The nature of the pandemic helped sales as well. Many consumers faced meat shortages,…
Global Trust in Sustainable Agriculture is the Next big opportunity – Rabobank
The biggest value creation opportunity for those in the agricultural sector is to be seen as a globally trusted source of sustainably produced products says a new Rabobank report on the sector ie Sustainable Agriculture. The Sustainable Returns: Finding the value in Environmental Sustainability the report says improved environmental practices can deliver an immediate monetary benefit, through price premiums, and long-term strategic advantages. Report author Blake Holgate said many consumers now consider buying…
Latin America: Agricultural Perspectives
A profile of Latin American agriculture Latin America has long been associated with the production and export of a diverse range of agricultural commodities, whether it is coffee from Brazil and Colombia, beef from Argentina, or bananas from Ecuador. Trade data show that the region is indeed an important net exporter of agricultural commodities to the world, accounting for an estimated 16% of global food and agriculture exports between 2012 and 2014, while representing just 4% of global food and agriculture…
Agricultural Syndicates, Partnerships, all need to have a shareholders agreement at the start of a new business.
If you’re starting or running a business or buying a property with other co-founders, someone probably told you to get a shareholders agreement. But why is this important? What does a shareholders agreement do? What can happen if you don’t get one? In this article, I’ll explain why you need to have some hard conversations with co-founders and we’ll look at an interesting recent case with costly consequences. What is a shareholders agreement? A shareholders agreement is a contract where you agree…
Understanding International Family Offices as an alternative source of investment capital
The role of the family office has often been misunderstood, even though the concept has been around (in various forms) for hundreds of years. Still, today, as this industry controls billions of dollars in assets under management, many intelligent, experienced finance professionals cannot offer a complete definition of what a family office is exactly. Today, the family office industry is expanding at an impressive pace, with new family offices opening every month and assets continuing to grow yearly. The family…
Investment in Farmland in 2023
Investment in farmland suitable for livestock or crops is by far the safest investment, especially long-term i.e. 5 to 10 years. It is an area little studied by modern investors, who have remained in the dot com investors world and have forgotten the traditional investment: farms. Today, the following observation is most certain. Where there is arable land in a stable political environment with clear rules and access to ports, you can make a minimum investment of 9% and a capitalization rate of 4%. These figures…
Avison Young invests in Valuation & Advisory business for Latin America operations
Max Gill and Michelle D’Artigues join as Principals in Mexico City, continue partnership to grow business line for the region Max Gill and Michelle D’Artigues join as Principals in Mexico City, continue partnership to grow business line for the region Mexico City, MX – Emile Sarraf, Avison Young Principal and Managing Director of the firm’s Mexico City office, today announced the appointment of Max Gill and Michelle D’Artigues as Avison Young Principals. Gill and D’Artigues,…
Davos 2023 backs an Argentine firm that optimises irrigation efficiency with new technology
Kilimo, an Argentine company that uses data to optimise irrigation, received solid financial support at this year’s Davos forum to continue developing a system that helps farmers in Latin America save thousands of litres of water. Kilimo, an Argentine company that uses data to optimise irrigation, received strong financial support at this year’s Davos forum to continue developing a system that helps farmers in Latin America save thousands of litres of water. The company, which advises farmers in…
So you want to buy farm land in South America – What are the options ?
So you want to be a landowner in South America Investing in farmland can make for an intriguing alternative to the stock market. Farmland is safe historically, an excellent hedge against inflation and is an asset class that does not correlate with the normal stock market. As the world’s population continues to grow (9.15 billion estimates by 2050) and the global middle class continues to emerge (with changing dietary habits toward more calories and meat), farmland is poised to become an even more intriguing…
