New Zealand Dairy farmers head to Chile

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New Zealand dairy farmers head to Chile: Why ?  To leverage their skills as being amongst the best low-cost dairy farmers in the world.

Facing rising property prices and limited opportunity on the Asian side of the Pacific, several New Zealand farmers have invested in Chile or moved here entirely, bringing with them many years’ experience in one of the world’s most productive dairy-farming countries.

“Many are recognizing the opportunities that there are in South America and particularly in Chile.

Several factors lead New Zealand dairy farmers to leave their islands for greener pastures on this side of the globe. Most obviously, the price of land is important, with top agricultural land in southern Chile costing between $7500 USD and $10,000 USD per hectare, about a quarter of the price in New Zealand.

Other points also tilt the balance towards Chile. Labor rates here are less than half those in New Zealand and is readily available, and many kiwis hope to introduce their dairy techniques that can raise milk production from the current Chilean average of 5,600 liters per hectare to the 9,900 liter per hectare average typical of back home.

New Zealanders currently farm thousands of hectares in Region X ( around Osorno ). But many more are expected now in the wake of the new Trans-Pacific Partnership that  has been negotiated with some of Chile major trading partners. Another contributing factor: the New Zealand consortium Fonterra controls 56.85 percent of Soprole, giving Kiwi farmers an instant connection with Chile’s largest dairy company.

The majority are in joint ventures with or without local or foreign investors. Most who come individually are young couples because, for them, it will be easier to adjust to a new culture and a different language,”

Contact the Gateway to South America team to learn about the best investment opportunities in the region. The company is a benchmark for foreign investors wishing to invest in Argentina, Brazil, Chile, Paraguay, Peru and Uruguay, providing expert advice on property acquisition and investment tours.

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