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…
Peru’s Agrícola Chapi expands avocado and table grape production with a cash injection
Peru’s Agrícola Chapi expands avocado and table grape production with a cash injection By Jessica Broadbent Peruvian agricultural export company Agrícola Chapi has received $130m in funding to expand its table-grape and avocado production. The funding from Canadian private equity firm Cordiant Capital will be allocated in stages until March 2024 and is part of a growth plan drawn up with Cordiant in 2022. Chapi aims to grow its production land area to 1,200ha of avocados and 900ha of table grapes. The Lima-headquartered…
Agribusiness opportunities in South America’s emerging markets
If you are looking for portfolio diversification using farmland, we can show you very practical options for mid-sized and larger investors. GTSA offers options for direct and indirect opportunities for farmland ownership in emerging economies such as Paraguay, Uruguay and Peru. Farmland is an attractive long-term investment that offers current income, capital appreciation, an inflation hedge and favourable diversification that is negatively correlated with traditional asset classes such as equities. We believe…
A snapshot of business risks in Peru
Peru was one of the fastest-growing economies in Latin America between 2002 and 2013, driven by sound fiscal and monetary policies and by growth in services, mining, and manufacturing. Between 2014 and 2019, growth slowed to an average of 3.1%, mainly due to lower commodity prices and a slowdown in private investment. The Covid-19 pandemic has significantly impacted Peru’s economy, with GDP decreasing by 11.1% in 2020. In 2021 the economy surpassed pre-pandemic levels, with a growth of 13.3%. The outlook…
Peru: Agricultural exports up 25% in October 2020
According to Midagri, the strong performance of agricultural exports in international markets was mainly attributed to a higher growth in the placement of blueberries, coffee, ginger, and fresh grapes. This means, traditional agro-exports accounted for 13% of the export value in October, while non-traditional represented the remaining 87%. Traditional agro-exports totaled US$116 million, a 17% growth over the same month in 2019. Ruta Exportadora business assistance programA report from the Commission for the…
Are agricultural investment funds a bottomless basket?
Financially, we all remember the date: September 2008. The Sub-prime crisis and everything that’s happened in these 10 years. Global rates fell, the profitability of many businesses went down and various businesses ‘too big to fail‘ finally did also fall. But there was a common denominator in a particular sector. Where there were real assets such, as agricultural land, the financial damage was lower. On the other hand, the dilemma of world food supply continues. By 2050 the population will…
INVEST IN THE REGION SAN MARTÍN OF PERU
San Martin is located in the northeastern Peruvian territory, occupying areas of high and low forest, with a territorial extension of 51,253.31 Km2, which represents 4% of the national territory in the eastern flank of the Andean relief, in the northern and centralsector between The parallels 5o 15` and 8o 25`15“ of south latitude from the Ecuador. Its territory occupies the middle sector of the valley formed by the Huallaga River, which makes it an area with large endowments of natural resources. The…
2020 Opportunities for Investment in Peru
Solid macroeconomic foundations make investing in Peru an attractive opportunity. The nation’s debt and economic outlook have received stable ratings from the main risk rating agencies. On top of that, one of the main economic drivers, private consumption, is expected to accelerate its growth to 3.9% in 2020. Investment in Peru will benefit from the country’s stability and positive outlook. The economy has remained stable and is expected to reach a growth rate of 4% in 2020; future prospects are even…
Peru: “Piura has become famous for the quality of its produce”
“The asparagus business isn’t over” Fernando Cilloniz, the regional governor of Ica, arrived in Piura yesterday to close the International Agro Symposium (Siagro Norte) that took place in the city from May 23 to 25. He said that being there, he realized how different these lands were compared to how the news depicted them, as they seem to be determined to show the northern city as a place devastated and plagued by Dengue. The truth, however, is different. “Piura has become known worldwide…
Urbanisation – Governance Report from Peru
Peru has experienced strong growth in recent years and now is suffering growing pains that will need to be addressed if the social contract is to be respected.
Urbanisation – Governance Report on Peru This hard hitting report on the growing pains of Peru as it tries to balance economic growth with middle class wants and is a must read for any serious investor looking at Peru. GTSA is looking to expand it services there in 2016. The glittering Real Plaza shopping centre in the Comas district north of Lima buzzes with middle-class energy, featuring franchises like Popeye’s and KFC, DirecTV and RadioShack, McDonald’s, China Wok and even a multi-screen “Cineplanet”…
