WHY INVEST IN AFRICAN AGRI ASSETS
For long-term investors, agriculture is an increasingly attractive asset class that offers exciting investment potential within a diversified portfolio.
Farmland investments in South Africa have consistently yielded a higher return with moderate volatility in comparison to local and international equity indices, the local bond index and local real estate.
As a market leader in specialised farmland asset management in Africa, we are well positioned to advise on your African Agri-Investment needs. Our experts in the field work to uncover and give you access to attractive investment opportunities. As such, in collaboration with our partners, we are constantly expanding and diversifying the investment opportunities to be adaptable to institutional investors’ interests and requirements.
What does Africa offer?
Feeding our ever-growing world has turned agri-businesses into a growth opportunity around the globe – and, with its vast tracts of available arable land, Africa is well positioned to capitalise on this. Food security is a global concern. Currently, the world’s population is estimated at over 7 billion people and is expected to reach 9 billion people by the year 2050. Food production will need to increase at the same rate to meet the demand. Land will be at a premium and food prices will rise markedly. The cost of land in Africa is significantly lower compared to other continents and there is an abundance of fertile soil with a wide range of climates for agricultural diversity.
Agribusiness touches on many issues. It is vital for food security, job creation, reducing poverty and increasing economic growth, especially in rural communities. With agricultural investments we can reach our potential as a continent and once more be the world’s breadbasket. Biofuel opportunities are also promising.