Agcapita Farmland Investment Partnership | 26 June 2009 Warren Buffett: Buffett has built Berkshire Hathaway into a multibillion dollar company based on the application of value investing techniques. One of his earliest investments at the age of 14 was to take the $1,200 he had saved up from two paper routes to buy 40 acres of farmland which he then rented to tenant farmers. Jim Rogers: Rogers co-founded the Quantum Fund with George Soros in the late 1970s and during the next 10 years, his portfolio gained more than 4,000%, while the S&P rose less than 50%. Jim founded the Rogers International Commodity Index, the Rogers - Van Eck Hard Assets Producers Index and the Macquarie and Rogers China Agriculture Index. Jim recently commented that “I’m convinced that farmland is going to be one of the best investments of our time. Eventually, of course, food prices will get high enough that the market probably will be flooded with supply through development of new land or technology or both, and the bull market will end. But that’s a long ways away yet.” Lord Jacob Rothschild: Rothschild, the 73-year-old head of the world-famous European banking family with a personal fortune estimated at $600 million, thinks that “right now is an excellent point of entry for taking a long-term position in agriculture.” Rothschild invested $36 million for a 24% stake in Agrifirma Brazil. George Soros: Soros recently became the largest shareholder in Adecoagro one of the leading agribusiness companies in South America whose main activities are the production of grains, rice, oilseed, dairy products, sugar, ethanol, coffee, cotton and cattle meat. Agcapita is a Calgary based agriculture focused private equity firm which manages farmland investment funds and is part of a family of funds with almost $100 million in assets under management. Our investment team has over 40 years of investment and finance experience and our field team has over 150 years of direct farming experience. Agcapita’s advisory Board is comprised of accomplished agriculture entrepreneurs and investment experts including the former UK Chancellor of the Exchequer, Rt. Hon. Ken Clarke and Jim Rogers, co-founder of Quantum Fund with George Soros.Realizing the key link with agriculture, foreign and domestic chain retailers are investing big in the supply chain. Bharti Enterprises launched FieldFresh Foods in collaboration with UK-based ELRo Holdings, an investment arm of the Rothschild family, and expects a turnover of Rs 41 billion in the next five years. It has put over 4,000 acres of cropland under cultivation in Punjab and is exploring partnerships in Rajasthan, Uttaranchal and Maharashtra. The company plans to bring a total of 20,000 acres under cultivation in the near future by contracting with farmers. Tata Chemicals agri-business named Khet-se Agri Produce India is expanding into bio-diesel, fresh fruit and vegetable production and distribution with plans to invest more than one billion dollar in the next couple of years. It has already set up jatropha cultivation in five regions of the country for production of bio-diesel. It also plans to cultivate sorghum for making ethanol.
Some large investors views on farmland
Saturday, 4 July 2009
Published: 26 Jun 2009Posted in: Agcapita, Agrifirma, George Soros, Lord Rothschild
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