Australia

On the heels of tight crop production reports and the recent memory of individual nations experiencing food disruptions, there is a scramble to control or own agricultural assets and food stocks.

Contributing their bit to the global Indian takeover, the government and India Inc plan to buy sizeable land abroad for cultivation. Seen as a long-term answer to keep prices of farm products under control, the grand plan envisages acquisition of large tracts of land in neighbouring countries like Myanmar and far off places like Paraguay.

Gulf banks and businessmen were yesterday urged to invest less money in the real estate sector and turn to food industries.

The fund’s strategy is to own and manage funds which operate in largely unsubsidised farming countries and are among the lowest cost producers of their chosen commodity or livestocks.

Beijing is adding agricultural investments to its “go outward” strategy, under which domestic businesses are encouraged to venture into foreign markets.

As food crisis worsens, some nations are desperate for arable land

"If Korea wants to invest in agriculture, Australia is open for business," Australian Ambassador to Seoul Peter Rowe said in a recent interview with The Korea Times.

China's fast-growing farm corporations may be the next wave of Chinese investors in Australia, joining their already influential mining comrades.

The worldwide food shortage has spurred enthusiasm among Chinese enterprises to invest in overseas agriculture sectors. South America and Russia are likely to become the new destinations for agricultural investments from China.

Hedge funds and investment banks are swapping their Gucci for gumboots as they bet on rising food prices by buying farms.

Agricultural land trusts and corporate players may take a bigger chunk of Australia's arable land with global market dynamics making rural land purchases more attractive investments.