A group of private Saudi investors said they plan to start a company with $533.3 million capital that will invest in farm projects mainly abroad. First projects may be with Ghana, Turkey and Kazakhstan.
Because of the political sensitivity of the modern-day land grab, it is often only the country's head of state who knows the details. Der Spiegel investigates.
The emergence of the farmland asset class is not without pitfalls with the provision of food always highly political and a tentative global economic recovery potentially threatened by the H1N1 flu pandemic, fund managers said.
Since details emerged of Saudi Arabia’s plans to ensure supplies of wheat, rice, corn, soya beans and alfalfa through overseas agricultural investments, officials have insisted that they intended the programme to be private-sector led.
Japan is considering providing loans from a government-owned bank for companies to purchase and lease farmland abroad, Munemitsu Hirano, counsellor at the international affairs department of the Ministry of Agriculture, Forestry and Fisheries, said.
The issue of food security is getting higher on Riyadh’s priority list.
Officiellement, les terres arables louées à la Chine n’existent pas. C’est que les autorités kazakhes craignent la réaction de la population rurale devant la “concurrence déloyale” représentée par l’arrivée en masse de paysans chinois, dont l’équipement agricole est supérieur au vieux matériel soviétique encore utilisé sur la plupart des exploitations kazakhes.
Two listed Saudi companies plan to invest in either farming or agri-business abroad under a state-sponsored plan to ensure steady food supplies.
Saudi Arabia will invest in agro-industy of Kazakhstan, reported Interfaz-Kazakhstan with reference to the Ministry of Agriculture.
Investment in the agriculture sector is currently problematic due to the international financial crisis; last year’s interest in buying up land or companies in this sector has melted away.
Saudi Arabia's Hail Agricultural Development Co (Hadco) said on Monday it would look at investing in Turkey and Kazakhstan after moving into Sudan under a government plan to ensure steady food imports.
Saudi Arabia, one of the world's biggest rice importers, has received the first batch of rice to be produced abroad by local investors, state news agency SPA reported on Monday.
