Agrifirma Brazil, the well-connected farmland investment company, is investigating opportunities outside South America after placing most of its Brazilian agriculture operations into a joint venture with private equity heavyweight.
While Brazil touts its efforts to slow destruction of the Amazon, another biodiverse region of the country is being cleared for large-scale farming. But unlike the heralded rainforest it borders, the loss of the cerrado and its rich tropical savanna so far has failed to attract much notice.
Gulf states buying farmland in developing nations for food security face the risk of damaging their reputation as international investors as the deals are seen as land grabs, a Rothschild executive said yesterday.
While everyone from the Rothschild’s – via the Agrifirma Brazil fund, run with Jim Slater – through to Nicola Horlick and UBS are snapping up farmland in Brazil, I’m fascinated by another niche: Canada and New Zealand.
Rothschild has recently formed a co-operation agreement with Rabobank, a leading global food and agricultural bank. The agreement covers co-operation for mergers and acquisitions and the equity capital market across a number of sectors including farm inputs and equipment, farm-based commodities, primary food processing, food processing and beverages.
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.