Scale and predictable returns are key to increasing institutional investment into agriculture, LPs at Agri Investor’s Australia Forum said.
Private equity can respond to consumer demand by helping encourage adoption of new technologies and conversion of conventional farmland to organic production, according to Rabobank.
Investors in the Kansas-based commodity trading and transportation company include Chinese private equity firm New Hope Group and Australian real assets giant Macquarie.
A vehicle focused on the purchase of farmland in Brazil from the Cargill spin-out has reached a $100m first close and has a target of $500m.
The manager expects its investment in one of Australia’s largest beef producers to serve as a platform for growth.
FIRB member Patrick Secker said Chinese investors account for a small part of Australian agri’s foreign investor universe.
The World Bank affiliate will provide a $60m loan from its own account and help facilitate an additional $40m in financing to support Nibulon’s efforts to increase its trading volume.
The Cleveland, Ohio-based real assets consulting services firm is understood to have hired an investment banker in the past month.
In July, the developmental finance institution’s board will consider a loan supporting expansion plans of Singapore-based agri trader Agrocorp.
Impact Vision and Ag Voice took home the people’s and judge’s choice awards, respectively, at Rabobank’s Food Bytes conference in New York.
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