Supply Chain

The acquisition of Gundaline by a Chinese textiles firm is a sign that Chinese investors are looking Down Under again, with more ‘big deals’ possible in the next 18 months.

Australia was on track for a record cotton crop until flooding affected production, with prices also easing from highs at the start of 2022.

A confluence of events could lead to increased food scarcity in 2023, with knock-on effects for prices and an increase in the attractiveness of controlled environment production in hot countries.

A renewed focus on the importance of diet and nutrition, as well as enthusiasm for more sustainable crop inputs and alternative materials, continue to provide opportunities for agtech investors.

New Forests’ ANZLAFF is its fourth fund focused on Australia and New Zealand, investing in plantation forestry, infrastructure and agriculture.

Roc Partners’ Longriver Farms has sold grain storage and handling business Emerald Grain less than two years after acquiring it from Sumitomo Corporation.

The Premium Food Fund has made five investments to date and is 40% committed, with another two or three deals over the next two years set to take it to full deployment.

Retail prices for avocados in Australia are tracking 47% below the five-year average thanks to an oversupply following large harvests in 2021-22.

'Agriculture and food production is way behind other industries in terms of technology adoption, but disruption is now coming in fast,' says Alastair Cooper of ADM Capital.

The firm has also raised €260m for its debut Food Ecosystem Fund, which it expects to close on €300m in Q3.