Target area for potential investments and acquisitions
To mitigate climate risk, a portfolio of properties should be spread across two or three different climatic regions:
- The blue circle in the north is cattle fattening country (Downs country), and receives it’s rainfall in summer from topical monsoons
- The red circle represents the northern cropping zone which receives wet summers and occasional winter events. This is also cattle country
- The green circle represents the southern cropping zone. This area receives the majority of it’s rainfall in winter and has very dry summers. This area is also used to produce wool and fat lambs
Where to buy farmland as an investment?
Australia meets most requirements
Where to invest? Based on various factors, Australia meets most requirements:
- Agriculture infrastructure
- Maturity of agriculture sector
- Access to production factors
- Political intervention
- Foreign ownership
- Property rights
- Rule of law
- Low corruption
- Low land prices
- Large scalable agriculture
- General impression
When considering buying farmland as an investment, Australia exceeds most of above mentioned factors 1 to 12. This is the key for a long term success when buying farmland as an investment.
Buying Farmland as an investment video
Continuous Cropping – With sound rotations
The video above shows how Australia excels in most key factors, which are essential in order to win when buying farmland as an investment.