agCap works with foreign investors

Originally posted December 11, 2014

agCap’s CEO, Martin Newnham explained the benefits of foreign investment in Australian agriculture to The Australian on 11 December 2014.

In addition to managing farms owned by the Sustainable Agriculture Fund (SAF), agCap also manages two properties leased by SAF from US global agricultural fund Westchester.

“They own the land and provide the capital and we effectively lease it from them and provide the local expertise and management” explains Mr Newnham. “We have our own local farm managers and use local contractors so there is a real benefit for rural communities; but it’s their money that ensures the properties are beautifully presented, maintained and run to the highest occupational health and safety and governance standards – that’s what capital brings.”

Foreign and other institutional investment also brings the advantages associated with corporate management. This includes capital management discipline and access to a wide range of resources in production, planning and marketing. These advantages bring productivity benefits and a capability of managing agricultural assets sustainably for the long-term.

Investments managed by agCap benefit from their deep local operating expertise, experience working with Australian and foreign institutional investors, and strong knowledge and access to opportunities in the Australian agricultural sector.