Investing in farmland
Unlike any traditional financial investment, farmland offers investors the unique opportunity to own a productive, tangible, safe, low volatility, longer-term and very often times higher yielding asset.
Furthermore, given its normal long-term projection, the land itself has proven and is expected to continue to gain great value throughout the development of the farming venture.
However, successful agricultural investments require agronomic expertise, keen real estate instincts, intensive care, and economies of scale.
Despite how convenient farmland is as part of any well-structured investment portfolio, for most investors willing to engage in this kind of investment, the lack of knowledge, time, experience and/or budget restrictions towards generating scale economies, makes the opportunity unfeasible.
The answer for such a situation is to invest through an expert and hopefully exclusively devoted organization that has the track record, the experts, the on-ground resources and the reputation to properly manage a farmland operation.
This is exactly what Gutierrez Group, in association with InverBosques, the forestry operator, is here to offer.
shoud get involved?
Farmland and Forestry Investing in Colombia
Several factors are currently driving certain economies to widely develop their agro-industries, Colombia being one of them.
According to the Food and Agriculture Organization (FAO) of the United Nations, global population will reach 10 billion in year 2050, with which demand for food and fuel will double.
Without needing to jump ahead in time, current statistics indicate that demand for renewable resources such as wood and biofuels is dramatically increasing.
Colombia holds a tremendously interesting potential for agricultural production as only 2% of the country´s available suitable farmland is currently being used.
The country’s unbeatable geostrategic location, with direct access to both the Atlantic and Pacific oceans, benefits transportation costs; and its equatorial tropical environment perfectly suits forestry activities allowing species to have higher production yields, resulting in much shorter rotation cycles.