Farmland-Organic farming

967 views

Published on

Presentation used on investors conferences in 2011.

Published in: Technology, Business
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
967
On SlideShare
0
From Embeds
0
Number of Embeds
1
Actions
Shares
0
Downloads
17
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Farmland-Organic farming

  1. 1. Investments in farmland and sustainable agriculture in Eastern EuropeSECURING INVESTMENTS IN UNSTEADY TIMES 1 More secure then gold ? Agri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita, 10/11/2011 Wil J. van Eijsden. Email: buffalo.wil@gmail.com
  2. 2. Content of the presentation 21. Trends that influence the price of agricultural land2. Pricing of agricultural land in Romania3. Retaining/increasing the value of a land investment.4. Why is farmland is one of the most secure investments5. Agriculture in Romania6. Sustainable and organic farming and food7. Some examples implemented by Agri+CULTURA Transilvania SRL. Creating value and gorgeousnessAgri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita, 10/11/2011 Wil J. van Eijsden. Email: buffalo.wil@gmail.com
  3. 3. Some effects on the price of agricultural land 3  “Fixed” or decreasing amount of farm land  Increasing world population 9-20 billion.  Global warming has negative effect on food production.  Changing food habits in emerging economies. Over eating. More meat.  Increasing energy prices effecting transport cost, fertilizer/pesticide prices.  Increasing land use for energy - and industrial crops. Replace oil based plastics  Higher food prices. Food crisis 2008 and now.• All indicators direct towards higher prices for agricultural land.• No indicators direct towards lower prices. World economy is the only downwards risky factor. Politicians and economistsare sweeping with the tap open but offer no real solutions. In case of a global financial crisis gold is keeping is value long but you can’t eat it.Food is always needed. Land is the last to go down in price. Agri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita, 10/11/2011 Wil J. van Eijsden. Email: buffalo.wil@gmail.com
  4. 4. The price of Agricultural land in Romania EXPERT OPINIONS 4“Land prices in agriculture have gone up 5 times in 5 years to €1-3,500/ha but are still 3 to 7 times lower than in most Europeancountries. Market estimates indicate that the price is likely toremain on this upward trend in the next years”Lucian Anghel. Chief economist at the BANCA COMERCIALĂ ROMÂNĂSome experts predict prices of 5 000 to 10 000 EUR in 3 yearstime.Double prices within 3 years are likely. Agri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita, 10/11/2011 Wil J. van Eijsden. Email: buffalo.wil@gmail.com
  5. 5. Retaining and increasing land value 5 The scattered landownership makes consolidation into larger plots essential. This is a process that takes time and costs money but has a reward in an increase in value of 50 to 100% just because of the consolidation. The way the land is used is of foremost importance to retain/increase land value Just investing in land as a speculation object can easily fail. Organic farming increases value security. Top management is the key anywhere in the world in any sector.Agri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita, 10/11/2011 Wil J. van Eijsden. Email: buffalo.wil@gmail.com
  6. 6. Agriculture in Romania Negatives 6 Poor infrastructure Bureaucracy Scattered landownership Business and labor ethics Slopes Irrigation needed outside of Transylvania Distance to West European marketsAgri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita, 10/11/2011 Wil J. van Eijsden. Email: buffalo.wil@gmail.com
  7. 7. Agriculture in Romania Positives 7 Good to very good soils Reasonable amount of precipitation in Transylvania Cereal based animal husbandry (pigs poultry) High quality grassland, lucerne and maize possible for roughage based animal husbandry More light/longer day length in winter then NW Europe Cheap land and labor High EU supports for investments (often 50-70%) EU hectare support availableAgri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita, 10/11/2011 Wil J. van Eijsden. Email: buffalo.wil@gmail.com
  8. 8. Organic Farming and Food 37 million hectare world wide 8Which sector can claim continuous 10-30% yearly growth for 40 years Agri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita, Wil J. van Eijsden. Email: buffalo.wil@gmail.com
  9. 9. Organic Farming Long-term security and improving the quality of the land 91. No contamination and clean up risks.2.Loss of topsoil by erosion strongly reduced3.Increased fertility through higher humus.4.Access to a niche market with higher prices5.Reduced production cost due to less inputs. Also lower yield.6.Higher product prices and higher labor cost7.Result is equal or better then conventional.Agri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita, 10/11/2011 Wil J. van Eijsden. Email: buffalo.wil@gmail.com
  10. 10. Organic needs high level management 10 Chemicals are replaced by understanding and using natures own systems and prevention Organics is strongly know-how based Organic arable farming on the contour lines in Argentina and giving room for natureAgri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita, 10/11/2011 Wil J. van Eijsden. Email: buffalo.wil@gmail.com
  11. 11. Selected sample projects 11Agri+CULTURA Transilvania5 Selected organic projects: Dairy sheep Transylvania Consultancy Dairy buffalo farming Romania Management Broiler chickens Hungary Management Herb production Transylvania Management Arable, fruits, nuts , herbs Argentine ConsultancyAgri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita, 10/11/2011 Wil J. van Eijsden. Email: buffalo.wil@gmail.com
  12. 12. Organic dairy sheep in Transylvania 125000 sheep, 4000 ha grazing, haymaking and arable with milk processingAgri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita Wil J. van Eijsden. Email: buffalo.wil@gmail.com
  13. 13. Organic water buffalo farm in Transylvania 13 Reconstruction of derelict farm 350 ha 350 animals with young stockAgri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita, 10/11/2011 Wil J. van Eijsden. Email: buffalo.wil@gmail.com
  14. 14. Organic broiler chickens in SW Hungary 14 240.000 heavy broilers/y, 600 ha arable feed production, feed factoryAgri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita, 10/11/2011 Wil J. van Eijsden. Email: buffalo.wil@gmail.com
  15. 15. Organic herb production Romania 15Start up:•Production of propagationmaterial for the roll-out ofcontract production•Product and marketdevelopment Herb teas with Herbal salt pad Culinary herb a local touch thermal saltsAgri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita, therapy J. van Eijsden. Email: buffalo.wil@gmail.com 10/11/2011 Wil
  16. 16. 3000 ha conversion to divers organic production in Argentine 16Start fromconventionalsoybean/wheatrotation 120 ha nuts and fruits, 20 ha herbs, 1200 ha arable, 700 ha lakes, 1000 ha natureAgri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita, 10/11/2011 Wil J. van Eijsden. Email: buffalo.wil@gmail.com
  17. 17. Conclusions 17 Investing in agricultural land is probably one of the most secure and most profitable investments at present. Land is still cheap in Romania and the price is likely to increase steeply. Romania is in many respects a very good location for agricultural activities, challenges however remain. Organic farming is a very good way of securing/ increasing land value and it is a profitable business it selves at the same time.Agri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita, 10/11/2011 Wil J. van Eijsden. Email: buffalo.wil@gmail.com
  18. 18. Services Agri+CULTURA Transilvania SRL 18 Coordinating land acquisition consolidating into larger plots including, the legal and financial set-up in co- operation with experienced local legal advisers and financial experts, price negotiations, closing deals with legal registration in the land register. Planning of the land use Master plan for your organic farm business including sustainable farm- system design, detailed plan for the use of land and facilities based on: 1) Choice of crops and animals 2) Minimizing inputs and costs 3) Maximizing quality and quantity of outputs within the constraints of organic production 4) Infrastructure and reconstruction needs. 5) Choice of machinery and equipment 6) Planning the processing into end products. 7) Marketing plan. Management and training during the start-up.Agri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita, 10/11/2011 Wil J. van Eijsden. Email: buffalo.wil@gmail.com
  19. 19. A very strong proposition 19 Contact details Agri+CULTURA Transilvania SRL Wil J. van Eijsden 537010 Avrâmesti (Szentábrahám) 95 Jud. Harghita Romania Tel +40 761 975 958 Email buffalo.wil@gmail.com 30 years of experience globallyAgri+CULTURA Transilvania SRL, 537010 Avramesti, Harghita, 10/11/2011 Wil J. van Eijsden. Email: buffalo.wil@gmail.com

×