This document describes an investment opportunity to purchase undeveloped land in Paraguay and convert it into productive ranchland. A company is seeking investors to buy properties totaling 9,600 acres with water access and develop the land by clearing forests, planting pastures, and building infrastructure like fences, water systems, and housing. The plan is to establish a cattle operation involving purchasing young calves, grazing them on pastures for 18 months, and selling them for profit. Developing the ranchland is expected to significantly increase the value of the properties, which could then be resold or used for ongoing cattle production.
1. Investment Opportunity in ranchland in Paraguay - South America
Investment project for converting virgin forest to fattening ranch
Extensive system of fattening cattle on pasture implanted
The projected cattle establishment comprises a surface area of 9,600 acres., The grass
species to implant is the Gatton panic, due to its adaptation to the soil and climate of the
region.
Taking into account the surface and the forage supply estimated is recommended that the
livestock activity is the wintering the business is buying male calves and steers selling for
fridges.
The age of calves is an average of 7 months with an average weight of 250 kg and the sale
of steers at an age of 22-25 months average weight of 460 kg.
Fattening cycle is estimated at 18 months, sales starting with at 15 months and ending at
18 months.
2. LAND CLEARING
The clearing authorized by SEAM (Ministry of Environment) and INFONA (Instito National
Forest) is the snail type, we will use laminated type land clearing, then dredge technique Aradora
and machinery leveling with despalitada to prepare 200 hectares of land to produce hay.
Estimated production of hay: 4,000 bales of 400 kg., To be used in times of fodder shortage.
3. The disassemble was approved by the authorized entity
is going to meet environmental standards lar
establishing biological corridors
forest reserves
forest reserves for paleocauses
forest strips is left between pastures
10. PASTURE
The estimated burden that will withstand the pasture is 300 Kg / Ha. A full charge 4,000 cattle
WATER
The estimated water consumption of 60 liters. per head. With 4,000 head, the daily water need
be 240,000 liters.
WELLS ARTESIAN
Because the farm is located on the aquifer Yrenda recommended drilling two artesian wells 180-
220 feet deep, more than 200 meters apart to prevent theft of flow between wells. With two wells
would have a rate of 27,000 liters. time, enough to cover water demand 4,000 head.
GENERATOR SET AND ELECTROPUMPS
It will be necessary to have a generator set to provide electrical energy the two electropumps and
housing.
With two electric pumps are estimated volumetric pumping of 27,000 liters / hour. With 9 pm.
cover pumping daily demand of 240,000 liters.
WIRED
Will be required approximately 135 km. Wiring for the division of the 4,000 hectares of pasture
paddocks of 50 ha This amount will vary according to apotreramiento and alleys.
STOCKYARDS
Each paddock will have a yard for the management of the estate, each corral will have a sprue.
CORRALS
They built two corrals, one for each module of 2,000 hectares
The main module is designated as Central and secondary module as Retiro.
11. HOUSING
For Central is recommended building six semi-detached houses for foreman, female chef, two
pawns, tractor driver, charged with maintaining water supply.
A house with an office for the manager
A home for the owners.
A shed for machinery.
Retirement two semi-detached houses for the retreat charge and a pawn.
It is essential to water harvesting and storage cisterns.
BOULDERS AND MACHINERY
Pickup truck 4 x 4 for use of the General Manager
Cuaciclón 4 x 4 for inspection sprue, reservoirs and pipes. It will be used by the maintenance man
water supply.
Tractor 4 x 4 of 110 HP, to construction of internal roads (approx. 80 km.) Preparation of 200
hectares of land Bale.
Desalijo building material for wiring, corralones and corrals.
Implements several indispensable for the tractor perform detailed above.
Once we list the plot of bales will require the purchase of implements for producing bales (mower,
rake and baler rake)
OPERATING COST
In the same details the estimated cost once the farm is completely developed and full load (4,000
cattle)
For monthly operating costs were prorated veterinary costs and estimated an average fuel
consumption.
To get to the annual operating cost multiplied 12monthly costs and the Christmas bonus was
added.
Sale of steers the exporting firm of meat
The estimated annual mortality of 3%.
A price of 3.05 U.S. $ / kg per hook. (Chilean market price) Weight 460 kg meat
Freight: to fridges of Asuncion.
12. ESTIMATION RESULTS
As estimated fattening time is 18 months, it took that period of time and not 12 months to provide
an estimate of results.
The estimated Operating Income in 18 months, is US $ 585.000. Expected improvement in
livestock prices, if you register the expected increase the Operating Income would have a
significant improvement.
RECOMMENDATION
To be more confident in providing calf and get greater utility in the cattle business is
recommended as a second step to form a breeding unit.
Ing. Agr. Luis Aguilera
Specialist rural economy & Agricultural landbanking
Adviser and investment manager to farmland
luisaguilera@bancarios.com
twitter @farmlandchacopy
+595971346848
San Lorenzo - Paraguay - América del Sur
DIRECTIVO
GRUPO MERCANTIL PARAGUAYO S.A.
Company specializing in direct investment in farmland and asset management.
Investment in farmland and operate cattle and crops farms.
+595 971 346 848
Santa Fe Nº 1335 - Barrio Miraflores
San Lorenzo - Paraguay - América del Sur
13. Investment Project
Agricultural Investment Company
Our company is looking for private investors to purchase undeveloped land with potential
ranchers in the area more productive of the Paraguayan Chaco
The proposal deals with buy property with no or little improvement, to develop, add value
and put into production, and then sell them at a higher value.
We are interested in properties with low initial valuedue to the lack of improvements but
with great potential livestock.
It is noteworthy that fields were selected where you have plenty of water for livestock and
after a programmed clearing and ecological forests respecting existing law, and the
possibility of seeding pastures megatérmicas, to add value to the field and be prepared for
the possibility of incorporating the project to fatten calves
Objective of society
Develop strategic property with basic investments and fundamental, to sell as armed
ranches, or put it into production while making the process of selling and investment to
add value and help fund the improvements with their own resources.
The weakness and insecurity that currently have the financial markets make this proposal
attractive to some groups that manage third-party funds. Where to find security and
stability in their investment portfolio.