New Alliance: Increase Investment for Kiwi Farmers

New Zealand agriculture’s access to global investment has taken a step up with the country’s top rural real estate company establishing a partnership with a high profile British rural property and agribusiness specialist.

Market leader PGG Wrightson Real Estate, which handled 33 per cent of New Zealand farm sales in the 12 months to June 2009, has entered into an association with Bidwells, one of Britain’s oldest and most respected rural real estate and agribusiness consulting firms.

Stuart Cooper, general manager of PGG Wrightson Real Estate, said the new relationship would provide kiwi farmers with a double benefit.

“Bidwells will work with us to profile selected New Zealand rural properties to their clients in the United Kingdom and Europe.

“New Zealand has always been a popular destination for British farmers looking to make a fresh start. This relationship will streamline that process, providing our clients access to a wider range of potential purchasers.

“Additionally, many of Bidwells Agribusiness’ clients have considerable experience and success investing internationally in agribusiness. The favourable conditions that underpin New Zealand agriculture make it an attractive option for smart investors who understand primary production. Bidwells provides ongoing consultancy to many such individuals and businesses. Coupling that to PGG Wrightson’s understanding of New Zealand farming business provides a mutually beneficial avenue for investment opportunities here,” he said.

Many British and European farmers, facing recent challenges in their own countries, have re-located their capital and experience elsewhere, including to New Zealand rural communities. Stuart Cooper said PGG Wrightson’s association with Bidwells will facilitate that process, helping Northern Hemisphere farmers to make a seamless transition to this country.

“The world is shrinking, with increasing cross-national involvement in the business of food production. Just as New Zealand farmers are investing in agricultural enterprises in South America, Asia and Australia, so European farmers and agribusiness investors are looking beyond their own national boundaries for projects where their capital and expertise can be put to profitable use. That opens up some tremendous opportunities for New Zealand agriculture,” he said.

Bidwells has been operating for over 200 years and is headquartered in Cambridge with a dozen offices across the UK. Over the last decade Bidwells Agribusiness has positioned itself as a leading international provider of consultancy and management services in the agribusiness sector, and has first hand experience of agribusiness investment in Africa, Europe and the former Soviet Union, as well as the UK.

Stuart Cooper says the two companies are similar in many ways.

“We both have a long-term commitment to the rural sector, spanning three centuries and many generations and we both offer our customers an innovative, multi-faceted, forward looking approach to the whole business of agriculture that is about more than just selling land,” he said.

Bidwells Agribusiness partner Carl Atkin said the arrangement with PGG Wrightson, would be well-received by the European market.

“There is considerable interest in New Zealand, particularly in large scale arable and dairy units, which are globally competitive. Interest in the agricultural sector remains strong: global farmland prices are predicted to rise strongly and farmland is a useful non-correlated real estate investment and inflation hedge. Asset selection is critical and requires specialist agricultural knowledge, which is available through the unique partnership of Bidwells and PGG Wrightson,” he said.

ENDS

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