Agri-Capital

Agri-capital offers the unique opportunity to own a leasehold of low cost/high potential farmland. Located in a prime rice-growing region in Sierra Leone this investment allows the investor to take advantage of the steady increase in the price of agricultural commodities, as well as strong capital growth as the price of prime farmland increases globally. Between 1989 and 2009 the price of rice rose over 80% and with demand continually increasing with population growth, agricultural products are one of the most reliable growth commodities.

 

Each acre sold will be cultivated (increasing the land value) with high-yielding rice. The investor is entitled to a 40% share of the net profit from the rice harvest, estimated 15% p.a. (actual yield in 2011 of 16.2%) with an aim of generating an ROI of at least 175% after 5 years (including income and capital growth).

 

Rice is a particularly valuable crop because a harvest cycle only takes around 120 days allowing for multiple croppings. Additionally, the country currently produces enough rice to feed just 64% of its population, the climate is ideal for rice production, therefore with the use of modern eco-friendly agricultural methods, this production will increase, with the aim in the next fews years to become a major rice exporter.

 

Sierra Leone was chosen as a particularly good location for this investment, as its 'Political Stable' and has 'Strong UK Links' which has earned it the reputation as one of the best countries to start a business in Africa.

 

Summary of financials

  • Minimum Investment: 3 acres at a cost of £1,950 per acre
  • Annual income 15% p.a. estimated
  • Land will return appreciation at an approximate rate of 7% p.a.
  • Total return targeted at 175% after 5 years
  • Leasehold of 49 years with exit strategies
  • SIPP Approved.

For further details of this investment, please contact us.