Agribusiness News South Africa

Bankable African agri-projects lead to investment

Investment and financial communities across the globe are shifting their focus towards agriculture. With the current economic downturn and a struggling mining industry, translating food security into an investment option for investors and financiers has been identified as a long-term opportunity. Agriculture has become compelling for international and local investors who are seeking stability and higher risk-adjusted returns. Agriculture is certainly seen as the next best thing.
Bankable African agri-projects lead to investment
©Ð¡ÐµÑ?гей ТÑ?япиÑ?Ñ?н via 123RF

However, the biggest challenge investors and financiers are facing is identifying higher risk-adjusted returns projects/opportunities that are clearly articulated and investment-ready. This challenge is particularly greater in Africa where risk and returns analysis have negatively impacted investors’ confidence. When comparing risks, venture capitalists have found the African continent to be at the bottom of the picking destination.

In addition, companies, project owners, and developers currently involved in large complex and fast-track agriculture projects, frequently suffer financial losses that could have been mitigated by effective management and well-defined business plans. Practical “know-how” of financials will allow agri-projects to take appropriate steps, minimise or manage risks and ultimately obtain the necessary finance and funding.

The African Agri Council (AAC) has developed an online platform that brings structure and efficiency by connecting project owners, heads of projects and directors with the right investors and financiers. The AAC invites project owners to submit agribusiness and agri-processing projects through the AAC project submission page.

Selected projects will be showcased to a core group of targeted investors at the African Agri Investment Indaba 2016. These projects will be reviewed by an investment expert panel prior to the African Agri Investment Indaba during the Investment Discovery Sessions. Once submitted, projects will be exposed to alternative funding and financial options and opportunities.

For more information on how to submit your project visit African Agri Investment Indaba 2016.

Let's do Biz