Competition for Capital
Accepting the FactsAccepting the Facts
A way forwardA way forward
Brendon SmartBrendon SmartBusiness development, SMARTGROUP.Business development, SMARTGROUP.
Capital “Money is the root of all evil”
Biggest challenge to food production
Difficult for new entrants to Ag Historically poor returns
Easier money and trendier professions elsewhere Decreasing margins dictates larger production units
Traditionally debt funded expansion Weakening market influence
Parties with vested interest
Governments Retailers Processors Producers Consumers
Farmer age groupOver 65 Under 35
Average age of farmersUnited KingdomAustralia
Percent of population in urban livingNetherlandsUKAustraliaCanadaNew ZealandFrance Ireland
UK Australia 33% 25% 3% 11%
58.555
87%70%57%55%45%27%27%
Structure
SOLUTIONS
GOVERNMENT EDUCATION EQUITY INVSTMENT CREATIVE BANKING PROFESSION MARKETING GOVERNMENT REINVESTMENT CAREER PATHS FOR EXISTING
PARTICIPANTS RELEVANT INDUSTRY LOBBY
WHAT NEXT
INDUSTRY / GOVERNMENT WORKING GROUPDEVELOP CO-INVESTMENT / EQUITY
MODELSREVIEW SUPER / PENSION FUND INV
REQUIREMENTSBANK DIRECTION EDUCATION REVIEWPUBLIC RELATIONS