The world will need to double food production in the next 50 years or so. That will require land, water, energy and a variety of technologies – not to mention appropriate policies, logistics, governance etc.

Brazil is the 4th food producer and exporter in the globe. It is the 5th largest Country in the globe and has one of the largest farmable extensions – still today, 10% of Brazil’s territory (90mi ha) is composed by farmable lands that were not used yet. The country also holds 12% of the fresh water in the world and ranks #1 in terms of the availability of natural renewable water resources.

There are limits for foreigners to buy land in Brazil. Nevertheless, the Brazilian Government has recently sent to the Congress a proposal that, if implemented, will lift such limits. Expecting for that, a variety of investment funds are being formed.

Brazil is highly productive in food production and that is mostly due to a combination of (i) scale and (ii) technology. According to IPEA, a respected Government think tank, 75% of the productivity gains seem in food production in Brazil since the 70’s are due to technology and innovation. Players in the Brazilian agribusiness economy are globally minded and connected, tech savvy and well capitalized.

The opportunity:

  • To put money in funds that are investing in land and food production in Brazil;
  • When the time comes, to buy land in Brazil and/or excise options.
  • To produce food in Brazil and export to global markets.