The client was exploring international opportunities in regenerative farming to acquire degraded arable land to enhance both profitability and ecosystem services. The client was also looking to explore the potential to create investment products that underpinned regenerative agriculture. The client’s key objectives were as follows:
- To acquire degraded arable land and apply regenerative agricultural techniques. This will enhance the profitability of farming and capture additional evolving income streams including biodiversity and carbon credits;
- To provide an effective means for fixing long-term carbon in the soil and improving soil health;
- To engage consumers and give them access to sustainably produced food;
- To provide new opportunities for youth to enter sustainable farming;
- To build resilience to climate change.
Regenerative Farming Study Objectives
The project’s objectives were to analyse and compare regenerative farming in five countries for potential market entry based on scores against key criteria. Examples of relevant criteria include:
- Average arable farmland price (historical, current and forecast);
- Restrictions on foreign investment and land ownership;
- Applicable taxes;
- The market for regenerative products/organic food within the country including price premiums;
- Farm incomes and profitability;
- Other commercial market opportunities e.g. carbon credits, tourism etc.
The Approach
The study reviewed key factors affecting the attractiveness of investments in regenerative agriculture, at a global level and specifically within the following countries/regions:
- The United States;
- The United Kingdom;
- The European Union;
- Brazil;
- Australia.
The following factors were assessed for each country and a score was allocated:
- Land Prices;
- Regulations and Policy;
- Carbon Markets;
- Income potential;
- The organic market.
The outlook for each country was assessed and scored on a five-point scale to allow an overall unweighted score and ranking for each country to be calculated. This helped the client in making more informed decisions about the market opportunities provided by regenerative farming.
If you would like to know more about market opportunities in regenerative farming or have any specific questions then please contact us.