With 2022 right around the corner, our eyes are fixed on the new year and all it has to offer. Farmers and ranchers are modernizing food production to meet increased consumer interest in supporting local agriculture, and demand for sustainable practices continues to drive buying preferences. We’ve compiled a list of the top 5 agricultural investment trends you’ll want to keep in mind if diversifying your portfolio is one of your New Year resolutions.
Investing in Precision Agriculture: Challenges & Opportunities
As the globe’s population continues to grow consuming more and more resources, and available land decreases, farmers need to maximize their efficiency. From 2014 to 2018, the United States lost over 14 million acres of farmland. Precision Agriculture (PA) is a farm management concept based on observing, measuring, and responding to variability in crops, both inside a field (intra-field) and outside (inter-field). PA solutions often include specialized sensors, software, and cloud-based services. PA sensors in fields can measure parameters such as moisture content, air and soil temperature. Satellites and unmanned aerial vehicles (drones) can provide growers with real time multi-spectral imaging of their fields and even individual plants. This information can be processed with the assistance of artificial intelligence and machine learning to assist a farmer in making decisions, such as how much soil additives and irrigation to apply in order to increase profitability and sustainability.
Read moreFive Superfood Investment Trends for 2021
Nearly everyone has seen an advertisement for some sort of “superfood” that promises numerous health benefits packed into a single fruit or vegetable. Besides these claims, superfoods can make an attractive addition to an investment portfolio seeking diversified returns.
Read moreInvest in Agtech to Combat Food Inflation
As the agriculture industry evolves, so does the agriculture investment space. We’ve moved beyond simply investing into a crop and gaining returns from the yields. As equity crowdfunding in agriculture progresses, new investment opportunities arise. AgTech investments have exploded over the last half decade, with more exponential growth expected within the coming years.
Read moreInvesting in Hardy Hazelnuts
Tree crops have proven themselves as a sturdy investment option that can bring an investor returns for years to come. Though in more recent years, hazelnuts have held their ground as a tree crop that has increased in global demand, generates an appealing risk/return profile, and has rightfully earned its spot as the fifth largest nut crop in the world.
Read moreThe Thriving U.S. Lamb Industry
Lamb is a small component of the overall U.S. animal protein market, but one that is rapidly growing in importance. Approximately 300 million pounds of lamb are sold annually in the United States, with the majority of the product imported from Australia and New Zealand. In the most recent USDA Census of Agriculture, last conducted in 2017, there were 101,387 sheep operations (both wool and meat) in the U.S., an increase of 15% from five years prior.
Read moreFamous Investors Growing Wealth with Agriculture
When building a portfolio, you may be tempted to stick with traditional stocks, bonds, mutual funds, and exchange-traded funds and stay away from nontraditional investment opportunities. For many, the idea of investing in agriculture is unfamiliar and seems too unconventional since it does not receive as much attention in mainstream investment discussions. Yet investments in farmland and timberland are much more common than you think, as many of the world’s largest investors already understand the benefit of agricultural investing and how it can help them preserve and grow their wealth. Not only do these investments offer steady returns and desirable tax benefits, they can offer investors a chance to pursue their dreams of owning farms or ranches.
Read moreAquaculture Investments: Making a Splash in 2021
The rising human population has unsurprisingly led to a boom in the demand for seafood. Consequently, the ocean is being rapidly depleted, not only reducing the seafood supply, but also negatively impacting ecological systems and reducing biodiversity. The rising need for animal protein, which is expected to increase by 52% by 2050, can only be met by farming fish. Aquaculture, which is the controlled breeding and harvesting of aquatic organisms, creates alternative sources of seafood for the growing population.
Read moreHow to Expand Your Farm with Equity Crowdfunding
It’s not uncommon for farmers, ranchers, and landowners to fall victim to a foreclosure from the bank. In fact, there was a 40% decline in net farm and ranch income in 2015. So what other options can you visit before giving a bank control of your land? Trading some of your land equity for cash from an investor may be the best decision you make.
Read moreTop Five Agricultural Investments to Consider in 2021
With the rise of the COVID-19 pandemic, consumers are incredibly conscious of the origins of their food, including how, where, and by whom it is produced; perhaps more now than ever before. Consumers’ diets are changing, as they are unsurprisingly eating at home more due shelter-in orders and remote working as well as being more aware of what they are putting into their bodies. Similarly, public interest in climate change and other environmental issues, especially related to agriculture, has shown no decline. Based on these trends and discussions with our investors, we have developed the top five agricultural trends to watch for in 2021.
Read moreHow to Invest with KrogerFarms
So you’re thinking about investing in agriculture with KrogerFarms? Good choice -- investments in agriculture provide a hedge against inflation with little to no correlation to the overall stock market, and can be an attractive diversification tool for a portfolio. The universe of agriculture investment varies widely, with various crop types, growing methods, and offering structures, each with their own risk/return profile. Take a look at the simple steps below to get started. We are more than happy to aid you in your endeavors. But first, here’s a little bit about us.
Read moreTop 5 Mistakes Farmers Make When Raising Capital for Their Operation
The first question most farmers and producers who plan on starting a new operation or expanding their current one ask themselves is, “Where am I going to get the money?” For some of them, driving down to their local ag credit union will suffice. But others who may be thinking on a larger scale might consider raising capital with outside investors. For those, we offer a list of commonly seen mistakes.
Read moreMust Watch Farmland Investing Trends
When it comes to investing, one of the most valuable skills you can have is being able to identify trends and capitalize on them.
For example, those who caught the trend of online shopping and e-commerce have done quite well with stocks like Amazon. On the other hand, those who had their heads in the sand did not do too well if they owned retail stocks, such as Macy’s.
Farmland hasn’t quite become trendy yet, but it is growing in popularity. It has transitioned from an investment that was out of reach to something you can now own with relative ease. All without getting your boots dirty.
Before diving in, it is important to understand the current trends within an investment. Based on a report by Farm Foundation, here are the most important trends farmland investors need to be aware of.
Read moreThe ‘Cherry on Top’ for A Diversified Portfolio
Sweet, tangy and globally enjoyed, cherries have earned and proven their spot on consumers’ shopping lists, in our foods, and potentially, in your investment portfolio.
According to Transparency Market Research (TMR), the global fresh cherries market value is anticipated to reach $ 107.2 billion by 2029 at a CAGR of 8.5%, making cherries an investable asset worthy of consideration.
Read moreMicroalgae - The Next Wave in Alternative Protein Investment
The alternative protein market has been a darling of investors the past few years, with most of the capital flowing into start-ups related to plant-based protein. However, a photosynthetic single cell cyanobacteria, commonly referred to as blue-green or microalgae, could drive the next wave of investments in alternative proteins.
Read more4 Reasons to Invest in Regenerative Agriculture
As agriculturalists and scientists seek solutions to the growing demand for sustainable agriculture products, many look to regenerative agriculture. Regenerative agriculture is a practice that involves enhancing the natural resource base and environment, while still producing sufficient amounts of high-quality food and being financially viable and safe for farmers and their communities. Regenerative cropping and farming practices aim to rebuild organic soil matter, resulting in a variety of environmental benefits, including improved soil biodiversity and reduced climate change. Regenerative agriculture also improves the sanitation of water and has proved to be a financially sound practice for farmers worldwide. The closed-loop system is thought to reduce humans’ impact on the environment and reverse damage.
Read moreHydroponics: From Farm to Fork
Hydroponics can rapidly help serve unmet demands for fresh organic vegetables, grown close to their market. Though limited by volume, growing food in hydroponic greenhouses has many advantages. Because the greenhouse's temperature and inputs can be precisely controlled, plants grow faster and face fewer diseases than their counter-parts outside in soil. A closed-loop irrigation system results in major water savings and uses less fertilizer, while not introducing pollutants into groundwater and soil. These greenhouses can be adapted to many different crops, and facilitate ease of rotation, which enable the farmers to more quickly react to changing consumer demand. Finally, growing hydroponic vegetables closer to consumers will help reverse the trend of foreign produce imports and transporting food across the oceans.
Read moreHow Growing Health Trends Can Change the Landscape of Agriculture
Consumer demands have rapidly changed in the past few years – something that is most apparent in the food and agriculture industry.
Numerous factors have impacted the current shift in agricultural production, including boosted
efficiency and new regulations. However, a landmark study by the International Institute for Applied Systems Analysis found that beyond these two
factors, changing consumption patterns will determine the future landscape of agriculture.
Today, consumers are willing to pay a premium for their health and the agricultural supply chain is heeding their call. As grocery
stores, fresh markets, and food companies change their approach to meet the demands of health-savvy consumers, so too will the farms that supply them.
Here are four growing health trends you should watch out for.
Protect Your Portfolio from Market Volatility with Agriculture
The Coronavirus scare has taken a toll on the stock market as of late. Much of the volatility in the market is driven by “program trading,” or machine-driven stock selling and buying. Markets these days are increasingly driven by algorithms, instead of human traders.
Thousand point daily swings may work to Wall Street traders’ advantage, but to the average American with retirement savings, they can be a cause for anxiety and concern. Because so much money is locked up in Exchange Traded Funds and index funds, this volatility is magnified for most investors. The CBOE Volatility Index, or VIX as its known, has spike tremendously in the past week.
Read moreInvesting in Agriculture vs. Investing in Stocks
The stock market is where most investors invest the majority of their money, but is that really the safest place for it? Some analysts have called the current investing environment “the everything bubble” and are predicting that the next financial crisis could eclipse the one of 2007-2008. Lofty equity valuations along with continued low yields have driven more and more people towards alternative investments to protect and grow their wealth. Commercial real estate, precious metals, oil, and gas are well known alternative asset classes; agriculture is somewhat lesser known, but nonetheless important to consider. How do agricultural investments stack up against investments in more traditional stocks?
Read more