Central Europe and southern and eastern Africa are both emerging markets, offering opportunities for land pioneers. The risks can be high but over time so are the rewards.

Central Europe

Historically, farming businesses in Central Europe have been inefficient, often being small and fragmented and under-resourced in terms of capital and skills. The land quality, availability of water and labour in many parts of the region, however, present substantial opportunities for the experienced operator, with the additional benefit of EU subsidies.

Where performance is improved through scaling up and proper resourcing, Central Europe should translate into stronger capital values in the long term, particularly when set against the backdrop of a global demand for food and energy security.

Southern and eastern Africa

Africa continues to grow in economic importance, with agriculture and, more specifically, land its greatest assets. There are significant ‘growth corridors’ developing in southern and eastern Africa, that unlock the potential for exports and strengthen local and regional markets.

Land ownership varies between countries and freehold tenure is rare though long-leasehold interests usually come with a renewable clause. It is very much a case of knowing your markets as the risks can be high but for the well-informed there are opportunities to acquire large productive farms that are likely to show substantial capital value uplift in time.

However, external infrastructure and access to markets are key to maximising financial returns, so any investment here is best made alongside infrastructure investments and improvements.

Further information

Read more on Investment Opportunities in Africa and Around the World in Dollars and Cents