Ukraine - Agricultural Land
Detailed Product Description
Investment Facts
Low Entry level $5,350 US +
Fully secure asset backed by UK PLC company
High Gains up to 415%
UK lawyers - funds sent to an escrow account
Fully managed investment.
Purchasing at ground level
Aiding local farmers with modernisation techniques as an ethical investment.
Why Invest? - Agricultural Commodity Market
Increasing number of institutional investors are finding ways of benefiting from rising agricultural needs.
Worlds population is growing at an astonishing pace. Figures from the US Census Bureau indicate that the number of people on the planet exceeded 6.75 billion in January 2009, and the population is increasing by almost 80 million every year. Thats approximately 150 more mouths to feed every minute
In India and China; beef and chicken consumption has quadrupled since the mid 70s and is still growing rapidly meaning changing appetites further increase the pressure on food prices, and the wheat needed to feed the animals which produce the meat
Due to increasing levels of urbanisation, and the shortage of water associated with this, the arable land available is shrinking
Demand for agricultural produce, whether this is wheat crops for food, or wheat crops for animal feed, continues to grow, while supply remains naturally constrained
The business of feeding the world is becoming bigger and bigger business. This has pushed it to become a major investment theme which should have a place in all investment portfolios
As this progresses, the countries which produce crops in large quantities will become among the most sought after locations for investors, producing an asset for which demand
The Investment Explained
You are purchasing plots of working farm land in The Ukraine, which will in turn be cultivated, harvested and fully managed by a leading specialist company Euro farms LLC` alongside Aston Lloyd PLC. Yields will be paid to you on an annual basis from when the first crop is harvested and will be achieving growth on the land value year on year. Investors will receive 30% of all net profits per annum for harvest.
INVESTMENT COSTLand Cost US$ 5,350 for each pai ( 5.35 hectares - minimum Investment )Legal Cost US$ 615.25
TOTAL US$ 5,965.25
DEC 2009 Cultivation Cost US$ 2,942.50
GRAND TOTAL INVESTED US$ 8,907.75
JUNE 2009 - Project Launch
DEC 2009 - Investor Cultivation fee
FEB/MAR 2010 - Crop plantation begins
JULY/AUG 2010 - Crop harvesting commences
SEPT 2010 - Crops sold at market value
JAN 2011 - Harvest profit paid to Investors
Yields and Exit Strategy
As we all know food production has hit an all time low. So it is no surprise that funds are capitalising on this and have invested more than $8 billion into the global agricultural sector.
Harvest yields will be paid to each investor per annum after first harvest /crop. The investor will receive 30% of the NET profit, whilst accumulating a significant growth in the land value per year. After 5 years the complete site will have achieved optimum capacity. Producing 8 metric tonnes of grain per hectare, with a growth in the land value of 28% per annum ( KNIGHT FRANK ). We already have received interest from institutional funds to offer a buyout on the completed project.
Similar funds have acquired AGRI-COMMODITY INVESTMENTS and are providing healthy returns for their investors. They include - ELANA ; A Bulgarian agricultural Land Fund, SCHRODERS ; An alternative solutions agricultural land Fund, SARASIN AgriSar Fund.
Statistics
Current price of wheat is US$ 247 per metric tonne ( June 2009 ). This is predicted to rise to US$ 270 by July 2011.
Crop harvesting yields in the Ukraine are projected to grow from 3.5 metric tonnes per hectare to 8 metric tonnes per hectare. This also increases the value of the land at a rate of 28% per annum.
( Also providing one of the strongest levels worldwide ).
70% of all Ukrainian land is arable. The Ukraine holds 40% of all the planets rich black earth soil.
Ukrainian arable land prices are suppressed heavily at just US$ 1,500 per hectare, compared with Western Europe- US$ 13,200-32,200 per hectare. Providing a huge growth potential for Investors.
Higher soft commodity prices and lack of supply are contributing to food shortages, Increasing demand for grain.
World bio fuel production - High Oil prices and a need for energy independence have led to a strong pursuit for bio fuels. Energy crops such as wheat and rapeseed are in high demand.
Basic fundamental - Humans need to eat, so soft commodities such as wheat, barley, corn and sunflower will always be in high demand. Demand currently outweighs supply.
Ukraine's economic situation has resulted in the land price being significantly lower then other arable crop producing countries, Such as; ARGENTINA ( US$ 4,400-7,800 per hectare ), USA ( US$ 4,500- 28,000 per hectare ), WESTERN EUROPE ( US$ 13,200-32,200 per hectare )
Ukraine is geographically placed at the cross roads of central European and Asian trade routes. So is strategically an ideal platform for exportation both Russia and Western Europe.
Ukraine land prices are substantially low and KNIGHT FRANK forecast that the Ukraine's agricultural land price will double from US$ 1,500 per hectare. It will increase by 28% per annum thereafter. (Knight Frank April 2009)
The Investment Model
We are offering investors soil rich Ukrainian agricultural land at just $1,000 per hectare,* plus a one-off $550 cultivation fee and legal fees of US$115 per hectare, within approximately 3-6 months of initial investment.
1. Land Value: In 2009, Ukrainian Agricultural Land increased by 50% and it is projected that land values will continue to increase by 28% each year (Knight Frank).
2. Yield: Recent analysis into Ukraines agricultural industry has found yields (i.e. metric tonnes of produce per ha) surging above 2010 projections. The yield is projected to improve from 3.5 to 8 metric tonnes per hectare (Agricultural Marketing Resource Centre).
3. Exit: As a result of expressed interest from institutional funds, we expect the site to be sold in its entirety after 5 years, offering significant ROI for investors.
*Investors must purchase at least one pai consisting of 2 to 10 hectares dependent on selected investment option
In Summary- A study from the rural research division at Knight Frank, has found that (as of April 2008) the average cost per hectare for agricultural land is US$1,500 and is expecting to rise. Agri-Commodities offer investors entry at US$1,000 per hectare
- In the last 18 months, taking into account the current economic climate, in excess of £8 billion of Institution Funds have been invested in this sector
- Ukraine offers the most fertile soil in Europe and 4th in the World (UNFAO)
- The experienced western management company Eurofarms LLC on the ground to oversee operations and introduce modern agricultural equipment to improve productivity and yields for investors
- Increase in land value from US$1,000 to US$5,153 within 5 years
- Yield increase year-on-year with a 5 year yield equivalent to 108%
- Structured exit strategy at 5 years to Institutional fund with projected capital appreciation of 415%.
Ukraine - Agricultural Land
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Company Info
PRIME ACQUISITIONS RESOURCES LIMITED
[United Kingdom]
[Verified Member]
City: London
Country/Region : United Kingdom
Business Type:Trading Company, Agent, Distributor/Wholesaler
Online Postings: Products




