Zespri global sales top $5 billion for 2024–25 season amid strong demand
Zespri says global sales for the 2024-25 season topped $5 billion on the back of strong demand and market returns.
Low interest rates are driving record enquiries for cash yielding real assets, says the rural syndicate property investor MyFarm Investments.
Within three days of the Reserve Bank of NZ cutting the OCR by 0.5% to a record 1%, the company had 60 investors take up its offering of two SunGold kiwifruit orchards ($8.2 million), it says.
MyFarm chief executive Andrew Watters says in contrast to many other cash yielding investments, the Bay of Plenty kiwifruit offer was expected to generate average returns of 9% over the next five years.
“Investors are seeking cash yield, they are seeking investment diversity to spread risk and they like the market-led focus of Zespri and the sector’s record of innovation.”
The company recently withdrew a diversified horticultural offer, Kakariki Fund Ltd, from the market. It was seeking $40m but raised only $30m.
Watters says despite its disappointment, the company sees a clear mandate to offer investors direct investments in single real assets.
“It seems investors love the touch and feel of a specific investment, be that a kiwifruit orchard, cherry orchard or hop garden.”
MyFarm is now seeking to raise $22.5m for its second large scale hop garden development in Nelson. Wairua Hop Garden Ltd partnership is a 175ha dairy farm on the Motueka River due for conversion in the next two years.
The company expects to distribute cash after 2.5 years, building to 14% p.a. It also expects tax benefits.
Its management partner Hop Revolution is targeting global craft brewers wanting the tastes and aromas of NZ bred hops. Other institutional investors, including NZ Super, are also investing in Nelson hop gardens, Watters says.
“They’re eager to gain exposure to NZ hops and the premiums the US craft brewers will pay for them,” he said.
Commercial fruit and vegetable growers are being encouraged to cast their votes in the Horticulture New Zealand (HortNZ) board directors' election.
A unique discovery by a Palmerston North science company, Biolumic, looks set to revolutionise the value and potential of ryegrass and the secret is the application of ultraviolet (UV) light.
A New Zealand company is redefining the global collagen game by turning New Zealand sheepskin into a world-class health product.
With further extreme weather on the way, ANZ Bank is encouraging farmers and business owners impacted by the recent extreme weather and flooding to seek support if they need it.
New Zealand must continue to educate Chinese consumers about the unique qualities of its red meat products and how they differ from competitors, says Silver Fern Farms chief executive Dan Boulton.
There are opportunities outside the farmgate for young farmers to further develop their skills, says 2025 Primary Industries Emerging Leader Award winner Bridie Virbickas.
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