Agricultural land values are rising rapidly all around the world and hitting the highest level in the recent years.
There has been dramatic increases in agriculture land prices in Turkey, especially in the Aegean and Mediterranean regions. The price of agricultural land increased by 500% in the last two years.
The conflict in Eastern Europe, the global supply shock, and the rising demand for agricultural products, has recently made farmland investment a uniquely stable asset in its class. Given the expected growth in commodity prices, farmland values are expected to continue rising.
Turkey has the perfect weather conditions and soil with rich minerals necessary for multiple agricultural activities. It is for this reason that Turkey is one of the top producers and exporters of different crops in the world.
Olive, walnut, almond and pistachio farmland
Agrolidya, Turkish agriculture land investment company, provides investors with an opportunity to make an agricultural investment in walnuts, almonds, olives, and pistachio orchards. They have the most fertile lands in Anatolia, especially in Manisa and Antalya.
The journey starts by ensuring to choose ‘the right product’ for ‘the right land’. Then it follows the meticulous process of land cultivation, planting, maintaining crops and harvesting.
Agrolidya, which aims to provide the first harvest as soon as possible, also provides a personal and professional garden maintenance service for its investors.
Agrolidya works with investors to achieve a competitive, technological and sustainable growth model in the production of olives, walnuts, almonds and pistachios, highly valuable agricultural products, to provide high income.
Tamer Yasar, the founder and CEO of Agrolidya, said that the company has been making agricultural investments in Manisa, Turkey, which has the best climate and land conditions for walnut, almond, pistachio and olive production.
Tamer said: “After all the necessary soil and water analysis is complete, we choose the right product for the soil, carry out all required preparations and complete the orchard set up. The aim of this type of investment is based on a win-win model.
“We look after the investors land in the best possible way. This allows us to make profit at the same time with the investors when harvesting the best product.
“By investing in agricultural land, investors assets becomes more valuable as the trees mature and they also regularly receive income every year.”
Pistachio production
According to the CEO of Agrolidya, pistachio farming is one of the most profitable businesses. With full bearing maturity, the average yield/tree is 15kg. In relation to current investment costs and sales figures, the investment return after the seventh or eighth year has a return of 45% on a yearly basis in the latter years.
Agricultural land in Turkey
Both domestic and foreign investors have a very high interest in agricultural lands. While individual investors make small and medium-sized investments, companies are making large-scale investments in agriculture.
According to regulations in Turkey, non-Turkish individuals can buy a minimum of 10,000m2 of planted farmland with full ownership in their name.
In the case of greenhouse investment, foreign individuals can purchase a minimum of 3,000m2 of greenhouse area.
Recently, the majority of the foreign investor demand had consisted of those who wanted to obtain Turkish citizenship.
Investing tips
The CEO of Agrolidya has provided some tips for potential future investors.
Tamer said: “To create your garden professionally, in short, making the correct investment at the very beginning is essential.
“Mistakes made at the beginning may cause investment returns to be below expectations. As is known, there are many examples of ill planned investments in Turkey.
“Choosing the right land and sapling, a suitable product variety for the region, selecting the best fit agricultural structures, well planned irrigation and harvest, as well as proper management of the area, will bring a good return to it’s investor.
“We provide all the services mentioned above,” he concluded.
Farmland is becoming a popular investment for multi-billionaires as it is a new form of investment for their money.
Multi-billionaires Bill and Melinda Gates have accumulated approximately 270,000ac of farmland across eighteen states in less than a decade. Bill Gates has become the largest private farmland owner in in the United States of America.
Amazon’s founder and chairman, Jeff Bezos, has purchased 420,000ac of farmland in recent years. Other noteworthy farmland investors include Ted Turner and Thomas Peterffy.
Farmland investment has been a better barrier against inflation as the returns of farmland have beaten the stock market since the late 1990s.
It also gives investors who are keen to spread the risk with a diversified portfolio an opportunity to increase their income.
For further information on Agrolidya, click here.
