Argentine Agricultural Farmland Prospectus

Farmland Argentina

160% returns fixed over 10 years5 year plan available - SIPP compliant

WW

W.E

COIN

VEST

MEN

TS.C

O.U

K

Secure yet attractive Key investment dataAs part of our continued commitment to bring you the best eco and alternative investments available, we are pleased to be able to offer you the opportunity to purchase productive farmland with a 5 or 10 year re-purchase contract.

With increasing global pressure on food supplies, an investment in farmland is a compelling opportunity. Farmland in the UK might seem to meet these requirements, but it remains very overpriced, so the net returns are proportionately low. We have sourced this investment because farmland in northern Argentina – traditionally the granary of the world – is a fraction of the price of UK land, with crops traded on the same world markets giving investors far higher returns.

Argentine farmland is highly fertile, producing two crops per year and it is only around 30% of the price of UK farmland. Although crop prices are subject to short-run fluctuations, the long-term trend is to move steadily upwards, slightly ahead of inflation. This reflects the growing global population, and the rising demand in Asia for meat that requires a high input of cereal based feed. Therefore, we believe clients will see a good return, with land ownership giving increased security.

This investment is offered by an Argentine public company with very large land holdings in the northern part of the country. It is raising funds to bring marginal land under cultivation, and to finance farm machinery – increasing food production and providing employment in one of Argentina’s less developed regions.

This deal is structured to enable investors to purchase the land at a one third discount of its current value. The farm simultaneously offers you a contract to re-purchase the land by making Annual Payments and a large Final Payment. This structure gives you the security of proven contractual returns and land ownership rights making it a very attractive package.

Land is purely used to grow crops

There is no debt on the land

Over $12 million dollars invested in this project to date

You can invest with cash or via a SIPP

Crops are wheat, soy, sunflower, maize and sorghum

Minimum investment £12,000GBP or $16,000USD

100% track record of client payments since conception in 2007

The farmers control 60,000 hectares of land in Argentina

Payments made to you annually

Argentina sells crops to countries all over the world

MIL

LETT

EA

GREE

N O

IL

AUST

RALI

A

WW

W.E

COIN

VEST

MEN

TS.C

O.U

K

MIL

LETT

EA

GREE

N O

IL

AUST

RALI

A

Call us +44 (0)20 3012 0306or email [email protected]

5 year plan available - SIPP compliant160% fixed return over 10 years

Why invest in Argentine farmland?Within Argentina interest rates are extremely high; and, as elsewhere, loan capital has all but dried up. Thus the sale of land to international investors in this fashion is – despite the high payments – the best form of finance.

Argentina is not a small country trying to be an agricultural producer and exporter: it is already a big player in the field. It has the infrastructure to do it, and has been doing it successfully for many years. Argentina is in fact one of the world’s leading exporters, with many countries relying on Argentine produce. Therefore with their crops the farm can easily meet the repayments using investment returned from the land under cultivation.

Since 2007 all the previous investors

in the other phases of this project

have been paid on time for the

agreed amounts.

Total funds raised so far for this specific

project are over $12million / £7million

$11.2 billion of unprocessed goods, mainly soybeans, wheat & maize were exported in 2009

Exports of processed goods totaled $18.6 Billion i.e. animal feed, flour & vegetable oils

In 2007 16 million hectares of Soya was planted, producing 47 million tons of crop

In 2007 Argentina was one of the three largest Soya bean exporters in the world

6 million hectares of wheat produced 16 million tons, of which 14 million tons was exported

In 2007 4 million hectares of maize produced 20 million tons, 1/2 of which was exported

In 2008 15 million tons of maize was exported, the 2nd largest exporter globally

Argentina is the world’s largest export of lemons, sunflower oil, pears and honey

WW

W.E

COIN

VEST

MEN

TS.C

O.U

K

MIL

LETT

EA

GREE

N O

IL

AUST

RALI

A



“Argentina offers proof that economic openness and trade improve people’s lives.” The Times (London), 9th January 2010

The investmentPurchase and re-purchaseEach investor purchases a defined area of land within a large freehold estate. The price is at a discount of one third of its current value – the value is determined by a very conservative method of land valuation that is entirely transparent.

You are essentially agreeing to buy the land and immediately signing a contract to sell it at a higher price. You are offered to choose a re-purchase within either 5 years or 10 years by means of an Annual Payment, followed by a large Final Payment.

Dollars and PoundsCrops in Argentina are traded in US dollars, not in the local currency. You have the option to invest in either US dollars or GB pounds sterling. Farmland in Argentina is priced in US dollars: the amount of land acquired will depend on the exchange rate at the time of purchase. However, the Annual Payments and the Final Payment will be calculated according to the currency in which you invest. This eliminates any currency exchange risk for you/your pension pot.

InsuranceThe crops on the farm are insured. In the event of a crop failure the insurance will pay the farm allowing the farm to still then honour your payments.

The locationThe farmland is situated in Santiago del Estero province, approximately 1000 km North-East of Buenos Aires. It is an area of strong agricultural land, comparable with the Midwestern United States. Although the region is not the most developed in Argentina, it has good infrastructure and reliable local services. Agricultural investment in the region has the advantage of boosting the local economy and creating local jobs.

Argentina is one of Latin America’s greatest success stories. Since the 1980s, it has become a flourishing democracy and in the past decade it has been a powerful economic player. Agricultural wealth underpins its success.

WW

W.E

COIN

VEST

MEN

TS.C

O.U

K

MIL

LETT

EA

GREE

N O

IL

AUST

RALI

A



Next steps

The information in this document (including but not limited to, photographs, illustrations, plans, dimensions, descriptions, tables, projections and prices) are for guidance only. While every effort has been made to offer current and accurate information, errors can occur. Eco Investments makes no warranties or representations as to the accuracy, correctness, reliability or otherwise with respect to such information, and assumes no liability or responsibility for any errors or omissions in the content contained in this document. Within this document you may find links or references to third party material and third party web sites. Eco Investments accepts no liability in respect of the contents of such material or sites. Eco Investments should not be taken to be endorsing, publishing, permitting or authorising such materials or sites. Eco Investments is not a party to, or responsible for, any transaction concerning goods or services available from such third party materials or web sites. Eco Investments will revise the information; services and resources contained in this document from time to time and reserves the right to make such changes without any obligation to notify past, current or prospective visitors to this document.

The content relating to the past and/or current performance of an investment is not necessarily a guide to its performance in the future. The value of investments or income from them may go down as well as up. Prices quoted may be based on a conversion rate when the document was created and may vary. This is not a regulated investment for the purpose of the UK FSMA (2000) however as a founding member Eco Investments adhere to and follow the Code of Conduct of the Association of International Property Professionals (AIPP).

The information contained in this document should not be construed as financial, tax, legal or any other professional advice or service. You are advised to consult a financial and/or legal professional advisor from suitably regulated sources.

Except where noted otherwise, all material in this document is Copyright © 2010 Eco Investments. All rights reserved. Without the prior written consent of Eco Investments, no permission is granted to copy, distribute, modify, post or frame any text, graphics, or logos.

Small print

To reserve a unit or discuss this investment in greater detail please contact Eco Investments

call +44 (0)20 3012 0306email [email protected]

WW

W.E

COIN

VEST

MEN

TS.C

O.U

K

MIL

LETT

EA

GREE

N O

IL

AUST

RALI

A



Large Investors - There are enhanced Annual Payments for large Investors: please request a copy of the FAQ document for full details. This will also detail how you can change the terms and exit early on the 10 year investment if you wish.

Other documentation available:

FAQ

Purchase process

Financial breakdownIf you decide to invest for 5 years you will receive an Annual Payment as a percentage of your Contribution as follows:

Illustration based on minimum investment of £12,000

Year 1 9% £1,080

Year 2 9% £1,080

Year 3 10% £1,200

Year 4 11% £1,320

Year 5 12% £1,440

Final/Exit Payment 115% £13,800

Profit £7,920

ROI (Return on investment) 66%

Total Returns £19,920

If you decide to invest for 10 years you will receive an Annual Payment as a percentage of your Contribution as follows:

Illustration based on minimum investment of £12,000

Year 1 10% £1,200

Year 2 10% £1,200

Year 3 11% £1,320

Year 4 11% £1,320

Year 5 12% £1,440

Final/Exit Payment 140% £16,800

Profit £19,200

ROI (Return on investment) 160%

Total Returns £31,200

Year 6 12% £1,440

Year 7 13% £1,560

Year 8 13% £1,560

Year 9 14% £1,680

Year 10 14% £1,680

Argentine Agricultural Farmland Prospectus

Documents

Transcript of Argentine Agricultural Farmland Prospectus