“Our Great South Region will continue to attract the capital and expertise required to enable business growth, transition and development. This investment will allow existing businesses to grow and to adapt their business model to take advantage of growth opportunities. The Great South Coast will attract and support new food and fibre investors and entrants to the sector up and down the supply chain.”
Capital is a constraint to growth at every level of the food & fibre supply chain. It is needed to build scale, drive business transition, invest in technology, further value-add commodities and to develop infrastructure. There is considerable interest by investors, but the challenge is in connecting them to appropriate opportunities.
The region will continue to showcase the Great South Coast Food and Fibre Industry through proactive communication including e-prospectus, agri tourism and promotions.
Many agribusinesses are reluctant to borrow capital or take on equity partners, or they are not investment-ready. A reliance on bank finance alone limits their borrowing capacity. Another issue is the financial barriers faced by young, talented operators keen to start food & fibre businesses – the start-up capital requirements often feel insurmountable.
Across the region there exists the need to drive long term business transition. Many landholders have already reached retirement age without a transition plan and want to stay on the property.
Family business challenges exist in all parts of the supply chain with a need to develop and promote new land occupancy and agribusiness models, which will support long term transition (over decades) and allow transition to progressive and ambitious operators to run food & fibre businesses in the region, often independent of land ownership.