DLG e.V. - Investment intentions

Livestock facilities lead global farmers’ investment intentions

By Dr Achim Schaffner

Investment in livestock production facilities is a particular focus of farmers in many parts of the world, with the plans being driven by domestic requirements in many regions. The DLG-Agrifuture Insights chart of the month for July reveals that farmers in Germany, Brazil, France and South Africa are all planning to put the majority of their investments this year into facilities for livestock.

In Germany, for example, the investments are mainly aimed at implementing new requirements for improved animal welfare, and to meet the latest environmental legislation following the introduction of the country’s new Fertilizer Ordinance, such as creating additional storage space for manure. In contrast, the main motivation for investment by farmers in South Africa is planned expansion and modernization of the country’s livestock sector.

Demand for poultry

In Brazil, a quarter of livestock farmers surveyed by DLG-Agrifuture Insights plan to invest in new poultry houses. This is because the global demand for poultry meat is growing, and producers want to strengthen their position in export markets and participate in the sector’s growth.

Source: DLG

Meanwhile, investment intentions in Russia focus on the arable sector, with half the farmers surveyed planning to invest in crop production and foreign trade. Increased exports are creating the opportunity to modernize farm machinery to increase efficiency and production capacity.

Analysis of agricultural developments

DLG-Agrifuture Insights provides its subscribers with greater understanding of the developments taking place in the world’s most important agricultural regions at a time when the sector and its environment are changing rapidly, and technologies, markets and market relations, structures and processes are all in a state of transition.

The findings are reached by questioning a global panel made up of 2,000 future-oriented farmers, with surveys conducted every February/March in the southern hemisphere and every August/September in the northern hemisphere. The conclusions are supplemented by continuous background research and regular interviews with top decision-makers.

Expert knowledge and background information

Costing 1,900 euros per annum, a DLG-Agrifuture Insights subscription – in English or German – covers not only all country, trend and background reports, but also DLG membership. This means subscribers also profit from DLG’s global network of experts, the attractive offerings of the DLG trade fairs (famed as leaders in their field around the world), current professional events and expert publications, as well as sector-specific advanced training and educational opportunities.

Detailed information is available at: www.dlg.org/afi

Further information on DLG-Agrifuture Insights is available from the DLG
Contact Dr. Achim Schaffner, Head of Agricultural Economics
Tel: +49(0)69/24788-321, Email: afi(at)dlg.org

One reason for planned investments in Germany is creating additional storage space for manure.
Photo: Münscher