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	<title>Comments on: Getting that sinking feeling</title>
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	<link>http://catallaxyfiles.com/2012/12/11/getting-that-sinking-feeling/</link>
	<description>Australia&#039;s leading libertarian and centre-right blog</description>
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		<title>By: Pickles</title>
		<link>http://catallaxyfiles.com/2012/12/11/getting-that-sinking-feeling/comment-page-2/#comment-669576</link>
		<dc:creator>Pickles</dc:creator>
		<pubDate>Wed, 12 Dec 2012 01:40:55 +0000</pubDate>
		<guid isPermaLink="false">http://catallaxyfiles.ozblogistan.com.au/?p=37832#comment-669576</guid>
		<description><![CDATA[Yes Dot, but land values parted ways with production and productivity long ago, if they were ever linked. Ag land values are what the market will pay and only rarely will that number be a reflection of the productive value of the farm. In most competitive sales production and productivity figures (the rational view) comes second to the pissing contest between the boys.

Added to that the distortion of value that &quot;tax incentives&quot; place on the market, means that a really hi tech farmer can increase productivity all he or she likes but that will not keep pace with non productive drivers such as competing land uses like urbanisation and the environment.]]></description>
		<content:encoded><![CDATA[<p>Yes Dot, but land values parted ways with production and productivity long ago, if they were ever linked. Ag land values are what the market will pay and only rarely will that number be a reflection of the productive value of the farm. In most competitive sales production and productivity figures (the rational view) comes second to the pissing contest between the boys.</p>
<p>Added to that the distortion of value that &#8220;tax incentives&#8221; place on the market, means that a really hi tech farmer can increase productivity all he or she likes but that will not keep pace with non productive drivers such as competing land uses like urbanisation and the environment.</p>
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		<title>By: .</title>
		<link>http://catallaxyfiles.com/2012/12/11/getting-that-sinking-feeling/comment-page-2/#comment-669500</link>
		<dc:creator>.</dc:creator>
		<pubDate>Wed, 12 Dec 2012 00:44:13 +0000</pubDate>
		<guid isPermaLink="false">http://catallaxyfiles.ozblogistan.com.au/?p=37832#comment-669500</guid>
		<description><![CDATA[I would have thought increasing agricultural productivity would have increased land values...]]></description>
		<content:encoded><![CDATA[<p>I would have thought increasing agricultural productivity would have increased land values&#8230;</p>
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		<title>By: Pickles</title>
		<link>http://catallaxyfiles.com/2012/12/11/getting-that-sinking-feeling/comment-page-1/#comment-669490</link>
		<dc:creator>Pickles</dc:creator>
		<pubDate>Wed, 12 Dec 2012 00:38:31 +0000</pubDate>
		<guid isPermaLink="false">http://catallaxyfiles.ozblogistan.com.au/?p=37832#comment-669490</guid>
		<description><![CDATA[Just be careful of funds that build in an assumed increase in the capital value of the land asset and sell the fund on that basis, whilst pretty much ignoring production capability. With these land plays, they only use production as a way to meet holding costs. This is fine if you are just looking at land speculation (a lot of people have made a lot of money doing this in the last 200 yrs, but a lot got burnt).

AACO&#039;s abbatior near Darwin will be interesting if it gets up. There&#039;s going to be about 500,000 cattle that can&#039;t go on the boat and will need to get their heads cut off. If AACO can get them into the US burger beef trade it will be a goer.

I don&#039;t like vineyards or forestry, but I like rice, pulses and moo cows.

As for the whole &quot;food bowl of Asia&quot; thing, that&#039;s been sung for years.

Not sure if you will be able to get a chew at the Ord stages 2 &amp; 3. Initially they were talking about sugar and an abbatior over at Kununurra, but that seems to have gone quiet and all the talk is sugar. The majority of Ord 1 is covered in Sandalwood, some of which is ready to cut. Will be interesting to see how it goes as the prospect has driven land prices way up. If Sandalwood is no good then prices might come back a bit.

There were some opportunties in the North leasing aboriginal owned stations, but since someone gut shot the boat job they&#039;re not as good.

Maree your rellies in Ag Eco &amp; Agribusiness will be good helpers.]]></description>
		<content:encoded><![CDATA[<p>Just be careful of funds that build in an assumed increase in the capital value of the land asset and sell the fund on that basis, whilst pretty much ignoring production capability. With these land plays, they only use production as a way to meet holding costs. This is fine if you are just looking at land speculation (a lot of people have made a lot of money doing this in the last 200 yrs, but a lot got burnt).</p>
<p>AACO&#8217;s abbatior near Darwin will be interesting if it gets up. There&#8217;s going to be about 500,000 cattle that can&#8217;t go on the boat and will need to get their heads cut off. If AACO can get them into the US burger beef trade it will be a goer.</p>
<p>I don&#8217;t like vineyards or forestry, but I like rice, pulses and moo cows.</p>
<p>As for the whole &#8220;food bowl of Asia&#8221; thing, that&#8217;s been sung for years.</p>
<p>Not sure if you will be able to get a chew at the Ord stages 2 &amp; 3. Initially they were talking about sugar and an abbatior over at Kununurra, but that seems to have gone quiet and all the talk is sugar. The majority of Ord 1 is covered in Sandalwood, some of which is ready to cut. Will be interesting to see how it goes as the prospect has driven land prices way up. If Sandalwood is no good then prices might come back a bit.</p>
<p>There were some opportunties in the North leasing aboriginal owned stations, but since someone gut shot the boat job they&#8217;re not as good.</p>
<p>Maree your rellies in Ag Eco &amp; Agribusiness will be good helpers.</p>
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		<title>By: mareeS</title>
		<link>http://catallaxyfiles.com/2012/12/11/getting-that-sinking-feeling/comment-page-1/#comment-669107</link>
		<dc:creator>mareeS</dc:creator>
		<pubDate>Tue, 11 Dec 2012 15:19:23 +0000</pubDate>
		<guid isPermaLink="false">http://catallaxyfiles.ozblogistan.com.au/?p=37832#comment-669107</guid>
		<description><![CDATA[I&#039;m still checking it out, but there are oppotunities that I can see. AACo  has some interesting things going, and there are some specialised agriculture and animal husbandry funds around, but it&#039;s a bit like resources in 1999, you just do a nibble here and there. Gold was my first  punt, and then rare earths and coal, then iron ore  when things started to kick along.

We&#039;re a bit into vineyards at present because China is buying in our locality, just seeing what happens, but I expect there will also be an opportunity to invest in the Chinese lease for sugar cane at Ord River now that the extension has been approved.

Also, we have acquaintace with aquaculture. Now that Labor and the greens are locking up vast coastal fishing grounds, the seafood is going to have to come from farming if you, like us, refuse to eat basa fish and vanamai prawns.

We catch our own stuff from the sea, but most people can&#039;t do that, and they won&#039;t want to eat polluted frozen product from the Mekong. I certainly won&#039;t, having had direct experience of it.]]></description>
		<content:encoded><![CDATA[<p>I&#8217;m still checking it out, but there are oppotunities that I can see. AACo  has some interesting things going, and there are some specialised agriculture and animal husbandry funds around, but it&#8217;s a bit like resources in 1999, you just do a nibble here and there. Gold was my first  punt, and then rare earths and coal, then iron ore  when things started to kick along.</p>
<p>We&#8217;re a bit into vineyards at present because China is buying in our locality, just seeing what happens, but I expect there will also be an opportunity to invest in the Chinese lease for sugar cane at Ord River now that the extension has been approved.</p>
<p>Also, we have acquaintace with aquaculture. Now that Labor and the greens are locking up vast coastal fishing grounds, the seafood is going to have to come from farming if you, like us, refuse to eat basa fish and vanamai prawns.</p>
<p>We catch our own stuff from the sea, but most people can&#8217;t do that, and they won&#8217;t want to eat polluted frozen product from the Mekong. I certainly won&#8217;t, having had direct experience of it.</p>
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		<title>By: DC</title>
		<link>http://catallaxyfiles.com/2012/12/11/getting-that-sinking-feeling/comment-page-1/#comment-669077</link>
		<dc:creator>DC</dc:creator>
		<pubDate>Tue, 11 Dec 2012 14:26:06 +0000</pubDate>
		<guid isPermaLink="false">http://catallaxyfiles.ozblogistan.com.au/?p=37832#comment-669077</guid>
		<description><![CDATA[So what&#039;s the best way to invest in agricultural production?]]></description>
		<content:encoded><![CDATA[<p>So what&#8217;s the best way to invest in agricultural production?</p>
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		<title>By: mareeS</title>
		<link>http://catallaxyfiles.com/2012/12/11/getting-that-sinking-feeling/comment-page-1/#comment-668950</link>
		<dc:creator>mareeS</dc:creator>
		<pubDate>Tue, 11 Dec 2012 12:06:50 +0000</pubDate>
		<guid isPermaLink="false">http://catallaxyfiles.ozblogistan.com.au/?p=37832#comment-668950</guid>
		<description><![CDATA[Correct, Pickles. That&#039;s why I&#039;m looking carefully at this sector. My husband&#039;s cousin is an agricultural economist, lately retired from his work with international agencies, and we have nephews in agribusiness who are very positive about their prospects. One is in the bio-research side, the outher is on the economics side. Our son just digs things up.]]></description>
		<content:encoded><![CDATA[<p>Correct, Pickles. That&#8217;s why I&#8217;m looking carefully at this sector. My husband&#8217;s cousin is an agricultural economist, lately retired from his work with international agencies, and we have nephews in agribusiness who are very positive about their prospects. One is in the bio-research side, the outher is on the economics side. Our son just digs things up.</p>
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		<title>By: And Another Thing</title>
		<link>http://catallaxyfiles.com/2012/12/11/getting-that-sinking-feeling/comment-page-1/#comment-668906</link>
		<dc:creator>And Another Thing</dc:creator>
		<pubDate>Tue, 11 Dec 2012 11:35:18 +0000</pubDate>
		<guid isPermaLink="false">http://catallaxyfiles.ozblogistan.com.au/?p=37832#comment-668906</guid>
		<description><![CDATA[Well, who could be confident with a government so hopelessly out of it&#039;s depth.  A bunch of trade union officials who bypassed any of the actual work their unions are engaged in, mediocre industrial lawyers and political factotums who rely on an environmental cult and three so-called independents who would be better employed at Ringling circus.

With a tiny majority this crowd has embarked on a program of meddling and micro-management of people&#039;s lives that I could never have seen Australians accepting. 

Evey policy they have produced has been a disaster. Abbott should have a long field day in an election year. How long could this have lasted without Labor&#039;s publicity arms the taxpayer-funded ABC and the Fairfax press?]]></description>
		<content:encoded><![CDATA[<p>Well, who could be confident with a government so hopelessly out of it&#8217;s depth.  A bunch of trade union officials who bypassed any of the actual work their unions are engaged in, mediocre industrial lawyers and political factotums who rely on an environmental cult and three so-called independents who would be better employed at Ringling circus.</p>
<p>With a tiny majority this crowd has embarked on a program of meddling and micro-management of people&#8217;s lives that I could never have seen Australians accepting. </p>
<p>Evey policy they have produced has been a disaster. Abbott should have a long field day in an election year. How long could this have lasted without Labor&#8217;s publicity arms the taxpayer-funded ABC and the Fairfax press?</p>
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		<title>By: Pickles</title>
		<link>http://catallaxyfiles.com/2012/12/11/getting-that-sinking-feeling/comment-page-1/#comment-668899</link>
		<dc:creator>Pickles</dc:creator>
		<pubDate>Tue, 11 Dec 2012 11:30:16 +0000</pubDate>
		<guid isPermaLink="false">http://catallaxyfiles.ozblogistan.com.au/?p=37832#comment-668899</guid>
		<description><![CDATA[Yes Maree but be careful. Must concentrate on production.]]></description>
		<content:encoded><![CDATA[<p>Yes Maree but be careful. Must concentrate on production.</p>
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		<title>By: mareeS</title>
		<link>http://catallaxyfiles.com/2012/12/11/getting-that-sinking-feeling/comment-page-1/#comment-668887</link>
		<dc:creator>mareeS</dc:creator>
		<pubDate>Tue, 11 Dec 2012 11:23:40 +0000</pubDate>
		<guid isPermaLink="false">http://catallaxyfiles.ozblogistan.com.au/?p=37832#comment-668887</guid>
		<description><![CDATA[I&#039;m starting to look at agriculture as an investment prospect now, the way mining looked back in 1999. Straw hats etc. Especially if the LibNats get in next year and follow through on their plan to open up the Top End. That will be a bonanza for some of the diversified companies, now that the greens seem to have a foot on the throat of the gas industry.]]></description>
		<content:encoded><![CDATA[<p>I&#8217;m starting to look at agriculture as an investment prospect now, the way mining looked back in 1999. Straw hats etc. Especially if the LibNats get in next year and follow through on their plan to open up the Top End. That will be a bonanza for some of the diversified companies, now that the greens seem to have a foot on the throat of the gas industry.</p>
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		<title>By: 2dogs</title>
		<link>http://catallaxyfiles.com/2012/12/11/getting-that-sinking-feeling/comment-page-1/#comment-668856</link>
		<dc:creator>2dogs</dc:creator>
		<pubDate>Tue, 11 Dec 2012 11:07:23 +0000</pubDate>
		<guid isPermaLink="false">http://catallaxyfiles.ozblogistan.com.au/?p=37832#comment-668856</guid>
		<description><![CDATA[“Where you gonna run to?”

Good point, none of the places I think will be spared (such as India, southern Africa, South America) are ones I&#039;d consider safe places to live.]]></description>
		<content:encoded><![CDATA[<p>“Where you gonna run to?”</p>
<p>Good point, none of the places I think will be spared (such as India, southern Africa, South America) are ones I&#8217;d consider safe places to live.</p>
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