Rogers: Rural land in demand
A well-known commodities trader has suggested that the regional property market may soon be set to experience a boom after noting a potential rise in demand for so-called "soft" resources.
Jim Roberts has arrived in Australia to launch a new fund that is focused on acquiring rural land - following earlier predictions of land shortages and agricultural products.
He says that the increasing risks associated with global inflation and the growing demand for food to be experienced in Asia would make farmland an obvious choice for investors in the future.
Roberts asserted: "We have shortages of everything from oil to food and on top of that we have governments printing more money. Put the two together and you have some serious inflation coming down the road."
"It's the farmers, the producers who are going to be in the captain's seat when the prices go through the roof."
According to the Australian Financial Review, there are currently 16 properties under consideration - comprising a total of 80,000 hectares - that could eventually be acquired by the fund.
"The shortages are going to get worse and the prices for land will go higher," said Rogers, perhaps giving investors a reason to investigate the prospects of rural property.