The NSW Farmers Exchange (NSFE) has signed a $30 million deal with a new investment firm to bring farmers from all over the country to the NSW market.
The partnership between NSFE and Capital Market Partners will see the exchange buy agricultural products from a number of companies that are looking to grow their business.
Numerous NSW farms are looking at using the exchange as a platform to grow and export their products, while also providing a direct market for those products.
The farmers exchange is already one of the largest in Australia, with the largest market in the country and the second largest in the world.
NSFE chief executive Peter Knepper said the new agreement would help farmers and other agricultural producers to get their products to market quicker and with less risk.
“It’s about finding ways to make sure that they have a stable supply of products, and that they are able to get those products to people that they need, without having to go and pick up the bulk of the goods,” he said.
“That’s why it’s great that we’re working with Capital Markets.
We’re able to have a direct relationship with the companies, and we’ll be able to bring them in here and bring them to the exchange.””
We’re also able to provide them with a direct financial return for our members.”NSFE is a state government funded organisation that provides agricultural products to farmers through the sale of products.
Its members include some of the nation’s most renowned and most profitable farmers.
It also owns the largest farm gate in Australia and the largest network of farms in the state, with more than 20,000 farms across the country.NSFE will be able tap into a network of more than 10,000 growers across NSW.
Under the agreement, the exchange will acquire agricultural products that are sold at the exchange from a variety of growers and retailers, and it will purchase the agricultural products directly from farmers.NSFE currently has about 30,000 members in the community.
It has an exchange office in Newcastle and has already invested $10 million into expanding the facility.
“We are also expanding the number of farmers that we buy from and buying products directly to those farmers,” Mr Kneppers said.
“Our membership will go from 1,500 to 5,000 within the next year.”
Capital Markets said the deal would help bring more farmers and retailers into the industry.
“Our partnership with NSFE will provide farmers and the agricultural industry with the opportunity to purchase their products directly in our marketplace,” said chief executive David MacLennan.
“In addition, this will increase the value of farmers’ products and improve their access to markets across NSW and the wider country.”
“It will also create a more efficient way of getting farmers and their products into consumers’ hands, helping to lower the cost of purchasing and distributing products.”
Mr Knecker said the partnership with Capital Market would help increase the efficiency of the agricultural sector in NSW.
“I think it’s an excellent example of how we’re able, through our own resources and our own businesses, to help the agricultural community,” he told the ABC.
A further $1 million in funds from the state government’s new Agricultural Infrastructure Program will also be used to fund the NSFE exchange.
Topics:market-economics-and-finance,market-governance,corporate-governments,government-and.gov.au,agriculture,australia,nsw,sydney-2000,newcastle-2300,newman-3051More stories from New South Wales