By Go.Farm
As global markets grapple with heightened geopolitical risk, economic fragmentation, and growing uncertainty around future U.S. trade policy, institutional investors are reassessing how and where they allocate capital. Recent commentary from market strategists suggests a broader rethink is underway—one that favors stability, resource security and exposure to real assets.
In this context, Australia is quietly re-emerging as a strategic destination for long-term capital. With its robust legal frameworks, proximity to Asian markets, and reputation for high-quality exports, the country offers a combination of resilience and relevance that is gaining attention. Within this, agriculture is starting to move up the agenda.
Among the businesses operating in this space is GO.FARM, an Australian agricultural investment and asset management firm recognised for its expertise in land use transformation—and recently named Global Farmland Fund Manager of the Year by AgriInvestor.
“Australia has the fundamentals global investors are now prioritizing,” said GO.FARM Managing Director Liam Lenaghan. “We’re politically stable, export-oriented, and resource-rich. More than that, we offer direct exposure to food security, sustainability and climate resilience — all within a sophisticated investment environment.”
That message is increasingly being echoed by some of the world’s largest asset managers. BlackRock has called for a fundamental repricing of nature-based assets, describing natural capital as a financial imperative—not just an ethical consideration. As the economic role of land, water and biodiversity becomes clearer, private markets are expected to lead the transition. Investors positioned early, they argue, will drive outperformance as public markets and policy frameworks catch up.
The significance is clear: more than half of global GDP—an estimated U.S.$58 trillion—is directly dependent on nature. Yet nature remains dramatically underpriced. This global mispricing is acutely evident in agriculture—particularly in markets like Australia, where natural capital assets such as land and water remain undervalued relative to their long-term utility and strategic importance.
“Australian farmland is significantly undercapitalised relative to its potential,” Lenaghan said. “We’re seeing the early stages of a structural reweighting. Agriculture is no longer a fringe allocation—it’s becoming core to institutional portfolios, as demonstrated by the large allocations being made by the likes of TIAA CREF and Canada’s PSP.”
The opportunity is supported by powerful macro forces. A rising global population, shifting dietary preferences, and growing concern over food system fragility are all fueling demand for high-quality, sustainably produced food. Australia is uniquely positioned to meet that demand—offering institutional-quality land and water systems, free trade agreements with key Asian markets, and a deep pipeline of underutilized assets ready for transformation.
According to the Australian National Farmers’ Federation, the sector must unlock $400 billion in new capital to meet its domestic $100 billion farmgate production target by 2030. With global food demand projected to grow 50 percent by mid-century, the case for investment has never been stronger.
Australian farmland has delivered an 8.5 percent compound annual growth rate over the past 20 years, while water entitlements—an essential and investable component of the system — have returned 7 percent annually in key irrigation regions.
“Farmland is a proven inflation hedge,” Lenaghan said. “But unlike many real assets, it’s not static. When you apply capability to the right land, you can actively create value.”
This opportunity is being actively pursued by a small number of specialist managers with the operational capability to convert underutilized land into high-performing, investment-grade assets. GO.FARM is among them. In New South Wales, the firm is currently repositioning a former hazelnut orchard into what is expected to become the country’s largest super high-density olive grove. The move reflects a growing focus on premium, export-aligned crops that offer strong margins and efficient water use.
While North American pension funds have historically led the charge into agriculture, Australian superannuation funds are now following, drawn by the sector’s alignment with long-term sustainability, risk diversification and natural capital strategies. In 2024, Qantas Super made a $200 million investment with GO.FARM, recognizing the opportunity to access scalable, climate-resilient assets and support transformation in Australian agriculture. The mandate marked one of the early direct allocations by a domestic super fund into the sector. Yet, institutional-grade assets remain scarce.
“Demand is outpacing supply,” Lenaghan said. “That’s why astute capital is moving earlier — because those who act now will have access to the most strategic, scalable, and climate-smart assets.”
He added: “For investors thinking long-term, now is the time to pay attention.”
GO.FARM will be joining Global AgInvesting in just a couple of weeks as a sponsor of GAI’s highly anticipated New York event. There’s still time to secure your spot today.
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