SLM Partners is an asset manager that invests in sustainable and regenerative farming and forestry. SLM Partners currently manages the SLM Australia Livestock Fund, which is restoring grasslands in Australia through the implementation of better grazing practices for beef cattle. Now SLM Partners are developing an investment project for sustainable sheep production in southern Chile, consistent with the objectives of the 20x20 Initiative.
The followed strategy is to acquire grazing properties in Chilean Patagonia and to introduce a new grazing system – known as ‘holistic planned grazing’ – which can regenerate grassland ecosystems while improving profitability. To do so, SLM Partners works with a local Chilean expert who has introduced this approach on more than 25 farms in the country. There is an opportunity to scale up this form of sustainable land management.
Grasslands in Patagonia can suffer from degradation, and, in some cases, desertification, because of poor grazing practices. The proposed strategy will produce environmental benefits by improving soils, increasing soil carbon, increasing vegetative cover, enhancing biodiversity and providing healthier ecosystems for wildlife. These impacts will be measured and reported. The investments will also have social benefits by employing local farm staff, providing training in new grazing approaches, and demonstrating a model of that can be adopted by other farmers.
SLM Partners’ target is to raise approximately US$100 million from private investors allowing the acquisition and improvement of more than 100,000 hectares of land in Chilean Patagonia (Regions X, XI and XII). The proposal is to raise and deploy this capital between now and 2019. The minimum investment size per project is US$3M.