Agribusiness takes a hit in October
Agribusiness was dealt a tough month in October, dropping 4 per cent in the Australian Agribusiness Group’s (AAG’s) Agri-Index compared to a 3 per cent fall in the All Ordinaries.
AAG reported falls across all Agri-Index subsectors, with the diversified sector dropping 8 per cent, producer 6 per cent and manufacturer 4 per cent.
The overall decrease across agribusiness was lower than the 3 per cent fall in the All Ordinaries.
Tim Lee, director, AAG, defended the sector, noting that despite October’s result, “agribusiness has added an impressive 9 per cent for the financial year to date as shown by the improvement in the AAG Agri-Index”.
Lee was optimistic about the sector, saying the 4 per cent fall “is not significant enough to create any major concerns”.
“The AAG Agri-Index is expected to continue a firm recovery over financial year 2009-10.”
Lee said there were some “outstanding agribusiness winners” in October, noting further that Australian renewable fuels was the highest performing equity on the index.
“The recent trend towards affirmative environmental action has opened the gate for certain agribusinesses to develop a leg up in the market,” Lee said.
AUTHOR
Amal Awad
Recommended for you
Financial advisers and wealth managers need to exceed their clients’ desires for personalisation, a new EY report writes, by achieving meaningful differentiation between client segments.
Betashares chief executive, Alex Vynokur, believes technology advancements will enable banks to return to financial advice in the future as the need for advice is greater than ever.
Centrepoint Alliance has upgraded its expected financial results for FY24, thanks to strong adviser recruitment and the acquisition of Queensland advice firm Financial Advice Matters.
The corporate regulator has permanently banned a Melbourne-based financial adviser that “dishonestly attempted to induce clients to transfer their superannuation into a bank account he controlled”.
