Estate Living Magazine Smart Moves - Issue 38 February 2019 | Page 30

P R O P E R T Y
&
I N V E S T M E N T
MOO-
VABLE
ASSETS
‘Honey, I bought a cow!’ might sound like the opening line to a comedy show, but it is a
serious statement that could make you a lot of money while being good for our failing
economy.
Livestock farming is big business in South Africa. A multibillion rand
business, to be sure – from small herds roaming the hills of remote villages
to large-scale animal production farms that no one wants to think about.
Most of the population relies on livestock farming for meat, milk, wool
and many other products, so whether we like it or not, livestock farming is
booming and worth looking into as an investment option.
CASH COWS
With beef-producing cattle it’s easy to see that the value of these animals
is directly linked to the cost of meat in the supermarkets. The ongoing
drought has played a large part in the increased price on the shelves but
the general costs of running farms and feeding the animals – as well as
livestock theft – play a large role too. So, when conditions become harder
and costs rise, cattle become more valuable.
It can be a good investment, but surely owning cows necessitates having
land, expertise and time available to manage such an endeavour? You
can’t exactly buy a cow and let it graze on your front lawn – I’m sure the