ARGENTINA AGRONET Argentina

Overview of the company and ranches or estancias, as we call them in Argentina: ARGTENTINA AGRONET(CG) is a privately owned, for profit company dedicated to the production of ecological, lean, low cholesterol, grass feed beef, without the use of hormonal products. CG is also a company involved in agriculture and has presently more than 9,000 acres under cultivation. The company owns 16 ranches(estancias) located in the provinces of Santa Fe, Santiago del Estero and Formosa, Argentina comprising more than 62,000 hectares or 135,000 acres. All cattle finishing is done in pastures and alfalfa with minimal use of grain supplement and no hormones or antibiotics. Cattle grazing is done all year round as never snow at this ranches. The climate is temperate with few frost days in winter. The company owns one of the largest conglomerates of cattle and agriculture ranches in Argentina. CG is one of the larger producers of beef in the country. The provinces of Santa Fe, Buenos Aires, La Pampa and Cordoba have the reputation of having the best soil qualities in Argentina, and one of the best in the entire world. Many of the ranches(estancias) are in one of the top dairy areas in Argentina. Sancor, Williner and other very large Argentinean milk processing industries are in the area of Suardi, San Guillermo and Villa Trinidad(Santa Fe) were some of the estancias are located. Their milk collecting trucks make daily trips in front of the ranches collecting milk from hundreds of local and adjacent dairy farms. The company owns 16 cattle ranches comprising approximately 135,000 acres(more than 62,000 hectares),13 located in the central area of the province of Santa Fe, one in Santiago del Estero(San Marcos) and two in Formosa, Argentina. Its main administrative office is at the Estancia Santa Emilia near Suardi, Santa Fe. The company sells directly to meat packaging plants and local cattle brokers in the local Argentina market, and plans to eventually sell directly brand name beef, to Europe, eventually the US and some Asian countries. Main characteristics of the Argentina cattle and beef industry Argentina has the prestige and international reputation of having the best beef in the world not only because of quality but because the natural way Argentineans feed theirs cattle by grazing, not resorting to excessive use of grains, using no hormones or antibiotics. Strategy of the company development: The company expects to double its cattle and agricultural productivity and sales over the next three years with only a 35% increase in the total number of animals and 150 to 200% increase of the land allocated to agriculture. Land improvement and development, different techniques in feeding, rotation, new pastures, personnel training, artificial insemination education and new techniques in agriculture, allow the ranches to rapidly finish a better beef for the market. CG has extreme sensitivity to the environment and has as one of its goals to preserve and enhance the environment, the natural beauty of its estancias and its environs. The company main crops are soy beams, wheat, corn and sorghum. As the cotton prices increased recently internationally the company will evaluate the opportunity of expanding for diversity into that crop too. The current appreciation of agriculture commodities, as the constant development of new markets for Argentina in Asia, Africa North America and Europe, will allow the company to profit greatly from price appreciation now and in the years to come.