Rare game expected to reach high prices as WRSA auction
AGRI NEWS – Wildlife Ranching South Africa will host its annual game auction on 24 May at Thaba Manzi near Bela Bela. Game auctions countrywide have achieved record prizes in 2013, and the organisers of this particular auction are looking forward to exceed last year’s turnover.
Vleissentraal Bosveld is the auctioneer.
The 2013 auction achieved a record turnover of just under R16,3 million. Record prices for roan antelope (R350 000) and klipspringer (R45 000) contributed to that success.
WRSA’s 2014 auction can accommodate 160 lots, which include live and catalogue sales. The list of available animals are growing, but so far game farmers have been entering a wide variety of plains game, as well as colour variations such as white saddle-back blesbok, saddle-back impala, black impala and golden wildebeest. A rhino or two are also among the lots.
Although it is too late to enter buffalo due to the waiting period for blood test results, other animals can still be accommodated.
Please enquire at admin@wrsa.co.za or 012 335 6994.
Game as an investment
It is common knowledge that South Africa is on the forefront of technology regarding game farming or wildlife ranching. At present, the industry is booming with investors paying extraordinary prices for specific game species.
R40 million was paid for a buffalo bull in 2013, and more than R1 million each for sable cows.
Rare species such as buffalo, sable, roan antelope, tsessebe or Livingstone eland are highly sought after among game farmers.
Wildlife Ranching SA (WRSA) cautions that people who want to invest in rare species must be aware of the risks. When buying game, buyers must make sure the animals are disease free to prevent infection of an entire herd.
The return on an investment will take at least five to seven years from the time of investment, depending on the production cycle. Although there are many individual buyers, for those who do not have the capital, there are investors who syndicate by pooling investor money to buy game.
Syndication has its benefits because one can buy more or better game, but the risks are high if it is not done properly.
WRSA advises potential buyers to make sure:
• that you know the people with whom you are dealing
• that the animals are properly looked after
• that you know where the animals are kept
• whether the animals are injured or diseased
• about the percentage used for management fee
• about bloodlines, as it plays a role in quality.
Industry experts advise that quality rather than quantity is the secret to benefit from the high prices investors pay for rare game.
Investors must also be prepared to pay a premium for insurance because there are not many insurance companies that are prepared to insure game.
According to dr Gert Dry, President of WRSA, the outlook for rare game farming is still positive and the game industry will continue to grow for the next few years, especially the rare game sector.
The industry relies on normal game hunting for income purposes and will remain under pressure as long as the economy is not growing at the rates of 2007 to 2010.
For more information about the game industry in South Africa, visit www.wrsa.co.za