I was showing a client of mine around a few greenhouse operations the other day and we started at one of the best hydroponic operations that I have ever seen. The sea of lettuce draws you into the first greenhouse where 6 or 7 variates being grown. This type of operation is much more sophisticated than your average in ground operation but can yield some of the best tasting product you have ever had. Add to that the fact that this type of ag business is big business and there is a lot more opportunity to grow this industry in the future.
I learned a lot that day about the balancing act of various inputs and restricting the use of as many petro-chemical products as possible. Otherwise expenses can spiral out of control if oil prices spike as in the case of the 400% increase in fertilizer costs when oil prices went through the roof. A key feature to this type of investment is the fact that government of Panama is reimbursing people who build greenhouses for growing vegetables up to 80% of their costs.
Another way to leverage this investment is by taking advantage of government programs that will facilitate low interest rate loans with deferral of interest and principal payment for the first years and then only 2% thereafter.
Besides lettuce, bell peppers are also very profitable and unlike lettuce, it is a durable product and also in high demand.
Let us show you some properties that we like here in Boquete to do one of these operations. You can also build a home on the farm and have a future development project. Land is scarce here in Boquete for this kind of operation so the land costs are not cheap.