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Biological Asset Valuation

Recognising value in your biological assets

​​​​​​​​​​​​​​​​​​​​Biological assets like forestry and livestock have always been among the most popular asset classes for global investors.  Due to the complexity and diversification of every species of biological assets, it is a challenging exercise for potential investors to evaluate their investment opportunities.

Furthermore, according to the International Accounting Standard 41 – Agriculture (“IAS 41”), biological assets (defined as living animals and plants) are required to be recorded as fair value less cost to sell on initial recognition and each reporting date; the gains or losses arising on initial or subsequent measurement of biological assets shall be included in profit and loss for the period in which it arises. Therefore, biological assets valuation may have material affection to a company’s financial statement.

In view of the significance for pre-acquisition valuation and the requirement of valuation for financial reporting, an experienced valuation expert often plays a key role in biological asset investments.

Service Offering


  • Communicate with related parties to determine the appropriate valuation methodologies that comply with the IAS 41.
  • ​Conduct research and analysis on market prices and production volumes on the biological assets.

​​Technical Advisory

  • Conduct site inspection to acquire first-hand information regarding the biological assets.
  • Comment on the physical and growing conditions of livestock and plants.

​Business Management Advisory

  • Provide suggestions on the planning, management and production aspects of the biological assets.
  • Perform sensitivity analysis of the fair value of biological assets.
  • Provide feasibility analysis of the biological assets operations​​

Asset Experience

​​​We have experience valuing the following assets:

​​​Forestry: ​ ​
​Eucalyptus Forest
CAA-BA-Forestry-Eucalyptus Forest.jpg
​Bamboo Forest
CAA-BA-Forestry-Bamboo Forest.jpg
​Tea Tree
CAA-BA-Forestry-Tea Tree.jpg

Flowers: ​ ​
​Ornamental Flowers
CAA-BA-Flowers-Ornamental Flowers.jpg
​Landscape Plants
CAA-BA-Flowers-Landscape Plants.jpg


​ ​
​Beef Cattle
CAA-BA-Live Stock-Beef Cattle.jpg
CAA-BA-Live Stock-Goats.jpg
​Dairy Cows
CAA-BA-Live Stock-Dairy Cows.jpg
CAA-BA-Live Stock-Pigs.jpg
CAA-BA-Live Stock-Rabbits.jpg


​Fruit Trees
CAA-BA-Crops-Fruit Trees.jpg
​Sugar Cane
CAA-BA-Crops-Sugar Cane.jpg

Aquatic Life:
​ ​
CAA-BA-Aquatic Life-Abalone.jpg
​Freshwater Fish
CAA-BA-Aquatic Life-Fresh Water Fish.jpg