Global Investing
Top UCITS Alternatives to MOO for Indian Investors
Discover why switching to European-domiciled equivalents like ISAG or VEFD is the smartest move for your long-term wealth protection and agribusiness exposure.
Abhighyan Sinha
The VanEck Agribusiness ETF (MOO) is one of the oldest and largest funds targeting the global food supply chain. It provides pure-play exposure to companies deriving at least 50% of their revenue from agriculture, spanning farm equipment, fertilizers, seeds, and animal health. Anchored by industry leaders like Deere & Co., Zoetis, and Nutrien, investors and institutions usually choose the fund as a liquid tool to diversify into tangible assets and hedge against food inflation.
However, for long-term Indian investors, MOO carries a critical structural risk: the US estate tax. If you hold US-domiciled assets like MOO and your holdings exceed $60,000, your estate faces US estate tax at progressive rates of up to 40% on your death. On a $500,000 holding, that works out to roughly 29% of the portfolio.
This blog gives you all the information you need about the top UCITS alternatives. There is no exact UCITS replica of MOO, but whether you want a close substitute for the traditional agricultural value chain or a more modern approach focused on sustainable food and agricultural technology, the funds below provide agribusiness exposure without the risk of the US estate tax.
Table of contents
- Why Indians are looking for UCITS alternatives to MOO
- Popular UCITS alternatives for MOO
- Invest in UCITS ETFs with Paasa
Why Indians are looking for UCITS alternatives to MOO
Indian investors are shifting to UCITS alternatives because they solve the tax risks and inefficiencies of US ETFs like MOO while providing similar sector exposure.
- Estate Tax Protection: UCITS funds are typically domiciled in Ireland. They are not considered "US-situs" assets, meaning they are 100% exempt from US Estate Tax.
- Tax Deferral (Accumulation): Unlike MOO, which forces taxable cash dividends on you, many UCITS funds offer "Accumulating" classes that reinvest dividends automatically. This defers your Indian tax liability until you sell the fund, and converts what would have been slab-rate dividend income into capital gains.
To learn more about UCITS ETFs and why Indian investors are choosing them, read our guide on UCITS ETFs.
Popular UCITS alternatives for MOO
Here are the top three UCITS funds that serve as the best proxies for global agribusiness and the future of food.
1. iShares Agribusiness UCITS ETF
Similar to MOO, this iShares fund tracks the largest global companies involved in traditional agribusiness, from tractors and farming equipment to fertilizers, seeds, and animal health. With about £434 million in assets (as of November 2026), it is the largest fund on this list. If you want pure agricultural sector exposure without heavy ESG filtering or a pivot toward consumer food tech, this is the closest match to MOO.
- Ticker: ISAG (LSE, USD)
- Total Expense Ratio (TER): 0.55%
- Structure: Accumulating (Reinvests dividends)
- Top Holdings: Deere & Co, Zoetis, Nutrien, Corteva, Archer-Daniels-Midland.
2. Rize Sustainable Future of Food UCITS ETF
While MOO focuses heavily on traditional farming and livestock, this fund leans into the "Future of Food." It covers agricultural technology, precision farming, water tech, and sustainable packaging. It still holds major players like Deere and Nutrien, but excludes companies heavily involved in deforestation or unsustainable practices. This gives you a more ESG-aligned take on the agriculture sector, positioned for changing global food demand.
- Ticker: FOOD (LSE, USD)
- Total Expense Ratio (TER): 0.45%
- Structure: Accumulating (Reinvests dividends)
- Top Holdings: Deere & Co, Kubota Corp, FMC Corp, Smurfit Westrock, Nutrien.
3. VanEck Sustainable Future of Food UCITS ETF
VanEck does not offer a UCITS version of MOO, and this fund takes a different approach. It shifts the focus away from heavy machinery and animal pharmaceuticals towards food innovation, alternative proteins and organic agriculture, which suits you if you want an accumulating fund oriented toward changing consumer diets and sustainable food production.
- Ticker: VEGI (LSE, USD)
- Total Expense Ratio (TER): 0.45%
- Structure: Accumulating (Reinvests dividends)
- Top Holdings: Sprouts Farmers Market, Ingredion, Kerry Group, Corteva, McCormick & Co.
More UCITS alternatives: UCITS alternatives to PHO and UCITS alternatives to PDBC.
Related: What are UCITS ETFs? and Should you switch from US ETFs to UCITS?
Invest in UCITS ETFs with Paasa
Paasa is a global investing platform designed for Indian residents and NRIs. We provide direct access to 11 markets: the US, Canada, the UK, Germany, France, Switzerland, the Netherlands, South Korea, Japan, Hong Kong and Singapore.
This means you are not restricted to just US ETFs like MOO; you can also buy tax-efficient UCITS equivalents using Paasa.
The compliance advantage
Paasa makes global investing easy and also removes the compliance friction with a specialized layer built for Indian residents and NRIs:
- Schedule FA reporting: Exact reports you need for your Indian tax returns, eliminating the need for manual calculations.
- FEMA & LRS guidance: Guidance on FEMA regulations and LRS limits to ensure compliance.
Whether you are buying direct US stocks or investing in UCITS ETFs listed on European exchanges, Paasa provides global access with India-specific compliance and tax support.
Frequently Asked Questions
Which UCITS ETF is closest to MOO?
The iShares Agribusiness UCITS ETF (ISAG) is. Like MOO, it holds traditional agribusiness companies such as Deere, Zoetis, Nutrien and Corteva, without a heavy ESG filter or a tilt toward consumer food technology.
How are the food-focused alternatives different from MOO?
They tilt away from farm machinery and animal health toward food innovation. The Rize Sustainable Future of Food UCITS ETF covers agricultural technology, water and packaging, while the VanEck Sustainable Future of Food UCITS ETF leans toward alternative proteins and organic agriculture.
Are these MOO alternatives accumulating?
Yes. ISAG, FOOD and VEGI all reinvest dividends, so you pay no Indian tax on dividends until you sell.
Can I switch from MOO to a UCITS alternative without paying tax?
No. Moving from MOO to a UCITS fund means selling MOO, and that sale is a taxable event in India. Gains on units held for more than 24 months are taxed as long-term capital gains at 12.5%, and gains on units held for 24 months or less are taxed at your income-tax slab rate. As a non-resident, you generally do not owe US capital gains tax on the sale.
How can I buy the iShares Agribusiness UCITS ETF (ISAG)?
You can buy it through your Paasa account: search for ISAG, which trades on the London Stock Exchange in USD, and place a buy order.
How can I buy the Rize Sustainable Future of Food UCITS ETF (FOOD)?
You can buy it through your Paasa account: search for FOOD, which trades on the London Stock Exchange in USD, and place a buy order.
How can I buy the VanEck Sustainable Future of Food UCITS ETF (VEGI)?
You can buy it through your Paasa account: search for VEGI, which trades on the London Stock Exchange in USD, and place a buy order.
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