February 1, 2018
Farm land up for sale will now have to be marketed widely to potential Australians bidders for a minimum of 30 days.
And Australians must be given an opportunity to participate in the sale process.
Agriculture Minister and Member for Maranoa David Littleproud said said he was excited by the announcement on Thursday by Treasurer Scott Morrison.
“The Coalition Government understands the Australian community must have confidence that foreign investment will bring real benefits. This includes ensuring that Australians have adequate opportunity to invest in Australian land,” Mr Littleproud said.
“Our agricultural land and water resources are arguably our nation’s most valuable natural assets and I know there have been concerns around the ability of Australians to participate in the sale process of that land, including approval of the sale of S. Kidman & Co Limited.”
Mr Littleproud said the Federal Government welcomed foreign investment in Australian agricultural land, if it was in the national interest.
“That’s why we have brought in a series of checks and balances for foreign investment. They facilitate investment while making sure Australia’s national interest is protected.
“Genuine above-board foreign investors have not been concerned by the government’s measures to improve oversight and transparency.”
The “screening threshold” for foreign purchases of agricultural land has been lowered from $252 million to $15 million, meaning more sales will be scrutinised.
The new Foreign Investment rules are:
- Subject to exceptional circumstances, foreign investors must demonstrate that agricultural land they intend to acquire has been part of a public sales process and marketed widely to potential Australian bidders for a minimum of 30 days, and Australian bidders have had an opportunity to participate in the sale process.
- All acquisitions of agricultural land by foreign investors for residential development will also be subject to standard development conditions requiring development to commence within a five-year period to prevent land banking. This condition already applies to acquisitions of vacant land.
