Sharman Stone MP

Foreign Investment of Farms hits a new high note

January 20, 2012

Now its official. Overseas owners dominate Australia’s key food processors and own one tenth of the nation’s farmland and irrigation water.

The first national stock-take of foreign farm ownership in a generation just released by the Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES) reveals that the share of farmland owned by foreigners has almost doubled since 1984, from 5.9% to 11.3%.

Dr Sharman Stone, Federal Member for Murray, said that the Gillard Government’s decision to ignore this new information is deeply concerning.

“There is a growing public disquiet about the lack of transparency and accounting for foreign investment in Australia especially for farm land and manufacturing,” said Sharman Stone.

“The rest of the world is concerned about its own food security but the Australian Government seems to have a ‘come and get it’ attitude.

“The two page policy statement released on Wednesday 18 January 2012 by the Assistant Treasurer Senator Mark Arbib claims that the government already applies a rigorous national interest test for foreign purchases of farmland. This is at odds with the report by ABARES that foreign investment in farmland has been significantly increasing over the past two years”, Sharman Stone said.

“The fact that there is no limit on private foreign farm investment under $231million is a real problem, given only very few properties reach or exceed that value.

“With more than half of Australia’s milk being produced by foreign owned firms, half the wheat export industry being controlled by foreign companies, and 40% of Australia’s beef and lamb being processed by foreign firms, this Gillard Government cannot pretend that we are not moving away from Australian managed food production. The Foreign Investment Review Board national interest test does not even mention agricultural production or water, while it protects the media and heritage purchases”, said Sharman Stone.

Dr Stone said “New Zealand, one of Australia’s head on competitors in the production and export of wines, dairy products, lamb production and fruits, has introduced the need for government approval for foreign purchases of land larger than 5 hectares (12.35 acres). We welcome foreign investment but it has to be on our own terms and carefully managed and monitored.”
 

Further Media Enquiries:
Dr Sharman Stone’s Office – Gaayathri Periasami 0417 148 110