News

The U.S is buying Australia's agricultural land

The U.S is the biggest international investor into Australian agricultural land.
The U.S is the biggest international investor into Australian agricultural land. Jamie Brown

INVESTMENT in Australia's agricultural land has soared to $4.6 billion, with the bulk of that coming from the US.

American investors spent $1.3 billion buying Aussie farmland in 2015-16, with China hot on their heels with investments totalling $996 million.

The figures were revealed in the Foreign Investment ­Review Board's annual report for 2015-16, released last week.

It shows investment in Aussie farms has jumped to $4.6 billion - almost double the $2.5 billion recorded in the previous year.

The increase was due to the Government lowering the FIRB's agricultural land screening thresholds in March 2015, from $252 million to $15 million for agricultural land and $55 million for agribusinesses.

"Due to this change, around 110 proposals for agricultural land, valued at approximately $1.4 billion, were screened in 2015-16 that otherwise would not have been screened previously," the report read.

China's investments ­included the $280 million purchase of Tasmania's Van Diemen's Dairy.

The UK invested $338 million - well behind the US and China - to be the third-largest source country in 2015-16, followed by Singapore with $264 million.

CBRE regional director for agribusiness Danny Thomas said the figures were not surprising and expected the growth in agricultural investment to continue.

"We're seen by the rest of the world as a politically stable environment, and with the ­exchange rates ... we look like good value," Mr Thomas said.

He said CBRE had seen a slowdown in inquiries from mainland China but he expec­ted capital to continue coming from Hong Kong.

One to watch, however, was Canada, which invested $240 million for 2015-16.

"There's a whole lot of pension funds, institutional investors that are used to investing in natural resources and agriculture on North and South America," Mr Thomas said.

"It's simply a natural extension of their investment programs that they're now starting to look at Australia and New Zealand."

The FIRB report showed there were 227 agricultural sector approvals - a fraction of the 41,445 approvals across all sectors, and accounting for just 2 per cent of the $247.9 billion investment across Australia.

News Corp Australia

Topics:  agriculture editors picks farming property real estate united states


Stay Connected

Update your news preferences and get the latest news delivered to your inbox.

Man in custody after Woodridge lockdown

An exclusion zone has been established on Nyanza St, bounded by Mikaga Crt and Strathdarr St to Kurrajong St and Nydia St, Woodridge.

An emergency situation declared following reports of a disturbance

Raining, pouring: Wet roads to strike SEQ peak hour

Dusty Ford and Amy Blovask take cover as storms roll in.

Motorists told to drive to conditions

Major delays after truck and car collide

Traffic at Burpengary is still at a crawl.

Man taken to hospital with laceration

Local Partners

Lead poisoning fears: Plumber raided over contamination

AUTHORITIES have raided the home of Brett George Hogan, the plumber and electrician whose work may have delivered water contaminated with lead into homes.

What to expect at Birds of Tokyo's Ipswich gig

The band will perform at the Racehorse Hotel on Friday.

BAND member Glen Sarangapany talks music, pub grub and doing shoeys

What public holidays are left in 2017

Ipswich residents will get the day off tomorrow for the show.

IPSWICH residents will get tomorrow off for the show

Caitlyn comes home to launch debut album

Gympie's Caitlyn Shadbolt will launch here debut album Songs On My Sleeve at an exclusive all-ages concert in Gympie on Friday, May 26.

Win tickets to Caitlyn's album launch

Ben Stiller and Christine Taylor split after 17 years

BEN Stiller and his wife Christine Taylor have called it a day in a joint announcement.

Why The Voice hasn't produced a star

Boy George responds to Brittania Clifford-Pugh's heart-warming message.

It's the industry, not the show, says Boy George

These actors hated their movies and didn’t mind admitting it

Channing Tatum and Marlon Wayans in a scene from GI Joe: The Rise of Cobra.

Every year, Hollywood blesses us with plenty of God awful movies.

Miranda Kerr and fiance hang up backyard tent for wedding

The decorators and caterers are arriving for the final preparations for the wedding of Miranda Kerr and Evan Spiegel. Pictures: Splash

Evan Spiegel and Miranda Kerr are set to marry today

Book review: Mia Freedman's book meets her critics head on

I appreciated Freedman's blunt honesty in the book

Model Bella Hadid's see-through dress shocks in Cannes

US model Bella Hadid attends the Cinema Against AIDS amfAR gala 2017 held at the Hotel du Cap, Eden Roc in Cap d'Antibes, France, 25 May 2017.

It’s like she’s become addicted to shock value.

Man's amazing comeback from monster crisis

Pat O'Driscoll agents Penny Keating and Doug Webber sold 56 Agnes St, The Range at auction over the weekend.

NOT long ago, he sold his possessions to pay staff. Now he's back.

Report reveals progress on $319m airport upgrade

Aerials of the Sunshine Coast.Jetstar plane in front of the Susnhine Coast terminal, Sunshine Coast Airport.

Over two dozen government approvals needed for airport expansion

Lost dough leaves sour taste after company collapse

Kathleen and John Mahoney from Sugar and Spice Bakery were stung after the collapse of Cantro Pty Ltd and are still owed money.

Supermarket operator collapse leaves sour taste for bakery

Open for inspection homes May 25-31

Check out this weekend's homes open for inspection

How Toowoomba house prices compare in Australia

For sale sign in front of home.

Here's what $700,000 will buy you in Toowoomba, Brisbane and Sydney

Ready to SELL your property?

Post Your Ad Here!