Brazil plans to ease limits on foreign purchases of agricultural land
February 17, 2017
Brazil is planning to ease restrictions on foreign purchases of agricultural land in a bid to rekindle economic growth, according to a Reuters report on 2 February.
The bill was part of a series of wider reforms aimed at lifting Brazil out of its worst recession on record and was would need to before Congress, the report said.
There would also be measures to prevent speculation and land being left idle.
Agriculture Minister Blairo Maggi said there was particular appetite from foreign pulp and US soya producers to buy Brazilian land.
However, the bill would seek to avoid land speculation and large foreign investment funds buying vast swathes of territory only to leave it idle if commodity prices fell.
Maggi said reforms would look to support foreign investment in agricultural products with longer production cycles such as oranges, pulp, sugarcane and coffee.
Restrictions could apply to soya, corn and other annual crops which were harvested the same year as they were planted.
"I'm not worried about the ownership of the land ... I'm worried about the use of the land," Maggi said in the Reuters report.
He added that he wanted to increase Brazil's share by value of the global agriculture market to 10% in five years, from 7% today.