News

Almost 1 million hectares of the most sought-after agricultural land in Russia belongs to foreigners

Russia
Regulation & Compliances
Market & Price Trends
Innovation & Technology
Published Feb 22, 2024

Tridge summary

Despite laws prohibiting foreign ownership of agricultural land in Russia, investors from the USA and Europe own about 1 million hectares through Russian companies. There are concerns about potential sabotage by these foreign owners, including crop rotation violations. In response, the State Duma is considering stricter control over this issue. Additionally, the Russian government is contemplating nationalizing certain properties and lands, with legal groundwork already established. This comes as the US Senate has banned the purchase of farmland by countries including China, Russia, North Korea, and Iran.
Disclaimer: The above summary was generated by a state-of-the-art LLM model and is intended for informational purposes only. It is recommended that readers refer to the original article for more context.

Original content

Foreign investors (including from the USA and Europe), as Rossiyskaya Gazeta learned, own about 1 million hectares of agricultural land in Russia, although de jure they do not have the right to this. The United States has already passed a law prohibiting Russian legal entities and other “enemies” from buying farmland. It’s time to tighten control in the Russian Federation, according to the State Duma. There is a risk of sabotage, as well as violation of crop rotation on the part of foreign owners of agricultural land, experts warn. According to market participants and experts interviewed by RG, foreign investors own both small land masses and hundreds of thousands of hectares of agricultural land. The total area of agricultural land in Russia is about 200 million hectares. According to various estimates, the area of agricultural land actually owned by foreigners can reach 1 million hectares. Moreover, geographically, these are the most sought-after lands in the south of Russia, in ...
Source: Agrosektor
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