Bahamas the big buyer of Australian agricultural land

Residents or companies from the tax haven of the Bahamas have shown up as the biggest buyers of Australian agricultural land in the past year.

Residents or companies from the tax haven of the Bahamas have shown up as the biggest buyers of Australian agricultural land in the past year.

According to the Federal Government’s third annual report of foreign ownership of agricultural land, the Bahamas was the big mover in the source of investment in Australian farms.

From 200 hectares declared in the 2016-17 register, Bahamian ownership rose to 2.2 million hectares for the 12 months to June 30 this year.

Total foreign ownership of Australian farm land rose 2.1 million ha to 52.6 million ha in 2017-18 and now accounts for 13.4 per cent of all agricultural land.

“The overwhelming majority, 80 per cent, of foreign investment continues to be in the form of leasehold interests,” the report said.

“Over 85 per cent of foreign-held agricultural land is used for livestock purposes.”

The United Kingdom remained the biggest investor in Australian farm land, accounting for 10.24 million ha.

British ownership rose by 487,000ha in the past year.

China remained the second largest investor in Australian agricultural land, with its ownership relatively unchanged at 9.17 million ha.

Investors from the US remained in third place with 2.66 million ha, while the Netherlands were still in fourth spot with 2.54 million ha.

While the area of land in foreign hands rose by 2.1 million ha in the past year, it was only marginally higher than the 52.15 million ha recorded in 2015-16.

The biggest changes in foreign ownership occurred in Western Australia and the Northern Territory, which both rose 7 per cent to 13.7 million ha and 14.64 million ha, respectively.

Nearly 27 per cent of agricultural land in the Northern Territory remains in foreign hands.

Tasmania’s foreign ownership accounts for 24.5 per cent of total farm land — albeit a relatively low area of 362,000ha.