Foreign Ownership of US Farmland Surges Over 8% in 2022

By Andi Anderson

The ownership of US farmland by foreign entities surged by over 8% in 2022, marking a notable increase, according to a government report cited by Reuters. Despite this growth, the 43.4 million acres of foreign-owned forest and farmland constitute merely 3.4% of the nation's agricultural land.

This escalation in foreign ownership has sparked heated discussions in Washington regarding the potential national security risks associated with non-domestic control of American farmland. Some members of Congress have proposed imposing limitations on foreign ownership of agricultural land.

The recent data from the US Department of Agriculture (USDA) revealed that foreign entities acquired 3.4 million acres of US farmland in 2022. States like Colorado, Alabama, and Michigan witnessed the most significant increases in foreign acquisitions.

Canada stands as the primary foreign investor, holding 32% of these acres, primarily consisting of forest land in Maine.

Despite concerns raised by lawmakers, China's holdings constitute less than 1% of foreign-owned acres, totaling 350,000 acres—a slight decrease from 2021.

The trend of foreign acquisitions of US farmland has been on the rise since 2017, with an average annual acquisition of nearly 3 million acres, as reported by USDA.

Highlighting the need for better understanding and transparency, the USDA announced plans to enhance data collection methods to assess the impact of foreign land holdings on rural communities and precisely pinpoint the location of foreign-owned acres. Under Secretary for Farm Production and Conservation, Robert Bonnie, emphasized that these enhancements would lead to more informative reporting to Congress and the public.

The USDA is currently seeking public feedback on its proposed updates until February 16.

Photo Credit: gettyimages-sizsus