Amid skepticism, Congress considers restricting farmland purchases by China, Russia, Iran and North Korea

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Congressional support is building to "restrict China and other foreign adversaries from purchasing U.S. farmland, a reflection of a similar push by some states as well as apprehension over Chinese spy balloons, rising land prices and growing international competition," reports Adam Goldstein of the Washington bureau of States Newsroom. A bipartisan group of House members told Agriculture Secretary Tom Vilsack in a Feb. 27 letter, "Foreign ownership of agricultural land threatens small family farms and the overall health of the agricultural supply chain."

Sen. Mike Rounds, R-S.D., has introduced a bill to prohibit North Korea, Iran, China, and Russia from purchasing U.S. farmland and add the Agriculture Department to the Committee on Foreign Investment, "a multi-agency council that reviews financial transactions that affect national security," Goldstein reports. "Renée Johnson, an agricultural policy analyst, noted that these bills have much more to do with military infrastructure and conflict between the U.S. and the governments of China, Iran, Russia, and North Korea."

"Vilsack said in a Thursday Senate hearing that Russia, China, Iran, and North Korea together own under 400,000 acres of agricultural land as of 2021. He added that the nation's largest foreign landholders include Canada, the Netherlands, and the United Kingdom. Vilsack expressed concern over how federal foreign ownership restrictions could be implemented in a way that was fair and legally sound for international investors."

Clay Lowery, former assistant treasury secretary for international affairs, told Goldstein, "I do believe strongly in the ability for countries and entities to invest in the United States because I think that is actually a positive." Jennifer Zwagerman, director of the Drake University Agricultural Law Center in Iowa, told Goldstein, "My bigger fear is that we limit groups or entities or individuals that are really interested in farming or production themselves. And in doing so, we end up with land that is purchased by those less interested in farming and more in development."

Some doubt federal-level restrictions would be effective. "John Schwarz, a row crop farmer and lawyer in Cass County, Indiana, questioned if any national bill would be enforceable due to the sheer scope of farmland in the country," Goldstein writes. "He suggested it may be better left to counties and localities to handle." Schwarz told Goldstein, "If this is going to work, it really has to be on a micro level. I don't think a macro level is going to do it because there's just way too many ways to slip through, getting cute with the ownership and companies."