‘Attack on farmers’: questions over mass land sale
The sale of Tasmania’s largest farm to an overseas company for use as plantation forestry has sparked outrage and been labeled an attack on producers.
The federal government on Wednesday announced it had accepted the Foreign Investment Review Board’s recommendation to greenlight the sale of Rushy Lagoon in the state’s northeast.
The sale, reportedly worth more than $100 million, leaves 21,000 hectares of land in the hands of the Tasmanian Natural Asset Trust, managed by British investment firm Gresham House.
Large-scale conservation, ecological restoration and sustainable grazing are planned in the area, as well as commercial softwood plantations.
Finance Minister Jim Chalmers said the “very difficult” decision was taken taking into account economic and environmental factors and was not contrary to the national interest.
Tasmania’s leading farming community, the state government and the federal opposition harshly criticized the decision and raised questions about the use of taxpayers’ money on the project.
“This is a shameful outcome for Tasmanian and Australian food security,” TasFarmers chairman Nathan Cox said.
“Rushy Lagoon has nourished Australian families for generations.”
The property has been owned by New Zealand’s Pye family since 1996 and at its peak housed thousands of dairy cows, beef cattle and sheep.
Mr Chalmers said Rushy Lagoon had begun to close its dairy while the Tasmanian government classified the property as marginal agricultural land.
The Australian government’s Clean Energy Finance Corporation and the Ministry of Agriculture, Fisheries and Forestry invested in the new project, which will create employment opportunities for 190 people.
Tasmanian Acting Premier Bridget Archer said before the review board’s decision there were questions about why the federal government supported it.
He said the sale was an “attack” on farmers and would have a significant impact on the state’s agricultural capacity.
“We recognize the value of investment in regional Tasmania, but we have serious concerns about the progress of this process,” Ms Archer said.
The Australian Forest Products Association said the sale was welcome and would address a significant decline in forestry plantations in Australia over the past decade.
“During the COVID construction boom we could not rely on imports to meet our housing needs in Australia,” Deputy Managing Director Dominic Lane said.
“New opportunities that will strengthen our sovereign capacity and investments are critical.”
