Organizations push for improved monitoring of foreign land ownership - Texas Farm Bureau (2024)

By Shelby Shank
Field Editor

Organizations are calling for better tracking of foreign land ownership and advocating for the modernization of the Agricultural Foreign Investment Disclosure Act (AFIDA).

Passed in 1978, AFIDA tracks and monitors investments in U.S. agriculture. The act requires self-reporting by any foreign person who buys, sells or holds a direct or indirect interest in U.S. agricultural land.

The process, however, hasn’t been updated in over 40 years and is filled with inefficiencies and inadequate information, groups say.

The form is self-reported, with penalties for late reporting but not for failing to report. Only the predominant investor and their country is listed on the data form, leaving room for minority stakeholders to not be listed and shielded from public data.

The U.S. Department of Agriculture (USDA) is limited in its ability to track ownership beyond a third tier, making it difficult to identify the true landowner.

“So, say you have a number of entities within one another or a shell corporation, it is very difficult to get past that third tier of ownership. You might not always be ultimately getting to that last country of ownership that might be the most useful to know about,” American Farm Bureau Federation (AFBF) Economist Danny Munch said.

To address these issues, organizations, including Texas Farm Bureau and AFBF, are calling for better enforcement of the act and improvements to the form. Those changes include adding questions to understand what foreign investors are doing with the land and modernization of the program using an online form.

A report from the Government Accountability Office (GAO) highlights issues with the current data collection process that relies heavily on paper submission. The report shows the U.S. may not truly know how much land is owned by foreign entities.

“USDA needs to collect, track and share the data better, and developing a real-time data system would help,” the GAO said.

Despite Congress directing USDA to create an online submission form and database for AFIDA by the end of 2025, USDA currently does not have any plans or timelines to do so. The agency said it has not received funding to create the database.

Foreign ownership by the numbers
Foreign investment in agriculture has significantly increased, reaching 43.4 million acres in 2022. These investments, groups noted, have consequences for U.S. national security.

Texas leads the nation in the amount of foreign-owned agricultural land.

USDA released a report in December detailing foreign holdings of U.S. agricultural land, noting that foreign ownership increased to 5.3 million acres in Texas.

Foreign ownership and investment in U.S. agricultural land—which includes farmland, pastures and forestland—has grown almost 50% since 2017, according to USDA. This increase is mostly due to foreign-owned wind companies obtaining long-term leases for wind turbines.

View the GAO’s report and the breakdown of the report.

Organizations push for improved monitoring of foreign land ownership - Texas Farm Bureau (2024)

FAQs

How much of Texas is owned by foreigners? ›

These investments, groups noted, have consequences for U.S. national security. Texas leads the nation in the amount of foreign-owned agricultural land. USDA released a report in December detailing foreign holdings of U.S. agricultural land, noting that foreign ownership increased to 5.3 million acres in Texas.

What percentage of U.S. farmland is owned by foreigners? ›

All told, 43.4 million acres of forest and farmland in the U.S., or 3.4% of all ag land, is foreign owned as of Dec. 31, 2022. Roughly 30 million of those acres are reported as foreign-owned, with the remainder primarily under a 10-year-or-longer lease.

What foreign country owns the most land in the United States? ›

Which countries own the most land in the U.S.? China holds only about 1% of all foreign-owned land in the United States, while Canada owns nearly a third. Canada holds 31% of all foreign owned land, with the Netherlands and Italy following with 12 and 7% respectively.

Who are the foreign owners of U.S. farmland? ›

Foreign persons held an interest in over 43.4 million acres of U.S. agricultural land as of December 31, 2022. This is 3.4 percent of all privately held agricultural land and nearly 2 percent of all land in the United States.

Can foreigners own land in Texas? ›

No, all land within the boundaries of the state of Texas is part of the United States. Texas is one of the 50 states that make up the United States of America, and as such, all land within its borders is subject to the jurisdiction of the federal government and the state government of Texas.

Do foreigners own most of the assets in the United States? ›

If the Federal Reserve's holdings are excluded, foreigners own nearly 60 percent of outstanding marketable treasuries. Foreigners own less-significant portions of other asset markets. Their holdings of equities, though large in dollar terms, are small relative to the size of the equity market.

How many acres does China own in the United States? ›

China owns 384,000 acres of American agricultural land. That's a 30% increase just since 2019. And on top of that, they own land near an air force base in North Dakota.

Who owns the most farmland in USA? ›

The Land Report 100 research team analyzes transactions and scours records to determine America's leading landowners. That's how we broke the news in 2020 that Microsoft co-founder Bill Gates was America's largest farmland owner with more than 260,000 acres.

What states restrict foreign land ownership? ›

This article highlights the laws that restrict foreign investment in real estate in Alabama, Florida, Idaho, North Dakota, Ohio, and Tennessee. It identifies the types of land ownership that are restricted, and whether these prohibitions apply to investors from all foreign nations or only specific foreign adversaries.

Who owns the most land in the U.S. list? ›

Editor, The Land Report

The Emmersons became America's largest landowners in 2021 when they acquired 175,000 acres in Oregon from Seneca Timber Company. With that acquisition, the Emmersons surpassed Liberty Media chairman John Malone's 2,200,000 acres.

Can China buy land in Missouri? ›

Governor Kehoe said. “China is our nation's most hostile foreign adversary, and Missouri cannot allow individuals and companies associated with the Chinese Communist Party to buy and exploit Missouri land.”

Who owns the most land in the world? ›

The largest landowner in the world currently is King Charles III of England. How much land does the Royal Family own? He and the British Royal Family own more than 6,600,000,000 acres of land around the world. They technically own many territories around the globe, amounting to 1/6 of the surface of the planet.

Does the U.S. own land in China? ›

The United States does not own any land in China. However, the US does have a diplomatic presence in China through the US Embassy in Beijing and various consulates in other cities. These diplomatic properties are not owned by the US, but rather leased from the Chinese government.

How many acres in the U.S. are foreign owned? ›

According to USDA's latest AFIDA report, which is based on 2021 data, over 40 million acres of U.S. agricultural land are owned by foreign investors and companies.

How much U.S. farmland is privately owned? ›

Privately held farmland in the contiguous 48 States totals 878 million acres, two-thirds of the total private holdings (app. table 1.2. 1). The ownership of this private farmland is held by about 3 million individuals, partnerships, and corporations.

Who owns majority of Texas? ›

One big thing about Texas you may not know. Surprisingly, Texas land is nearly 95% privately owned, with some of the largest properties for cattle ranching in the country. It's true. By comparison, did you know that Nevada is 80% owned by the government?

Who owns most land in Texas? ›

1. Jay Kleberg and The King Heirs. King Ranch, spans an astounding 900,000 acres across a vast expanse of South Texas.

What percent of Texas is privately owned? ›

Over 95% of the land in Texas is privately owned. This creates a unique challenge for Texans, as conservation becomes the responsibility of private landowners.

What percent of the Texas population is foreign born? ›

4.7 million immigrants reside in Texas, or 17 percent of the total population.

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