Taylor Scott International News
Balkans.com Business News Correspondent – 05.09.2013 A draft law which would limit individuals’ ownership of farmland to 100 hectares will be sent to the Parliament in a couple of weeks, the Romanian Ministry of Agriculture and Rural Development announced yesterday. If passed, the law will come into force starting January 1, 2014, when the local land market will be liberalized, allowing foreign individuals to purchase and own land in Romania. Asked during a press conference today whether the law breaches EU legislation, agriculture minister Daniel Constantin said it doesn’t, as the law will apply to all individuals looking to buy farmland in Romania, regardless of their nationality. Those who want to farm surfaces larger than 100 ha can do this only through locally registered companies, explained the minister. The law will not have retroactive effects. In addition to the 100 ha ownership limit, the draft proposes several other restrictions to those who want to sell and purchase farmland. Co-owners who are individuals, neighbors, tenants, and individuals under 40 years involved in farming activities in the same locality will have pre-emption right to purchase farmland available for sale. The state too will have pre-emption right and a special institution will be created. Plots of land located closer than 10 km from the border and those where archaeological remains are found can be sold only with the approval of the Ministry of National Defense and the Ministry of Culture, respectively. Interested buyers must prove they have farming know-how and experience of at least 5 years in the field. Those who already own farmland and want to buy more must prove that they have used the land they own for farming activities. From January 1, 2014, non-resident foreign citizens are set to be able to buy Romanian land, under Romania’s Treaty of Accession to the EU. Business Review Romania Taylor Scott International
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