Legislation would block FCS lending to foreign buyers

September 30, 2022Agriculture News

WASHINGTON, D.C. – Legislation has been introduced in the U.S. Senate to make foreign individuals and entities ineligible to obtain financial services through the Farm Credit System.

Iowa Republican Chuck Grassley and Ohio Democrat Sherrod Brown are co-authors of the Farm Credit for Americans Act, which Grassley calls a commonsense step to ensure foreign buyers, like those backed by China, aren’t taking prime land away from American farmers.

“It poses a potential threat to our food supply, and by extension to our national security.”

He says foreign investment in farmland also makes it more difficult for new and beginning farmers to get started, and Grassley expects the next farm bill to address his concerns.

“That the Farm Credit System is supporting American family farmers and ranchers, and that means making sure U.S. government agencies are not in any way subsidizing foreign or corporate investors.”

Brown says the Farm Credit System was created to ensure farmers and agriculture workers in Ohio and across the country have access to affordable credit, not to benefit foreign investors and hostile governments