Introduction
In recent years, the issue of foreign ownership of agricultural land in the United States has garnered significant attention at both the state and federal levels. Wyoming, like many other states, has been actively assessing the implications of Chinese companies and individuals acquiring farmland within its borders. At present, 14 states have implemented various forms of prohibition on foreign ownership of agricultural land, while others are contemplating similar measures. However, Wyoming stands apart from most of its neighboring states, as its constitution formally allows foreign ownership of agricultural land. This article explores the complex landscape of foreign ownership in Wyoming, delving into the potential concerns and the legislative efforts to address them.
The Wyoming Constitution's Unique Stance
Wyoming's constitution takes a distinctive approach by prohibiting laws that discriminate between resident aliens and citizens concerning property possession, taxation, enjoyment, or inheritance. This constitutional provision makes Wyoming one of only six Western states that grant explicit permission for foreign ownership of agricultural land.
Legislative Efforts in Wyoming
Despite this constitutional stance, there have been efforts within the state legislature to restrict foreign ownership of agricultural land. In the previous legislative session, Rep. Dalton Banks, a Republican from Cowley, introduced a bill aimed at prohibiting such ownership. Although the bill successfully passed the House Agriculture Committee, the Appropriations Committee recommended a "do not pass" verdict, and it never reached the House floor for discussion. Rep. Banks remains committed to addressing this issue in future legislative sessions, citing concerns about foreign control over the state's food sources.
Understanding the Landscape of Foreign Ownership
It is essential to contextualize the extent of foreign ownership in the United States. Currently, foreign entities own approximately 3.1% of privately held farmland, which includes forests and pastures. Notably, Canadian investors account for 31% of this figure, with an additional 31% owned by entities from the Netherlands, Italy, the United Kingdom, and Germany combined. Chinese nationals own a comparatively modest 0.03% of all U.S. farmland.
In 2020, foreign ownership of agricultural land in Wyoming reached 1.7% of privately held land, marking an increase of over 30,000 acres compared to the previous year. Canadian investors represent approximately 25% of foreign-owned land in Wyoming, while Chinese ownership is not separately reported, being grouped with other countries. The "other" category encompasses 1,541 acres.
Concerns Among Lawmakers
Although the percentages of foreign ownership appear relatively small, they raise concerns among Wyoming lawmakers. U.S. Rep. Harriet Hageman, a Republican representing Wyoming, is a co-sponsor of federal legislation designed to limit anyone associated with the Chinese government from owning agricultural land, including ranches. Rep. Hageman emphasizes that China is not just a U.S. competitor but a nation engaged in surveillance, market manipulation, and intellectual property theft. She stresses the importance of preventing China from controlling any part of the American food production system, no matter how small.
Rep. Banks echoes these concerns, emphasizing that foreign ownership can limit U.S. agricultural production and enable foreign landowners to use American soil for their benefit. For example, nearly 50% of alfalfa grown in Arizona is exported to China, potentially diverting resources away from domestic use.
The Way Forward
Despite the constitutional complexities, Rep. Banks remains determined to address the issue of foreign ownership of agricultural land in Wyoming. One of the challenges encountered in the previous legislative session was the broad scope of his bill, which would have impacted Canadian landowners. Collaborative efforts are underway to craft more targeted and passable legislation for future sessions.
Rep. Hageman highlights the importance of state-level actions in addressing this issue, but she also emphasizes that corresponding federal measures are essential to comprehensively tackle the problem. She is co-sponsoring a bill to amend the Defense Production Act of 1950, prohibiting certain foreign countries from buying or leasing property near sensitive sites, such as military bases. Investors connected to the Chinese government have been acquiring land in proximity to such installations, posing potential national security threats.
Conclusion
The debate surrounding foreign ownership of agricultural land in Wyoming is multifaceted and extends beyond the state's unique constitutional stance. While the percentages of foreign ownership may appear small in the grand scheme, concerns about food security, production control, and national security drive lawmakers to take action. Both state and federal efforts are in progress to address these concerns and ensure that the nation's food production remains safeguarded from undue foreign influence.
