BRADBURY:
We already have a definition in terms of the foreign investment screening process but we will be consulting with stakeholders to determine whether or not to use that existing definition or whether to determine what is agricultural land based upon other requirements. Just to give a bit of background on that, in terms of the screening process we currently define agricultural land as land that is used wholly or exclusively for carrying on a primary production business so that doesn't include things such as vacant land, hobby farms or rural-residential blocks, or land that's used for mining activities. But in terms of the register one of the key decisions that will need to be taken, and this will be a decision that we take in consultation with stakeholders, including the states and territories, will be do we define agricultural land based upon the land use or based upon geographic location, and that's a key and threshold question that we'll need to resolve as part of the consultation process before we implement the register. Obviously there will be pros and cons for both of those measures. Some would argue it may well be better to maintain consistency with the screening process but this is something we'll work towards in discussion with stakeholders.
HOST:
What about the change in ownership of agricultural land that may go with the sale of another operation, for example the purchase of sugar mills by overseas companies in Queensland meant that a number of cane farms went with that sale.
BRADBURY:
Well currently these matters are treated as agricultural businesses and those sales are the subject of screening, that's at least from the perspective of screening processes that are in place, but in terms of the land register, as I say this will be a question of how you define those parcels of land that will be subject to being recorded on the register but in most of those cases you're probably likely to find that on both counts either a use test or a geographic location test, that you're probably likely to find those particular parcels of land would be included.
HOST:
The National Farmers Federation and also Canegrowers has welcomed the move and stating that the government has been listening to the concerns. How much of this is being driven by the controversy surrounding the impending sale of Cubbie station?
BRADBURY:
We had certainly announced our intention to consult around the question of a land register well and truly in advance of any notice that there was a potential foreign investment application in relation to Cubbie, so the two are separate. I think it's fair to say there has been a growing community debate on this issue that has gone on for a period of time. Obviously we've seen a lot of attention in relation to the Cubbie sale, but this is an issue that we've been talking very closely with some of the stakeholders that you've mentioned there and to many others for a long period about how we might be able to ensure there's better evidence. And just in relation to that, I should make the point that in January of this year we made certain announcements in relation to providing some additional resourcing for the ABS to undertake some more comprehensive land surveys around the question of agricultural land. But in the end we have decided to go down the path of a register because we think that is perhaps the best way of bringing some transparency to the way in which Australians right around this country are able to get a snapshot of firstly the extent of foreign ownership in the sector, but also where the concentrations of ownership might be.
HOST:
On the question of transparency, would it also be able to define a foreign company and its possible links to that country's government?
BRADBURY:
One thing I should be very clear about is that under the current foreign investment screening processes, every dollar of direct investment undertaken by a state-owned enterprise, and this is irrespective of what country this relates to, any dollar of direct investment by a state-owned enterprise is subject to screening under the foreign investment policy that governs these arrangements. It's not a question of looking at thresholds in relation to those particular proposals, automatic screening processes are triggered. That's because we do think that there are slightly different tests that need to be applied in relation to those particular acquisitions that involve state-owned enterprises.