Overseas investment decision for case 201510025 - Craigmore Farming NZ Limited Partnership

An overseas investment in sensitive land, being the Applicant's acquisition of:

• a freehold interest in approximately 301ha of land at 339 Pareora River Road, Canterbury (Pareora Farm); and
• a freehold interest in approximately 200ha of land at 557 Pareora River Road, Canterbury (Somerset Farm).

The Applicant is acquiring two adjoining farms majorly owned by the founder of the Applicant. The Applicant intends to add the farms to its Canterbury dairy pod and invest development capital into the farms over the next four years in order to lift production.

The overseas investment transaction has satisfied the criteria in section 16 of the Overseas Investment Act 2005. The 'substantial and identifiable benefit to New Zealand' criteria were satisfied by particular reference to the following factors:

Overseas Investment Act 2005
17(2)(a)(i) – Creation of Jobs
17(2)(a)(iii) – Increased export receipts
17(2)(a)(iv) – Greater productivity and efficiencies
17(2)(a)(v) – Additional investment for development purposes
17(2)(a)(vi) – Increased processing of primary products
17(2)(b) – Indigenous vegetation/fauna
17(2)(e) – Walking access
17(2)(f) – Offer to gift riverbed to the Crown

Overseas Investment Regulations 2005
28(a) – Consequential benefits
28(d) – Owner to undertake other significant investment
28(e) – Previous investments
28(f) – Advance significant Government policy or strategy
28(g) – Enhance the viability of other investments
28(j) – Oversight and participation by New Zealanders