Overseas investment decision for case 201810304 - Craggy Range Vineyards Limited

The Applicant is an established producer of New Zealand wine, that has vineyards in Martinborough, Hawke’s Bay, and Marlborough.

The Applicant intends to use the land being acquired to establish a new vineyard, with at least 70 hectares of the land to be planted in new vines, along with associated vineyard infrastructure to be installed such as irrigation and related infrastructure.

The land would otherwise be used as bare grazing land, so the investment is likely to result in much of the land being converted to a higher, more productive use.

Several economic benefits are likely to result from the proposed investment including the creation of a number of new permanent and seasonal jobs, an increase in the export receipts to the value of several million dollars as the vines become fully productive, greater efficiency in the use of the land, and an increase in the processing of New Zealand grapes into wine. The Applicant will also introduce into New Zealand new capital for development purposes (including related to planting of the vineyard, purchasing new equipment, and installing vineyard related infrastructure).

The investment will see additional environmental benefits, with the Applicant agreeing to protect land containing significant indigenous vegetation, protecting walking access along aspects of the land, and agreeing to transfer their rights in the land under the Huangarua River to the Crown.

The Applicant has previously undertaken investments of benefit to New Zealand, including having previously established new vineyards and wineries, invested significant additional capital for development purposes, created a substantial number of jobs, and delivered a growing annual export receipt revenue.