Baird: ‘It’s critical that the USDA establish a streamlined process’ that requires foreign entities meet AFIDA requirements

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Congressman Jim Baird | Facebook/ Congressman Jim Baird

Baird: ‘It’s critical that the USDA establish a streamlined process’ that requires foreign entities meet AFIDA requirements

A U.S. representative from Indiana is calling on the U.S. Department of Agriculture to strengthen regulations requiring foreign entities to disclose purchases of farmland in the U.S.

U.S. Rep. Jim Baird (R-Indiana), who before joining Congress ran a family farm, has co-sponsored at least two bills that would prohibit the purchase of land in the U.S. by certain countries.

Baird is calling on the USDA to establish a streamlined process ensuring foreign entities meet reporting requirements of the Agriculture Foreign Investment Disclosure Act (AFIDA) of 1978.

“The Agriculture Foreign Investment Disclosure Act (AFIDA) of 1978 requires that a foreign person who acquires, disposes of, or holds an interest in United States agricultural land must disclose such transactions and holdings to the Secretary of Agriculture,” a fact sheet said.

Baird has been promoting transparency.

“Any foreign entity acquiring U.S.-based farmland that does not share our nation’s democratic and free market values could pose a serious threat to our national security," Baird said to Federal Newswire. "It’s critical that the USDA establish a streamlined process to ensure foreign entities meet AFIDA reporting requirements, monitor changes in land usage, and provide clear guidelines for how purchases are categorized under the current system. We have a responsibility to protect both American farmers and the American people, and I will continue to push for transparency and the proper monitoring of foreign acquisitions of U.S. farmland.” 

China's food security issues stem from a combination of shifting demographics, decreasing arable land and natural disaster, a report from the U.S.-China Economic and Security Review Commission said. 

The China Academy of Social Sciences’ 2020 Rural Development Institute report said that by the end of 2025 China would have a grain shortfall of approximately 25 million metric tons, the report from the U.S.-China Economic and Security Review Commission said.

Since General Secretary of the Chinese Communist Party Xi Jinping took power, he has focused on bolstering China's food security and reducing food waste, the report from the U.S.-China Economic and Security Review Commission said.

Xi also has worked to expand domestic farmland and attain new agricultural technologies, including genetically modified seeds, the report said. However, the domestic efforts have not been enough, so China has been looking internationally for solutions to its problems. Since the U.S. is a global leader in fields such as farmland, animal husbandry and intellectual property related to genetically modified seeds, Xi has targeted the U.S. Because China is targeting the U.S. sometimes through illicit means, it’s presenting risks to American economic and food security.

The U.S. Department of Agriculture has lax reporting requirements for foreign ownership of U.S. land, raising concerns about “information on Chinese ownership of U.S. agricultural land,” the U.S.-China Economic and Security Review Commission's report said. It also raises the concern that China could weaponize genetically modified seeds, “if GM seed code is used to create a bioweapon.” Additionally, if China continues its expansion into U.S. agribusiness, the CCP could gain control over the U.S. food supply chain. 

Baird is a co-sponsor of H.R. 8274, the Promoting Agriculture Safeguards and Security Act of 2022 or the PASS ACT, which was introduced in July. The bill would prohibit people “acting on behalf of a prohibited country” such as China, Russia, Iran or North Korea from engaging in a “merger, acquisition or takeover “of U.S. agricultural companies. The bill would also require the Secretary of Agriculture to submit a report “every 180 days” to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate “on the risks that foreign purchases of agricultural companies pose to the agricultural sector of the United States.”

Baird is also a co-sponsor of H.R. 7892, the Prohibition of Agricultural Land for the People’s Republic of China Act. The bill would direct the President of the U.S. to take action to prohibit people associated with the Government of the People’s Republic of China from purchasing agricultural real estate in the U.S.

In July, Baird signed a letter sent to Agriculture Secretary Tom Vilsack noting the increase in Chinese purchases of American farmland and calling for more transparency in the reporting of foreign purchases of U.S. agricultural land.

Baird was also one of over 100 members of Congress who issued a letter in October to Comptroller General Gene Dodaro of the U.S. Government Accountability Office calling for an investigation into foreign ownership of U.S. farmland, according to a release. The letter called for transparency from the federal government on how foreign ownership is affecting trade and American food and national security. 

An Indiana native, Baird served in the state's General Assembly for eight years before being elected to represent the 4th Congressional district, according to his website.

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