Federal Treasurer Jim Chalmers approved the sale of Rushy Lagoon, the largest farm in Tasmania, to a UK-based forestry investor on Wednesday [3].
The decision marks a significant shift in land use for the northeast of Tasmania, as the agricultural property will be converted into pine plantations. This move has sparked friction between federal authorities, state leadership, and the local farming community.
The buyer, the Tasmanian Natural Asset Trust, is managed by UK forestry giant Gresham House [1]. The sale price for the property is reported to be more than $100 million [2]. Following advice from the Foreign Investment Review Board, the treasurer said the transaction could proceed [1].
The transition involves the conversion of thousands of hectares of land [2]. While the investor views the move as a forestry opportunity, critics said the loss of the state's largest farm will harm the regional agricultural economy [1].
The approval has led to a political divide. The Tasmanian government said Prime Minister Anthony Albanese should intervene and overturn the federal approval [4]. This request follows a backlash from farmers who view the mass land sale as an attack on the agricultural sector [5].
Federal authorities said the approval followed standard review protocols. However, the scale of the conversion—moving from food production to timber—remains a point of contention for those concerned with food security and rural employment in the region [1].
“The sale price for the property is reported to be more than $100 million.”
The sale of Rushy Lagoon highlights a growing tension between international investment in carbon-sequestering forestry and the preservation of domestic agricultural land. By prioritizing a pine plantation over active farming, the federal government is navigating a complex balance between foreign capital inflows and the economic stability of rural Tasmanian communities.
