Carter told off for Crafar remark

David Carter. Photo / Christine Cornege

Agriculture Minister David Carter has been told off by Prime Minister John Key for saying a sale being considered by the Overseas Investment Office is unlikely to go through.

Mr Key said yesterday he had had a word with Mr Carter about his remarks on the proposed sale of the Crafar farms to Chinese buyers.

Sixteen North Island farms owned by the Crafar family have been in receivership since October. They are reputed to be worth $100 million.

Receivers KordaMentha have appointed real estate firm Bayleys to sell the farms, ranging from 128ha to 1750ha.

They have received a lot of interest from Asia, including from Chinese investor UBNZ Funds Management.

The Overseas Investment Office (OIO) assesses applications from overseas investors who want to buy sensitive New Zealand assets. It then makes recommendations to the Government about whether it thinks the sale should go ahead. The Government has the final say.

Mr Carter said at the weekend that the sale to the Chinese firm was "unlikely to go through".

Yesterday, the PM said he had told Mr Carter not to continue making such remarks. But he did not think the minister had prejudiced the case and no legal advice had been sought.

Natural Dairy (NZ) Holdings accused Mr Carter of attempting to subvert an independent process.

Vice-chairman Graham Chin said: "Natural Dairy has spent months of its time and considerable amounts of money to meet the requirements of the OIO and now we find the Minister of Agriculture seems to have predetermined the entire approvals process."

- NZPA