In this second of a six-part series, Paul Dykes writes despite reservations about becoming
'tenants on their own land', farmers can see merit in direct foreign investment.
A KPMG survey of farmers and rural leaders suggests the sector would welcome more direct foreign investment provided the regulations were robust.
The professional services firm conducted 13 roundtable discussion sessions with rural leaders across the country in March and April while researching its two-part "2014 KPMG Agribusiness Agenda" report.
In Part 1, "Facilitating Growth in an Uncertain World", KPMG's Global Head of Agribusiness Ian Proudfoot says the survey reflects a growing desire in the rural sector to have each foreign ownership proposal considered on its merits, taking into account the investor's values, philosophy, exit strategy, operating experience and market connectivity; rather than their nationality.
He says there is a growing feeling that New Zealand's foreign direct investment (FDI) regime is not sufficiently stable. FDI policy should be designed to attract foreign investors who are willing to work constructively with New Zealand companies. Furthermore, the policy settings currently suggested by a number of political parties were considered to be short sighted by most industry leaders.