by Rupert Pye
Foreign direct investment — ownership of companies — in New Zealand grew from $15.7 billion in March 1989 to $171 billion by March 2024 – an almost eleven times increase.
In 2024 the Overseas Investment Office approved new foreign investment totally $7.5 billion, a significant drop from the $18.5 billion in 2023 — which goes to show a Labour-led government is just as guilty of flogging off New Zealand as is the current National led coalition government.
These figures are from the latest edition of Watchdog, the bulletin produced by Campaign Against Foreign Control of Aotearoa (CAFCA). Forestry is to the fore in recent foreign acquisitions. “Watchdog” lists the February 2025 decisions by the Overseas Investment Office. For instance Tukurua Forest Limited Northland, has been sold to Kauri Forest LP for $9.2 million with Swiss (71%) and German (29%) investors through the Craigmore Sustainable Group.
Watchdog comments “though this deal involves no land use change, it reflects the on-going offshore aggregation of New Zealand’s forestry estate and raises policy questions about long term control and transparency.”
“This is part of a wave of overseas acquisitions tied to carbon farming under the Emissions Trading Scheme.”
Economic and ecological vandalism?
CAFCA has labelled the trend “economic and ecological vandalism — locking land into monoculture pine and driving out rural communities.”
Meanwhile down south Ingka Investments BV (Netherlands 100%), an investment arm of the IKEA franchise group, has acquired 812 hectares of farmland in the Clutha district with 657 ha of former beef and sheep farm which will be converted into forestry.
In Hawkes Bay, Craigmore-linked Kauri Forestry LP has been given the green light to acquire from Waipuna NZ Ltd, 1518 ha. of sheep and beef farmland in Elsthorpe, Hawke’s Bay with over half of the productive farm to go into pinus radiata.
Outdoor Access
CAFCA says this and similar acquisitions by Craigmore such as 804 ha in Central Hawke’s Bay are part of the “quiet transformation of farmland into carbon forestry estates – concerns persist over the reduction of local food production and limited public consultation —-and land access and democratic oversight—-.”
Also in the same regional area the UK Carbon Fund has acquired 1446 ha of forest land across Waipukurau, Pongoroa and Eketahuna.
Kauri forestry LP pops up again at Kaipara where it has bought 496 ha of sheep and beef farmland from Maungarata Trust 100% NZ owned, with 300 ha to go into pinus radiata.
ERI Timber NZ Sari has acquired 794 ha from 100% NZ ownership in West Cork Forestry Ltd.
And so the list goes on.
Fast Track Operating
CAFCA has criticised the dominance of pinus radiata monocultures for “limited biodiversity and ecological impact”.
In a number of foreign acquisitions the special forestry test—may be seen as a fast track mechanism that omits broader public scrutiny.”
In 2024 the OIO approved the sale of 1,249,000 ha of freehold land to foreigners.
The average for the decade 2015-2024 was just over 141,000 ha, with National led and Labour led governments involved.
Footnote: CAFAC membership, enquire : cafca@chch.planet.org.nz
And some clown wants to plant Molesworth Station in pinus radiata. I understand the clown works in the DoC circus
Why can the govt not change the carbon credit scheme to include native bush. If they want to sell NZ at least make the companies buying up our land plant natives. I know the crap reason is because native is a hard wood and doesn’t absorb carbon as readily but who cares. At least after ruining the farming land it would be nice to have bush land and not the invasive weed pine