A hay bale sits on a piece of land after harvest south of Saskatoon. Photo taken in Saskatoon, Sask. on Thursday, August 12, 2024. Photo by Michelle Berg /Saskatoon StarPhoenixThe Canadian Press | 3 December 2024Saskatchewan auditor concerned with tracking foreign ownership of farmland
by Jeremy Simes
Saskatchewan’s auditor says the province needs to do a better job tracking and enforcing rules on non-Canadians purchasing farmland.
Tara Clemett made the recommendation Tuesday in her latest report and said ensuring farmland is Canadian-owned helps keep prices low.
“Having foreign entities buying Saskatchewan farmland does increase the risk that we don’t have Saskatchewan and Canadian residents that own that farmland — and it could be making prices higher than they should be,” Clemett said.
Saskatchewan law allows foreign ownership of less than four hectares of farmland, though non-Canadian companies can apply for exemptions should they want more land.
Clemett’s report says there have been cases where the Farmland Security Board, which regulates farmland sales, did not request proof of residency for purchases made by out-of-province corporations.
Clemett said 140 exemptions have been granted over the last five years and many of the larger exemptions were given to European companies.
“The board needs to enhance its processes,” she said.
“I can’t say the extent (of the problem), but I would like to see them definitely enhance their processes so that they would have a better comfort to say, ‘We’re doing all we should to make sure we’re addressing (this).”‘
Clemett’s report determined the security board didn’t request proof of residency for nine of 18 purchases made by companies not registered in Saskatchewan.
It also found the board doesn’t have mechanisms to impose fines or penalties for companies that don’t provide such documentation.
It recommends the board request proof of residency, review purchases in a timely manner and have protocols in place to levy fines or penalties.
