Rushy sale approval?

Speculation was rife that the Federal Treasurer was set to sign off on the sale of Tasmania’s largest parcel of farming land to British investors as we went to print this week.

It is understood the Foreign Investment Review Board had advised Treasurer Jim Chalmers to allow the sale of Rushy Lagoon to investment firm Gresham House.

Gresham House has reportedly booked locations in Scottsdale and Gladstone to hold public meetings later this month to outline their plans. The Advertiser has heard from multiple sources that tree stock has already been purchased to begin plantations.

The government nor Gresham House has ever confirmed widely-held beliefs that the project will receive financial backing from the Australian Government’s Clean Energy Finance Corporation.

Gresham House has chosen not to comment during the FIRB process to determine the outcome of the $100 million-plus sale of the 22,000ha site.

Tasmanian Senator Richard Colbeck raised the matter during question time in Canberra on Monday, June 29, with the Minister for Finance taking his questions on notice.

“There has still been no update from the Treasurer, Minister for Finance or the Foreign Investment Review Board,” Senator Colbeck said on Tuesday afternoon.

“To be very clear, I am not anti-forestry or anti-foreign investment. Both are critical to our economy. However, it is plainly not in our interest for the government itself to subsidise the conversion of an irrigated beef and dairy farm to grow trees,” Senator Colbeck said.

“Setting aside the distortion of the local market, the potential conversion of Rushy Lagoon comes at the expense of growing food for Australians and for our export industries, and potentially jeopardises the local supply chains more broadly.”

Government departments were contacted for comment but did not respond before we went to print.