At its plenary session Wednesday, the State Duma passed the government bill "On farmland sale" in its final third reading. The law bans farmland sale to foreign physical and legal entities, non-naturalized persons and enterprises in which a foreign capital share exceeds 50 percent - they are allowed a long-time lease of up to 49 years.
Regional authorities are free to regulate all farmland dealings, in particular, to establish the maximum area to be owned by one person.
The federal law runs that privately-owned farmland can comprise not less than 10 percent of the agricultural area within the confines of an administrative district.
The law contains no direct ban on the confiscation of a plot of farmland. Still, if there is any damage to the environment, confiscation can be effected only on a court ruling.
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