Pension plan concerned about Saskatchewan's farmland rules

Sunday, June 7, 2015

A government review of Saskatchewan's farmland sales leaves the Canada Pension Plan Investment Board (CPPIB) concerned, according to the Globe and Mail. In mid-April, the province announced that, during the review of its farmland ownership rules, pension plans and other institutional investors will not be able to make purchases. Agriculture Minister Lyle Stewart said in a news release: "Our goal is not to limit investment, but to ensure the long-term success of Saskatchewan's agriculture industry and economy."

This restriction would include the CPPIB, which the Globe and Mail reports bought 115,000 acres in 2013 and had plans for further purchases. Canada's largest pension fund manager, the CPPIB says it had ensured it was a qualified buyer before it made its 2013 purchase.

"We trust that the government will ensure that the province remains open to Canadian investors," senior managing director Michel Leduc said in a statement made after the province's announcement. BF