PASS Act of 2023 Promoting Agriculture Safeguards and Security Act of 2023
If passed, this bill would result in new statutory provisions governing foreign transactions involving agricultural businesses. The requirement for CFIUS review of certain agricultural transactions means that any acquisition of U.S. agricultural interests by foreign nationals or entities will now undergo scrutiny to assess and mitigate national security risks. Furthermore, the act categorically asserts that any transaction resulting in foreign control over agricultural companies or related real estate can be prohibited by the President, although waivers may be granted under specific circumstances if deemed vital to national security interests.
SB168, known as the 'Promoting Agriculture Safeguards and Security Act of 2023', aims to amend the Defense Production Act of 1950 by adding the Secretary of Agriculture to the Committee on Foreign Investment in the United States (CFIUS). This amendment is significant because it facilitates the review of foreign investment transactions specifically related to agriculture, thereby enhancing the United States' oversight of foreign entities attempting to acquire agricultural assets. This act seeks to safeguard agricultural integrity against potential threats posed by foreign control, which has consequential implications for food security and local economies.
Debates around SB168 may arise from concerns regarding its broad language and potential implications on foreign investments that could be vital for enhancing agricultural technology and practices. Supporters advocate for stricter controls to protect the U.S. agricultural sector, especially given rising global tensions with countries like China and Russia, designated as prohibited countries in the bill. On the other hand, critics may question whether such regulations stifle beneficial investments that could lead to advancements in domestic agriculture, thus highlighting a tension between security and fostering innovation.