Hungary’s main opposition Fidesz plans to privatise state-owned farmland before a moratorium on land purchases by foreigners expires in 2011 in order to ensure that domestic farmers are protected, daily Nepszabadsag said on Monday.
The paper, without giving a source, said that the party does not want to wait and see whether the European Union supports a plan to extend the moratorium.
Other parliamentary parties support the idea of asking for an extension.
Fidesz, tipped to win the April elections, plans to take action as soon as it assumes power in order to protect Hungary’s medium-sized farmers. Family businesses will be offered favourable loans for up to 20 years, the paper said.
The party also plans to amend the law on farmland purchases in a way which favours local residents. Family businesses that generate at least half of their income from agriculture will get preferential treatment. Another possible condition would be the knowledge of the Hungarian language and a certificate recognised in Hungary — measures which could raise objections in Brussels.
The current interim government intends to extend the moratorium on land purchases by foreigners by three years if the European Union supports the plan, government spokesman Domokos Szollar said in Budapest last Wednesday.