(TAP) - The Ministry of Agriculture, Water Resources and Fisheries has decided to remove the ceiling of foreign shareholding in the capital of farm businesses, currently set at 66%.

In a statement issued Monday, the Ministry said that the decision, which aims to boost foreign investment in the agricultural sector by companies with foreign shareholding, concerns only farms by way of lease and excludes sale to foreign companies.

The ceiling was set at 66% in accordance with Article 2 of the law No. 56 of September 22, 1969 relating to the reform of the agricultural structures and modified by the law No. 33 of the year 1997 of May 26, 1997. This article concerns the operation of agricultural land by way of lease.

The Agriculture Department indicated that Article 1 of Law No. 56-69 of September 22, 1969 on the reform of agricultural structures was amended by Law No. 33 of May 26, 1997.

It states that “only Tunisian citizens, cooperatives, legal persons of public character, civil companies and limited liability whose participants are all Tunisian citizens have the right to own agricultural lands.”

Joint stock companies created in accordance with the provisions of the law on the conditions of exercise of agricultural activities by joint stock companies also have the ownership right.