Responding to grievances that land is getting to be too expensive for local farmers, the New Zealand government has tightened buying regulations for richer foreign companies that have been swooping in to buy thousands of hectares of arable farming land.

Now, foreign buyers will have to prove how their purchase of land will benefit the New Zealand economy.

According to Finance minister Bill English, there has been "a real appetite" for agricultural land, with a number of nations buying up land aggressively in other countries. Chinese companies, for instance, have been buying large tracts of land in New Zealand.

Land is especially important to the country's economy, New Zealand being the world's largest exporter of milk products, and local farmers have raised concerns that prices might rise beyond what they can afford.

"In New Zealand there's always been a concern about the aggregation of land because it's so critical to our production capacity," says English.

Source: BBC