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Arizona revokes Saudi Arabian company’s well-drilling permits

Arizona's alfalfa yields are among the highest in the world. The state produces an average of 8.3 tons of alfalfa per acre, compared to the national average of 3.2 tons. State 48's climate allows for eight to 10 cuttings per year, but while the state has many sunny days (usually about 300), water is a precious commodity.

And water is where things start to heat up. The state of Arizona is leasing several thousand acres of state trust land in La Paz County to a Saudi-owned farm called Fondomonte Alfalfa Farm for $25 an acre (about one-sixth the market price). problem? The Arizona Department of Lands has not provided any transparency as to why it entered into these “sweetheart” agreements.

Fondomonte grows and exports alfalfa to feed dairy cows 13,100 miles away in Saudi Arabia. In response to limited aquifers and a growing dairy sector, the country is moving most of its alfalfa production to the United States.

Image credit: B Brown, Shutterstock

In 2014, Fondomonte bought 10,000 acres near Vicksburg, Arizona, and another 2,000 acres around Bryce, California, after sources said Saudi Arabia had depleted its own aquifers.

To grow alfalfa on state land trusts, Arabian companies pump water from Butler Valley's groundwater bodies. But that's where the discussion begins. Back in August, the state approved two new deep water wells. These wells are estimated to have pumped 3,000 gallons per minute; arizona news Sources said Fondomonte does not charge for water.

In response to growing public concern, Arizona Attorney General Chris Mays revoked the drilling permit last week.

Meanwhile, foreign-owned farmland remains at the center of debate. Arizona Congressman Ruben Gallego was one of 27 members of the U.S. House of Representatives. sign the letter Earlier this year, it addressed the U.S. Department of Agriculture over the so-called lack of oversight in foreign acquisitions of U.S. farmland.

The representatives point out that “foreign ownership of farmland threatens the health of small family farming operations and the entire agricultural supply chain.'' As foreign acquisitions of agricultural land increase, it is clear that more oversight is needed to protect local farmers, rural communities, and national security. ”

Last year, Gallego also introduced the Domestic Water Forecast Act of 2022, legislation that would impose an excise tax on the sale and export of water-intensive crops grown by foreign companies or governments in areas that have experienced prolonged drought.

“Arizona is experiencing the driest conditions in centuries, but our water is provided free of charge in our friendship agreement with Saudi Arabia,” Gallego said.

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