Information

This barrier is unrelated to the end of the transition period, following the United Kingdom's departure from the EU.

Public ID: PID-W9ZPYG

Ownership not possible for majority of agricultural land in Zimbabwe (only leasing)

in Zimbabwe

Trade barrier summary

After the Fast Track Land Reform (FTLR) in 2000, the freehold system was replaced with a leasehold system for almost all agricultural land in Zimbabwe.

The government of Zimbabwe introduced offer letters and 99-year leases for use of the land. However, these documents are generally considered unbankable because they:

- restrict lease transfers
- contain a clause that gives the government power to repossess the land

This has resulted in fewer banks providing loans secured against land in Zimbabwe.

Financing imports of UK agricultural equipment is also harder due to tendency for farms to be leaseholders rather than owners. As a result of this, they cannot use their title as collateral.

Sectors affected

  • Agriculture, horticulture, fisheries and pets

Resolved

No

Date reported

8 January 2020

Last updated

25 November 2021

Public ID

PID-W9ZPYG

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