Agricultural land: Finally, the sign-off given to foreign investors

IN terms of foreigners’ access to agricultural land in Morocco, the slightest relaxation can be considered a small revolution. This is the case of the joint circular issued on Friday April 29 by three ministers: that of the Interior, Agriculture and Housing. This is a note intended for walis, directors of regional investment centers (CRI) , urban agencies, regional town planning inspectors, and regional directors of agriculture. The circular comes about because of the multiplicity of texts governing the issue of agricultural land and its acquisition or rental by foreign investors and the differences in their interpretation. The circular  mainly comprises two provisions of great importance. Thus, it is illogical, reads the document, to continue to require foreign investors to obtain a certificate of non-agricultural calling (VNA) for agricultural land located in regions covered by development plans (which automatically induces the loss of agricultural calling), in titled subdivisions or in duly authorized integrated projects. “Any land with a development plan is considered urban throughout Morocco”, it says.
“Nonetheless, the text of the circular still needs to be clarified because some officials could still claim a final VNA certificate by referring to the provisions of the last paragraph of article 11 of the decree of December 29, 2004”, underlines Jamal Mohada, Esq., notary public. A special day should be held at the end of next June between notaries public, architects, surveyors and CRIs in order to clarify the provisions of the circular and agree on a common interpretation.
The second provision of the circular of April 29 relates to the obligation for foreign buyers at the time of acquisition of this type of land to obtain, in other cases, the final certificate of non-agricultural calling (VNA) in accordance with the legislative provisions in force. The CRIs must therefore agree on a deadline not exceeding one week to issue this document to boost investment after the health crisis.
The officers in question are invited to continue to demand the certificate of definitive non-agricultural calling and to issue it “automatically” for land acquired by foreigners and subject to an authorized and titled housing estate. 
The precious document will also have to be delivered to foreigners wishing to buy buildings built within the framework of authorized real estate complexes, composed of titled units.
Once the certificate has been issued, foreign investors must carry out their project within 36 months in order not to be exposed to the measures provided for by law in this area. The refusal  by the authorities to issue the certificate of non-agricultural calling must be duly substantiated to avoid legal action aimed at its cancellation for abuse of power. It now remains to be seen what the reading of  this new legislation by the officers in charge of the land registry and of other local officials will be. 

Hassan EL ARIF