Arizona governor Katie Hobbs said this week her administration is terminating land leases that for years have given a Saudi-owned farm nearly unfettered access to groundwater in the parched southwestern state.
Hobbs called it unacceptable that the farm “continued to pump unchecked amounts of groundwater out of our state while in clear default on their lease.”
Fondomonte raised eyebrows when in 2014 it purchased nearly 10,000 acres (4,047 hectares) of land for $47.5 million about 20 miles (32 kilometers) away from Butler Valley in Vicksburg, Arizona.
Since then, worsening drought in Arizona has brought renewed attention to the company’s water use and the broader issues of foreign-owned farms and groundwater pumping.
The United Arab Emirates-owned Al Dahra ACX Global Inc. grows forage crops in Arizona and California, and is a major North American exporter of hay.
In April, Mayes announced that the state had rescinded permits that would’ve allowed Fondomonte to drill new water wells after inconsistencies were found in its applications.
“The decision by the prior administration to allow foreign corporations to stick straws in the ground and pump unlimited amounts of groundwater to export alfalfa is scandalous,” Mayes said.
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