The government’s plan to restrict purchases of farmland is driving up selling pressure on investors who helped build hundreds of thousands of luxury homes on farms across Taiwan, but will have difficulty finding buyers, a report by Evertrust Rehouse Co (永慶房屋) said yesterday.
The real-estate broker said that farmhouses for sale surged 70 percent year-on-year in the first four months of this year, compared with a 7 percent increase for residential houses and a 3 percent gain for office space, the report said.
“The figures reflect anxiety on the part of sellers to flee the market,” as the Council of Agriculture plans to limit purchases of farmhouses to farmers, likely starting at the end of next month, Evertrust researcher Andy Huang (黃舒衛) said by telephone.
Under the tightened regulations, only people with agricultural insurance or substantial plans to engage in farming can build or acquire farmhouses.
The plans come amid warnings from civic groups that land available for farming has rapidly dwindled due to property speculation since 2000, when the government lifted a ban limiting farmland to agricultural use.
The past 15 years have seen 7,600 farmhouses built in Yilan County, with its farming area declining by 1,900 hectares, the groups said.
On average, two farmhouses have been sold each day in the past five years, with 60 percent of them resold within three years of being purchased, they said.
In Yilan, property speculation bloomed in 2006 after the completion of the Hsuehshan Tunnel and prompted the Yilan County Government to temporarily suspend reviews of identification of farmers and to stop issuing building permits for farmhouses and farm facilities.
Nationwide, farmhouse deals dropped 37.2 percent to 5,068 last quarter from the previous year, while trading value shrank 52.2 percent to NT$28.64 billion (US$932.66 million), the report said, citing government statistics.
“The market has taken a downturn judging from both transaction volume and prices,” Huang said.
It will be difficult to find buyers for farmhouses, which have been popular as retirement or vacation homes, the report said.
Many buyers have turned farmhouses into bed-and-breakfast inns.
The highest number of farmhouses for sale are in Taichung at 2,863, followed by Hualien at 2,472 and Kaohsiung at 2,279, the report said.
The number is 2,038 in Taoyuan and 1,881 in Yilan County, the report said.
GlaxoSmithKline (GSK) in July made its consumer health products division a separate entity as it transforms into a world-leading biopharmaceutical company. By uniting science, technology and talent, the company is aiming to prevent and treat diseases with innovative vaccines, specialty pharmaceuticals and general medicines. GSK’s headquarters annually invests NT$192 billion (US$6.07 billion) in research and development, focusing on immune science and advanced technologies in human genetics. GSK’s drug and vaccine development focuses on infectious diseases, HIV, oncology and immunology. Investing in clinical trial research each year, GSK also brings drug development to Taiwan. It cooperates with 17 medical institutes and research
SLUMPING DEMAND: Inventory has climbed by up to 12 weeks as suppliers are under mounting pressure to offload excessive reserves, a TrendForce report said The price of DRAM chips is expected to fall at a steeper rate of 13 to 18 percent next quarter, as high inflation continues to weigh on demand for consumer electronics, causing chip inventories to soar, market researcher TrendForce Corp (集邦科技) said yesterday. The downtrend in DRAM prices could extend from a quarterly decline of 10 to 15 percent in the third quarter, the Taipei-based researcher said. “Demand for consumer electronics continued to stagnate during the third quarter, which used to be a high demand season,” TrendForce said in a statement. “During the quarter, memorychip consumption and shipments both showed quarterly
INEXPENSIVE POWER: Group chairman Gautam Adani said 70% of the investment would go into energy transition, with a focus on green hydrogen India’s Adani Group is to invest more than US$100 billion over the next decade, most of it in the energy transition business, chairman Gautam Adani said yesterday, as the ports-to-energy conglomerate accelerates an already aggressive expansion plan. After founding the group in 1988 as a commodities trading business, the 60-year-old has ventured into multiple sectors, mainly in the infrastructure space and in line with the priorities of the government of Indian Prime Minister Narendra Modi. “As a group, we will invest over US$100 billion of capital in the next decade,” Adani, the world’s second-richest person, told the Forbes Global CEO Conference in
Foxconn Technology Group (富士康科技集團) is to invest US$1.75 million in a joint venture with PT Indika Energy Tbk to explore commercial electric vehicle (EV) and electric battery business opportunities in Indonesia, the Taipei-based company said yesterday. With the investment, Foxconn would hold a 40 percent stake in the joint venture, PT Foxconn Indika Motor, while PT Indika would own 60 percent. The collaboration is an extension of a memorandum of understanding signed in January by Indika Energy, Foxconn, Gogoro Inc (睿能創意) and others aiming to build an electric vehicle supply chain in Southeast Asia’s biggest economy. Gogoro, in which Foxconn owns a 0.76