Milei’s Push for Deregulation: Can Argentina Finally Open Its Rural Land Market?

Argentina’s rural land market remains caught between a long-standing concept of national sovereignty and the Milei Administration’s drive to attract foreign investment.

In our previous article, “Argentina’s Rural Land Law: Sovereignty or Foreign Investment?,” we analyzed the restrictions imposed by the Rural Land Law (Ley de Tierras), enacted on December 22, 2011.

Among other restrictions, the Ley de Tierras limits foreign individuals and legal entities to owning or possessing up to 15% of the rural land within the relevant province, municipality, or equivalent administrative subdivision. Within that ceiling, no single foreign nationality may account for more than 30% of the foreign-held land. Additional restrictions apply to certain rural properties.

The underlying rationale is rooted in national sovereignty: rural land is treated not merely as an economic asset, but as a strategic, scarce and non-renewable natural resource.

That approach, however, sits uneasily with the economic model promoted by President Javier Milei.

Since taking office, Milei has pursued an ambitious program of deregulation aimed at reducing regulatory barriers and attracting private and foreign investment. One of the most significant steps in that direction was Emergency Decree No. 70/2023 (DNU 70/2023), which repealed or amended more than 300 laws and regulations, including the Ley de Tierras.

The repeal, however, did not survive judicial review.

Following a constitutional challenge (amparo) filed by the Centro de Excombatientes Islas Malvinas (CECIM), the Federal Court of La Plata issued an injunction suspending Article 154 of DNU 70/2023, which repealed the Ley de Tierras. The Federal Court of Appeals upheld the injunction and subsequently declared the provision unconstitutional on the merits.

The Government appealed to the Supreme Court of Justice. While that appeal remains pending, however, the injunction continues to prevent the repeal from taking effect.
The practical consequence for investors is clear: the Ley de Tierras remains in force and continues to restrict foreign ownership of rural land in Argentina.

Similar challenges have also emerged in other provinces, including Río Negro and Mendoza.

In late March 2026, the Government submitted the Bill on the Inviolabilidad de la Propiedad Privada (the “Bill”). One of its most consequential proposals concerned foreign ownership of rural land.

The original version would have limited the Ley de Tierras restrictions to foreign States and State-controlled entities, removing the restrictions currently applicable to foreign private individuals and companies.

For international investors, this would have represented a major change.

The proposal quickly became politically contentious.

The Bill was initially expected to move through Congress relatively quickly. However, parliamentary activity was disrupted by a political crisis involving allegations concerning the Government’s Chief of Staff, which ultimately led to his resignation. The subsequent political calendar further complicated the legislative process, while the FIFA World Cup generated a strong wave of national sentiment that intensified opposition to the proposed changes.

Opposition groups increasingly framed the reform as a threat to national sovereignty and as opening the door to the unrestricted acquisition of Argentine land by foreign capital. Public demonstrations followed, while several provincial allies of the Government expressed concerns about supporting the proposal.

The Government initially attempted to preserve the reform by modifying it. Instead of eliminating the ceiling altogether, a later version proposed increasing the foreign ownership limit from 15% to 25%.

That compromise was ultimately insufficient.

On August 7, 2026, the Argentine Senate granted preliminary approval (media sanción) to the Bill by 37 votes to 33. The Government withdrew the entire chapter addressing foreign ownership of rural land. As a result, the version approved by the Senate does not modify the Ley de Tierras.

The Bill has now been referred to the Chamber of Deputies, but, as currently drafted, it contains no changes to the foreign ownership regime.

For the Milei Administration, the outcome represents a significant retreat from the original scope of its deregulatory proposal. For investors, however, the immediate legal position is clear: Argentina’s rural land market remains subject to the existing restrictions imposed by the Ley de Tierras.

This does not mean that foreign investment in Argentine rural land is prohibited. Foreign investors can still acquire rural property, provided that the applicable statutory limits and restrictions are satisfied. The key issue is therefore whether a particular transaction can be structured within the existing regulatory framework.

At the same time, the political debate demonstrates that reforming these restrictions remains part of the Government’s broader deregulation agenda.

For investors considering an acquisition of rural land in Argentina, the current framework requires careful structuring and a case-by-case review of the applicable restrictions, including the 15% ownership ceiling, the nationality rule and restrictions applicable to properties located in sensitive areas.

Investors should also closely monitor the political and regulatory developments surrounding the Ley de Tierras. The outcome of the 2027 presidential elections will be particularly relevant. A re-election of President Milei could strengthen the Government’s ability to pursue its deregulation agenda and bring reform of the Ley de Tierras back to the legislative agenda.

The message is therefore twofold: the existing restrictions remain fully applicable today, but the regulatory landscape may change significantly depending on Argentina’s political trajectory.