Under the current law, decisions on the lease and sale of farmland are made by the local government based on programmes approved by the Agriculture Ministry.
The new bill recommends rescinding those programmes and banning the sale of the land, while decisions on its lease will be made by the Farmland Management Agency.
Until now, 218,493 hectares was envisaged for sale and 62,775 hectares of state-owned farmland was sold.
If parliament enacts the bill, only private land will be eligible for sale but foreigners will not be able to buy it in the next seven years under a moratorium agreed with the European Union.
State-owned farmland and fish-farms will be leased for a period of 50 years. Half the amount made from the lease will go to the state budget and the rest to the local budget.
Also, 70 per cent of the amount made from rates on farmland repurposed into construction land will go to the state and 30 per cent to the local government.