Large-scale land deals: investment or speculation?

There was a consensus among the representatives of the private sector who participated in the Land and poverty conference, on the poor credibility of business plans considering agricultural development of more than 10 000 ha/year. Such plans should be considered either as irresponsible business plans probably written by people who have no clue regarding agriculture, or as speculation.

A major recommendation can be drawn from the discussions: Supporting family farming in developing countries can have direct economic benefits for the population; however it might not be enough to allow economic development at national scale. Investments by private agro-industries are thus needed. But this must be conducted by the governments with much care, to open the doors to responsible investors interested in the long-term benefit of their investments, while not giving way to land-speculators. The governments of host countries should be prepared to administer and manage foreign investments. Appropriate regulations must be defined, including environmental and social impact assessments, environmental safeguards, effective public consultation (regarding the use and customary rights on the land involved), and proper technical review of the business plan to assess its feasibility and sustainability on the long term. Foreign investments with no direct substantial benefit to the country and its population should not be allowed.

Cette actu a été rédigée par Laurène Feintrenie.