Harvard University invests large sums of its $32.7 billion endowment in natural resources, including timber plantations, in the developing world. This includes Empresas Verdes Argentinas Sociedad Anonima (EVASA) and Las Misiones, two timber companies that are jointly worth $55.2 million and own 87,884 hectares with pine and eucalyptus plantations in the Iberá Wetlands of northern Argentina.
Understanding Land Investment Deals in Africa: Publications
Southern Ethiopia’s Lower Omo Valley is one of the most culturally and biologically diverse areas in the world, yet the Ethiopian government is transforming more than 375,000 hectares (1450 sq. miles) of the region into industrial-scale plantations for sugar and other monocrops. A vast resettlement scheme for the local ethnic groups is accompanying these plans, as 260,000 local people from 17 ethnic groups who live in the Lower Omo and around Lake Turkana—whose waters will be taken for plantation irrigation—are being evicted from their farmland and restricted from using the natural resources they have been relying on for their livelihoods.
Ethiopia is a locus of international attention in the Horn of Africa due to both its consistently high rates of economic growth and for its continued problems with widespread hunger and poverty. The nation is also significant for being among the most dependent on foreign aid. Topping the worldwide list of countries receiving aid from the US, UK, and the World Bank, the nation has been receiving $3.5 billion on average from international donors in recent years, which represents 50 to 60 percent of its national budget.
A new report exposes the significant discrepancies between how Herakles Farms has represented their palm oil plantation project in Cameroon to the public and what it is telling prospective investors and creditors.
The aviation industry has high hopes for biofuels. As its profits are increasingly threatened by erratic fossil fuel prices, and as consumers are more and more concerned with the role of aviation in climate change, biofuels are being billed as the path to both profitability and sustainability. Unfortunately, emerging evidence suggests that as airlines rush to procure biofuel, they do so at the expense of people and the environment.
The Lower Omo Valley in Southern Ethiopia is internationally renowned for its unique cultural and ecological landscape. A UNESCO World Heritage Site, the Lower Omo Valley contains two national parks and is home to approximately 200,000 agro-pastoralists made up of some of Africa’s most unique and traditional ethnic groups, including the Kwegu, Bodi, Suri, Mursi, Nyangatom, Hamer, Karo, and Dassenach, among others.
Millions of acres of Ethiopia’s most fertile land are being made available to investors, often in long-term leases and at giveaway prices. Although proponents of these investments call them “win-win” deals, the reality proves much different. To make way for agricultural investment, and through its so-called villagization program, the Ethiopian government has forcibly displaced hundreds of thousands of indigenous people from their lands. This relocation process has destroyed livelihoods. It has rendered small-scale farmers and pastoralist communities dependent on food aid and fearful for their own survival. Ethiopian officials have also beaten, arrested, and intimidated individuals who have refused to comply with relocation policies.6 These actions are in direct contravention of Ethiopia’s obligations under international human rights law.
Following the 2007-2008 financial crisis and the collapse of the housing market, private equity funds have found a new lucrative soft commodity market to invest in – farmland. In a short period of time, obscured from public view, the flow of private capital into farmland and agriculture has grown dramatically worldwide.
The surge in large-scale commercial interest in land by domestic, international, private, and public actors has prompted a wide variety of stakeholders to consider how such investments may contribute to, rather than erode, local development priorities. The emerging body of evidence points to the significant risks of negative impacts on: access to and control over natural resources, household economies, food security, human rights, and the environment.