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Indian agribusiness sets sights on land in east Africa

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Workers at an 11,000 hectare farm in Bako, Ethiopia, run by the Indian company Karuturi. Photograph: Xan Rice

Indian agribusiness companies are ready to spend $2.5bn buying, or renting for decades, several million hectares of cheap land in Ethiopia, Tanzania and Uganda in what could be some of the largest farming deals struck in Africa in the last 50 years.

But in a separate development, plans for a US-based investment company to lease up to 1m hectares of South Sudan for only $25,000 a year appears to have stalled following protests by local communities over the potential “land grab”.

A delegation of 35 Indian investors, including food conglomerates McLeod Russel, Kaveri Seeds, and Karuturi Global, has been touring Ethiopia, Tanzania and Uganda for the last week to seek land to grow palm oil, maize, cotton, rice and vegetables, largely for the burgeoning Indian market.

Karuturi said this week in Dar es Salaam that it was ready to spend $500m acquiring and developing 200,000 hectares of land for palm oil, 150,000 for cereals and 20,000 for sugarcane. This is in addition to $400m the company is spending to develop 100,000 hectares in Gambella province in Ethiopia. The investors have said they are each ready to spend hundreds of millions of dollars on what is some of the cheapest land in the world, being offered on decades-long leases for as little as $1.50 per hectare per year.

“There is huge potential for the agriculture sector in east Africa,” said Karuturi’s managing director, Sai Ramakrishna Karuturi. “The region has 120m hectares of arable land, the same size of arable land India has.”

The deals, if concluded, would swell growing concerns for the “land grab” phenomenon now taking place around the world. According to the UN, (pdf) at least 60m hectares of land, mostly in Africa but increasingly in Latin America, have been bought or leased for up to 100 years as western hedge and pension funds have moved to buy land as an alternative investment to property, and wealthy Middle East countries have sought land to grow food after food riots and droughts. China, Saudi Arabia and Egypt as well as many smaller Middle East countries have led the deals.

Cash-strapped developing country governments have largely welcomed the “foreign direct investments”, arguing that they have millions of hectares of surplus land suitable for intensive arable farming. In addition, they say, the companies guarantee to provide thousands of jobs.

But there has been growing alarm at some of the handouts and tax exemptions in favour of the companies, potentially at the expense of local communities. Many of the projects have barely started producing food, but tens of thousands of people are expected to be evicted, and land traditionally used by pastoralist farmers is being fenced off. In addition, many companies are being allowed to grow food primarily for export despite increasingly hungry home markets.

“No one should believe that these investors are there to feed starving Africans, create jobs or improve food security,” said Obang Metho of Solidarity Movement for New Ethiopia. “These agreements – many of which could be in place for 99 years – do not mean progress for local people and will not lead to food in their stomachs. These deals lead only to dollars in the pockets of corrupt leaders and foreign investors.”

“Most of these deals are characterised by a lack of transparency, despite the profound implications posed by the consolidation of control over global food markets and agricultural resources by financial firms,” said a recent report by US based Oakland Institute , following an investigation into contracts being agreed in six countries.

However, the largest land deal in South Sudan, where as much as 9% of the country’s land is estimated by Norwegian analysts to have been bought in the last few years, is thought to have stalled after unrest by local communities. Texas-based Nile Trading and Development had reportedly agreed a 49-year lease of 600,000 hectares of Central Equatoria state for around $25,000 a year with an option to increase its holding to nearly 1m hectares. The company, headed by former US ambassador Howard Eugene Douglas, would have been allowed to exploit all natural resources, including oil, and to apply for UN-backed carbon credits that could provide it with millions of dollars a year.

But the deal is believed to have stalled after the community of Mukaya Payam in Lainya county, Central Equatoria state, appealed to MPs and the president of South Sudan. “We the chiefs, elders, religious leaders and the youth of Mukaya Payam unanimously, with strong terms, condemn, disavow, or deny the land-lease agreement reached on 11 March 2008 between the two parties,” said the community in a letter to MPs.

President Salva Kiir responded: “This issue has to be addressed according to your will. You are the government and you have powers.”

In a separate study, the US-based Council on Hemispheric Affairs, has concluded that much of Paraguay, Uruguay and Bolivia in Latin America has been acquired by foreign companies to farm.

“In Paraguay, Argentine firms and individuals own about 60% of the 3m hectares of land used to cultivate soy. Foreigners own 19.4% of all Paraguayan land and Argentines own almost all of the 500,000 hectares of Uruguayan soil designated for soy cultivation, while foreigners own 25% of the country’s total arable land,” say the authors. Foreign agribusiness investors own or rent over 1m hectares of Bolivia, according to the report.

“Instead of allowing their lands to be exploited by multinational corporations, these Latin American countries must wean themselves off foreign demands and make their own food security their top priority,” say the authors.

Original Post: The Guardian

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The 4th African Forum on Business and Human Rights: The African continent is lagging, with only a few member states having adopted the National Action Plan (NAP) on Business and Human Rights.

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By Witness Radio team.

Lusaka, Zambia: The United Nations Working Group on Business and Human Rights has expressed profound concerns over the distressingly slow pace at which African member states are adopting the National Action Plans (NAP) on Business and Human Rights. The situation demands urgent and immediate action.

NAPs are tools expected to implement the UN Guiding Principles on Business and Human Rights (UNGPs). The guiding principles are the global standards for preventing and addressing the risk of adverse impacts on human rights involving business activity.

Under NAPs, each member state must establish strategies and expectations that require businesses to respect human rights, conduct human rights due diligence, and provide effective remedies for abuses, thereby enhancing human rights protection in economic activities.

Speaking at the closing of the 4th African Forum on Business and Human Rights, the African Representative on the United Nations Working Group (UNWG) on Business and Human Rights, Prof. Damilola Olawuyi, decried the small number of African member states that have adopted the NAPs.

According to the UNWG, only five (5) out of the fifty-five (55) states in Africa have adopted the National Action Plan on Business and Human Rights, namely, Kenya, Uganda, Nigeria, Liberia, and Ghana.

Damilola said it was such a minimal number and called on states in Africa to step up their commitments to the UNGPs by adopting National Action Plans on Business and Human Rights, and asked those that have adopted the NAPs to ensure that there’s a practical implementation.

He emphasized that UNGPs provide an authoritative common reference point on how to achieve the Africa we want. The key concepts discussed during our three-day activity, including human rights due diligence, meaningful stakeholder engagement, and remediating arms, should serve as powerful practical tools for dismantling workplace inequalities and achieving sustainable development.

Damilola expressed, “Africa is on the rise, with the promise of new investments in mining, infrastructure, agribusiness, and green technologies. We envision a prosperous Africa built on responsible business practices, and the adoption of NAPs can pave the way for this bright future.”

He warned that profit maximization is impossible in an atmosphere of public distrust, community protests, and reputation damage. With increased legislation and NAPs across the World, including the EU directive on corporate due diligence, it is clear that African businesses have failed to respond to the risk of being left behind in a rapidly changing global economy. The consequences of not adopting NAPs are severe, including potential loss of business, damage to reputation, and legal liabilities.

He urged businesses to take the lead in integrating the UNGPs across their value chains, in their corporate policies, procurement standards, and operational grievance mechanisms. Businesses have the power to drive change and make a significant difference.

“As UNWG, we offer to disseminate success stories and innovations from African businesses that are taking the lead in placing people and planet above profit,” said Damilola.

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The EAC Seed and Plant Varieties Bill 2025 targets organic seeds, aiming to replace them with modified seeds, say smallholder farmers.

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By Witness Radio team.

Ssetabi Rauben, a smallholder farmer from Kicuculo village in Mubende district, has a deep connection to farming that dates back to his youth. His personal journey into farming, driven by his family’s need for a livelihood, is a testament to the importance of smallholder farmers in our agricultural system. Ssetabi’s story is just one of many that highlight the potential impact of the EAC Seed and Plant Varieties Bill 2025 on individual farmers.

“With no chance for going further in education, my father gave me land to start a living, and I had to move on. I didn’t go far with my education, so the only resort was to do agriculture since it was my family’s source of living,” He said in an interview with the Witness Radio team.

At 26, Ssetabi, a father of one, dedicates most of his two-acre farm to maize and beans. However, his future in farming, a field he knows best, is under threat. The local seeds he relies on may be outlawed by the 2025 Seed and Plant Varieties Bill of the EAC, potentially dimming his hopes.

The Seeds and Plant Varieties Bill, 2025, recently introduced by the Council of Ministers of the East African Community (EAC), is part of a long-term drive to unify seed regulations across the region.

The draft Bill, as witnessed by Witness Radio, aims to provide for the coordination of evaluation, release, and registration of plant varieties among Partner States; to establish standard processes for seed certification and protection of plant varieties within the Community; and to provide for related matters. According to its promoters, the Bill, based on Article 106 of the Treaty, aims to provide for seed certification, testing, and marketing, thereby facilitating and creating an enabling environment for private sector seed multiplication and distribution.

However, the bill has sparked opposition from civil society organizations, farmer networks, and development partners across the EAC. They argue that it could consolidate corporate control over seeds, curtail the rights of smallholder farmers, and jeopardize agro-biodiversity.

Further, analysis by experts reveals that provisions that risk restricting farmers’ traditional practices of saving, exchanging, and selling seed could have far-reaching consequences for food security, agro-biodiversity, and the livelihoods of millions of rural households.

According to civil society organizations, the Bill threatens to criminalize or restrict traditional practices like breeding, saving, sharing, exchanging, and selling farm-saved seeds. It supports breeders’ rights instead of farmers’ rights. The Bill places a heavy focus on commercial and certified seeds, which could undermine the diverse, locally adapted varieties essential for resilience against climate change, pests, and diseases. This overlooks the importance of farmer-managed seed systems, which are not only central to rural livelihoods and food sovereignty but also an integral part of our cultural heritage.

Many voices warn of serious weaknesses of the bill, which lead to further marginalization of indigenous and smallholder farmers and offer no legal recognition or protection for local farmer-managed seed systems. Despite this, smallholder farmers who are likely to be affected produce the highest amounts of food in the world.

In a critical discussion about the draft bill by Civil Society Organisations and smallholder farmers across East Africa and beyond, several experts on the topic voiced their concerns. Their united front of opposition, a powerful force against the bill, underscores the collective voice’s strength in shaping the bill’s fate.

Dr Peter Munyi, a professional lawyer with extensive experience in agricultural law, explained that the draft stipulates strict testing procedures for seed varieties, with criteria such as distinctiveness, uniformity, and stability being decisive for seed approval. He, however, mentioned that indigenous or farmer-managed seed systems, which are crucial for biodiversity and local food security, are often unable to meet these criteria.

He added, “The testing takes place in laboratories and the value for use and cultivation entails multi-location trials, which is also very expensive, and the only people who can really afford these tests would be commercial seed breeders, perhaps research institutions that USDA and other agencies also fund.”

Mariam Mayet, Executive Director of the African Center for Biodiversity, revealed that the bill is discriminatory and inequitable in its approach because it doesn’t treat all farmers and seeds equally. Her insights add weight to the concerns raised by smallholder farmers and civil society organizations.

Considering the reality of the lives of small-holding farmers, such as Mr. Ssetabi, it is clear that the bill would place an unreasonable burden on the local small farming community.

“We plant and replant our seeds. Our system, inherited from our fathers, has always involved

harvesting, selecting the best breeds, and replanting them; now, if there is a shift as the bill proposes. It’s challenging for people like me because seeds can be expensive at times. Having to buy new seeds every planting season will deepen us into poverty, and people will soon abandon agriculture for those with money.” This financial burden is a stark reality for smallholder farmers like Ssetabi, and the bill only exacerbates their economic struggles.

Considering that smallholder farmers like Ssetabi contribute significantly to the World’s food production, the potential impact of the bill on food security is a cause for concern. Once this bill is passed, there will be a burden on food security and, hence, an increase in poverty levels. The bill’s potential impact on food security cannot be overstated, making it a critical issue for all stakeholders.

Smallholder farming accounts for approximately 75 percent of agricultural production and over 75 percent of employment in East Africa, with up to 70–80 % of seeds planted originating from farmer-managed seed systems. The bill must be reconsidered in light of these implications to prevent a potential crisis. The significant role of smallholder farmers in East Africa’s agricultural sector underscores the urgency of this issue.

“Yet, these systems are in no way recognized in the draft Bill, and the provisions of the bill would install new barriers for farmers’ seed systems and prohibit the saving, reuse, exchange, selling, and sharing in the seed system”. A civil society network raised the alarm.

Ssetabi says. “Some of us rent land, so this is another challenge. Such seeds also need fertilizers.

Now, look at the costs of renting land, seeds, and fertilizers. Don’t you think this is a ploy to remove us from the farming system?” He questioned.

The concern over the bill extends beyond Uganda to other countries where it is being introduced. In Kenya, for example, farmers and the Kenya Plant Health Inspectorate Service (KEPHIS)—a government parastatal mandated to ensure the quality of agricultural inputs and produce, thereby safeguarding the economy, the environment, and human health—rejected the bill. They warned that its enactment could weaken government oversight and expose farmers to substandard and counterfeit seeds.

“Giving seed producers the responsibility to determine the quality of their own seeds will erode government oversight and compromise seed quality,” The Managing Director of KEPHIS, Prof Theophilus Mutui, mentioned in an article published by the Eastleigh Voice.

Civil society organizations appeal that if the bill is to proceed, it must include strong, explicit protections for smallholder farmers, particularly around exceptions to breeders’ rights.

Additionally, stakeholders should advocate for a separate legal framework or policy that recognises and supports farmer-managed seed systems. Without such measures, the region risks enshrining a seed regime that deepens inequality, erodes biodiversity, and undermines the right to food.

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The 4th African Forum on Business and Human Rights: The rapidly escalating investment in Africa is urgently eroding environmental conservation and disregarding the dignity, the land, and human rights of the African people.

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By Witness Radio team,

Lusaka, Zambia: The 4th African Forum on Business and Human Rights has commenced with a call to promote inclusive economic development that will bring about holistic change across the continent.

This year’s event, themed ‘From Commitment to Action: Advancing Remedy, Reparations, and Responsible Business Conduct in Africa,’ underscores the crucial transition from mere pledges to tangible actions. This marks the fourth consecutive sitting after the first in Accra, Ghana, the second in Addis Ababa, Ethiopia, and the third in Nairobi, Kenya, in 2024, demonstrating the Forum’s unwavering commitment to the cause.

Representing the President of the Republic of Zambia, H.E. Hakainde Hichilema, Zambian Justice Minister Princess Kasune stated that Africa is presently at a crossroads due to increased investment in agribusiness, the extractive industry, and infrastructural development, which compromises human dignity, environmental conservation, and respect for the land and human rights of the African people.

“We are meeting here in Lusaka in 2025 at a time when local communities in Africa are experiencing displacement, mineral extraction is contaminating waterbodies on which communities survive on, rights denied at the expense of economic development” this has to stop, she noted that there’s a wide gap of what the African communities are experiencing and with what anchored in corporate responsibility frameworks.

She said Africa has a wealth of minerals, arable land, and other natural resources that must be protected and not exploited at the expense of the dignity and rights of African communities, or at the cost of degrading the environment and the ecosystem.

Kasune criticized officials from African governments who attend negotiation tables with investors as if they were beggars and fail to secure better deals that benefit the African people. She emphasized the need for stronger negotiation power, which would ultimately prevent these unfavorable deals from displacing communities from their ancestral lands.

“We cannot come to the business tables as if we are begging. We are co-partners and must negotiate effectively on behalf of the citizens of the African continent, strengthening their voices to demand accountability when things are not going well. We have so many resources to offer, which are needed by the so-called big nations that can take the entire African continent to a middle-class income status, where our citizens can enjoy a decent standard of living,” said Kasune.

The African continent has documented many cases where African citizens are ordered to vacate their lands in the days before consultation or without proper resettlement and fair compensation.

Kasune reported that on the continent, some cultural chiefs connive with investors and sell communities’ lands at a cost regarded as a handout/ keep pocket change rate (very low), and revealed that Zambia is in the process of finalizing the development of the first National Action Plan on Business and human rights to promote responsible business conduct in the country, a step towards a more equitable future.

Zambia is joining a list of several countries on the continent, such as Uganda, Kenya, Nigeria, and Liberia, that have adopted and now implement National Action Plans (NAPs) on Business and Human Rights. Others, such as Ghana, Ethiopia, Malawi, Mozambique, Tanzania, and Zimbabwe, are in various stages of developing their NAPs.

The overall goal of a National Action Plan on Business and Human Rights (NAP) is to implement the UN Guiding Principles on Business and Human Rights by outlining a government’s strategy to ensure that businesses respect human rights and that effective remedies are available when abuses occur.

The Forum, scheduled to run from October 7th to 9th, 2025, aims to strengthen access to remedies, advance reparations, and develop effective strategies to prevent irresponsible investments such as land grabbing and environmental degradation on the continent, among other objectives.

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