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African Development Bank’s Push for large scale Agriculture in Africa will spark more concerns over Food Sovereignty and Environmental Impacts.

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1 year ago

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Panel at the second international summit on food production in Dakar, 10 February 2023, from left to right: Allan Kasujja, BBC (moderator); Admassu Tadesse, Trade and Development Bank; Danladi Verheijen, Verod Capital; M. Malick Ndiaye, Banque Agricole; Dr. Olagunju Ashimolowo, ECOWAS Bank for Investment and Development; M. Wagner Albuquerque de Almeida, International Finance Corporation. Source: African Development Bank Group.

“Agriculture must become Africa’s new oil,” said Akinwumi Adesina, President of the African Development Bank (AfDB), at the inauguration of the “Feed Africa: Food Sovereignty and Resilience” (Dakar 2) summit, held in late January 2023 in Senegal. He spoke to 34 African heads of state and 70 ministers, representatives of the European Commission, the United States and several European countries, as well as multilateral institutions such as the International Fund for Agricultural Development (IFAD).[1]

While one of the main objectives of the Bank at the summit was to attract private financing for its projects, the intervention of the director of the Nigerian private equity fund Verod Capital explains the challenge: “I know that we talk about the future of Africa as being that of smallholder farmers, but (…), it is really difficult to experience governance at this level. Smallholder farmers are not the most efficient enterprises. Their bargaining power is limited, they have less money to invest in the infrastructure needed for more efficient agriculture and to get their products to market (…). So, we need bigger businesses where we can deploy capital. I think it will attract more private capital. »[2] Verod is one of the 70 private equity funds in which the AfDB is a shareholder.[3]

In financial terms, the Bank has a certain weight in the continent. It currently has USD 240 billion to invest and a portfolio of USD 56.6 billion already invested.[4] The main sectors covered by this portfolio are: transport (27%), electricity (20%), finance (18%) and agriculture (13%).[5]

Often these investments lead to conflicts with affected local communities. According to the Environmental Justice Atlas, the Bank is involved in at least 14 ongoing social and environmental conflicts.[6] It is in this context that social movements and women’s groups are preparing an African civil society campaign against the AfDB.[7]

So how does the Bank work? Which actors benefit the most? What agricultural model is it promoting? And what role does it play in relation to the struggles for food sovereignty in Africa?

Dakar 2 and the Era of Pacts

Among the “successes” of Dakar 2 claimed by the AfDB is the agreement to implement the “Food and Agricultural Supply Pacts” for 40 countries for the next 5 years.[8] The African Union has declared its strong support for this initiative.[9]

A first reading of the pacts surprises by the lack of care taken in their drafting. For example, the pacts of Burundi and Cape Verde are incomplete, and that of Togo does not make it possible to know whether it concerns this country, Niger or Madagascar. In others, like that of Cameroon, certain parts of the text are copied several times. Despite the supposed importance of these initiatives in attracting funding from the private sector and development banks and agencies, the total cost of the projects is unclear. Our conservative estimate of the total cost is around USD 65 billion.[10]

Far from promoting agro-biodiversity, which is Africa’s wealth, the pacts aim to promote mainly corn, wheat, rice, soybeans and palm oil. The aim is to increase their yields through the industrialisation of “value chains”, which will extend to livestock, dairy and fisheries. To do this, the pacts will promote mechanisation, certified seeds, chemical fertilisers and pesticides, often via tax exemption on imports and other types of subsidies.

Throughout the summit it was repeated that 65% of the world’s uncultivated arable land is in Africa.[11] This is why the expansion of cultivated area is strongly on the agenda in the pacts and covers tens, hundreds of thousands or even millions of hectares, depending on the country. For example, under the Tanzania pact, only 23% of the land available for agriculture would be cultivated. The document proposes prioritising the production of wheat, avocado, market garden produce and sunflower. For this, it refers to the need to expand the agricultural area by more than two million hectares by 2025, in particular through a “transfer” of land currently owned by the village councils. The government is reportedly already identifying and acquiring land for industrial agriculture, installing irrigation infrastructure, an agreement with the “Building Better Tomorrow” initiative.[12]

The provision of open trade policies aimed at attracting investment, especially from the private sector, is also mentioned in the pacts, often in the form of very problematic public-private partnerships.[13] Among other policies aimed at attracting investment, the Kenya pact refers to the absence of restrictions on the repatriation of earnings and capital. It is also worrying that the pacts are based on failed agro-industrial programs. This is the case, for example, of that of Gabon, which specifies that the implementation will be based “on the institutional mechanism already existing and set up by the support project for the GRAINE program”. This program was entrusted to a public-private partnership between the Gabonese government and the multinational Olam in 2015. It has been denounced by the affected communities for having led to the grabbing of thousands of hectares by oil palm plantations.[14]

Source: Grain

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West and Central African grassroots organisations reaffirm their commitment against tree monocultures and in defence of their ancestral lands and forests

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1 day ago

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December 24, 2024

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For almost 10 years, the Informal Alliance against the expansion of Industrial Monocultures in West and Central Africa has had an important role in connecting grassroots organisations and activists and strengthening the resistance against land grabbing and other attacks by oil palm and other plantation companies in the region.

Last November, community activists and grassroots organisations that are part of the Alliance, from 10 countries, gathered at their General Assembly to renew their commitment to the defence of ancestral lands and to keep resisting against neo colonial interests and the corporate takeover of communities’ lands.

See below the full declaration:

Gabon, November 2024

THE MOUILA DECLARATION
of the
Informal Alliance against the expansion o Industrial Monocultures

We, the 60 members gathered at the 6th General Assembly of the Informal Alliance against the expansion of Industrial Monoculture Plantations, in Mouila, Gabon from November 19 to 22, 2024, representing communities and organizations of Gabon, Nigeria, Cameroon, Sierra Leone, Congo Brazaville, Liberia, Ghana, Congo Kinshasa, Ivory Coast and Uganda are deeply committed to the fight against land grabbing, particularly by tree plantation companies. LET US ADOPTE this Declaration which marks our conviction in the vital importance of the recognition and return to ancestral community land ownership in Africa, for the well-being of the first occupants.

WE RECOGNIZE THAT:

  • Ancestral lands are home to communities of people with traditional culture and knowledge of nature;
  • Women play a critical role in the defense of their ancestral lands and forests;
  • Community ancestral land in Africa has intrinsic worth and warrants respect regardless of it usefulness in habitants and humanity as a whole;
  • The natural wealth, rights and freedom to their land is being eroded this day at  a frantic and unprecedented  manner and rate because of delibrate harmful development policies clade in colonial legancy;
  • Ancestral community territories illegally occupied during colonial and post-colonial government regimes as concessions to corporations for business development violate the rights of the people and therefore, constitutes serious crimes against human, an illegality is an illegality regardless of the time they were committed;

WE FURTHER ACKNOWLEADGE THAT:

  • Post-colonial governments have failed in their responsibilities by giving true independence to the communities by prioritizing colonial interests by foreign agents by enacting neo-community laws to dislodged and robbed communities of their ancestral land using various opaque notions of national land and/or government land ownership;
  • The threats caused by the senseless acts of grabbing ancestral land and awarding them as concessions to business has brought untold hardship, violence and irreparable damage such loss of lives and biodiversity, entrenched poverty due loss of livelihoods and community property, early child pregnancy, and gender-based violence, etc.
  • African countries that got independence in the 1960s and 70s, today consider communities as belonging to the State and governments and sit in the comfort of their armchairs in faraway land to grant concessions to corporations without Free, Prior, and Informed Consent of the true of the ancestral landowners.

WE ARE COMMITTED TO:

  • Promote and defend agroecological practices and food sovereignty as a form of resistance;
  • Facilitate the establishment of effective and efficient network of communities, activists and NGOs cooperating at local and international level to understand the strategies and tactics used by corporations to steal communities ancestral land and to develop further strategies and tactics to guide communities to stop land grabbing and recover previous illegal occupied land according to the Alliance objectives;
  • Develop mechanisms that permit all sectors of society, especially the longstanding local populations to nonviolently start the journey to assert their ancestral rights to land fondly referred to by some governments as national land and/or state own land, be partners in planning, establishment of initiative that add value to the ancestral land;
  • Strengthen nonviolent resistance education and provide training that will improve their ability to confront governments and corporations that want to take over their territories.
  • Strengthen education for nonviolent resistance and provide training that will improve their ability to confront governments and corporations that want to take over their territories.
  • Plead for the authorities to provide young people with access to land in rural areas, facilitate their training and support.

RECOGNIZING that action to protect the living riches and beauty of ancestral land depends, on the full commitment of the affected local people, WE PLEDGE OURSELVES to work wholeheartedly to implement the provisions of this Declaration.

EMPHASZING that the recognition of ancestral land is essential to sustaining human society and conserving our planet, WE INVITE THE MEMBERS AND FRIENDS OF THE ALLIANCE to convey this Declaration far and wide with the purpose of ensuring that the conclusions acre incorporated in daily activities.

Signatories:

• Community members from Gabon
• Musiru Divag de Fougamou Gabon
• Institute of sustainable Agriculture, Grand Bassa county, Jogba clan, Liberia
• Women’s Network Against Rural Plantations Injustice (WoNARPI), Sierra Leone
• Alliance Uganda Chapter
• Witness Radio, Uganda
• Nature Cameroon
• Synaparcam, Cameroon
• COPACO, DRC
• RADD, Cameroon
• Struggle to Economize Future Environment (SEFE), Mundemba, Cameroon
• CPPH, Cote d’Ivoire
• Collectif des Ressortissants et Écologistes des Plateaux Bateke, Gabon
• REFEB, Cote d’Ivoire
• YVE Ghana
• JVE Côte d’Ivoire
• Association Gulusenu du village Doubou, Gabon
• Muyissi Environnement, Gabon
• Komolo Agro Farmers Association Kiryandongo, Uganda
• Ndagize julius, East African, Uganda
• LOOK GREEN, CARE FOUNDATION, Nigeria
• Association les Rassembleurs du Village Mboukou, Gabon
• Joegba United Women Empowerment and Development Organization (JUWEDO), Liberia
• COLLECTIF ADIAKE. Cote d’Ivoire
• CNOP, Congo
• Maloa, Sierra Leone
• World Rainforest Movement
• GRAIN

Source: World Rainforest Movement

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Urgent Call for Conditionalities on New IFC and EBRD Loan to Oyu Tolgoi Mine

Published

1 week ago

on

December 17, 2024

By

By Accountability Counsel and partners

Joint Statement

December 9, 2024

We, the undersigned civil society organizations (CSOs) and representatives of herders from Mongolia, strongly condemn the International Finance Corporation (IFC) and European Bank for Reconstruction and Development (EBRD) in providing a $100 million loan each, to Oyu Tolgoi (OT). This decision blatantly disregards years of unresolved grievances, environmental harm, and the failure of OT to comply with IFC and EBRD’s safeguard standards, as well as widespread rejection from local herders, CSOs, and even the Mongolian government.

Unresolved Harms and Non-Compliance

OT has failed to address critical issues, including its commitments under the 2017 Herders Complaint Resolution Agreements and IFC and EBRD’s social and environmental safeguards. Longstanding issues include:

  1. Failures in completing Resolution Agreements: Herders continue to struggle to sustain their livelihoods and protect the environment, as the agreements resulting from CAO complaints remain incomplete. The Tripartite Council (TPC), tasked with implementing the 2017 Agreements, has failed to ensure meaningful involvement of herders in safeguarding their rights and livelihoods.
  2. Tailings Storage Facility (TSF) Seepage: Despite implementing a Remedial Action Plan (RAP) as required by lenders to address the seepage from tailings cell 1 (TC1), OT has neither adequately mitigated the seepage nor transparently disclosed its full extent. Recent data reveals worsening water quality, with Total Dissolved Solids (TDS) levels rising dramatically downstream.
  3. Pasture and Water Scarcity: The mine’s expansion plans threaten vital grazing lands and water resources. Springs that once supported herders’ livelihoods have dried up, forcing herders to compete for limited resources. Moreover, the Dugat-Khaliv river, a key water source for herders, has been diverted around TC2 in a diversion channel without capacity to convey flood-level flows during rainy periods, leading to significant water loss for downstream herders.
  4. Environmental Failures: OT consistently fails to meet the design goal of 64% tailings solid content, resulting in inevitable seepage from the additional pressure exerted by excess water in the tailings cell. This and other design inefficiencies directly lead to massive water wastage estimated at up to $1.46 million per year.
  5. Inadequate Community Engagement: Herders were not meaningfully consulted about the RAP or OT’s expansion plans, violating IFC and EBRD principles of transparency and participation.

Water Mismanagement and Wastage

OT’s operations exacerbate water scarcity through inefficient tailings management. Water wasted due to tailings solids being below design criteria results in significant financial and environmental costs:

  • From 2013-2017, OT achieved 56% solids (8% below design standard), wasting $1.46 million worth of water annually. From 2018-2024, OT achieved nearly 60% solids (4% below design standard) on average, meaning OT wastes $730,000 annually on replacement water. OT has approximately wasted $12.41 million since 2017 from losing 248.2 million liters of water.
  • Oyu Tolgoi (OT) must attain the highest percentage of solid content as specified by its design criteria, 64%, to effectively prevent water scarcity in the South Gobi Desert and ensure improved water access for herders. While lenders argue that the 60-64% range meets the standard, 2012 ESIA states that “Final concentrate will be thickened to 65% solids” which proves otherwise. The TSF operating consistently below 60% results in excessive water waste, posing severe risks to the fragile desert ecosystem and the livelihoods of herders who rely on limited freshwater resources. Achieving the 64% target is not merely an option but a critical necessity to minimize environmental harm, optimize resource use, and uphold OT’s responsibility to local communities.
  • This inefficiency compounds the structural weakness of tailings dams, necessitating costly redesigns and increasing the risk of catastrophic failure. Concerns Over Project Categorization and Political Risks We are deeply concerned that IFC and EBRD categorized OT’s expansion as a Category B project, despite its significant and irreversible impacts on herders and the environment. This misclassification downplays the scale of the risks, undermining proper oversight. Additionally, the Mongolian government is in a disagreement on additional financing that will add more debt, and the Mongolian Parliament Resolution #103 requires an independent audit of underground mine cost overrun which has not been disclosed. Approving new financing in such a contentious political and social environment poses significant risks to the project’s viability.

Recommendations and Conditionalities

IFC and EBRD must impose strict conditionalities on OT before any disbursements begin and ensure the conditionalities are placed in the lending agreement, including:

  1. Fulfillment of Past Commitments:
    • Include the 2017 Herders Complaint Resolution Agreements (HCRAs) in lenders’ compliance requirements and fully implement them.
    • Amend the RAP to include routine medical assessments for herders and their animals impacted by the contaminated water from the TSF seepage, and update Stakeholder Engagement Plan to involve the wider herder community impacted by the seepage.
    • Disclose all the important data from the attachments and annexes of the RAP.
  2. Water and Tailings Management Improvements:
    • Achieve the 64% as the highest solid content target for tailings as per the original ESIA.
    • Disclose the full extent of TSF seepage impacts, including chemical contamination and health risks.
  3. Protection of Herders’ Livelihoods:
    • Permanently halt land acquisitions that displace herders and prioritize using existing lease areas for future tailings cells.
    • Construct a permanent Dugat-Khaliv diversion channel based on maximum flood probabilities.
  4. Transparency and Meaningful Engagement:
    • Disclose all environmental and social impact assessments (ESIA) for expansion plans, implementation of the ESAP from the initial OT project loan, and OT Green Investment Plan.
    • Take actions to strengthen TPC functions through assessing TPC Charter and the implementation of the HCRAs
    • Ensure meaningful consultation with affected communities on all project aspects. This includes consultations on the expansion plans, environmental and social assessment related documents and strengthening of the Tripartite Council with valid herder representation as the body responsible to address herders’ concerns around the OT project.

The approval of new financing to OT without addressing these critical issues perpetuates harm to herders and the environment while eroding public trust in IFC’s and EBRD’s commitment to sustainable development. We call on IFC and EBRD to uphold their safeguards and suspend agreement signing and financing until OT achieves full compliance and fulfills its obligations to herders and the environment.

(Link to full statement in English and Mongolian)

Contact Information:
Sukhgerel Dugersuren, Oyu Tolgoi Watch, 976-99185828, otwatch@gmail.com
Battsengel Lkhamdoorov, Gobi Soil, 976-88705595, tsengel_5595@yahoo.com
Julio Castor Achmadi, Accountability Counsel, julio@accountabilitycounsel.org
Nina Lesikhina, Bankwatch Network, ninalesikhina@bankwatch.org

Signatories:
Gobi Soil, Mongolia
Oyu Tolgoi Watch, Mongolia
Center for Human Rights and Development, Mongolia
AFE, Mongolia
APPDO, Mongolia
CA NGO, Mongolia
GFS, Mongolia
MFSW, Mongolia
RwB Mongolia
SR NGO, Mongolia
SWA, Mongolia
SWB NGO, Mongolia
Accountability Counsel
CEE Bankwatch Network, Regional
Bank Climate Advocates, USA
Bank Information Center, USA
Both ENDS, the Netherlands
Center for Community Mobilization and Support, Armenia
Centre for Research and Advocacy, Manipur, India
Earth Thrive, UK/Serbia
Friends with Environment in Development (FED), Uganda
GAIA, Regional
Gender Action, USA
Green Advocates
Initiative for Right View (IRV), Bangladesh
International Accountability Project
INWOLAG
Kazakhstan International bureau for human rights, Kazakhstan
London Mining Network
LSD, Senegal
NGO Forum on ADB, Regional
Peace Point Development Foundation-PDF, Nigeria
Recourse
Samata & mm&P, India
Sinergia Animal, Brazil
Urgewald, Germany
Witness Radio, Uganda.

Source: Accountability Counsel.

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Op-Ed | A Missing Investment Strategy: Climate Resilience Hides in Local Food Markets

Published

2 weeks ago

on

December 12, 2024

By

Over the last several years, agriculture has stormed onto the climate agenda. And it’s about time. Policymakers, donors, and investors are seeing the wisdom of investing in soil restoration, agroecology, agroforestry, and biodiversity, among other regenerative actions. And yet, what we have learned from our African colleagues is that without simultaneously investing in healthy local markets, these investments in sustainable production are likely to fall short.

Local markets are climate resilient. Not only are these markets a good fit for smallholder farmers who practice agroecology, but they are also more equitable and accessible for women and youth. Strengthening local economic markets and smallholders’ access to them creates a mutually generative cycle of food and ecological resilience—essential to strong local incomes and livelihoods. Remember that family farms continue to feed 70 percent of the world’s population. Specialty crop export and global food trade are still only a minor part of the world’s food story.

Local markets have two distinct advantages in accelerating climate solutions; one is their proximity to consumers, decreasing the miles that food has to travel to get to market, a net savings; two is that increasing agroecological production will enhance soil fertility, capturing carbon, and decrease the use of carbon intensive inputs such as artificial fertilizers and chemical inputs. When considering the amount of food and land under climate resilient food production, the carbon reduction is significant.

Over the past five years, the Agroecology Fund, through a grants program and learning community, has been gleaning insights from African networks and farmers’ organizations about the role of territorial markets to amplify agroecology. With the Alliance for Food Sovereignty in Africa (AFSA) and over a dozen farmers’ organizations, we have seen how smallholder farmers are building local economies that strengthen equitable relationships and climate resilience. Some of the key lessons we learned include:

Local consumers want local, healthy produce. There is a strong market demand for local products from agroecological farms and producers, including green leafy vegetables, fruits, grains, small livestock, and native seeds. Local manufacturing of bio-inputs including fertilizers, bio- pesticides, and inoculants is booming. These markets are large and important to local producers. Strong markets for agroecology mean that farmers are incentivized to practice climate resilient agriculture. An unpublished study of cooperatives and entrepreneurs in Senegal and Mali by Groundswell International noted that local demand for healthy foods is significant and growing. Part of a larger consumer movement led by farmers and consumers, the My Food is African campaign launched by the Alliance for Food Sovereignty in Africa has spread across the continent of Africa in national campaigns for healthy, local, and culturally relevant foods to be produced, celebrated and eaten regularly. Regional and national African leaders have taken up the cause by praising local dishes and demonstrating national pride in local foods as they recognize the costs associated with subsidizing imported staples.

Women farmers have the most to gain from local markets. African women and youth have the most to gain from investment in local markets and local entrepreneurship. Examples abound of growing healthy businesses and value-added production that rely upon women’s agricultural knowledge and practices. Climate resilience requires broad participation from the most vulnerable farmers who are rural women dependent on natural resources for their well-being. In Senegal, a cooperative of women called We Are the Solution has created a fast selling brand of bouillon mix, Sum Pak, made from locally available ingredients without chemicals or preservatives. Chefs and home cooks praise the mix which echoes village flavors and offers consumers low and no sodium lines capitalizing on doctors’ orders.

Finance can be inclusive and accessible. The missing middle is a myth. Smallholder agroecological farmers are not being supported at any level of finance. Many policymakers write convincingly about the missing middle in agribusiness. They assume that microfinance is addressing smallholder farmers’ needs and that larger investors are picking up opportunities over US$100,000. This is not true, less than 15 percent of smallholders practicing any kind of farming are accessing finance below US$100,000. Microfinance is often not being used by smallholder farmers because of high interest rates and repayment durations that do not match agricultural cycles.

Smallholder farmers engaging in agroecology need what regenerative farmers in the U.S. are requesting: low interest, long-term patient capital to engage in both transition to agroecology as well as building up aggregation, processing and marketing of their products. Financing infrastructure such as light farm machinery, storage and refrigeration in the US$2,000 to the US$20,000 range creates new opportunities. This infrastructure enables smallholders to flourish and serve local markets that increase the circulation of local, healthy food. Climate resilience requires thinking about financing the transition in different ways from traditional finance—which has exacerbated inequalities. In Uganda, the purchase of a grinding machine by Eastern and Southern Africa Small-scale Farmer Forum, Uganda (ESAFF) to produce high quality peanut butter enabled a woman’s cooperative to increase the value of their peanut crop 2.7 times. In Cameroon, Service d’Appui aux Initiatives Locales de Développement (SAILD), completed a market analysis that demonstrated the viability of replacing imported wheat flour with local tuber flours grown agroecologically. Indigenous local foods are the present and the future but require financing to play their critical role in food systems.

Local markets are diverse and flourishing. Farmers’ organizations are working alongside cooperatives, associations, entrepreneurs and local governments to develop multiple markets and channels for smallholders’ produce. This includes providing food to territorial markets as well as developing specialized markets, creating on-line digital markets through websites and apps, creating opportunities for bulk purchases and exploring regional markets. Innovative initiatives that connect communities in direct purchasing agreements between producers and purchasers that began during COVID are continuing with great success.

The Kenyan Peasants League worked to pair peri-urban communities of 100 families with direct purchases from smallholder farmers in villages to make regular purchases of food, small livestock and farm inputs directly. Cost savings from shared transportation and the absence of regional market costs enabled many groups to participate. Government procurement programs and interregional trade among African countries remain relatively under-developed strategies with great promise.

Farmers’ organizations are essential. Incubator programs reach small cohorts of farmer entrepreneurs, but community-rooted farmers’ organizations can build trust among a network of small enterprises by building associations and cooperatives to strengthen their voice and action. These cooperatives and associations, supported by representative farmer organizations and networks, have traditions and practices of rotating credit funds that are equitable and provide access to appropriate finance. By working with existing women-led farmer cooperatives, Concertation Nationale des Organisations Paysannes au Cameroun (CNOP CAM) has introduced and funded new agroecological businesses. Ongoing relationships and savings and credit programs, often managed by farmers’ organizations, enable women and smallholders to benefit from loans and technical assistance where others would overlook their potential and undervalue their existing assets, an all-too-common experience.

As policymakers and donors consider opportunities to create climate resilience through agroecology and regenerative agriculture, it is important to remember that territorial markets lie at the center of resilient food systems. We overlook investment in the public agencies that manage them, the businesses behind them, and the farmer organizations that advocate for them at our peril.

Articles like the one you just read are made possible through the generosity of Food Tank members. Can we please count on you to be part of our growing movement? Become a member today by clicking here.

Source: foodtank.com

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