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The enduring legacy of a little-known World Bank project to secure African plantations for European billionaires

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(Originally published in the WRM Bulletin, Issue 252)

The enduring legacy of a little-known World Bank project to secure African plantations for European billionaires
In October 2020, a group of 79 Kenyans filed a lawsuit in a UK court against one of the world’s largest plantation companies, Camelia Plc. They say the company is responsible for the killings, rapes and other abuses that its security guards have carried out against local villagers over the years at its 20,000 hectare plantation, which produces avocados for European supermarkets.
Such abuses are unfortunately all too routine on Africa’s industrial plantations. It has been this way since Europeans introduced monoculture plantations to Africa in the early 20th century, using forced labour and violence to steal people’s lands. Camelia’s plantations share this legacy, and the abuses suffered by the Kenyan villagers today are not so different from those suffered by the generations before them.
Abuses and injustices are fundamental to the plantation model. The question that should be asked is why any of these colonial plantations still exist in Africa today. Why haven’t Africa’s post-colonial governments dismantled this model of exploitation and extraction, returned the lands to their people and emboldened a resurgence of Africa’s diverse, local food and farming systems?
One important piece of this puzzle can be found in the archives of the World Bank.
Last year, an alliance of African organisations, together with GRAIN and WRM, produced a database on industrial oil palm plantations in Africa. Through this research, we found that many of the oil palm plantations, as well as rubber plantations, currently operating in West and Central Africa, were initiated or restored through coordinated World Bank projects implemented in the region in the 1970s and 1980s. The ostensible goal of these projects was to develop state-owned plantations that could drive “national development”. The World Bank not only provided participating governments with large loans, but it also supplied the consultants who crafted the national plantation projects and oversaw the management of the plantations.
In case after case that we looked at, we found that the consultants hired by the World Bank for these projects were from a company called SOCFINCO, a subsidiary of the Luxembourg holding company Société Financière des Caoutchoucs (SOCFIN). SOCFIN was a leading plantation company during the colonial period, with operations stretching from the Congo to Southeast Asia. When the colonial powers were sent packing in the 1960s, SOCFIN lost several of its plantations, and it was then that it set up its consultancy branch, SOCFINCO.
According to documents we obtained in the World Bank’s archives, SOCFINCO was hired by the Bank to oversee the development and implementation of oil palm and rubber plantation projects in several African countries, including Cameroon, Côte d’Ivoire, Gabon, Guinée, Nigeria, and São Tomé and Príncipe. SOCFINCO oversaw the development of blueprints for national oil palm and rubber plantation programmes, helped identify the lands for conversions to industrial plantations, and was paid to manage the plantations and, in some cases, organise the sales of the rubber and palm oil by the state plantation companies established through the programme.
SOCFIN received lucrative management fees through these projects, but, more importantly, the projects positioned the company to both take control of the trade in agri-commodity exports from Africa and to eventually even take over the plantations. It was a huge coup for SOCFIN. As the World Bank projects were operated through parastatal companies (i.e. companies owned or controlled wholly or partly by the government), local communities could be dispossessed from their lands for plantations under the justification of “national development”, something that would be much more difficult for a foreign company like SOCFIN to do. Indeed, a condition for World Bank loans was that the governments secure lands for the projects, something made easier by the fact that most of the projects were being implemented by military regimes.
The World Bank projects also allowed SOCFIN to avoid the costs of building the plantations and the associated facilities itself. Under the projects, the African governments paid the bill, via loans from the World Bank and other development banks.
It was not long before the parastatal companies set up by the World Bank were mired in debt. Of course, the Bank blamed the governments for mismanagement, and called for the privatisation of the plantations as a solution– even if they were being run by the high-priced managers of SOCFINCO and other foreign consultants.
In the privatisation process that then followed, SOCFIN and SIAT, a Belgian company founded by a SOCFINCO consultant, took over many of the prized plantations. Today, these two companies control a quarter of all the large oil palm plantations in Africa and are significant players in the rubber sector as well.
Nigeria is a good example of how this scheme worked. Between 1974 and the end of the 1980s, SOCFINCO crafted master plans for at least 7 World Bank-backed oil palm projects in 5 different states of Nigeria. Each project involved the creation of a parastatal company that would both take over the state’s existing plantations and develop new plantations and palm oil mills as well as large-scale outgrower schemes. Overseeing all of SOCFINCO’s work in Nigeria was Pierre Vandebeeck, who would later found the company SIAT.
All of the World Bank projects in Nigeria generated enduring land conflicts with local communities, such as with the Oghareki community in Delta State or the villagers of Egbeda in Rivers State. After dispossessing numerous communities from their lands and incurring huge losses for the Nigerian government, the parastatal companies were then privatised, with the more valuable of the plantation assets eventually ending up in the hands of SOCFIN or Vandebeeck’s company SIAT.
SIAT took over the plantations in Bendel state through its subsidiary Presco and then, in 2011, it acquired the Rivers State palm oil company, Risonpalm, through its company SIAT Nigeria Limited. Vandebeek was SOCFINCO’s plantation manager for Risonpalm under the World Bank between 1978-1983.
SOCFIN, for its part, took over the oil palm plantations in the Okomu area that were also developed under a World Bank project. It was SOCFINCO that first identified this area for plantation development as part of the appraisal study it was hired to undertake in 1974. The Okomu Oil Palm Company Plc. (OOPC) was subsequently established as a parastatal company in 1976 and 15,580 hectares of land within the Okomu Forest Reserve of Edo State was de-reserved and taken from the local communities to make way for oil palm plantations. The company hired SOCFINCO as the managing agent to oversee its activities from 1976-1990. Reports vary, but at some point between 1986 and 1990, OOPC was then divested to SOCFIN’s subsidiary Indufina Luxembourg.
This sordid history explains why so many of SOCFIN and SIAT’s subsidiaries in Africa still carry national sounding names, like SOCAPALM in Cameroon or the Ghana Oil Palm Development Company. It also explains why these companies are so well designed to extract profits into the hands of their owners and the crucial role of the World Bank for facilitating this corporate profit-seeking process in the name of “national development”. The two French and Belgian families that control SOCFIN pocketed an estimated 30 million euros from SOCFIN in 2019 alone!
Original source: WRM/GRAIN

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Uganda moves toward a Bamboo Policy to boost environmental conservation and green growth.

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By Witness Radio team.

 

Uganda’s move to develop a national bamboo policy aims to boost environmental conservation and create green jobs, addressing the country’s urgent unemployment issues among the working class.

 

Bamboo is a critical tool in fighting climate change due to its rapid growth, high carbon sequestration capacity, and ability to produce 35% more oxygen than equivalent trees. As a fast-growing, renewable resource, it restores degraded land, provides sustainable materials that replace emission-intensive products like concrete, and offers a resilient, low-carbon bioenergy source. 

 

Bamboo’s potential is outlined in the existing National Bamboo Strategy. Still, stakeholders stress that a formal policy involving entrepreneurs, farmers, and processors is essential to remove regulatory uncertainty and foster sector growth.

 

“The strategy is a good document, but it was developed largely through desk research. It did not fully involve entrepreneurs, farmers, and processors who are already working in the bamboo industry,” said Sjaak de Blois, chairman of Bamboo Uganda, encouraging stakeholders to see their role as vital.

 

The bamboo policy is currently at an early consultative stage, with no draft yet submitted to the cabinet or parliament. Recent consultations brought together representatives from eight government ministries, private-sector bamboo actors, and development partners to begin aligning the strategy with practical regulatory needs.

 

“What we have now is the starting point,” De Blois mentioned. “The next step is to take the strategy and make it more practical, more market-driven, and more Ugandan. The next step is to move from having a plan to adopting a policy.

 

Bamboo currently falls under several regulatory frameworks, with no single authority overseeing the sector. The policy push is being driven in part by Bamboo Uganda, a membership-based organization bringing together bamboo farmers and processors, among others. The organization aims to play a coordinating role similar to that historically played by the Uganda Coffee Development Authority in the coffee sector.

 

“If you want to make a sector meaningful for a country, you need coordination. Coffee became what it is because of an institution that aligned farmers, traders, exporters, and regulators. Bamboo needs the same kind of coordination.” He said.

 

The policy process is supported by the Belgian development agency, which is funding consultations and facilitating dialogue between the government and the private sector.

Industry players say the absence of clear regulations has constrained investment despite growing demand.

“At the moment, bamboo is everywhere and nowhere at the same time. As a farmer, you talk to forestry, as a charcoal producer, you talk to energy, as a builder, you talk to works. There is no single framework that enables the industry to function.” De Blois added.

 

Supporters of the policy argue that bamboo could play a significant role in environmental conservation. Bamboo grows rapidly, regenerates after harvesting, and can be harvested annually for decades, reducing pressure on natural forests.

 

According to Global Forest Watch (GFW), Uganda lost 1.2 million hectares of tree cover between 2001 and 2024, representing a 15% decline from the 2000 baseline. Bamboo has been identified as a key species for restoration.

 

“One acre of bamboo that is harvested sustainably can prevent the destruction of hundreds of acres of natural forest,” De Blois said. “If we get this right, bamboo can help reverse deforestation rather than contribute to it.”

 

Ms. Susan Kaikara, from the Ministry of Water and Environment, emphasized bamboo’s potential to drive Uganda’s green-growth agenda.

 

“Establishing a coherent national policy framework will strengthen coordination, inspire investment, and unlock bamboo’s full potential as a pillar of Uganda’s green economy,” she said.

 

Uganda’s charcoal market alone is estimated to be worth hundreds of millions of dollars annually, much of it supplied through unsustainable wood harvesting. Industry actors say certified bamboo charcoal plantations could offer a cleaner alternative.

 

“If they allow us to certify bamboo charcoal plantations, then we can get a trade license to compete or to work together with the existing market. We will reverse deforestation. We would enter an industry of about 500,000 hectares, creating smart, green jobs. We can digitalize them to make them attractive through bamboo agroforestry. So again, those things need a policy.” He adds.

 

Bamboo is also viewed as a climate-friendly crop due to its high capacity for carbon sequestration. Its rapid growth enables it to absorb large amounts of carbon dioxide, while its extensive root system improves soil structure and increases long-term carbon storage.

 

“When you look at carbon sequestration, bamboo offers several advantages. Residues from harvested bamboo can be converted into biochar, locking carbon into the soil for long periods. When you also see the sequestration per acre compared to many other trees, it is five or six times higher. So, we sequester a lot,” De Blois said

 

Stakeholders say that if the policy process progresses as planned, bamboo could emerge as one of Uganda’s key green growth sectors within the next decade.

 

“Policy making takes time. But what is important is that we have started the conversation with all the right ministries in the room. From here, it is about taking steady, practical steps.” He concluded.

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A Global Report reveals that Development Banks’ Accountability Systems are failing communities.

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By Witness Radio team.

For decades, development projects have been funded to address some of the World’s most pressing problems, including poverty, wildlife conservation, and climate change. However, what unfolds on the ground is sometimes the opposite of development. Instead of benefits, these projects have often harmed the very people they are supposed to support.

The effort to address such harm has led to the establishment of Independent Accountability Mechanisms (IAMs) by various development banks. Yet, communities affected by these projects often face betrayal by national court systems, leaving them feeling overlooked and vulnerable, emotions that underscore the urgent need for effective justice.

According to experts in development financing, since the early 1990s, development banks have sought to address and mitigate harm through IAMs—non-judicial grievance mechanisms that provide a direct avenue for impacted communities to raise concerns, engage with project implementers, and obtain remedies for the harm they have experienced.

The study, conducted by Accountability Counsel and titled Accountability in Action or Inaction? An Empirical Study of Remedy Delivery in Independent Accountability Mechanisms shows that while IAMs exist, their relevance has fallen short, underscoring the urgent need for reform to restore community trust and hope.

In compiling the report, researchers reviewed 2,270 complaints across 16 IAMs and conducted 45 interviews covering 25 cases globally.

The report reveals a persistent gap between the promise of remedies and their realization, highlighting that only 15% of closed complaints led to commitments, and just 10% achieved full completion, underscoring the urgent need for effective remedies for communities.

The findings highlight ongoing challenges, including inadequate implementation, limited monitoring, and persistent power imbalances, which continue to block communities from accessing meaningful remedies and demand immediate reform.

“The consequences of these institutional gaps are severe. As these cases show, institutional silence can exacerbate risk, while meaningful intervention can help de-escalate it.” The Report adds.

Uganda is among the countries where communities have sought justice using these accountability mechanisms. Between 2006 and 2010, communities in one of the districts of Uganda were brutally evicted by the UK-based Company, which was growing trees in the area.

The company was formerly an investee of the Agri-Vie Agribusiness Fund, a private equity fund supported by the International Finance Corporation (IFC), the private sector arm of the World Bank Group. The community filed a Complaint with the IFC’s accountability mechanism, the Compliance Advisor Ombudsman (CAO).

“We complained to this body in 2011, hoping for justice, but over 15 years later our people are still struggling, living miserably, some without homes,” a community land and environmental defender told the Witness Radio team.

According to the affected residents, the CAO process did not lead to success or meaningful compensation, as they had hoped.

Between 2013 and 2014, the communities, with support from the CAO, signed a final agreement with the Company to address the harm. Among other commitments, this included resettlement of the affected communities.

In its 28-page report published in 2015 titled: A Story of Community-Company Dispute Resolution in Uganda, the CAO wrote,” With the agreements concluded, implementation is gathering pace. As agreed, the company has begun extending development assistance to both cooperatives, and the process of restoring and enhancing livelihoods has commenced.

The first step taken by both cooperatives was to acquire land. In late 2013, the Mubende Cooperative bought 500 acres of ‘fertile agricultural land’ in the Mubende district. Their vision was to allocate a certain percentage of the land for resettlement, with the remainder utilized for farming projects.

Reports from the ground indicate that communities remain dissatisfied with the process, claiming it failed to address their concerns fully and highlighting the urgent need for more effective remedy systems.

“When you say that people are well, it is really a total lie. Many people were never compensated or resettled. Even those who got a portion of land say they have never seen a fertile land—I have never seen it, because people are living or cultivating on rocky, infertile lands,” the defender further revealed.

The struggle faced by the Ugandan community is not unique. Their experience mirrors what the Accountability Counsel report identifies worldwide. Despite registering more than 2000 complaints by communities harmed by bank-financed projects globally, there has been no comprehensive system-wide analysis of whether and how often these mechanisms deliver meaningful remedies, defined as tangible, material outcomes that repair harm and improve lives.

In addition to the slow success of such IAMs, the report notes that, across interviews covering 25 complaints, 84% referenced retaliation, violence, or threats of violence-an alarming indicator of the risks faced by communities seeking justice, demanding immediate attention and action.

“Government officials and company representatives were frequently implicated in efforts to suppress dissent. This not only reduces the likelihood of achieving a substantial remedy, but also suppresses the willingness of community members to speak honestly and openly about Complaint outcomes.” The report further adds,

Further, it reveals that communities described a range of retaliatory tactics, including physical clashes, arrests, detentions, fatalities, intimidation and harassment, death threats, and anonymous warning letters, among others.

“Remedy must be reimagined not as a peripheral concern but as a core responsibility of development institutions. It must be adequately resourced, independently monitored, and centered around the needs and voices of affected people,” the report adds.

The report recommends that development banks and IAMs establish a Remedy Framework with clear standards to ensure remedies are timely, adequate, and community-centered, and to encourage stakeholders to prioritize systemic reform for better justice outcomes.

The report also urges development banks and their accountability mechanisms to make remedies a foundational element of responsible finance. Adopting institutional frameworks that prioritize redress, empowering IAMs to oversee and enforce commitments, and incorporating the outcomes of IAM processes into project evaluations and institutional learning.

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Young activists fight to be heard as officials push forward on devastating project: ‘It is corporate greed’

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“We refuse to inherit a damaged planet and devastated communities.”

Youth climate activists in Uganda protesting the East African Crude Oil Pipeline, or EACOP, are frustrated with the government’s response to their demonstration as the years-long project moves forward.

According to the country’s Daily Monitor, youth activists organized with End Fossil Occupy Uganda took to the streets of Kampala in early August to protest EACOP. The pipeline, under construction since about 2017 and now 62 percent complete, is set to transport crude oil from Uganda’s Tilenga and Kingfisher fields through Tanzania to the Indian Ocean port of Tanga by 2026.

Activists noted the devastating toll, with group spokesperson Felix Musinguzi saying that already around 13,000 people “have lost their land with unfair compensation” and estimating that around 90,000 more in Uganda and Tanzania could be affected. End Fossil Occupy Uganda has also warned of risks to vital water sources, including Lake Victoria, which it says 40 million people rely on.

The group has been calling on financial institutions to withdraw funding for the project. Following a demonstration at Stanbic Bank earlier in the month, 12 activists were arrested, according to the Daily Monitor.

Some protesters were seen holding signs reading “Every loan to big oil is a debt to our children” and “It’s not economic development; it is corporate greed.”

Meanwhile, the regional newspaper says the government has described the activist efforts as driven by foreign actors who mean to subvert economic progress.

EACOP’s site notes that its shareholders include French multinational TotalEnergies — owning 62 percent of the company’s shares — Uganda National Oil Company, Tanzania Petroleum Development Corporation, and China National Offshore Oil Corporation.

The wave of young people taking action against EACOP could be seen as a sign of growing public frustration over infrastructural projects that promise economic gain while bringing harm to local communities and ecosystems. Activists say residents face costly threats from pipeline development, such as forced displacement and the loss of livelihoods.

Environmental hazards to Lake Victoria could also disrupt water supplies and food systems, bringing the potential for both financial and health impacts. Just 10 years ago, an oil spill in Kenya caused a humanitarian crisis. The Kenya Pipeline Company reportedly attributed the spill to pipeline corrosion, which led to contamination of the Thange River and severe illness.

The EACOP project has already locked the region into close to a decade of development, and concerns about the pipeline and continued investments in carbon-intensive systems go back just as long. Youth activists, as well as concerned citizens of all ages, say efforts to move toward climate resilience can’t wait. “As young people, we refuse to inherit a damaged planet and devastated communities,” Musinguzi said, per the Monitor.

Source: The Cool Down

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