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WITNESS RADIO MILESTONES

Understanding China’s foreign agriculture investments in the developing world

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Canberra — China’s investment in foreign agriculture totaled $26 billion in 2016, with investments in 100 countries. But this may just be the tip of the iceberg.

A new report released by the United States Department of Agriculture on April 24 draws from Chinese language speeches, reports, and other secondary sources to understand both the scale and purpose of foreign investment in agriculture, forestry, and fisheries.

Developing countries in Africa, Southeast Asia, and Latin America were among China’s investment regions, with the investment types and goals differing for each.

“In our review of Chinese investments in agriculture in developing countries, we found that some are commercial ventures, while others are foreign aid projects,” Elizabeth Gooch, an economist for the Economic Research Service of the USDA, explained to Devex. “We also found that some ventures seem inclined to pursue both commercial gain and philanthropic motivations.”

A timeline of foreign agricultural investment

According to the report, both agricultural imports and exports began to rise dramatically from 2001, after China joined the World Trade Organization. Political support for a global agriculture policy in 2007 increased foreign agricultural investments further, as did a food security measure linked to the Belt and Road initiative in 2012.

“China’s general ‘going out’ or ‘go global’ strategy began in the 1990s, as an initiative to strengthen Chinese companies by encouraging them to move out from their home base and into global markets,” the report explained.

But for agriculture, the going global strategy was more than just cementing business opportunities for Chinese companies: Foreign investment in agriculture was strongly linked to food security concerns.

A national food security strategy was outlined for China in a five-year plan from 2006 to 2010. The plan advocated for the country to “go global” using China’s large labor resources to develop foreign land, water, and energy resources.

“The plan encouraged large-scale, competitive food conglomerates to produce grains, oilseeds, and sugar crops on rented land in South and North America and Africa and then to transport these crops back to China to balance supply and demand,” the report said.

The five-year plan helped boost foreign investment in farming, forestry, and fishing, which increased five times between 2010 and 2016, reaching almost $3.3 billion, according to China’s National Bureau of Statistics.

The report suggests acquisition of foreign technology to improve agricultural productivity has become another important objective in China’s outward agricultural investment linked to food security in recent years — and is particularly evident in investments related to pork, agricultural trading, and farm input companies.

Investing in developing countries

In 2017, the Chinese Ministry of Commerce estimated agriculture, forestry, and fishing investment in Southeast Asia to be valued at $3.1 billion.

“Southeast Asia has a tropical climate suited to rubber, oil palm, and cassava,” the USDA report said. “It also has a large ethnic Chinese population — an attribute that facilitates business ties.”

Malaysia and Indonesia are key investment regions for palm oil. Cambodia has also been an important location since the 1990s, when the government began leasing out large tracts of land — or economic land concessions — to foreign investors for agricultural operations. The amount of farmland available for economic land concessions now nears 1 million hectares in total, and Chinese businesses are leasing 24 percent of this total. Key investments are rubber and lumber.

Yet foreign aid has also been important to investment across Southeast Asia. In Cambodia, research into the mechanization of cassava cultivation has been a part of China’s foreign aid spending, while in Laos, aid was used to support investment in rice, corn, sugarcane, rubber, tobacco, and tropical fruit.

Investment in Latin America, meanwhile, is more closely linked with food security according to USDA, as it is a “land-abundant region that supplies more than half of China’s soybean imports.” Sugar, grains, oilseeds, and livestock products are among China’s other imports from the region.

But despite it being an important region for imports, it has been a difficult region for Chinese companies to do business in, with the USDA saying only “10 of 17 major Chinese land acquisitions in Latin America were confirmed and under cultivation.”

In Africa, foreign aid and goodwill appear to be an important factor in agricultural investment. According to the USDA, Africa has been a focus for the receipt of technical assistance related to agriculture — as well as the construction of roads, ocean ports, airports, rail, and schools which aim to foster agricultural trade in the long term.

Currently, Africa represents 12 percent of China’s foreign agricultural investment, but the country receives 2 percent of food imports from the continent. Gooch could not comment, however, on whether Chinese investment was expected to lead to greater imports from the region.

“We cannot speculate about the future impacts of Chinese investments in Africa on African exports to China, but we can reiterate the main reason for the growth in overseas investment by China in agriculture is related to China’s growing dependence on food imports,” she said.

Yet the report also suggests that this investment “may be designed to build goodwill in African countries to create business opportunities for Chinese importers and contractors.”

Technical ability is an important asset element in the foreign agricultural investment made by China in the developing world to build goodwill. It began with the 1996 establishment of a rice farm in Cuba by the Xintian Group — a 5,000 hectare rice farm that produced food for local markets. It was followed by similar investments in Mexico.

China does not import rice from either country.

Hubei Provincial Seed Group and Yuan Long Ping High-Tech Agriculture Company are among other Chinese companies that have played an important role in exporting rice seeds to support China’s foreign aid projects in Southeast Asia and Africa.

And USDA believes that rice will also play an important role in the delivery of technical services through the Belt and Road initiative.

While there is large investment from China across the globe, USDA reports that the majority has been concentrated in neighboring areas of Southeast Asia and the Russian Far East — areas both accessible and with an abundance of land for Chinese businesses. It is expected this will grow with the Belt and Road initiative.

Shifting to mergers and acquisitions

The USDA report identified a new trend in China’s foreign agricultural investments — a shifting away from land purchases toward mergers and acquisitions.

For example, the state owned China National Cereals, Oils and Foodstuffs Corporation is gaining more control over commodity trading, processing, and logistics. Another state-owned entity, Bright Foods, is working to assemble a variety of companies and brands under its roof, while the privately owned New Hope Group, an animal feed company, has established joint ventures with Australian and New Zealand to meet the demand for animal protein in China.

But despite this push, they are facing a number of barriers in this space because of differences in legal systems and governance, cultures and values — as well as negative perceptions of Chinese companies internationally.

The report states that the scale of China’s outbound agricultural investments “appears to be less than is often portrayed in global news media.” Still, it is growing rapidly.

“Chinese officials have ambitious strategic plans for agricultural investments to help reshape patterns of agricultural trade and increase China’s influence in global markets,” the report says.

Limitations to the study

The USDA report highlights the barriers that exist in understanding China’s focus role in developing countries and what their aid program achieves. It draws its information from secondary sources within China, including speeches, reports, and news media — a methodology that clearly has limitations.

“There are differences between reported figures and reality,” Gooch said. “We specify in our report that we include Chinese acquisitions of agribusinesses that work in the processing and distribution of agricultural commodities as part of ‘going global’ in agriculture, and these ventures are not defined as agricultural overseas investments according to the Chinese government.”

“We are uncertain about the percentage we missed but are certain that the investments we present in the paper are not all the investments that China has made.”

For many researchers, the hope is that the newly established State International Development Cooperation Agency will provide greater transparency on China’s investments internationally, including agricultural investments in the developing world.

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WITNESS RADIO MILESTONES

Land grabbers evict 360,000 Ugandans in 2024

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A staggering 363,021 Ugandans were displaced due to forced land evictions between January and June 2024, according to a new report by Witness Radio Uganda.

The report documented 90 cases of land evictions during this period, with nearly four incidents occurring weekly, affecting over 15,126 people and threatening 5,060 hectares of land nationwide.

The Central region was the epicenter, recording 52 eviction cases, followed by 24 in the Western region, eight in the Northern region, and six in the Eastern region. Alarmingly, the report estimated that 2,160 Ugandans face eviction daily, with 723 hectares of land at risk of being grabbed every day.

VIOLENCE AND HUMAN RIGHTS VIOLATIONS

Despite government promises and directives from President Museveni to halt evictions, land grabbers have routinely ignored these orders, often resorting to violence. Armed security forces, private militias, and police were reported to have carried out the majority of the evictions.

Of the reported cases, 37 were enforced by armed gangs on behalf of evictors, 25 involved Uganda Police, five were carried out with the participation of UPDF soldiers, and four were linked to private security companies.

“The egregious levels of impunity exhibited by land grabbers have left communities defenseless, creating an environment where their human rights are trampled without consequence,” said Jeff Wokulira Ssebaggala, country director of Witness Radio Uganda.

He called for accountability and justice, warning that the unchecked power of influential individuals and entities leaves marginalized communities vulnerable and without recourse.

DRIVERS OF EVICTIONS: INDUSTRIALIZATION AND LAND-BASED INVESTMENTS

The report identified the government’s push for industrialization and land-based investments as the primary drivers of forced evictions. Land is increasingly targeted for oil and gas extraction, mining, agribusiness and tree plantations for carbon offsets. While some of this land is already under development, other parcels remain vacant but are guarded by military personnel and private security firms.

Ssebaggala emphasized that industrialization must balance economic development with the protection of smallholder farmers’ rights to land and food security.

TRAGIC STORIES

The report highlighted harrowing cases that underscore the human toll of forced evictions. In Nakasongola, smallholder farmer Dan Ssebyala was ambushed and killed by armed men following a confrontation over disputed land. The district has become a hotspot for violent evictions involving absentee landlords and powerful investors.

Ismael Bwowe, a disabled father of 20, recounted how his land was confiscated after he demanded fair compensation. He faced intimidation, arrests and false charges from state authorities, including being accused of robbing an influential individual. Bwowe claimed that Total Energies offered legal support and representation on the condition that he accept their compensation terms.

“I refused,” he said, adding that the pressure to relinquish his land remains intense. The report underscores the urgent need for reforms to address forced evictions, ensure accountability, and protect the rights of vulnerable communities. Without meaningful intervention, Uganda risks deepening inequality and undermining the livelihoods of smallholder farmers who are essential to the country’s food security.

FAMILY JAILED AMID LAND DISPUTE

The plight of Richard Ssebagala, his wife Prossy Namande, and their relative Anania Ngabirano, residents of Kabubu-Kabongo village in Nansana Municipality, Wakiso district, highlights the human toll of Uganda’s ongoing land disputes. The family spent nine months in prison following their arrest on January 10, 2024, under controversial circumstances.

ARREST AND ALLEGATIONS

The arrests occurred at 1am, during a raid by officers from Luweero police station. Police reportedly banged on the doors and forcefully detained the family, accusing them of aggravated robbery. However, the family believes the arrest was a tactic linked to a land dispute with Benon Ntambi, a man who allegedly grabbed their land.

Before the arrests, Ntambi had reportedly destroyed crops, including tomatoes, potatoes, and bananas, on the contested land. While the family was incarcerated, a new building was constructed on their land, which is now occupied, raising further questions about the motivations behind their detention.

CALLS FOR JUSTICE

The case has drawn attention from Witness Radio Uganda, which has urged the government to take immediate action to address land grabbing and illegal evictions. The organization emphasized the need to strengthen land laws and protect vulnerable communities from abuses.

It also called for greater accountability in institutions such as the Uganda Police Force, the army and land registries, which are often accused of corruption and favoritism toward the wealthy.

“The government must prioritize justice for victims of illegal evictions and address systemic corruption that leaves the poor defenseless against land grabbers,” Witness Radio Uganda stated.

BROADER CONTEXT

This case underscores the broader issue of land conflicts in Uganda, where vulnerable families are often caught in disputes with powerful individuals or entities. Advocacy groups warn that the failure to address these issues not only erodes public trust but also perpetuates inequality and injustice.

As the government faces mounting pressure to act, the story of Ssebagala and his family serves as a stark reminder of the urgent need for reforms to protect land rights and ensure justice for those impacted by land disputes.

Source: The Observer

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WITNESS RADIO MILESTONES

Uganda: Community members violently evicted by security forces, allegedly related to EACOP; incl. co. responses

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On 10 February 2023, more than 2,500 community members were forcibly evicted from their land in Kapapi village in Hoima district in Western Uganda by security forces, receiving no compensation or resettlement.

Witness Radio, an Ugandan non-profit organisation comprised of human rights investigative journalists, lawyers, and social workers, said that many people were wounded during the eviction, women were raped, and houses were destroyed.

Witness Radio said its investigations found that this eviction occurred to clear the path for the Tilenga feeder pipeline, part of the East African Crude Oil Pipeline (EACOP). According to Witness Radio, in 2022 Kapapi community members’ land was surveyed for the Tilenga pipeline and people were informed they would be compensated for the land. Instead, they were forcibly evicted, which Witness Radio allege was backed and financed by Swacoff Intertrade Company Limited, known to TotalEnergies. They also allege that guards from private security company Magnum Security were involved. Witness Radio has also found that dozens of local farmers who were evicted have been arbitrarily arrested and face criminal charges.

The Business & Human Rights Resource Centre invited TotalEnergies, Swacoff Intertrade Company Limited, and Magnum Security to respond to the allegations. TotalEnergies responded and stated that no land eviction activities had been carried out by or on behalf of TotalEnergies EP Uganda (TEPU) and EACOP Ltd and that none of the affected people are Tilenga or EACOP Project Affected Persons. Swacoff responded and said that the company has never engaged in forceful eviction of any sort and asserts that these allegations are completely false. Their full responses and rejoinders from Witness Radio are available below. Magnum Security did not respond.

Source: Business & Human Rights Resource Centre

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WITNESS RADIO MILESTONES

Uganda: Land-grab victim communities will join counterparts in commemorating the 2024 International Day of Struggle Against Industrial Plantations.

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By Witness Radio team.

On September 21, 2024, land-grabs communities under their group, the Informal Alliance for communities affected by irresponsible land-based investments in Uganda for the first will join fellow victims in commemorating the International Day of Struggle Against Industrial Plantations, highlighting the growing threat posed by large-scale monoculture plantations.

These industrial plantations have led to the forced eviction of millions of people across Uganda, displacing indigenous communities and stripping them of their land rights and livelihoods. Driven by multinational companies and government-backed investors, with the support of government and private security entities, these evictions prioritize profits over people.

Among the many Ugandan communities still suffering the devastating impact of monoculture plantations are over 30,000 people who were violently displaced from the Namwasa and Luwunga forest reserves between 2006 and 2010 to make way for the New Forests Company’s pine and eucalyptus plantations. In addition, thousands of local and indigenous communities were illegally evicted to make way for palm oil plantations in Kalangala district. Nearly 4,000 people had their land grabbed by the Formosa tree planting company in the Mubende district, and over 35,000 were displaced in Kiryandongo to make way for industrial agriculture to grow maize, soybean, and sugarcane plantations, among others. These and other affected communities united and formed the Informal Alliance for Victims affected by irresponsible land-based investments to defend their rights in early 2019.

The International Day of Struggle Against Industrial Plantations was first celebrated on September 21, 2004, during a community network meeting fighting against industrial tree plantations in Brazil. Since then, it has become a day when organizations, communities, and movements worldwide come together to celebrate resistance and raise their voices, demanding an end to the relentless expansion of industrial tree plantations.

In Uganda, on Saturday, September 21, the 2024 commemoration will start with a radio program in a local dilect (Luganda) purposely to highlight weird experiences faced by communities displaced by large-scale monoculture plantations, struggles for justice, and holding companies and financiers accountable. A one-hour radio program starting at 10 a.m. EAT will feature leaders of the loose alliance. Listen to the radio program on Witness Radio platforms on the website www.witnessradio.org or download the Witness Radio App on playstore.

Later, land-grab victims in Uganda will join their colleagues from Africa and other countries around the globe in a webinar meeting aimed at fostering organizations’ and rural communities’ connection across member countries and communities to build confidence, share experiences, strengthen our campaign to reignite hopes and forge a bond of understanding between the Informal Alliance and victim communities shattered by destructive plantations as well as deterring future plantations expansion.

The Webinar will start at 3PM EAT and will be aired live on Witness Radio platforms on the website www.witnessradio.org or download the Witness Radio App on playstore.

Please note: Both the radio show and Webinar will be live on Witness Radio on www.witnessradio.org or download the witness radio app on playstore to listen live.

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