Land giveaways: “quick-fix” development?

Forest clearing, Herakles Farms development, Southwest Region, Cameroon.

Forest clearing, Herakles Farms development, Southwest Region, Cameroon.

There are certainly many paths to economic development, but as Samuel Nguiffo points out in a recent Al Jazeera opinion piece,  signing away vast expanses of land to foreign investors — the “quick-fix” approach — is a high-risk “development” plan.

Nguiffo, Founder and Secretary General of the Center for the Environment and Development (CED) in Yaounde, Cameroon, is a tireless advocate for the communities who are rarely consulted — and sometimes not even informed — before their lands are taken away for logging, mining or large-scale agricultural projects. Nguiffo’s work, like that of Marc Ona in Gabon, has been recognized and honored internationally. Nguiffo was awarded the Goldman Environmental Prize in 1999 for his efforts on behalf of Cameroon’s rainforest and forest-dwelling communities. (And, like Ona, Nguiffo also faces lawsuits and intimidation at home.)

In the 1990s Nguiffo focused his attention on logging and the proposed Chad-Cameroon oil pipeline project (the pipeline has been operational since 2003). Today, the threats are multiplied, with numerous mining and palm oil projects in development.

There’s nothing inherently wrong with mining or large-scale agriculture, but as Nguiffo writes, the reality today is that “governments are giving away land that belongs to the people who live on the land, determining their future with neither consultation nor consent.”

Like all get-rich-quick schemes, there are lots of dollar signs and promises that dazzle local decision makers. Of course some people do get rich. Unfortunately, though, it’s not those whose lands are seized by the state and handed over to foreign investors.  And, more often than not, the host governments sign away land for far less than it’s worth, and agree to deals that they later regret, but can’t change as their negotiating teams were no match for multinational corporate contract attorneys.

In the case of the Chad-Cameroon pipeline, for example, Cameroon signed a deal with Exxon Mobil that allowed the company to build an offshore marine loading terminal and a pipeline across 900 kilometers of the country, including hundreds of kilometers of fragile forest zones, for nothing more than a transit fee — of less than 50 cents a barrel. The government has tried several times to renegotiate that bad deal, to no avail. Some people got rich; most people just live with the threat of spills.

 

Samuel Nguiffo is currently being sued by the government of Cameroon for tarnishing the state's reputation when he advocated against an oil palm plantation concession.

Samuel Nguiffo is currently being sued by the government of Cameroon for tarnishing the state’s reputation when he advocated against an oil palm plantation concession.

‘Quick-fix’ development gives away more than it gets back

The “land grabbing” in Africa and elsewhere often triggers conflict, an underreported financial risk.

by Samuel Nguiffo

In Cameroon, as in many African countries, the question of economic development is not just an abstract concept. Rural communities, mostly consisting of subsistence farmers struggling to feed their families, welcome the possibility of brighter prospects.

But instead of leading to greener pastures, economic development too often consists of large-scale projects that take away property and community land, leaving farmers with little compensation. Their governments – often the ones who sold the land – either look the other way or play the role of enforcer. If the communities are compensated, it is hardly adequate, and the few resulting jobs do not pay enough to make up for the permanent loss of livelihood and way of life.

In Southwest Cameroon, for example, New York-based Herakles Farms plans to clear 73,000 hectares for an oil palm plantation that the local communities are protesting. Once the land is cleared of their crops and the surrounding forest, they will have nothing – and nothing to lose by contesting this development.

Yet the financial media is full of reports of new large-scale land transactions. An aluminium mine in Northern Cameroon, supported by a hydropower plant and two railroads, would bring the country $4bn in investment from companies in the US, Dubai and India.

An iron mine in Southeast Cameroon, being bought by a Chinese firm planning to build port facilities and a railroad, would bring $4.7bn into the country.

And an even bigger oil palm plantation, developed by an Indian conglomerate, is expected to transform the landscape of over 200,000 hectares, a development worth more than $1.7bn.

The desire for these projects is understandable: the world needs more minerals and food, governments need revenues, and local people want jobs. But by encouraging such investments and thousands more like them around the world, governments are giving away land that belongs to the people who live on the land, determining their future with neither consultation nor consent.

Giveaways trigger land-based conflicts 

This has become known as the “land grab”, but it might be better called the “great land giveaway”. Governments, eager to capture the cash promised by large-scale agriculture, timber, or mining operations, all too willingly hand over their only resources to large multinational corporations to catalyse development. But in reality it is not the “quick-fix” they were hoping for.

Instead these projects often trigger community resistance, and governments often respond to those standing in the way of these deals with an onslaught of legal harassment, violence and worse. For example, after objecting to the actions of Herakles, the palm-oil producer, Nasako Besingi and four other Cameroonian advocates were jailed for three days in November 2012. Other activists have faced longer prison sentences. Fa’a Embolo, a village leader from Central Cameroon, spent four months in jail; in other countries they have been beaten and killed.

These stories are repeated across Africa, as weak governance and a lack of legal recognition and support for customary rights continue to inhibit any real progress.

Michael Richards, a natural resources economist, authored a report recently for the Rights and Resources Initiative examining 18 large-scale African land acquisitions in the agriculture sector. He concluded that the local communities had been lied to, subjected to coercion or political pressure, or tricked with documents that were either falsified or misleading. In 17 out of 18 cases, Richards said, local communities would have said no to the land transfers, if they had been given the information needed to make an informed decision.

Risks to investors 

But the communities and their defenders are not alone in facing risks. After the inevitable pushback from the communities whose land has been sold out from under them, a growing number of investors have lost more than they have gained. This financial risk is completely underestimated and underreported despite the widespread havoc it can wreak on corporate balance sheets.

One of the world’s largest palm oil producers, Sime Darby, was forced to suspend the development in 2012 of a planned 220,000-hectare oil palm and rubber plantation in Liberia because of protests on the part of local communities that claimed the land under customary law.

In Cameroon, by clearing rain forest and other illegally occupied lands and then arresting protesters who trespass onto the land, palm-oil producer Herakles has become the subject of a global advocacy campaign that has tarnished its reputation. The impact on the company’s bottom line has not been assessed, but the project delays do not come cheaply.

And the story does not end in Africa.

In India, Vedanta’s failed aluminium mining venture led to a negative financial outlook rating from Standard & Poor’s and other agencies. In Chile, a failed hydropower project forced SN Power to write off $23m. And in Bolivia, a failed highway project cost the national government a $332m development grant from a Brazilian development bank.

The assumption behind such investments is that they will provide rapid growth in the host countries. While in some ways effective, this “quick-fix” development exacerbates a growing gap between the rich and the poor and multiplies the risk of conflict.

These land-based conflicts could well begin to take the glow off the investment picture for the companies involved and those that finance them. But the growing appetite for land – and the growing speed of land acquisitions – means that tenure problems and the financial risks associated with them are not going to disappear.

Rather than giving away land and resources to companies to the detriment of their citizens, African governments – Cameroon included – must respect the rights of citizens and let them negotiate with investors on their own terms. And the companies themselves should be asking who owns the land they obtain on such good terms.

To do otherwise is ultimately too high a risk, not just for advocates, but also for investors, communities, and the governments themselves.

Samuel Nguiffo is currently being sued by the government of Cameroon for tarnishing the state’s reputation when he advocated against an oil palm plantation concession.

Cameroon’s forest dwellers lose out as land handed to developers

Bagyeli girls in the village of Bandevouri, near Kribi, Cameroon.

Bagyeli girls in the village of Bandevouri, near Kribi, Cameroon.

 

Source: Alertnet // Elias Ntungwe Ngalame

KRIBI, Cameroon (Alertnet) – Forest dwellers forced off their land in southern Cameroon after it was leased to private companies have been allowed to return by the government, but many still fear for their livelihoods and the future of their homes.

“Our lands have been taken away from us (and) our forest, which is our main source of living, destroyed, forcing us stay in poverty,” said Medjo Marcel, the village chief of Adjap, one of several villages affected by land takeovers.

“We (still) have no right to possession,” Marcel added. “We cannot invest on the land for fear that foresters and other land grabbers may flush us out at any time.”

Over the past decade Cameroon’s government has leased more than 42,000 hectares (104,000 acres) of forest in the country’s South region alone to companies like HEVECAM, a rubber production business, and ONADEF, a timber firm. It is part of a trend that has seen forest land in West and Central Africa made vulnerable to the kind of deforestation more commonly known in Indonesia and Brazil.

Critics say that lack of proper consultation and weak legal processes leave local communities displaced and impoverished, while the environmental effects have been devastating.

PYGMY COMMUNITY DISPLACED

The 5,000 or so inhabitants of five affected villages in the South region, as well as the Bagyeli pygmy community, were offered settlement on other land but say they cannot grow food or practise their traditional occupation as hunters there. Much of their former leased forest land is being cleared for planting.

After an outcry from the affected communities and pressure from civil society organisations, the government has returned 15,000 hectares (37,000 acres) of forest to the villagers, but with rights only to use the land, not to have full possession of it.

“In the classification of forest in Cameroon, the rights of the forest inhabitants are not respected,” insisted Jean Calvin of Cameroon Ecology, a nongovernmental organisation.

The community members are not entitled to own or transfer the land, nor to veto potential investors, Calvin explained. This allows businesses to take forest land from its inhabitants, he said.

“We have been forced to move from our forest habitat to the village of Adjab where we have difficulties earning any income,” lamented Mbah Martin, head of the Bagyeli pygmy community.

“(There are ) no animals to hunt, (and) our medicinal plants from the forest have all been destroyed,” he said.

Environmental experts are critical of the government’s welcoming attitude towards land investors and criticise the increasing displacement of forest communities.

“Land grabbing by heavy investors has caused rapid disappearance of resources, triggering massive movement of the population from resource-depleted zones to other areas where resources are available, causing conflict between communities,” said Andy White of the Rights and Resources Initiative (RRI), an international NGO.

NO BENEFITS FOR FOREST COMMUNITIES

According to a report published by the organisation, forest communities reap no benefits from the transactions that deprive them of their community lands.

“In the case of southern Cameroon, income from harvest and the sale of fruits has disappeared, hunting of bush meat as a source of protein was brought to a halt while sources of firewood and medicinal plants vanished, and land rights were lost without compensation,” said RRI’s Francoise Tiayon .

African governments have been chided for making efforts to protect the land rights of rural people and indigenous communities on the one hand, while rapidly ceding community forests and other lands for development with the other. These conflicting choices were the focus of two new reports by RRI and the 13th Regional Dialogue on Forests, Governance, and Climate Change which took place recently in Yaounde, Cameroon’s capital.

“Some ministries (are) choosing to hand over natural resources to agribusiness and mining, and others seeking to protect the rights of their citizens and respect recent commitments,” said RRI’s White.

Samuel Nguiffo, secretary general of the Centre for Environment and Development in Cameroon said he believed government interest in development and exploiting resources outweighs interest in protecting vulnerable communities.

‘GREED AND POWER’

“What communities on the ground in Cameroon see is no different from what is unfolding in other neighbouring countries in West and Central Africa,” he said. “The slow pace of good intentions—the efforts to protect communities of subsistence farmers who have no wealth except for the land that they cultivate—has been overtaken by greed and power.”

Michael Richards, a natural resources economist and author of the RRI report examining 18 large-scale African land acquisitions in the agriculture sector, noted that, “across Africa, weak governance and a lack of legal recognition and support for customary rights are inhibiting any real progress” in protecting forest communities.

The report lists a variety of problems, including a lack of consultation with communities in affected areas, coercion or political pressure, misleading or falsified documents, doubtful legality and poor transparency.

“If a free, prior, and informed consent process had been followed, it seems probable that in 17 out of the 18 cases I looked at, the communities would not have given their consent,” Richards said.

Compared to other forested regions of the developing world, such as those in Latin America and Asia, Africa lags far behind in recognising community and customary rights to forest and land; giving control or ownership of forest areas to local and indigenous communities; and recognising the right of communities to exclude invaders.

Studies show that whereas one-quarter to one-third of forest land in Latin America and Asia is owned by communities and indigenous peoples or is designated for their use, this is true of only 2 percent of forest land in Africa, where almost all the land is managed by the government.

“So much human tragedy could be averted if land rights in Africa didn’t erode so soon after they are established,” said Phil René Oyono, an independent expert and author of the second RRI report.

“Yes, there has been a surge of new laws and reform processes since 2009,” added Samuel Nguiffo, “but these efforts are too slow and do not meet the challenges presented by rapid development and exploitation in the extractive sector. Africans will not sit idly by as our future is handed over to the highest bidder.”

Source: Alertnet // Elias Ntungwe Ngalame

Elias Ntungwe Ngalame is an award-winning environmental writer with Cameroon’s Eden Group of newspapers.

 

Let’s talk about money

CDC oil palm plantation, Southwest Region, Cameroon

CDC oil palm plantation, Southwest Region, Cameroon

 

There’s a rush on for land in the Congo Basin and palm oil is one of the main drivers of this investment boom.

Palm oil producers talk about global demand for palm oil and feeding the planet, but they wouldn’t be jostling for acreage if the potential profits weren’t so high.

Palm oil, generating US$ 20 billion-a-year in revenues, is the world’s most productive and most lucrative edible oil crop. In Malaysia, for example, palm oil plantations yield an average of 3.5 to 5 metric tons of oil annually. The current market price is hovering close to US$ 800 per ton.

In Africa, a combination extremely cheap land, low wages and tax breaks for foreign investors make palm oil an investor’s dream.

Here’s Gabon’s Agriculture Minister, Julien Nkoghe Bekale, speaking to Ventures Africa on the sidelines of the November 2012 UK-Gabon Investment Forum: “We have a large amount of available land and an attractive environment for investment … What we’re aiming to do is create an attractive framework, whether it be legislative, regulatory or fiscal, for investment. For agricultural enterprises we’re going to have tax exemptions on VAT, on customs and even on companies … At the moment palm oil prices are good, so obviously we will seek to export it rather than focus on local consumption.”

But in their race to the bottom to make themselves “attractive” to foreign investors, what are African governments gaining? Land leased for next to nothing. Produce and profits leaving the country. Little or no tax revenue. It’s really as crazy as it sounds.

The U.N. Special Rapporteur on the right to food, Olivier de Schutter, was in Cameroon in July 2012. At a press conference at the end of his mission, de Schutter addressed the problem of land “giveaways.” He stressed that Cameroon desperately needs better contract negotiations, negotiators and transparency. De Schutter said land prices are far too low and that contracts must be indexed to the price of resources. The benefits of investment must be equal or greater than the impacts, he said, also calling on the country to tax foreign investment properly. Today is not the 1980s, de Schutter said. Cameroon is in a position of strength and needs to leverage this.

De Schutter is hardly alone in his assessment. Dr. Mthuli Ncube is the Chief Economist and Vice President of the African Development Bank and is obviously a champion of investment. But in his article, A Global Rush for Africa’s Land: Risks and Opportunities, Mthuli Ncube writes that, “below market level land fees have characterized most land deals in Africa,” seriously undermining their value for host countries.

He continues: “Recently documented cases indicate land fees have ranged between US$4.8 to US$7.1 per hectare in Sudan against US$300 per hectare in Peru. Details of large-scale land leases are often concealed especially in host countries with a poor record of transparency and accountability.  In the Democratic Republic of Congo, close to 50% of arable land is either leased to foreign companies or is under negotiation for leasing, without a clearly defined framework governing these transactions. Some of the land acquisitions are held for speculative purposes given the sketchy details of implied investments (after acquisition) and the low land fees, which make secondary land transfers very lucrative….

“Thus, to obtain value from recent surge in land acquisition, African governments need to undertake institutional reforms that foster accountability, proper valuation of land, and social and environmental sustainability of investments.”

Mthuli Ncube suggests land auction systems as one possible measure to increase investment value: Land fees in many African countries, for comparable grades of land, are significantly lower than other developing regions of the world. For instance, land lease per hectare in India’s Punjab Doaba region is estimated to be more than 50 times the average land lease in Africa. Land auctions serve the twin advantage of setting prices right and promoting transparency of land deals. Peru’s competitive land auction system is often cited as a global best practice in stipulating strong terms of ‘commitment of investment’. Thus, mechanisms that discourage speculative land acquisitions should be fostered in Africa’s land markets.”

Further information

Read the full report of the U.N. Special Rapporteur’s mission to Cameroon here.

Read more on the palm oil investment from the Financial Times here.

Read Dr. Mthuli Ncube’s full article here.

African governments giving land away quickly, recognizing land rights slowly

Farmer walking through forest earmarked for palm oil plantation. Southwest Region, Cameroon

Farmer walking through forest earmarked for palm oil plantation. Southwest Region, Cameroon

Two steps forward, one step back. Or is it one step forward and two steps back? In the case of land-rights reform in Africa, the pace of progress needs to pick up — and fast — to protect community access to land.

Here are details on two new reports issued in Yaounde, Cameroon, by the Rights and Resources Initiative:

Africa remains a target for land-grab developments worth billions; regional dialogue in Yaoundé focuses on the need for speed

While African governments are moving gradually towards protecting the land rights of rural people and indigenous communities, they are moving quickly to give away community forests and other lands for development. These conflicting choices are the focus of two new reports and a regional dialogue on forests, governance, and climate change.

“Governments across West and Central Africa are now in a bind and divided, with some ministries choosing to hand over natural resources to agribusiness and mining, and others seeking to protect the rights of their citizens and respect recent commitments,” said Andy White, Coordinator of Rights and Resources Initiative (RRI). “Which view will win out? There is a true need for speed in safeguarding these communities before all available land is handed out for the sake of ‘quick-fix’ development and exploitation.”

“What communities on the ground in Cameroon see is no different from what is unfolding in other neighboring countries,” said Samuel Nguiffo, Secretary General of the Center for Environment and Development (CED), Cameroon. “The slow pace of good intentions—the efforts to protect communities of subsistence farmers who have no wealth except for the land that they cultivate—has been overtaken by greed and power. Real economic development brings wealth to all, not just the elite.”

RRI released two reports scrutinizing land transactions in West and Central Africa as well as the legal reforms that would protect the communities whose land is targeted by these transactions. The reports were the focus of discussion at a regional dialogue hosted by the Cameroonian Ministry of Forests and Fauna (MINFOF), RRI, International Union for Conservation of Nature (IUCN), and the Commission for Central African Forests (COMIFAC) in Yaoundé. The conference also highlighted the number of commitments made by national governments and confirmed by the African Union Declaration on Land Issues and Challenges[1] in 2009 that were never enacted.

At the conference, attendees deliberated on stalled progress in land rights. Two examples emerged from their discussions that illustrate a trend—for every bit of progress, additional measures undercut the momentum for change:

  • In Liberia, the Community Rights Law (CRL) of 2009 was lauded as a major innovation for the region because it recognized customary ownership of land. The country’s Land Commission is seeking to further codify these rights. But large-scale developments have been negotiated or are planned for nearly three quarters of the country, rendering these rights moot before they are permanently established.
  • In Cameroon, a new forestry law currently being finalized strengthens and expands community forest rights, but maintains regulations and taxes that discourage the development of small forest-based enterprises run by local communities, preventing communities from profiting off of the resources they maintain. The government is also revising the Land Law of 1974, providing a new opportunity to improve community land rights. However, if done without consulting local peoples, this revision can increase risk, conflict and uncertainty given that billions of dollars in foreign direct investment are destined for mining and agriculture in Cameroon by 2015.

“Across Africa, weak governance and a lack of legal recognition and support for customary rights are inhibiting any real progress,” said Michael Richards, a natural resources economist and author of the report examining 18 large-scale African land acquisitions in the agriculture sector. “Most cases revealed a lack of consultation with and consent by communities in affected areas; coercion or political pressure; protests, which were sometimes violent; community dissatisfaction or anger; misleading or falsified documents; legality doubts; and low transparency. If a free, prior, and informed consent process had been followed, it seems probable that in 17 out of the 18 cases I looked at, the communities would not have given their consent.”

The conference in Yaoundé comes as government-led, large-scale land transactions across Africa continue to disregard or override the rights of communities that live on the impacted lands. This in turn leads to even greater unrest and strife on the continent. In Liberia, for example, Sime Darby (the world’s largest palm oil producer) suspended the development in 2012 of a planned 220,000 hectare oil palm and rubber plantation because the communities that lost their land protested; the company’s ensuing pushback triggered local unrest and riots.

Although the acquisitions vary in size and purpose, a number of crosscutting themes showed up in Richard’s analysis:

  • In nearly all countries examined, local communities receiving little to no compensation in these transactions faced some form of coercion or political pressure, triggering ardent protests and violent clashes.
  • Women failed to prosper in transactions that took away access to community lands. Income from fruit trees in Ghana and Mali disappeared, sources of firewood and medicinal plants in Zambia and Mozambique vanished, and land rights were lost without compensation in Sierra Leone.
  • High levels of water pollution and the nearly unlimited water extraction rights often granted to these concessions jeopardized downstream livelihoods in Cameroon, Mali, Mozambique, and Sierra Leone.

“So much human tragedy could be averted if land rights in Africa didn’t erode so soon after they are established,” said Phil René Oyono, independent expert and author of the second RRI report. “The fact that 13 of 26 countries in the region have undertaken some level of reform since 2009 is great, but the challenges that African governments face are steep and progress is slow. In Gabon, for example, the new land law passed in 2012 revises the structure of land tenure rights mainly to provide a more flexible regime for commercial transactions on the land. We must convince governments that they will not find success in this quest for development by turning over their natural resources for plunder.”

“Yes, there has been a surge of new laws and reform processes since 2009,” added Samuel Nguiffo, “but these efforts are too slow and do not meet the challenges presented by rapid development and exploitation in the extractive sector. Africans will not sit idly by as our future is handed over to the highest bidder.”

Often times, projects intended for economic development meet with violent resistance and disastrous consequences:

  • In Cameroon, foreign investors are using coercion to initiate the conversion of two 60-70,000 hectare concessions from mostly forested land to oil palm plantations. Thousand have been displaced and drinking water sources have been polluted. Murder, rape, and the destruction of tombs and houses plague communities opposed to one project. The second faced legality concerns involving a restraining order against the investor and a delayed environmental impact assessment.
  • In Ghana, a project converting forest and crop land into jatropha (a plant used to make biodiesel) plantations resulted in harsh migrant-native farmer conflicts over lost jobs and income, along with the clearing of 780 hectares. US and Ghanaian investors leading another project used political pressure to turn farm and fruit land into rice plantations, resulting in legal action, the displacement of many locals, water pollution, over-grazing, and erosion.
  • In Rwanda, a Ugandan sugar company converted 3,150 hectares of swampland used for food and cash crops into sugar cane fields—despite claiming it would not do so when acquiring the land. Defense forces were brought in as thousands of locals who were pushed into low-paying jobs as a result responded with violence and arson.

“Handing land over to these companies has been justified by local and national governments as attempts to bring economic development to all corners of Africa,” said Andy White. “But you cannot sweep away established communities and transform the environment without calamitous collateral damage. This is not development. Until the pace of land rights reform gets in front of the pace of development, Africa will never get out from under the ‘resource curse.'”

RRI has released two new analyses highlighting the wide-ranging impacts and risks of land and concession deals in Africa, with a particular focus on Central and West Africa.

The analyses were released at the Thirteenth Dialogue on Forests, Governance and Climate ChangeHarmonizing Tenure and Resource Policies in Central and West Africa’s Changing Landscape, held in Yaoundé, Cameroon on March 5-7, 2013. Read the press release in English or French.

The first publication, Social and Environmental Impacts of Agricultural Large-Scale Land Acquisitions in Africa – With a Focus on West and Central Africa, analyzes 18 country case studies that are among the best-documented large-scale land acquisitions in terms of their impacts in the said region.

The second paper, a policy brief on Land and Forest Tenure Reforms in West and Central Africa: A Preliminary Assessment of Progress Made Since the Yaoundé, 2009 Conference examines the implementation of recommendations relating to large-scale land acquisitions from the International Conference on Forest Tenure, Governance, and Enterprise, held in 2009 in Yaoundé, Cameroon.

Both papers are available in both English and French. To download them and for more details, click here.

Yaoundé, Cameroon (7 March 2013)

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[1] http://www.unhabitat.org/downloads/docs/AssemblyDecisionLand.pdf

The Rights and Resources Initiative (RRI) is a global coalition of 14 Partners and over 120 international, regional and community organizations advancing forest tenure, policy and market reforms. RRI leverages the strategic collaboration and investment of its Partners and Collaborators around the world by working together on research, advocacy, and convening strategic actors to catalyze change on the ground. RRI is coordinated by the Rights and Resources Group, a non-profit organization based in Washington, DC. For more information, please visit www.rightsandresources.org.

 

Plantation life

Workers' camp, Ndian Estate, Mundemba, Southwest Region, Cameroon

Workers’ camp, Ndian Estate, Mundemba, Southwest Region, Cameroon

The Southwest Region of Cameroon, where the U.S.-based Herakles Farms has started development of  a controversial 73,000 hectare palm oil project, is no stranger to plantation agriculture. It is home to most of the country’s largest plantations, many dating to the colonial period.

The communities in and around the Herakles concession area have long co-existed with industrial plantations. Historically plantation operators brought in workers from other regions — a practice that continues to a certain extent today — but over the years many locals have also been employed on the plantations.

Workers' camp, Ndian Estate, Mundemba, Southwest Region, Cameroon

Workers’ camp, Ndian Estate, Mundemba, Southwest Region, Cameroon

Many people in the area ask why they would want or accept another plantation when plantation agriculture has usurped their lands and brought them nothing. The plantations have been around for decades yet the surrounding areas have neither electricity nor decent roads. Worker housing built over fifty years ago is dilapidated, yet still in use. According to local sources, the average salary for a PAMOL plantation worker is approximately US$70 per month. (Cameroon’s minimum wage is approximately US$ 57 per month.)

Workers' camp, Ndian Estate, Mundemba, Southwest Region, Cameroon

Workers’ camp, Ndian Estate, Mundemba, Southwest Region, Cameroon

Governance and local development specialist, Herve Sokoudjou, writes:

The main “benefit” of oil palm cultivation, according to promoters of the crop, is the generation of employment (planting, maintenance and harvest). Yet most jobs are only temporary. Workers on industrial plantations experience the same problems as other agricultural workers in the country: extremely low wages and poor work conditions. Besides, the establishment of these plantations has often been preceded by the expropriation of land of neighbouring villages without adequate compensation. According to Cameroonian law, peasants do not have customary rights to land, and thus expropriation does not require indemnification by the state. Already in colonial times, land was expropriated from peasants and then transferred free to new settlers. After national independence, this practice continued but for the benefit of local elites, including palm plantation firms or the elites who have recently established medium-scale plantations. Since colonial times, therefore, peasants have been losing land to the state …. Palm plantations located near villages also often threaten subsistence crop development and access to forest products by much of the community.

Read more here: New reports: African governments giving land away quickly, recognizing land rights slowly

Nigerians object to land grabs by a foreign palm oil company

© SAVE

© SAVE

 

SAVE Wildlife Conservation Fund is a German NGO working to halt deforestation for palm oil in Cameroon. Learn more about their campaign here: SAVE The Forest

This recent article from SAVE describes a controversial land takeover in Cross River State in Nigeria. Nigeria’s Cross River National Park is located just across the border from Cameroon’s Korup National Park and is ecologically contiguous with Korup.

Summary: Nigerian NGO Rainforest Resource Development Centre (RRDC) filed formal complaints to the Roundtable for Sustainable Palm Oil (RSPO) in regards to a plantation takeover in Nigeria by Wilmar International of Singapore.

Wilmar which has bought over the operations of Obasanjor Farms of Nigeria was supposed to take over plantation lands of some 12,000 hectares. These were to include the Ibad Plantation measuring 7,805 hectares, the Oban Plantation measuring 2,986.385 hectares and the Kwa Falls Plantation measuring 2,014.429 hectares. RRDC in its charges claims that Wilmar was mislead into making the transactions over Obasanjor Farms properties as much of the properties have outstanding claims against them which are in open violations of the RSPO’s Principles and Criteria for its members.

Citing multiple infractions of Nigerian state and federal laws governing land ownership and land use, the RRDC is calling the deal with Wilmar null and void until all outstanding issues are resolved. Some of the issues include land grabs that were initiated by Obasanjo Farms when it was established 11 years ago and the establishment of its plantations inside forest reserves including biodiversity hotspot Cross River National Park.Wilmar is yet to make any comment in respect of the irregularities raised by RRDC concerning the Obasanjor farms.

The most contentious issue revolves around ownership and title of the land. Wilmar in its defense in respect of the Biase New Planting Plantations stated that: “The land title belongs to the government of Cross River State whose acquisition dates back to the mid seventies. Therefore, what we enjoy today is a sub-lease from the government who has paid all the ground rents to the landlords”.

RRDC Director Odey Oyama in citing the Land Use Act No. 6 of 1978 (Laws of the Federal Republic of Nigeria) stipulates that: “the Governor is the Trustee, and nothing more. He holds land on behalf of the owners and acts according to the trust bestowed on him, in good faith and for the benefit of the owners, as prescribed by the Act. In LAW this means that he is the manager of another’s property: i.e. somebody who is given the legal authority to manage land on behalf of somebody else.”

The complaint to the RSPO further stated that Wilmar has received only the approval of two of the five affected communities for the plantation and insists on an open forum that will include the participation of all affected communities. Director Odey Oyama further stated that: “the RRDC has absolutely no objections to the good intentions of Wilmar towards the livelihoods and general economic wellbeing of the landlord communities. Our position however is that Wilmar must observe our National Laws and Regulations as they pertain to Environmental Impact Assessment (EIA), the Land Use Act, the National Park Act, the Forest Laws and regulations, and the Constitution of the Federal Republic of Nigeria. They should also continuously ensure that the rights, privileges and entitlements of indigenous communities are not usurped by any external agencies and /or influential internal minority interest groups.

Global demand for palm oil is expected to skyrocket in the coming years and South East Asian palm oil companies are increasingly looking towards Africa to create new plantations. Sime Darby Berhad of Malaysia was similarly challenged in its plantation in Liberia and agreed to pay reparations and proper compensations for affected communities there. The most contentious palm oil plantation in Africa however belongs to Herakles Farms USA where ongoing disputes between the company and land owners are yet to be resolved.

Red_Colobus

Red Colobus ©SAVE
In addition to the indigenous land rights issues, the plantation areas encroach deep into Cross River National Park, home to several endemic primate species including the endangered Preuss Red Colobus and the Drill. “This plantation cannot be allowed to proceed the way it has been mapped out,” declared Lars Gorschlueter, Director of the Save Wildlife Conservation Fund.”We are already fighting Herakles Farms proposed plantation on the Cameroon side that will impact Korup National Park which is contiguous with Cross River National Park. If this industrial plantation is allowed into the Oban Forest Reserve, it will effectively box in wildlife and our research has shown that wildlife cannot survive in an environment like this.”

In the case of Wilmar’s plantations and operations in Nigeria, the RRDC remains hopeful that the company will abide by the Principles and Criteria of the RSPO.

15 January 2013