large scale land acquisitions profile sierra leone
TRANSCRIPT
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LARGE SCALE LAND ACQUISITIONS PROFILE
SIERRA LEONE
• entailatransferofrightstouse,controlorownlandthroughsale,leaseorconcession.
• haveanintendedsizeof200hectares(ha)orlarger.• havebeenconcludedsincetheyear2000.• areaffectedbyachangeofuse (often fromextensiveor
ecosystemserviceprovisiontocommercialuse).• includedealsforagriculture,forestryandotherintentions-
excludingminingoperations.
TheobjectiveofthiscountryprofileistopresentLSLAdataatnationalleveltoabroadpanelofstakeholders,stimulatingbroadengagement and data exchange, facilitating the continuousimprovement of the data. The data used in this profile wasdownloadedon9September2016.1
This country profile presents the Land Matrix data for Sierra Leone, detailing large-scale landacquisition(LSLA)transactionsthat:
TAbLE OF CONTENTSTable 1:SierraLeone’skeysocio-economicandinstitutionalindicators
Basic socio-economic characTerisTics
Population(million,2015)¹ 6.45
Totalland(‘000hectares)2 7,23
Totalarableland(‘000hectares)2 5,42
Totalarableland(asa%oftotalland) 75
ContributionofagriculturetoGDP(2014,%)¹ 59.2
Foodimports(%ofmerchandiseimports,2010)3 10.97
Foodexports(%ofmerchandiseexports,2010)4 4.04
insTiTuTional VariaBles
Politicalstabilityindex(2014)5 -0.22
Voiceaccountabilityindex(2014)5 -0.31
Governmenteffectivenessindex(2014)5 -1.22
Controlofcorruptionindex(2014)5 -0.95
Investorprotectionrank(2014)5 22
Aimofinvestment
Overviewoflargescalelandacquisitions
InvestorsandInvestorcountries
Formerlanduse,tenureandowners
Potentialbenefitsandimpacts
3
5
6
7
7 ¹TheWorldBank,http://data.worldbank.org/country/sierra-leone²FAOCountryPastureResourceprofile,SierraLeone,http://www.fao.org/ag/agp/agpc/doc/counprof/Sierraleone/Sierraleone.htm³IndexMundi,SierraLeone,FoodImports,http://www.indexmundi.com/facts/sierra-leone/food-imports4IndexMundi,SierraLeone,FoodExports,http://www.indexmundi.com/facts/sierra-leone/food-exports5TheGlobalEconomy,SierraLeone,http://www.theglobaleconomy.com/Sierra-Leone/wb_voice_accountability/
1LandMatrixSierraLeonedealsdatabase:clickhere(31transnationaldealsand3domesticdeals)
ConCluded land deals for agriCulture and forestry in sierra leone
SIERRA LEONE
Gbanti
Bureh Town
Imperi
PujehunZimmi
Bo
Makeni
Tonkolili
Kenema Daru
Koindu
Kailahun
Pendembu
Pandebu
Bonthe
Blama
PangumaBoajibu
Barma
Kaima Yengema
KoiduBumpe
Magburaka
Binkolo
Lunsar
Mile Ninetyone
Gandorhun
Moyamba
Kabala
Falaba
Kamakwie
Kununa
Kambia
Rokupr
Lungi
Goderich
Waterloo
Shenge
Turtle Is
Banana Is Kambui Hills Forest Reserve
Yoni
Masimera
Port Loko
Masama
Kono
Koya
Startup phase (no production) In operation (production) Project abandoned No informationProject not started
OvERvIEw OF LARGE-SCALE LAND ACQUISITIONS
Table 2:Dynamicsofinternationallarge-scalelandacquisitionsaccordingtonegotiationstatus.
numBer of Deals
inTenDeD size (hecTares)
conTracT size (hecTares)
size unDer conTracT
(% of inTenDeD size)
ContractSigned 23 881230 647999 73.53
OralAgreement 1 126000 126000 100
concluded 24 1 007 230 773 999 76.84
ExpressionofInterest 3 711900 n.a n.a
UnderNegotiation 4 690117 n.a n.a
intended 7 1 402 017 n.a n.a
Failed(Negotiationsfailed) 0 0 n.a n.a
Failed(Contractcancelled) 0 0 n.a n.a
failed 0 0 n.a n.a
• Atotalof773999haareundercontractbyforeigninvestors,equaling1.43%ofthetotalarablelandinSierraLeone.
• Concluded deals are smaller in size than their originalintention(obtained76.84%oftheintendedsize).
• The largemajority of concluded deals are leaseholds for5 — 50 years (84% of cases with information on leaseduration).
• The deals which are still under negotiation commencednegotiation from2007—2012,while the deals inwhichtherewasanexpressionof interest commenced in2011—2013;itisnotclearatthisstagewhetherthesedealswillbeconcluded.
• TherearenorecordsoffaileddealsinSierraLeone.
Table 3:Numberofconcludeddealsaccordingtocontractsize(hectares).
size unDer conTracT (ha) frequency
<5000 11
10000—50000 9
80000 1
120000—130000 3
ToTal 24
• Concludeddealsvarygreatlyinsize,rangingfrom110hato126 000ha.
• 12.5%of theconcludeddealsare larger than100000haandaccountfor47%ofthetotalareaofconcludeddeals.
• Just over half of the concluded deals are active (start-upphaseandinoperation).
• Thesedealswerebroughtintooperationwithintwoyearsofsigningtheinitialcontract.
• 2 deals have been abandoned stating multiple reasons;labourdisputes,pooryield,fundingforprojectwithdrawnandexporttimberban.
• Only 5.9% of the area under contract is currently underproduction(onlycaseswithknownareaunderproduction).
• Foreign land acquisitions started in 2006 and peaked in2010and2011,bothintermsofnumberofdealsandsizeundercontract.
• In2011,8dealswereconcludedcovering198000ha.
• The largestdealwasconcluded in2010byaPortugueseinvestor, with a size under contract of 126 000ha foragrifuel,foodandagri-unspecifiedcrops.
Table 4:Concludeddealsaccordingtoimplementationstatus.
implemenTaTion sTaTus numBer of concluDeD
Deals
size unDer conTracT (ha)
aVerage size unDer
conTracT (ha)
currenT size unDer
proDucTion (ha)
aVerage size unDer
proDucTion (ha)
Projectnotyetstarted 3 100218 33406 n.a n.a
Start-upPhase 2 21110 10555 n.a n.a
InOperation 11 440194 40018 16152† 2019
Projectabandoned 2 45000 22500 10000° 10000
Noinformation 6 167477 27913 n.a n.a
ToTal 24 773 999 32 250 26 152 2905.78
†N=8deals°N=1deal,sizebeforeabandonment
figure 2:Concludeddealsovertime(2000to2015).
size
und
er c
ontr
act (
hect
ares
)
num
ber
of d
eals
con
clud
ed
NumberofdealsconcludedSizeunderContract
250000
8
10
200000
6150000
4100000
250000
00
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
year
Note:8dealswereexcludedastheyearthecontractwasagreedisunknown.
INvESTORS AND INvESTOR COUNTRIES
Table 5: Investorcountries(concludeddeals).2
inVesTor counTries size unDer conTracT (ha)
numBer of Deals
concluDeD
UnitedKingdomofGreatBritainandNorthernIreland
187356 6
Portugal 126000 1
UnitedStatesofAmerica 120000 1
India 80903 2
Singapore 80000 1
Canada 46255 1
Switzerland 44000 1
Netherlands 41418 2
UnitedArabEmirates 21000 1
Luxembourg 17812 1
China 7345 4
Nigeria 1000 1
Mauritius 800 1
Finland 800 1
VietNam 110 1
Germany 110 1
• Overall24investorsfrom16investorcountriesareengagedinLSLAsinSierraLeone.
• Investors fromUnitedKingdomareengaged in themostdeals covering the largest area. Chinese investors areinvolved in the secondhighestnumberofdealsbut at amuchsmallersize.
• An investor fromPortugal is involved in thesingle largestdealpersizeundercontract.
• African investorsdonotplaya large role in landdeals inSierraLeone;onlytwodealswithinvolvementbyinvestorsfromNigeriaandMauritius.
• None of the deals by foreign investors engage domesticinvestors.
Table 6: Dynamicsofdealsbyinvestortype(concludeddeals).3
inVesTor Type size unDer conTracT (ha)
numBer of Deals
concluDeD
PrivateCompany 537713 14
StockExchange-ListedCompany 22157 3
InvestmentFund 1250 1
NoInformation 215379 7
• PrivateCompaniesarethemajortypeofinvestorsinSierraLeone,followedbystockexchange-listedcompanies.
• The investor type of many investors is not known(noinformation).
2Incaseswhereinvestorsfrommultiplecountriesareinvolved,thedealandthetotalsizeofthedealisassignedtoallinvestors.Thustotalnumberofconcludeddealsandsizescanbelargerthantable1.3Incaseswhereadealinvolvesinvestorsfromdifferentinvestortypes,thedealandthefullsizeofthedealisassignedtoeachinvestortype.
AIm OF INvESTmENT4
Number of deals
37%FoodCrops
Forestry14%
Agri-unspecified26%Agri-unspecified30%
Non-foodagriculturalcommodities3% 14%Agrifuel
Renewableenergy6%
Current size under contract
19%FoodCropsForestry24%
23%Agrifuel
1% Non-foodagriculturalcommodities
Renewableenergy3%
• Food crops concern a large number of projects (37%),howeverasmallcorrespondingsizeundercontract(19%).
• Deals for the production of agri-unspecified crops (allfor production of oil palm) cover the largest size undercontract(30%).
• Agrifueland forestrydeals involvea largeportionof thesizeundercontractbutasmallercorrespondingnumberofdeals.
figure 3: Aimofinvestment(concludeddeals).5
• The majority of deals are in operation for all intentions,exceptrenewableenergy.
• Projectsforfoodcrops,agrifuelcrops,forestryandrenewableenergyhavebeenabandoned.
Sizeundercontract
Inoperation(production)
Projectnotstarted
Noinformation
Totalnumberofdeals
Projectabandoned
4Intentionofinvestmentsinclude:foodcropsonly,agrifuelcropsonly,non-foodcropsonly(e.g.cottonortobacco),agri-unspecifiedcrops—cropswhichcanbeusedformultiplepurposes(mostlypalmoil),renewableenergy,forestry,livestock(includingfisheries)andotherintentions.TherearenodealsconcludedforlivestockandotherintentionsinSierraLeone.⁵Note:Individualdealslistuptothreedifferentintentions.Wecountthenumberoftimesanintentionismentioned.For24dealswereport35intentions.Thesizeundercontractisequallydividedbythenumberofintentions
figure 4: ConcludedLandacquisitionsbycategoryofproduction,accordingtoimplementationstatus.
size
und
er c
ontr
act (
hect
ares
)
num
ber
of d
eals
con
clud
ed
10
8
6
4
2
14
0
12
250000
300000
350000
400000
450000
200000
150000
100000
50000
0FoodCrops Agrifuel Non-food
agriculturalcommodities
Agri-unspecified Forestry Renewableenergy
FORmER LAND USE, TENURE AND OwNERS
Table 7:Formerlanduseforconcludeddeals.
POTENTIAL bENEFITS AND ImPACTS
• Most cases involve both domestic use of produce andexport.
• Destinationofproduceisnotknowninanumberofcases(noinformation).
figure 5: Thedestinationofproductionfromconcludeddeals.
num
ber
of c
oncl
uded
Dea
ls
8
10
12
6
4
2
0DomesticuseonlyExportonly Both Noinformation
former use size unDer conTracT (ha)
concluDeD Deals
Smallholderagriculture 231894 5
Commercial(large-scale)agriculture 41966 3
Combination* 41218 1
Forestry 22000 2
NoInformation 436921 13
• Mostconcludeddeals,forwhichformerlanduseisknown,haveacquiredlandthatwasformerlyusedforsmallholderagriculture(29.9%ofthetotalsizeundercontact).
• Themajorityofformerlandownerswereprivatepartiesorcommunities,wherethisinformationisknown.
• Formeruseinformationisnotknownformanyofthedeals.
*Smallholderagricultureandcommercialagriculture
Table 8:ContractFarminginconcludeddeals.
conTracT farming numBer of Deals numBer of farmers conTracT size (hecTares)Yes 4 12800 30115 Not on the lease 4 12 800† 30 115*
No 9 n.a n.aNoInformation 11 n.a n.a
†Numberofdeals=3,*N=2
• Themajority of concluded deals do not involve contractfarming,wherethisinformationisknown.
• Dataoncommunityconsultationandreactionistooscarcetoprovidemeaningfulinformation.
• Communitybenefitspromisedundertheprojectsincluded;education,financialsupport,health,roads,capacitybuildingandproductiveinfrastructure.
• It isnot clear towhatextent thebenefitspromisedhavebeendelivered.
DATA FIELDS wHICH wERE NOT INCLUDED IN THIS COUNTRy PROFILE DUE TO A LACK OF DATA
Please help us enhance the data, by contributing to the following fields:• In-countryprocessingactivities• WaterUsage• Numberofprojectswithreportedevictions• Involvementofthecommunityinpre-contractnegotiations• Compensationreceivedbycommunities• Actualcommunitybenefits• ForeignandDomesticEmployment(plannedandactual)
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HOw TO CONTRIbUTEIfyouwouldliketocomment,contributetothedata,orobtainadditionalinformation.• ContacttheLandMatrixdirectlyon
www.landmatrix.org• Addcommentsonexistinglanddeals
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Contributed to this country profile:AngelaHarding,WytskeChamberlain
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