Adonis Diaries

Africa is targeted to be exclusively the world’s food basket; (Nov. 11, 2009)

If you have lands with no water,

If you have water and no fertile land,

If you have accumulated enough in your Sovereign Fund…

The way to go for States is to invest in foreign fertile lands for agricultural “self-sufficiency”, which means import food at much lower prices. 

Japan, South Korea, China, India, and Saudi Arabia are leading these kinds of joint ventures. For example:

South Korea has acquired a total of 3 millions hectares (three times the superficies of the State of Lebanon); it is growing fields in Russia (500,000 ha), Sudan (700,000 ha), Madagascar (1.3 million ha), Mongolia (300,000 ha), Philippines (100,000 ha), and Indonesia (25, 000 ha).  The Korean agency for international cooperation (State owned) is creating private and public enterprises to invest into agribusinesses by loans or direct governmental investments. Leases of fertile lands are for 60 years and an extension of another 40 years. In return, Korea will extend technologies and development planning.  It appears that South Korea is projecting unification with North Korea and the flooding of North Korean refugees soon.

China has invested for a total of 2 millions hectares.  It has 1.25 millions in South East Asia (Thailand, Malaysia, Cambodia, and Laos), in Mozambique (800,000 ha), in Russia (80,000 ha), in Australia (45,000), and in Cuba (5,000 ha).

Japan has acquired a total of one million hectares in Philippines (600,000 ha), USA (225,000 ha), and Brazil (100,000 ha).

India has acquired a total of 1.7 millions hectares in Argentina (600,000 ha), Ethiopia (370,000 ha), Malaysia (300,000 ha), Madagascar (250,000 ha), Indonesia (70,000 ha), and in Laos (50,000 ha). 

The Indian government has extended loans to 80 agribusinesses to purchase 350,000 ha in Africa.  Ramakrishna Karuturi (the king of rose production in 4 millions hectares) is leasing the hectare for two dollars a year in Ethiopia!

Saudi Arabia has invested in Indonesia (one million ha), Senegal (500,000 ha), and in Mali (200,000 ha). 

The Arab Gulf Emirates has invested in Pakistan (325,000 ha), and in Sudan (400,000 ha).

Egypt has invested in Uganda (850,000 ha). 

Libya has invested in Ukraine (250,000 ha), and Liberia (5,000 ha). 

Qatar invested in the Philippines (100,000 ha).

Africa is the remaining poorest continent with vast fertile lands and plenty of manpower to exploit for agribusiness enterprises. Africa is targeted to be exclusively the world’s food basket in this century.

We hope that the world community will pressure these investors to grow food slowly and not ruin the remaining land with fertilizers and pesticides.

We hope that the African can enjoy what the lands are producing for their daily staples…

We hope the African people get first cut at the distribution of food produced and receive first priority to ward off recurring famine…

Note: You may read the follow-up post https://adonis49.wordpress.com/2009/11/12/the-worlds-food-basket-africa-is-heaven-for-agro-business-investments-part-2/