1. The Social Costs of Overseas Land Acquisitions Implications for Food Security and Poverty Alleviation “Land Grab: the Race for the World’s Farmland” Woodrow Wilson International Center for Scholars Washington, D.C. May 5, 2009 Presented by Alexandra Spieldoch Director, Trade and Global Governance Program

2. Our current food insecurity 963 million people Major setback to hunger eradication MDG commitments: ½ by 2000 Investment in agriculture is urgently needed

3. Investment in land acquisition Interest from governments and firms in long-term leases or ownership of land abroad Such deals not all established: many in negotiation or conflict Nevertheless, interest in overseas land acquisition efforts is growing

4. Increase in land acquisition efforts catching multilateral attention IFPRI has just released a new report FAO-commissioned pieces World Bank to publish codes of conduct UN Special Rapporteur on the Right to Food – mission to Madascar

5. What factors to be considered? Clear need for investment For whom and for what? Overseas land acquisitions raise questions relating to ownership, access and control What implications for land and people?

6. Types of historical overseas land acquisition Colonization Tourism Contract farming Natural resource extraction

7. Current investments Outsourcing for food, feed and fuel Investments tend to flow from richer to poorer Not necessarily “North-South”

8. Current investments: examples China seeking offshore biofuels and food production in Africa South Korean food production in Mongolia and Russia Gulf Corporation Council outsourcing food production to Sudan and Pakistan Kenya to supply produce to Qatar

9. Current investments: Two main “push” factors for investors

10. What do host countries hope to gain? Infrastructure investment Access to research and technology Credit for markets Ideally, local food system support

11. Risks Lopsided power relationships between investors and host countries Host government conflict: within itself, and with its own people

12. More risks… High quality land could be diverted from communities – assumptions about marginal and unused land could misrepresent the needs of communities

13. Some more risks…. Some targeted countries receive food aid, not in a position to refuse investment Land tenure reform easily undermined by market-led approaches

14. Political Conflict Land ownership disputes have long and violent history Recent disputes have chilled deals from going through –Daewoo & Madagascar

15. Investment measures Incentives offered by host governments –Amending national land laws –Tax incentives –Few or no performance requirements –Relaxed regulatory oversight

16. Community-level concerns Smallholder producers among most vulnerable ‘ Policy takers rather than policy makers’

17. Gender discrimination Women seldom possess legal land rights Women typically lack collateral to secure credit Paid work often temporary, low-paid, and insecure

18. Land Degradation Land degradation affects more than 900 million people worldwide and as much as two-thirds of the world’s agricultural land. As much as 1.8 billion people could be living in countries or regions with absolute water scarcity by 2025.

19. Moving Forward 1.Articulate a national vision for agriculture that leaves space for local priorities and smallholder needs

20. What kind of investment do Smallholders Need? Credit Technology that promotes sustainable agriculture for long-term food security Access to land Bargaining power A fair price for their production Access to markets

21. Moving Forward 2.Review land use and availability, specific nature of land and promote land rights

22. Moving Forward 3. Food Security First Governments should enact measures to prioritize food security at the domestic level as the top priority

23. Moving Forward 4. Adopt a rights-based approach to guide investment –Restrict governments and corporations from impinging on right to food –Free, prior, informed consent and full disclosure

24. Moving Forward 4.Ensure broadly-based engagement in the various guidelines and best practice codes

26. Acknowledgements & Questions Special thanks to the Woodrow Wilson Center Thank you to the speakers and the participants Q & A