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Deal #1172 Version #51709

Egypt, Arab Rep.

Created at

2013-02-15

Last update

2020-06-08

Last full update

2024-03-11

Land area

Intended size

42 000 ha

Size under contract (leased or purchased area)

[2014, current] 42000.0 ha

Size in operation (production)

[2019, current] 7707.0 ha

Comment on land area

100 000 feddans- 42 000ha, but it would be handed out over phases after the completion of each phase. In 2019 only 20,000 feddans have been cultivated.

Intention of investment

[2014, current] Food crops, Fodder

Comment on intention of investment

Other farms by the company in Egypt are for food production. satellite imagery shows that the company cultivated the entire 18,351 feddans of the land with alfalfa, in violation of the contract, which stipulates that only 5 percent of the plot could be cultivated with alfalfa.

Nature of the deal

Lease

Comment on nature of the deal

The land is offered on usufruct basis

Negotiation status

[2008, current] Concluded (Contract signed)

Implementation status

[2015] In operation (production)
[2017, current] In operation (production)

Comment on implementation status

Production started in 2015 due to challenges to the legality of the land lease by the new political regime.

Purchase price

Comment on purchase price

Investment of US$500 million

Leasing fees

Annual leasing fee

Comment on leasing fee

LE50 (US$3) per feddan compared to market prices at the time of LE11,000 EGP (US$637) per feddan. Data from media source but original source from a report by Central Auditing Authority in 2014 (it is not clear if this report was publically avaiaible at the time).