Deal #1371

Location #1

Spatial accuracy level
Administrative region
Location
Garsen, Kenya

Target country
Kenya
Comment on location
Garsen Division of Tana River District

Location #2

Spatial accuracy level
Administrative region
Location
Lamu, Kenya

Target country
Kenya
Comment on location
Lamu District, about 200 km North of Mombasa City.

Land area

Intended size (in ha)
16000
Size under contract (leased or purchased area, in ha)
[2007] 16000
Comment on land area
TARDA has been granted a total of 40 000ha for this project and others.

Intention of investment

Intention of the investment
Biofuels, Food crops, Renewable Energy

Nature of the deal

Nature of the deal
Lease

Negotiation status

Negotiation status
[2007] Concluded (Contract signed)
Comment on negotiation status
Another data source states in June 2008, the proposal was approved by the Kenyan Government’s National Environment Management Authority. In July 2008, a High Court injunction stopped Mumias Sugar Company from making any further decisions regarding implementation of the sugar project, halted the Tana River County Council from taking any action in respect to the land which is the subject of the suit, and barred Kenya’s Commissioner of Lands from issuing a title deed for the land and the Water Resources Management Authority from issuing a water permit to the Tana Integrated Sugar Project. In June 2009, Kenya’s High Court ruled in favour of the developers on a technicality.

Implementation status

Implementation status
[2012] Project not started
Comment on implementation status
Early March 2013, Mumias, declared it would put its plans for the Tana Delta on hold, which has been associated with the financial problems the company faces. Indications are that the company will be liquidated (April 2018). The company is struggling financially and advertised that certain non-core assets at other operational sites would be open for bidding in May 2019.

Contract farming

Contract farming
Yes
On leased / purchased area
Yes
On leased / purchased area (in ha)
4000
Comment on contract farming
4000ha is reserved for outgrower schemes.

Operating company

Operating company
Name of investment project
Tana Integrated Sugar Project (TISP)
Comment on investment chain
Tarda project is being funded through both loans from financial institutions and shareholders’ funds on a 50:50 basis.

 

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Data source #1

Data source type
Media report
File
Date
2012-07-18
Comment on data source
Standard Digital- Mumias seeks Sh15b funding for Tarda

Data source #2

Data source type
Company sources
File
Comment on data source
Annual Report and Financial Statements as at 30th June 2015.

Data source #3

Data source type
Research Paper / Policy Report
File
Date
2007-11-26
Comment on data source
ENVIRONMENTAL IMPACT ASSESSMENT STUDY REPORT FOR THE PROPOSED TANA INTEGRATED SUGAR PROJECT IN TANA RIVER AND LAMU DISTRICTS, COAST PROVINCE, KENYA (Land Allocation Reference No. 106796 of 17.1.1995)

Data source #4

Data source type
Company sources
File

Data source #5

Data source type
Other (Please specify in comment field)
File
Comment on data source
Birdlife International- Sugarcane plantations in the Tana River Delta threaten Kenyan birds, biodiversity and livelihoods.

Data source #6

Data source type
Media report
File
Date
2010-10-04
Comment on data source
The East African- Are they appropriate agricultural investments or 'land grabs'? Depends on who you ask

Data source #7

Data source type
Research Paper / Policy Report
File
Comment on data source
Kenya’s Tana River Delta under siege. Serah Munguti

Data source #8

Data source type
Research Paper / Policy Report
File
Comment on data source
Making peace under the mango tree A study on the role of local institutions in conflicts over natural resources in Tana Delta, Kenya. Joris Cuppen.

Data source #9

Data source type
Media report
File
Date
2013-08-17
Comment on data source
Pesa Times- Mumias Sugar grapples with financial woes

Data source #10

Data source type
Media report
File
Date
2013-03-05
Comment on data source
Daily Nation- Mumias freezes growth plans

Data source #11

Data source type
Media report
File
Date
2018-04-22
Comment on data source
Daily Nation- Little hope for revival of Mumias Sugar after cash injection

Consultation of local community

Community consultation
Not consulted

How did the community react?

Community reaction
Rejection

Displacement of people

Number of people actually displaced
25000
Comment on displacement of people
25000 from 3 villages. Local community livelihoods are likely to be severely impacted by any large-scale irrigation project.

Promised benefits for local communities

Promised benefits for local communities
Other
Comment on promised benefits for local communities
a number of infrastructural improvements in the project area

Former land use

Former land use
Smallholder agriculture
Pastoralism
Conservation
Comment on former land use
The area is an Important bird area (IBA).

Former land cover

Former land cover
Cropland
Shrub land/Grassland (Rangeland)

Detailed crop, animal and mineral information

Crops area
Sugar Cane

Detailed contract farming crop and animal information

Contract farming crops
Sugar Cane

In country processing of produce

In country processing of produce
Yes
Comment on in country processing of produce
Ethanol, Sugar production, Electricity
In-country end products of the project
Ethanol, Sugar production, Electricity

Water extraction envisaged

Water extraction envisaged
Yes

Source of water extraction

Source of water extraction
Surface water (River)
Comment on source of water extraction
Tana River

How much water is extracted?

Comment on how much water is extracted
The irrigation requirement of a large sugarcane project adjacent to the delta would seriously affect water flow into the Tana River Delta, as well as causing build up of infertile salts in the soil and the discharge and run-off of polluted agricultural effluents, degrading the quality of the entire wetland ecosystem.
Use of irrigation infrastructure
Yes

Overall comment

Overall comment
$370 million sugarcane scheme. The irrigation requirement of a large sugarcane project adjacent to the delta would seriously affect water flow into the Tana River Delta, as well as causing build up of infertile salts in the soil and the discharge and run-off of polluted agricultural effluents, degrading the quality of the entire wetland ecosystem.

June 28, 2019, 1:11 p.m.

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May 13, 2019, 2:40 p.m.

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May 25, 2018, 3:39 p.m.

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Jan. 11, 2018, 3:13 p.m.

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March 7, 2016, 11:44 a.m.

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March 7, 2013, 8:47 a.m.

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March 7, 2013, 8:43 a.m.

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Feb. 15, 2013, 5:01 p.m.

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