Deal #1498 | Version 92224 | Version 95963 |
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General info | ||
Comment on land area | 991ha for industrial plant, 19,254ha for sugarcane plantations, 5,600ha for outgrowers (sugar + food crops). Many different sizes mentioned. Other sources mention government of Mali signed a contract allocating Sosumar a 50-year lease (renewable) on 17,000 ha of land for sugar-cane plantations, but the Office du Niger map shows a total of 39,538 ha. Another source states the company is involved the development of 14 132 hectares of sugar-cane plantation.
| 991ha for industrial plant, 19,254ha for sugarcane plantations, 5,600ha for outgrowers (sugar + food crops). Many different sizes mentioned. Other sources mention government of Mali signed a contract allocating Sosumar a 50-year lease (renewable) on 17,000 ha of land for sugar-cane plantations, but the Office du Niger map shows a total of 39,538 ha. Another source states the company is involved the development of 14 132 hectares of sugar-cane plantation. |
Comment on intention of investment | The project primarily focuses on sugarcane production.Sugar, ethanol-electricity production | |
Carbon offset project | No | |
Comment on nature of the deal | Sociรฉtรฉ Sucriรจre de Markala (Sosumar) was allocated a 50-year lease (renewable) by Government of Mali | |
Comment on negotiation status | Illovo joined the project in 2005 but withdrew in 2012. Uttam Sucrotech from India is restarting the project (2013). | Illovo joined the project in 2005 but withdrew in 2012. Uttam Sucrotech from India is restarting the project (2013).In 2007, a contract was signed to allocate 17,000 hectares to Sosumar, but thereโs a discrepancy in allocated area, with maps showing a total of 39,538 hectares.Illovo: Originally the majority owner, withdrew from the project in 2012 due to security concerns in Mali.The Sociรฉtรฉ Sucriรจre de Markala (Sosumar) project faced significant challenges and ultimately did not reach its intended operational goals. |
Implementation status |
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Comment on implementation status | The commercial partner (Illovo) withdrew in 2012. Uttam Sucrotech from India is restarting the project. The status of the project and investor is unclear. | The commercial partner (Illovo) withdrew in 2012. Uttam Sucrotech from India is restarting the project. The status of the project and investor is unclear. As of 2025, we could find no new information on the status of the project under Uttam Sucrotech, therefore we have marked the deal as abandoned. A google earth investigation of the exact location does not reveal large scale farming on the land. |
Comment on contract farming | The farmers plant rice for household food between the irrigation pivots. | The farmers plant rice for household food between the irrigation pivots.40 percent of the overall sugar-cane plantation will be operated by independent growers. |
Employment | ||
Investor info | ||
Actors involved in the negotiation / admission process |
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Name of investment project | Markala Sugar Project | Sociรฉtรฉ Sucriรจre de Markala (Sosumar) project |
Comment on investment chain | CaneCo is the agricultural part of the project, majority owned by Mali Government.
The Markala Sugar Project in Mali is a Public PrivatePartnership (PPP) | CaneCo is the agricultural part of the project, majority owned by Mali Government.Illovo who was originally the majority owner, withdrew from the project in 2012 due to security concerns in Mali. Theoverall project cost is estimated at US$ 540 million.The cost of the agriculture component (public sector) is estimated at US$ 240 million, while the cost of the industrial component (private sector) is estimated at US$ 300 million. On the public side, the donors include African Development Bank, Islamic Development
Bank, OPEC Fund, Saudi Fund, Kuwaiti Fund and KoreaEximbank. On the private side of the project, lenders include the African Development Bank and IFC, and
commercial banks. USAID funded Sosumar partly to limit Chinese influence in Maliโs sugar industry, which was already significant through China Light Industrial Corporation. Political instability and disputes eventually halted the project
The Markala Sugar Project in Mali is a Public PrivatePartnership (PPP) |
Local communities / indigenous peoples | ||
Comment on community reaction | The majority of the villages in the area have rejected the project.Land Rush showcases the polarisationcaused by his 600 million dollar sugar cane projectโSosumarโ, initiated in conjunction with theGovernment of Mali. While many Malians praise theproject and its promise of prosperity, others staunchlyreject it. | The majority of the villages in the area have rejected the project.Land Rush showcases the polarisationcaused by his 600 million dollar sugar cane projectโSosumarโ, initiated in conjunction with theGovernment of Mali. While many Malians praise theproject and its promise of prosperity, others staunchlyreject it.Farmers like Koussama Diara strongly oppose SoSuMar, viewing the land as central to their identity, culture, and way of life. These communities value their ancestral ties to the land over economic gains. |
Presence of land conflicts | Yes | |
Negative impacts for local communities | Cultural loss, Displacement | |
Comment on promised benefits for local communities | Food crops and vegetables will be grown between the pivots on an estimated area of 1 250 hectares. In addition, 1 000 hectares of rice schemes will be developed. | Food crops and vegetables will be grown between the pivots on an estimated area of 1 250 hectares. In addition, 1 000 hectares of rice schemes will be developed.Four multipurpose centres for womenโs empowerment will also be built, to serve as forums for information sharing and training. |
Former use | ||
Former land owner | Private (large-scale farm) | Private (large-scale farm), Indigenous people |
Comment on former land owner | Illovo was originally involved in the project but abandoned it in 2012. | Illovo was originally involved in the project but abandoned it in 2012. land was managed by families and clans, rather than formal ownership |
Comment on former land use | Historically, the land targeted for SoSuMar has been used by local farmers for generations. | |
Produce info | ||
Crops area/yield/export |
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Comment on crops | The company is involved in the development of 14 132 hectares of sugar-cane plantation to produce 190 000 tonnes of sugar, 15 million litres of ethanol and the cogeneration of 30 MW of electricity annually. | Food crops and vegetables will be grown between the pivots on an estimated area of 1 250 hectares. In addition, 1 000 hectares of rice schemes will be developed.The sugar mill will produce about 460 000 tonnes of bagasse |
Comment on electricity generation | The sugar mill will produce about 460 000 tonnes of bagasse, which will be used to produce steam for sugar processing and for co-generating electricity.The plant will generate up to 30 MW of electricity, of which 27 MW will be used to run the factory, power irrigation pumps, feed offices and residential units.The remaining 3 MW will be sold to Energie du Mali (EDM), the national electricity distribution company.The project will also produce about 60 000 tonnes of molasses per annum. This will be supplied to the
distillery to produce ethanol. The project envisages producing 15 million litres of ethanol per annum. Mali heavily relies on imports of fuels to meet its energy
needs. | |
Comment on use of produce | The project primarily focuses on sugarcane production, with large tracts of land dedicated to growing sugarcane for industrial processing and export.The remaining 3 MW will be sold to Energie du Mali(EDM), the national electricity distribution company | |
Water | ||
Gender-related info | ||
Comment on gender-related info | Project implementation took gender aspects into account by guaranteeing opportunities for women. Hence, of the 40 percent of the sugar-cane plantation (representing 5
562 ha) distributed to independent farmers, at least 20 percent will be reserved for women and youths as well as 50 percent of the 1 250 ha reserved for vegetable farming. In addition, at least 20 percent of the planned rice scheme will be allocated to women.Four multipurpose centres for womenโs empowerment will also be built, to serve as forums
for information sharing and training. At these centres, women will conduct income-generating activities. | |
Overall comment | ||
Overall comment | Illovo previously was the partner but withdrew in 2012, citing reasons of political instability and economic stagnation. The Minister of Trade and Industry welcomed in 2013 the delegation of Uttam Sucrotech International Group of India for the signing of the agreement marks the accession protocol Indian giant candy in Markala sugar project as a strategy partner. The status of the project and investor is unclear. | Illovo previously was the partner but withdrew in 2012, citing reasons of political instability and economic stagnation. The Minister of Trade and Industry welcomed in 2013 the delegation of Uttam Sucrotech International Group of India for the signing of the agreement marks the accession protocol Indian giant candy in Markala sugar project as a strategy partner. The status of the project and investor is unclear.
The Sociรฉtรฉ Sucriรจre de Markala (Sosumar) project faced significant challenges and ultimately did not reach its intended operational goals. The blog indicates that political turmoil and ecological crises hindered the initiative, leading to its collapse. |
Meta | ||
Locations | ||
Location #ZgsyV46l | ||
Spatial accuracy level | Administrative region | Exact location |
Point | Lat: 13.68456 Lng: -6.04753 | Lat: 13.798727 Lng: -5.977211 |
Comment | Located in the Office of the Niger, northeast of Sรฉgou.Segou, Sana, Sansanding.
| Located in the Office of the Niger, northeast of Sรฉgou.Segou, Sana, Sansanding.The project is located in Markala, 275 km northeast of Bamako, on the north bank of the Niger River.
Exact location from EJAtlas |
Data sources | ||
Data source #XcDE0If1 | ||
Date | 2013 | |
Data source #QcWyFz-q | ||
File | ||
Data source #fV2KpGnV | ||
Publication title | GENERAL PROCUREMENT NOTICE | |
Organisation | afdb | |
Contracts | ||
Contract #uq_plghl | ||
Date | 2007 | |
Expiration date | 2057 |