Deal #1713

Land area

Intended size

5 100 ha

Size under contract (leased or purchased area)

[1997] 3100 ha
[2012, current] 5100 ha

Size in operation (production)

[2012, current] 1700 ha

Comment on land area

Of the original 3100ha, Madhvani cultivated 1,700 hectares with the remaining 1400 hectares under permanent flood (Wetland area). In 2012 the Rwanda government granted an additional 2000ha to the company. Additional 2,200ha cultivated by outgrowers. Targeting to increase upland area for cane production.

Intention of investment

[current] Biomass for biofuels, Food crops, Renewable energy unspecified (1700 ha)

Comment on intention of investment

Produces sugarcane, which is processed into sugar, ethanol production and electricity generation onsite

Nature of the deal

Lease

Negotiation status

[1997, current] Concluded (Contract signed)

Comment on negotiation status

In 1997, the Madhvani Group acquired Rwanda’s only sugar complex - under the Government’s privatisation programme.

Implementation status

[1997, current] In operation (production)

Comment on implementation status

Previously state-owned

Contract farming

Yes

Not on leased / purchased (out-grower)

Yes

Not on leased area/farmers/households (out-grower)

[current] 2400 ha

Comment on contract farming

At present the Company accepts cane supplied by 850 outgrowers, who have more than 2,400 Ha under cane cultivation. In the long term, it is envisaged that over 1500 outgrower farmers with more than 3,000 Ha under cultivation will supply cane to the factory