Deal #3009
Sierra Leone
Created at
2013-02-15
Last update
2021-08-23
Last full update
2021-08-02
Land area
Intended size
2 836 ha
Size under contract (leased or purchased area)
- [current] 1457.0 ha
Comment on land area
The intention of the project is to establish 7,008 Acres of oil palm plantation of which 3,600 has already been done in Matru Jong.
Contract farming only. Rather than buy land, FELDA says that it wants to replicate its Malaysian smallholder cooperative model in Africa and sell planting materials and technical expertise in exchange for long-term supplies.
Intention of investment
Intention of investment
- [current] Agriculture unspecified
Comment on intention of investment
In 1967, the Sierra Leone Produce Marketing Board (SLPMB) – a Sierra Leonian government entity established 3,600 acres plantation of oil palm in the Jong and Sogbeni Chiefdoms.
Nature of the deal
Nature of the deal
Lease
Comment on nature of the deal
Planting Naturals leases these oil palm plantations for maintenance and harvest. It wants a direct lease with the community.
Negotiation status
Negotiation status
- [1967] Concluded (Contract signed)
- [1978] Concluded (Change of ownership)
- [2005] Contract expired
- [2010] Concluded (Change of ownership)
- [2015] Contract expired
- [2020, current] Concluded (Oral Agreement)
Comment on negotiation status
In 1967, the Sierra Leone Produce Marketing Board (SLPMB) – a Sierra Leonian government entity established 3,600 acres plantation of oil palm in the Jong and Sogbeni Chiefdoms.
In 1978, this planation, Mattru Jong, was handed over to the African Development Bank. The landowners had a 27-year land lease agreement with the African Development Bank, and that, upon the expiration of this lease in 2005, the government handed management of the plantation back to the landowners.
Later in 2010, the Minister of Agriculture, Forestry and Food Security and the then Minister of Finance and Economic Development signed a five-year loan agreement with the Islamic Development Bank to transform the Mattru Jong plantation. Since the five-year period ended, these plantations have been left unattended with the community people lacking the capacity to manage it effectively.
It is uncertain when Planting Naturals signed the current lease contract. 2020 is an approximation based on when the company established itself. This is not a direct land lease, which the company intends to sign with the community.
Implementation status
Implementation status
- [current] In operation (production)
Contract farming
Contract farming
Yes
Not on leased / purchased (out-grower)
Yes
Not on leased area/farmers/households (out-grower)
- [current] 2500.0 ha
Comment on contract farming
The objective of Planting Naturals is the encouragement of out growers with modern agronomic practices and improved planting materials. The 2500 ha is based on the time that Felda was supposed to be involved.