Deal #3436

Senegal
Created at
2013-03-22
Last update
2023-01-04
Last full update
2023-01-04

Overall comment

Overall comment
Managerial difficulties contributed to the demise of JTF, even though other factors were also at play (most notably, a lack of state support). Several members of the management team did not have the necessary experience or agronomic knowledge to conduct a project of this magnitude. The project was also characterized by a lack of clear orientation. As remarked by a company insider, no feasibility study, business plan, or social and environmental impact assessment was conducted prior to the project’s inception, except for a memorandum of understanding signed between the Senegalese Ministry of Biofuels and the investor. Insufficient planning meant day-to-day improvisation and mismanagement. For instance, the company never reimbursed salary arrears to local workers after it left the community. Apart from one community liaison officer, the company managers were also handling the project from Dakar and came to supervise the plantation only periodically. For his part, the CEO of the Italian parent company reportedly visited the plantation in Senegal only twice or thrice. As a result, the investor did not ensure an adequate scheduling or monitoring of agricultural activities on the ground. Several villagers consequently “cut corners” by not properly tending the jatropha trees. Jatropha Technology Farm left the village of Neteboulou for another community inthe region after villagers protested wages and a lack of local food production.