(Bio)Fueling Injustice? - Europafrica
(Bio)Fueling Injustice? - Europafrica
(Bio)Fueling Injustice? - Europafrica
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e imported to the EU to meet the mandate’s targets, which in turn favours a<br />
development of African exports. 221<br />
One of the reasons biofuel feedstocks will growingly originate from Africa is that it<br />
would allow cheaper production, which is, from the perspective of the investors,<br />
necessary to make biofuels viable due to the “low” economic margin under existing EU<br />
policy schemes. 222 The trade agreements mentioned above, which allow free entrance<br />
of products from several African countries, further encourage production in Africa. A<br />
report by the UN Economic Commission for Africa notes that meeting the biofuels<br />
needs of, amongst others, Europe, will require “much farm land which all the countries<br />
do not have in sufficient quantity”, and that, keeping in mind the high cost of biofuels<br />
produced in the European Union, Western African countries “have a real comparative<br />
advantage” and could become “some of the largest biofuels producers/exporters”<br />
thanks to Europe’s demand. 223<br />
Moreover, it has been shown above that a there are massive investments in largescale<br />
biofuel production in Africa, whose scale may not be fully anticipated by<br />
predictive models. It was explained in the chapter on land grabbing that a large<br />
amount of these investments are made by EU investors in Africa. Combined with the<br />
fact that European investors specifically invest in agrofuels while investments coming<br />
from the Middle East are mainly for food production, 224 it appears that there is a large<br />
flow of investments in agrofuels in Africa by European investors. See Annex IV for a<br />
compilation of data from different sources on agrofuel projects in Africa with European<br />
involvement. Surely, a number of these investments are intended for domestic<br />
production, and, in some cases, it might be done in a sustainable way that does not<br />
constitute land grabbing. But there is a strong presumption that most of these<br />
investments are made for exports to Europe, a presumption which is shared by<br />
several authors. 225 The World Bank thus noted in 2009 that Africa has already begun<br />
to attract investments for export production specifically because of the “demand pull”,<br />
and estimated that that Africa could account for about one-third of future ethanol trade<br />
with net-importing regions. 226 Equally, the fact that most investments are made near<br />
big towns or trade centres suggests that the production is intended for export. 227 A<br />
2012 report written for the European Commission considers that Ethiopia, Malawi,<br />
Mozambique, Nigeria, Sudan, Tanzania, and Uganda, could become important for the<br />
supply of biofuels to the EU. 228 It further explains that the biofuel market in many of<br />
these countries is driven by foreign demand, and that, while jatropha and sugar cane<br />
are the most efficient crops for biofuel, Africa and Latin America are the largest<br />
producers of these biofuel feedstocks. 229<br />
This finding is corroborated by a study by the NGO CIFOR, which reviewed 20<br />
investments in biofuels, and concludes that most of them are export driven, and that,<br />
particularly in Africa, there is a much higher number of foreign investors that in other<br />
regions. 230 Research conducted for Oxfam in Ethiopia, Ghana, Mali, Mozambique,<br />
Senegal, and Tanzania also revealed that the majority of agriculture-based land deals<br />
in Africa are for export commodities, including biofuels. 231<br />
As a response, the European Commission argues that when it imports biofuels, it only<br />
does so from a few countries which are the USA, Indonesia, Malaysia, Argentina and<br />
Brazil, but no country in Africa. It thus takes the view that “most of the impacts…would<br />
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