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Concessions and Leases in the Lao PDR

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eucalyptus are <strong>the</strong> ma<strong>in</strong> forestry products, <strong>and</strong> z<strong>in</strong>c/t<strong>in</strong> <strong>and</strong><br />

copper are <strong>the</strong> dom<strong>in</strong>ant m<strong>in</strong><strong>in</strong>g products by area under<br />

<strong>in</strong>vestment. Still, <strong>the</strong> product with <strong>the</strong> greatest number of<br />

projects overall is rubber with 225 projects <strong>in</strong>cluded <strong>in</strong> <strong>the</strong><br />

<strong>in</strong>ventory (see Figure 7).<br />

Likely due to <strong>the</strong> considerable differences <strong>in</strong> geography <strong>and</strong><br />

topography across regions <strong>in</strong> <strong>the</strong> <strong>Lao</strong> <strong>PDR</strong>, deals <strong>in</strong> each subsector<br />

are very differently distributed across regions (see Figure<br />

8). Few agricultural projects occur <strong>in</strong> <strong>the</strong> mounta<strong>in</strong>ous North<br />

(less than 2% of <strong>the</strong> total area is under agricultural <strong>in</strong>vestment),<br />

while <strong>the</strong> flatter more productive Centre <strong>and</strong> South<br />

host 45% <strong>and</strong> 53% of all areas granted for agricultural<br />

activities. Forestry projects are even more disproportionately<br />

located <strong>in</strong> <strong>the</strong> South, with 66% of <strong>the</strong> area under <strong>in</strong>vestment<br />

<strong>in</strong> forestry occurr<strong>in</strong>g <strong>in</strong> <strong>the</strong> South, <strong>and</strong> only 10% <strong>in</strong> <strong>the</strong> North.<br />

This scarcity of forestry deals <strong>in</strong> <strong>the</strong> North is partly due to <strong>the</strong><br />

exclusion of contract farm<strong>in</strong>g arrangements from <strong>the</strong> <strong>in</strong>ventory<br />

which <strong>in</strong> total most probably would dwarf <strong>the</strong> area of<br />

forestry concessions <strong>and</strong> leases exam<strong>in</strong>ed here. The Concession<br />

Inventory Report on Luangnamtha alone documents 5,949<br />

ha (22 l<strong>and</strong> deals) under concession-like (also referred to<br />

as 1+4) contract farm<strong>in</strong>g agreements (NLMA, 2009a). Recent<br />

evidence also shows that many of <strong>the</strong> contract farm<strong>in</strong>g<br />

agreements can <strong>in</strong>deed be considered “concession-like” l<strong>and</strong><br />

deals <strong>in</strong> terms of <strong>the</strong> labour <strong>and</strong> compensation arrangements<br />

used (Shi, 2008; Dwyer, forthcom<strong>in</strong>g). M<strong>in</strong><strong>in</strong>g areas are far<br />

more numerous <strong>in</strong> <strong>the</strong> North (58% of m<strong>in</strong><strong>in</strong>g deals), <strong>and</strong> cover<br />

only a small area <strong>in</strong> <strong>the</strong> South (6% of m<strong>in</strong><strong>in</strong>g areas).<br />

Map 4: Investment Project Locations by Subsector <strong>in</strong> <strong>the</strong> Primary Sector<br />

RESULTS<br />

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