Zambia - Oakland Institute

The number of white South African farms has also
been steadily increasing, 99 as has the number of white
Zimbabwean owned farms. Over the past several
years, 130 to 200 Zimbabweans have purchased
farms in Zambia. 100 At the same time, there has not
been the massive influx that many people had feared
after President Mugabe’s land reforms in Zimbabwe.
It has been suggested that this might be related to
the nationalization process Zambia underwent (then
Northern Rhodesia) at the time of indepndence.
Scanning the limited list of investors that is available,
the Gulf States and India, huge players elsewhere
on the continent, appear to be somewhat limited in
their presence. Various Southern African investors,
European investors, and Chinese investors seem at
least anecdotally to be present in increasing numbers.
The geographic distribution of the Nansanga prequalified
bidders is varied with three Zambian firms,
two UK firms and single firms from South Africa,
Hungary, Mauritius, China, and Egypt.
Risk-adverse hedge funds are investing quite heavily
in Zambia, given the perception of stability and lowrisk
that Zambia enjoys relative to other SSA nations.
Major investment funds investing in Zambia include
UK-based Chayton Atlas, Altima, Emergent Asset
Management, and Danish-based Silverland Fund (with
USD 450 million of planned market capitalization in six
SSA countries).
Chayton Atlas is in the process of setting up a USD 50
million agribusiness venture, and expects to develop
up to 10,000 ha of annual production cropped twice
a year. 101 Emergent Asset Management Ltd set up the
African Agricultural Land Fund in 2008 as a private
Under the assumption that the OI researcher was a potential investor, Henry Sichembe, Deputy Director of
Technical Services at the Ministry of Agriculture & Cooperatives, who is very involved in the farm block scheme,
provided a crude illustration of an official’s flexibility and openness towards foreign investors. In March, 2011,
he explained that the main purpose of the Nansanga Farm Block Scheme is poverty alleviation and economic
development. In response he was questioned about how this would be accomplished:
OI: “For instance, is the government asking the investor for infrastructure”
HS: “Infrastructure already put in by the government.”
OI: “Will the investors have to make a commitment in terms of livelihood creation”
HS: “Some general language around employment generation will suffice.”
OI: “Is the government hoping to earn money through the sale of land”
HS: “The investor does not have to pay for land. To put in a tender, they pay USD 5,000 application fees.”
OI: “Is the investor required to do an ESIA”
HS: “Yes but dealt with easily. We understand that you cannot do the green thing with 20,000 ha. You can do
the Brazilian thing and burn it down.”
OI: So given all this, how does poverty alleviation and economic development get accomplished”
HS: “Well you and I both know that there is no such thing as a good investor and no investment will be without
trouble. People and government will not be 101 percent in agreement.
Here is my card with gmail account. If I can be of assistance to help you secure your tender, please be in touch.”
The Oakland Institute UNDERSTANDING LAND INVESTMENT DEALS IN AFRICA: ZAMBIA | 26