Angola launches $6 billion expansion for Ag market

Date:10-08-2008

With arable land of 35 million hectares (Ha) – an area the size of Germany – Angola is one of the world's fastest-growing economies. Prior to what was one of Africa’s most protracted civil wars, the country’s agricutural used to not only feed its own people, but also satisfy world demand for coffee, sisal, bananas, and sugar. Angola has launched an ambitious plan to exploit both its fertile soils and high global food prices to attract US $6 billion in agriculture investments over the next five years.
Today the country imports more than half its food, and only 10% of productive land is cultivated. The government is currently in the early stages of discussions with leading agriculture investors from Brazil, Spain, Canada, the US, Argentina, and Portugal. London-listed Africa conglomerate Lonrho is seeking financing for a 20,000 Ha agriculture project in Angola as part of an "aggressive" strategy to acquire 10 times that area of productive land across the continent, said Dave Lenigas, executive chairman.
Chiquita Brands, the Ohio-based banana giant, arrived in March. In August, the Angolan state news agency quoted Beijing's ambassador to Luanda saying China was considering ways to boost rice production in the southern African country where it has already signed a multi-billion dollar oil-for-infrastructure deal.