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Saturday, March 23, 2024

China Turns to Tanzania to Grow Soybeans for Chinese Market

 Belgium-based Comite pour l'annulation de la dette du Tiers Monde (CADTM) published on 10 February 2024 an analysis titled "A New Wave of Land Grabs Strikes Tanzania" by French-based La Via Campesina and Spanish-based GRAIN.

The focus of the analysis is an effort by a Chinese state-owned company, Yuan Longping High-tech Agriculture, to invest in a major soybean production project in Tanzania and possibly other African countries.  Reportedly, the Tanzanian farmers must sell the soybeans exclusively to Longping Tanzania, which will then export them to China.  The Chinese government has offered a guarantee to purchase all of the soybeans that are produced.  Tanzanians retain ownership of the land on which the soybeans are grown while the Chinese company controls destination of the soybeans.

Comment:  To refer to this project as a land grab appears to be a misnomer.  On the other hand, it does demonstrate that China is looking to Africa, a net food importer, to increase agricultural exports to China of critical products such as soybeans.