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foreigners hope to reap a bounty in Africa

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gussosa Posted: Mon, Sep 29 2008 1:47 PM

Check this article of the LA Times.

They claim that Africa will be plundered by foreign investors who want to buy land, invest in irrigation and transfer technology.

I consider at least risky, or even plain stupid, to invest in a country where exports can be blocked at anytime and the cries for nationalization of the large farms will start before they even get there. Maybe they plan to give the farms away?

I would have used a local front man to make it look like a national enterprise.

The idea itself is good, as land is cheap there in the Horn of Africa and the weather (semi-dry or dry) is ideal for wheat as it prevents the attacks of fungi. It just doesn't quite get me.

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Carl Von Clausewitz

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gussosa:

Check this article of the LA Times.

They claim that Africa will be plundered by foreign investors who want to buy land, invest in irrigation and transfer technology.

I consider at least risky, or even plain stupid, to invest in a country where exports can be blocked at anytime and the cries for nationalization of the large farms will start before they even get there. Maybe they plan to give the farms away?

I would have used a local front man to make it look like a national enterprise.

The idea itself is good, as land is cheap there in the Horn of Africa and the weather (semi-dry or dry) is ideal for wheat as it prevents the attacks of fungi. It just doesn't quite get me.

Little known fact, but Africa is actually a continent and not a country.

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gussosa replied on Mon, Sep 29 2008 2:07 PM

Duh! No kidding? Indifferent

Read the article. Most of it talks about specific countries (Sudan and Ethiopia) where they conduct such policies as I described.

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gussosa replied on Tue, Sep 30 2008 12:15 PM

Here is another article about the Saudi production of wheat. They are phasing out local production of wheat by 2016 because they were depleting their own fossil water resources.

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I can't quite lay my hands on articles about them right now but another industry that people can make money on in Africa is the sale of second hand items like used cars and used computers that are a less expensive alternative to people who might otherwise go without a car or computer. Used cell phones also. To people who are (by European or North American standards) poor, a used X is better than no X.

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