Indufor North America will provide investment advisory on land tenure to Moringa Partnership and Illovo Sugar Limited in partnership with USAID. The advisory work will integrate the Analytical Framework for Land-Based Investments in African Agriculture into investment decision making and operational planning while strengthening the land rights of several hundred households.
Recent guidance provides steps for land-based investors to better manage risks related to the land tenure and resource rights of local peoples, as well as enhance food security and environmental sustainability. To test and operationalize this guidance, Indufor North America will provide land tenure due diligence and technical assistance to the Moringa Partnership and Illovo Sugar funded by USAID in several African countries and one country in Latin America. The project is part of USAID’s commitment to supporting responsible land-based investments in developing countries, undertaken as part of the United States National Action Plan for Responsible Business Conduct.
The project takes advantage of Indufor’s role supporting responsible use of natural resources, improving investment decision-making, and operationalizing international best practice. Acknowledging the importance of mainstreaming land tenure considerations across the life of a project, Indufor will use different steps of the Analytical Framework based on investor needs, including both due diligence and operation phases.
Moringa, a private equity fund, operates a €84 million investment vehicle for agroforestry projects in Africa and Latin America with positive environmental and social impacts. Illovo is Africa’s largest sugar producer operating throughout the continent.
Indufor will develop and pilot an enhanced due diligence process and risk mitigation planning for several of Moringa’s new agroforestry investments in Africa and Latin America. With Illovo, Indufor will provide technical support to local operators and farmers involved in the company’s Mozambique facilities for sugar and cassava, including mapping local land rights and preparing for land registration.
The project will engage the communities living in areas adjacent to Moringa and Illovo investments and holdings, along with producer organizations, civil society organizations and local governments. The experience will generate lessons for each company to integrate into their other investments, as well as for USAID and others in their efforts to support responsible land-based investment.