Open Letter from CEO of Herakles Farms in Response to Report On ...
Open Letter from CEO of Herakles Farms in Response to Report On ...
Open Letter from CEO of Herakles Farms in Response to Report On ...
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economic might <strong>of</strong> the concession area, HF would have realized that the people <strong>in</strong> Nguti, for <strong>in</strong>stance, are<br />
self-sufficient, surviv<strong>in</strong>g very well <strong>in</strong> their natural environment and allow<strong>in</strong>g nature <strong>to</strong> thrive. I have been<br />
go<strong>in</strong>g <strong>to</strong> this area <strong>to</strong> study the socio-economic situation <strong>of</strong> the people for the last 15 months. I will<br />
describe the Nguti sub division as one <strong>of</strong> the richest <strong>in</strong> Cameroon. Take the village <strong>of</strong> Ntale, for <strong>in</strong>stance.<br />
Ntale is made up <strong>of</strong> over 1000 cocoa farmers, accord<strong>in</strong>g <strong>to</strong> the village head, Chief Ajang Samuel. The<br />
smallest cocoa farmer I met was An<strong>to</strong>nio Enobi with 10 hectares <strong>of</strong> cocoa. Averagely he harvests 300<br />
kilograms <strong>of</strong> cocoa per hectare. This puts him <strong>in</strong> the neighborhood <strong>of</strong> 3 <strong>to</strong>ns a year. A <strong>to</strong>n <strong>of</strong> cocoa <strong>in</strong><br />
Ntale costs FCFA 850,000. An<strong>to</strong>nio makes about FCFA 2,550,000 a year. Other farmers <strong>in</strong> Ntale recruit<br />
over 20 labourers dur<strong>in</strong>g the cocoa peak season <strong>of</strong> about three months.<br />
<strong>On</strong> no occasion will An<strong>to</strong>nio have earned FCFA 212,500 a month if he was employed as a labourer by<br />
HF. Presently, HF pays about FCFA 60,000 a month for general labour. HF has also <strong>to</strong>ld its workers that<br />
once the company has its authorization, this amount will drop <strong>to</strong> FCFA 30,000. Young An<strong>to</strong>nio Enobi<br />
could, alone, pay 7 wages <strong>from</strong> his monthly <strong>in</strong>take. So if the Oakland Institute <strong>Report</strong> claims that people<br />
had been liv<strong>in</strong>g happily, then they are right. It is certa<strong>in</strong> that HF has its eyes on the 10 hectares <strong>of</strong> land<br />
An<strong>to</strong>nio is farm<strong>in</strong>g. Bruce Wrobel says they are not go<strong>in</strong>g <strong>to</strong> take farms. I wish he could expla<strong>in</strong> what he<br />
means by pay<strong>in</strong>g land rents <strong>of</strong> US$1.00 for developed land. Developed land here will mean all land<br />
which was formerly occupied by cocoa and other crops. Is it possible that the government <strong>of</strong> Cameroon<br />
believes that a hectare <strong>of</strong> land is worth only FCFA 500 a year? If it so believes, then the vision 2035 will<br />
only be realized <strong>in</strong> 6025. Tak<strong>in</strong>g the land <strong>from</strong> the people <strong>of</strong> Nguti and giv<strong>in</strong>g it <strong>to</strong> HF will send the local<br />
population 4 centuries back. HF knows this.<br />
Bad Arithmetic<br />
Section 13.5 <strong>of</strong> the Convention concern<strong>in</strong>g Surface Rental states; Commenc<strong>in</strong>g on the Effective Date for<br />
Inves<strong>to</strong>r and cont<strong>in</strong>u<strong>in</strong>g through out the Term, Inves<strong>to</strong>r shall pay annual surface rent <strong>to</strong> Government <strong>of</strong><br />
US$1.00 per hectare for State Land that is Developed Land, and US$0.50 per hectare for State Land that<br />
is not Developed Land.<br />
It is unbelievable that HF <strong>in</strong>tends <strong>to</strong> destroy crops on Developed Land which fetches <strong>in</strong>digenous farmers<br />
FCFA 400,000 (US$800.oo) a year, only <strong>to</strong> pay a pittance <strong>of</strong> FCFA 500 or US$1.00 <strong>to</strong> government as<br />
annual rent for land. Each <strong>to</strong>n <strong>of</strong> cocoa that is shipped <strong>from</strong> Cameroon pays cus<strong>to</strong>m export duties <strong>of</strong> over<br />
FCFA 75,000. HF tactfully, <strong>in</strong>cluded a clause <strong>in</strong> the convention exempt<strong>in</strong>g it <strong>from</strong> all forms <strong>of</strong> import or<br />
export duties for the Term <strong>of</strong> the contract (99 years exemption <strong>from</strong> duty). It means Cameroon will be<br />
los<strong>in</strong>g FCFA 475,000 a year <strong>from</strong> a hectare <strong>of</strong> cocoa <strong>to</strong> make FCFA 500 <strong>from</strong> a hectare <strong>of</strong> land<br />
surrendered for HF palm oil plantations.<br />
Local people also stand <strong>to</strong> lose an important source <strong>of</strong> their non timber forest products like Njangsanga,<br />
African bush mango, black pepper, bitter cola, eru and others. These products have both nutritive and<br />
medic<strong>in</strong>al value, tested and proven by both alternative and modern medic<strong>in</strong>e. Most African countries<br />
depend on the forests <strong>of</strong> Cameroon for these resources which are almost ext<strong>in</strong>ct <strong>in</strong> West Africa.<br />
Section 12.1 Import and Export Taxes and Duties. Throughout the Term, Inves<strong>to</strong>r shall enjoy a <strong>to</strong>tal<br />
exemption <strong>from</strong> any and all exist<strong>in</strong>g and future Taxes and Duties payable on imports and exports. Is<br />
this not robb<strong>in</strong>g Cameroon? This leads us <strong>in</strong><strong>to</strong> ask<strong>in</strong>g whether Louis Paul Motaze had scales on his eyes<br />
when he signed the Establishment Convention or he simply does not understand English. The whole th<strong>in</strong>g<br />
smells <strong>of</strong> another Albatross style fraud. We are wait<strong>in</strong>g for President Biya <strong>to</strong> order parliamentary and<br />
judicial <strong>in</strong>vestigations on this wholesale auction <strong>of</strong> Cameroon by the hand <strong>of</strong> Louis Paul Motaze et al.