PCFS’s Statement to AIIB: Stop bankrolling landgrabs

14 July 2019

The Peoples Coalition on Food Sovereignty (PCFS) demands the members of the Asian Infrastructure and Investment Bank (AIIB) to stop funding projects especially of China’s Belt and Road Initiative (BRI) that result to landgrabbing and rural peoples’ displacement. On the occasion of the AIIB’s annual meeting this July 12-13 in Luxembourg, we stand with the rural peoples on their call for greater accountability and transparency, as well as justice for the violations of the people’s rights.

While AIIB asserted that it is a multilateral bank for the longest time, recent pronouncements show that it is ultimately a financing institution of the BRI with over 7,000 China-funded projects that focus on transportation, maritime navigation, energy, and trade spanning more than 60 countries in the Global South.

As a multilateral lender, AIIB has been consistently behind most of the BRI projects – as a co-funder or as a key lender. This will surely accelerate as AIIB President Jin Liqun declared to focus more on the bank’s own portfolio and sees the bank as a “twin engine” with BRI.[i] More than 60 out of the 87 member countries of the AIIB are part of the BRI. As it is, AIIB is currently bankrolling China’s expansionist lending strategy that ultimately impacts the most vulnerable in the Global South – the rural peoples.

Last month in Hong Kong, PCFS together with the Asia Pacific Research Network (APRN) conducted a forum on China’s BRI and its impact on the rural peoples.  Discussions and accounts of the participants from Asia, Africa, and Latin America regions paint a dismal picture of the BRI projects’impacts to rural peoples and the right to food sovereignty. Numerous cases of rights violations such as displacement, landgrabbing, harassment, corrosion of traditions, and aggravation of fragility in regions have been reported.

A threat to the right to land. Without adequate environmental and social assessment in the regions and countries, AIIB has been co-funding multiple BRI projects that are opaque and inaccessible to the public. As mentioned above, these include megadams, large roads, ports, and energy plants that often result in landgrabbing and displacement.

Today, China is the fastest growing landgrabber in the world. With over 5.6 million concluded deals and 12.7 million in the past decade alone,[ii]the BRI is fast becoming one of the key drivers of rural peoples ruin in the Global South.

In Cambodia alone, around 370,000 hectares under 42 ELCs have been granted to Chinese companies, including the 36,000-hectare sugarcane plantation of Guangdong Hengfu Sugar Group Co., Ltd. in the province of Preah Vihear. Thousands of farmers and Indigenous Kuy peoples are being displaced to produce sugar for export.

In the Philippines, the China government funded New Centennial Water Source-Kaliwa Dam Project in Quezon worth USD 374 million. It was pitched to be funded by the AIIB, and is set to displace thousands of farmers and Indigenous Peoples while tens of thousands more affected.

A threat to the right to food. Securing China’s position in the global agricultural trade is at the heart of the numerous BRI projects in agriculture. In a span of 14 years, China has invested USD 98 billion in agriculture[iii] –75% of which were in the last five years.[iv] According to a study by GRAIN, China has “gone on massive shopping sprees, buying up operations in global production chains like pork in the US and soybeans in Brazil, and gaining greater control over the global seed industry by taking on majority ownership of the Swiss-based seed giant Syngenta.”[v]

These agricultural land deals include large agro-industrial parks in Mozambique, Uganda, Zambia, Kazakhstan, and Laos. The pressure of Chinese imports in Brazil’s soybeans is one of the key drivers of the catalyzed destruction of the Amazon forest and the ejection of farmers and Indigenous Peoples in the region.

In Sri Lanka, the BRI Colombo Financial District, which AIIB funds some of the periphery projects,[vi] has dramatically reduced fishers’ access to their waters and decimated their fish catch. Beach erosion from offshore sand extraction for the reclamation project is displacing whole villages of fisherfolk.

The large-scale acquisition of farmlands and establishment of agro-industrial parks in Kazakhstan is a threat to the regional food sovereignty. Central Asia largely relies on the said area for grain and grain production. With China buying and controlling the agricultural production and supply chain in the region, rural hunger and malnutrition will not be abated.

A threat to biodiversity.According to World Wildlife Fund Hong Kong, China’s BRI will affect hundreds of already threatened animal species. This includes endangered tigers, giant pandas, saiga antelope, and much of the biologically richest real estate on the planet – some 1,800 important bird areas, key biodiversity areas, global biodiversity hotspots and global 200 eco-region.

The push of China’s BRI, with the full backing of the AIIB, will continue to adversely impact the rural peoples of the Global South. We call on the members of the AIIB to investigate and pursue the impacts of the projects funded by the multilateral bank. We call on the members and networks of the PCFS to actively engage their governments on AIIB funded project and demand for transparency and accountability. Finally, we reiterate our call that decisions and plans on infrastructure should be founded on the right of rural communities to decide their needs and development priorities. ###


[i] https://www.chinadailyhk.com/articles/18/35/125/1557557982955.html
[ii] Landmatrix (as calculated April 2019)
[iii] https://www.aei.org/china-global-investment-tracker/
[iv] Ibid
[v] https://www.grain.org/en/article/6133-the-belt-and-road-initiative-chinese-agribusiness-going-global
[vi] https://www.aiib.org/en/news-events/news/2019/20190404_002.html

Reference: http://foodsov.org/to-aiib-stop-bankrolling-landgrabs/

The People’s Coalition on Food Sovereignty (PCFS) joins the international clamor demanding the repeal of the 2012 Vacant, Fallow, and Virgin (VFV) Lands Management Law in Burma

STATEMENT | 12 May 2019

Reference: Sylvia Mallari, PCFS Global Co-chairperson – secretariat@foodsov.org

Repeal the 2012 VFV Law in Burma!

Carry out a genuinely pro-people land reform policy!

The People’s Coalition on Food Sovereignty (PCFS) joins the international clamor demanding the repeal of the 2012 Vacant, Fallow, and Virgin (VFV) Lands Management Law in Burma.

Since its inception, the VFV Land Management Law has been used to facilitate large-scale landgrabs throughout Burma. It denies the Burmese rural peoples, which compose 70% of the county’s population, their customary and communal land rights by declaring all lands without official land titles as “vacant, fallow, and virgin,” in order to herald these lands for use of domestic and foreign investment. This has long been disputed in the country, yet the government of Burma has opted to bolster the law to fast track the turnover of these lands to corporate landlords.

The law was amended in September 2018, requiring land tillers to register for land use permits with 30-year validity within six months. Deadline lapsed on March 11, and now more than 20 million hectares of land – a third of Burma’s total land area – have become subjected to private interests. About 75% of the “VFV” lands are territories of ethnic minorities. And considering that 95% of the VFV land residents surveyed a month before the deadline of registration had no knowledge of the law, majority of the people in these areas are subject to penalties up to 500,000 kyats (US $328) of fine and/or two years in jail for “trespassing” the lands they customarily owned. 

There are, in fact, reports of local authorities filing charges against villagers for violating the VFV Land Management Law, and more are expected to arise with the amendment in implementation. These cases are ongoing despite the confirmation of a member of the ruling party National League for Democracy (NLD) executive committee that the law is yet to be enforced until the bylaws are completed. PCFS condemns the criminalization of occupying the land that the Burmese people have cultivated for decades even prior the law’s existence. The Coalition denounces such harassment that aims the massive displacement of rural communities.

PCFS slams the Aung San Suu Kyi-led Burma government for pushing this law and its impracticable amendments – a far cry from its promise of protecting the land rights of farmers. In fact, the VFV law was made stricter. Four years since NLD broke the country’s military junta, the government has opted to abide with the trends on land policies perpetuated by international and development finance institutions that undermine food sovereignty and deny the land rights of farmers and Indigenous Peoples. No plan to amend the law or even the constitution will be able to resolve landlessness in Burma if the development framework is to “draw more investment.”

We condemn the Aung San Suu Kyi government for implementing the VFV law. We call its attention to carry out a genuinely pro-people land reform policy that can not only alleviate the widespread poverty especially in rural areas, but also address the country’s peace situation. Burma is riddled with armed conflict with ethnic minority groups that seek liberation and self-determination. Given this context and with the VFV Land Management Law in order, the refugees – who are already made vulnerable by the ongoing civil wars – have no more lands to return to.

PCFS is one with the rural peoples of Burma in calling for the repeal of the 2012 VFV Land Management Law. We call our members, networks, and fellow food sovereignty advocates to support the struggle of the rural peoples in Burma in defense of their ancestral lands and natural resources! ###

. . . Download the statement here . . .