To this end, a memorandum of understanding was signed this Thursday in Luanda between the Minister of Agriculture and Forestry, Isaac dos Anjos, and a representative of Sinohydro, Li Xunfeng.
Planagrão was launched by the government in 2022 with the aim of promoting the production of rice, soybeans, corn, and wheat in the eastern part of the country.
In statements to the press, Li Xufeng highlighted Sinohydro's presence in Angola for 20 years, emphasizing that the first project awarded was for agricultural irrigation. The project plans to develop an area of 1000 hectares in the first phase, with preliminary research currently underway to determine the types of plants suitable for the proposed land.
"We will then study and plan to expand the areas to be explored in the eastern provinces of Angola," he said, emphasizing that the company intends to contribute to ensuring food security for Angolans and reducing poverty in the country.
The Minister of Agriculture and Forestry highlighted that this is the second agreement signed in a week with a Chinese company, aiming to develop the first 30,000 hectares of a total of 500,000 hectares in Planagrão, in the provinces of Lunda Norte, Lunda Sul, Moxico, Moxico Leste, Cuando, and Cubango.
"With this agreement, we will begin this engagement to substantiate the opening of the first work areas to make the expansion of the agricultural frontier with Planagrão a reality," he stated.
Isaac dos Anjos said he hopes that with this partnership, Angola can "open doors for the production of grain on a considerable business scale," emphasizing that the goal is to produce volumes that allow the country to "catapult itself into exports."
"There are markets being offered, and the soybean market is the main interest that the partners are presenting to us," he emphasized, adding that the agreed export quota is 60 percent of the volume produced and 40 percent for the local market.
For other partners wishing to join this investment movement, the Government is open to negotiations, because "there's no shortage of land, nor water; what's important is good will," he said.
According to the minister, each province has identified a total of 500,000 hectares in several municipalities. Detailed work has been carried out, identifying 30,000-hectare clusters within these areas. These will be subdivided into areas between 400 and 1000 hectares "to become the first development clusters in the eastern region."
The Minister of Agriculture and Forestry said that the work now consists of felling, clearing, inventorying, land preparation, and creating accommodation for sowing, "a long-term task in itself."
The minister emphasized that, after this step, the next challenges are ensuring transportation, storage infrastructure, bagging, organizing export procedures, and pest control.
The memorandum grants Sinohydro and its direct partners land exploration rights for a minimum period of 25 years, free of any direct land taxes or fees.
"In this case, Sinohydro will work with the Ministry of Agriculture, the landowner, and Sinohydro will not pay land taxes. It will use our land for 25 years to provide a quick start for Planagrão," the minister stated, emphasizing that the Chinese company has committed to building a seed variety research and testing center.
Isaac dos Anjos stated that several Chinese companies have expressed interest, with community involvement being a prerequisite.