Tread carefully on land - Daily Nation

The impending expiry of long-term leases to prime land held by multinationals could just set the stage for a major crisis. Some people see this as a possible solution to a historical injustice that saw the land excised for settlers. However, it could become counterproductive if not properly handled.

In central Kenya, Del Monte has grown cash crops for nearly a century, contributing to national development. The American conglomerate, which grows pineapples, employs 6,500 workers. The lease to the multibillion-shilling land expires in 2022.

There are suppliers of inputs and service providers who stand to lose in a big way if the organised agriculture that has been carried out for a long time is disrupted. The Del Monte land has one of Africa’s largest pineapple plantations, which earn the country Sh9 billion in foreign exchange annually. This one firm generates nearly as much revenue as Nairobi City County.

Subdividing the land is bound to deny the new owners the economies of scale enjoyed by the plantation. Also, the small disorganised groups or individuals will not have the expertise, knowledge and experience to put the land to productive use. Granted, there are landless Kenyans who should be given an opportunity to farm, but that will undermine a profitable enterprise.

The best lessons on how not to distribute land are evident in the chaos that resulted from the grabbing of white farmers’ farms in Mugabe-era Zimbabwe. The country went from food sufficiency to a net importer, with its famed dairy industry ruined.

The leaders pushing for the acquisition and redistribution of such land must tread carefully. It is only a fool who does not learn from his own and other people’s mistakes. The lease held by the multinational should be prudently reviewed.