Page 10 - Siaf 2025

Agricultural Investment in Sudan

Turning a Land of Potential into a Source of Livelihood, Stability, and Development

Amid the accumulated challenges that Sudan has faced over the past
decades , from economic crises to wars and social con icts ,agricultural Investment Shares and Potential by State
investment has repeatedly been presented: sometimes as an urgent
solution for food security, sometimes as a lever for economic growth, and
at other times as an opportunity to attract Arab and foreign capital.
Yet despite all these narratives, the reality on the ground remains
unchanged:
Millions of feddans remain uncultivated, and rural communities are still
waiting for promises to be transformed into real harvests.
Agricultural investment is not merely an economic undertaking. In Sudan,
in particular, it represents an intersection between politics, society, the
economy, and rural development. When an agricultural project succeeds,
it is not only the investor who benets: the entire country prospers, job
opportunities arise, markets are activated, and local communities feel that
their land has become a source of prosperity rather than a source of
con ict.
erefore, if we are to speak honestly about agricultural investment, we
must rst acknowledge the following truths:
ere are immense capabilities, unmatched almost anywhere else in the
region. Comparing Chaos and Opportunity
ere are profound problems that have never been fundamentally
resolved.
And the success of investment depends on a delicate balance between
opportunity, organization, and trust.
A Precise Map of Deep-Rooted Problems
Paper Investments: Land Allocated but Never Cultivated
Hundreds of thousands of feddans have been granted to local and foreign
investors but never farmed.
Some investors used contracts:
As collateral to obtain bank loans.
Or to resell the land informally. A Double-Edged Financing Challenge
is practice resulted in: For serious investors:
Millions of idle feddans with no production. Di“culty accessing bank nance without formal collateral.
Eroded trust among local communities. High interest rates (up to 20%).
Blocking serious projects due to overlapping claims and fraudulent For opportunists:
contracts. Easier access to development loans with no real oversight.
Lack of a Strong Legal and Regulatory Framework Funding disappearing without any production impact.
No unied national database of agricultural investment projects. Absence of Post-Harvest Systems
Contracts are not linked to production timelines or clear benchmarks.
No e‹ective mechanism to withdraw land from negligent investors. Even successful farms struggle with marketing and storage:
Genuine investors feel insecure: the authority granting the land today No o“cial aggregation centers.
might revoke it tomorrow without legal safeguards. Post-harvest losses in some crops reach 40%.
Administrative Corruption and the "Permit Trade" No cold chains or specialized transport networks.
Acquiring agricultural land requires navigating: How to Turn Chaos into Opportunity?
State-level investment o“ces. Reform the Agricultural Investment Law and Tie Contracts to
Ministries of Agriculture and Investment. Production
Land registries. Enact a new law mandating a clear production plan within 12
Even security agencies in some areas. months.
is complexity opens the door to: Digitally link all contracts to a national mapping system.
Brokers and middlemen selling “uno“cial facilitation.”
Bribes to speed up processes or bypass regulations. Require every project to include a local community partner.
Duplicate contracts for the same land. Establish an Independent Project Evaluation Unit
Con ict with Local Communities and Traditional Authorities Reporting to the Cabinet or a higher investment council.
Many projects failed because they lacked genuine partnership with Functions:
communities. Verifying investor seriousness.
People see the land as communal or ancestral property and fear losing it. Monitoring via aerial imagery and seasonal reports.
Local rejection can escalate to obstruction, or even sabotage, of the Issuing warnings and revoking contracts when needed.
project. Create a Public–Community Investment Partnership Fund
Lack of Basic Service Infrastructure Funded by government and development agencies.
Over 70% of allocated investment lands are far from: Acting as a minority shareholder in each project (e.g., 10%) to ensure
Paved roads.
Reliable electricity. accountability.
Agricultural extension or veterinary services. Supporting local employment and training.
Logistics costs alone can derail a project before it starts. Restructure Agricultural Financing
Success and Failure Stories: Real Lessons Financing disbursed in phases tied to measurable progress.
Project feasibility assessed by international bodies (FAO, IFAD).
Funding only for ventures with credible execution guarantees (equip-
ment, technical partners).
Develop Shared Infrastructure in Investment Zones
Designate model agricultural hubs (Agri-Hubs).
Government to provide roads, power, training centers.
Investors focus on production and operations.

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