1. Presented by: Phouvong Phaophongsavath (MPI) Justine Sylvester (VFI)
Insights from a Multi-Stakeholder Approach towards Responsible Agricultural Investment in Lao PDR
Presented by:
Phouvong Phaophongsavath (MPI)
Justine Sylvester (VFI)

2. Where in the world is Laos?

3. Laos Strategic location of secret war/ Vietnam war in 1960s
The most heavily-bombed country per capita
37% of total land in Laos are UXO contaminated*
*Source: UXO Lao Annual Report 2012

5. Context of Investment in Laos
7 million people country with a size of km2 (as big as Minnesota State)
Young country just 40 years old
Stable economic and politic with the one-party system
Joined ASEAN in 1997 ($650 million market) and the WTO in 2013
Key foreign trade and investments from neighboring countries and the region
Turning land-locked to “land-linked” country with regional connectivity and network
Opening Up the country from 1988 – 2009

6. Approved FDI projects in Laos by sector (1989 – 2015)
Source: OECD calculations based on Investment Promotion Department, 2016

7. Converting “Land into Capital”
Policy since 2006
3 million hectares arable land for agriculture
1.1 million hectares granted for over 2500 leases and concession
Issuing about 800,000 land titles in 2014

8. Recent Government Actions on Land Concessions
Government’s Moratorium in 2009
PM’s Order No.13 in 2012
Ban on Large Banana Plantation 2016
Expecting some additional instructions in 2017

9. Promoting Quality Investment

10. Multiple Benefits of Quality Investment
Business
Government
Community/
CSOs

11. Zooming in: a new multi-stakeholder approach in Laos
Cross-sector dialogue and cooperation is rare in Laos
Growing concerns about impacts of land-based investment
RAI Working
Group formed in
2015 brought multi-
stakeholders to the
‘same table’

12. Responsible Agricultural Investment Working Group
Goals:
Create a shared understanding of ‘Responsible Investment’ (shared value)
New space for cross-sector dialogue, cooperation and trust building
Document good and improving practices to share and replicate across the country
Reach out to ‘harder to reach’ investors

13. Insights from the process
What did we do?
Co-hosted a Responsible Investment Seminar
Field visits to operations of two agribusinesses
Talked with communities, local government, civil society, companies
Co-produced a series of case studies
But we found that the process was more important than the final ‘product’

14. Searching for Common Ground
Sustainable development
Economic benefits (employment, profits, household income, national growth)
Lower business risks and less delays
Avoid conflicts
Clear and
transparent
processes and
regulations

15. New Initiatives towards RAI
Partnership between NGO and agribusiness for better community engagement
Quality Investment Promotion
RAI Working Group II

16. Khob Chai / Thank you
Any Questions?