September 4, 2024
VIENTIANE – To demonstrate its commitment to sustainable agricultural practices, the Lao government hosted the fourth National Multi-Stakeholder Dialogue on Responsible Agricultural Investment in Vientiane on August 29-30.
This event comes as Laos assumes the role of ASEAN Chair for 2024, setting a precedent for regional collaboration and innovation in responsible investment.
The dialogue brought together over 110 participants from diverse sectors, including government, the private sector, development agencies and civil society, with 20 representatives from local governments.
The event featured plenary sessions, two focused Masterclasses and a World Café, a dynamic storytelling marketplace for sharing insights on responsible investments and inclusive business models in agriculture, food and forestry.
Ms Khammone Luanglath of the Lao Farmers’ Network discusses the establishment of the Thongmang Organic Agriculture Group, supported by the Department of Agriculture Extension and Cooperatives. PHOTO: VIENTIANE TIMES
One Masterclass focused on gender equality in land investments, reviewing the 2018 Gender Country Assessment and exploring opportunities for improvement. It also highlighted women’s economic empowerment through coffee production in Dak Cheung, Xekong province.
These sessions aimed to foster collaboration and address critical challenges in the country’s agricultural and forestry sectors.
The Lao government, through the Investment Promotion Department and the Department of Agriculture Extension and Cooperatives (DAEC), reaffirmed its commitment to responsible agricultural investment.
By advancing the recognition of customary land rights for rural communities and finalising the nation’s first regulation on contract farming (where an investor and farmer agree to produce a specific product), the government is laying the groundwork for a more sustainable and equitable investment landscape.
Andreas Gerrits, the newly appointed Deputy Director of Cooperation at the Swiss Agency for Development and Cooperation (SDC), underscored the importance of a comprehensive approach to responsible agricultural investment in his opening remarks.
“True systems change requires multidimensional approaches that create enabling environments for good policy, responsible investment and sound governance. No single sector or institution can achieve this alone,” he emphasised.
As a principal funder of the Mekong Region Land Governance (MRLG) and Transformative Land Investments (TLI) projects, SDC is dedicated to fostering sustainable development across the region.
In her keynote speech, Ms Souvanane Keothammavong, Head of Sustainability at Mekong Timber Plantations (MTP), highlighted her company’s efforts in responsible agricultural investment. MTP, a leading forestry plantation company in Laos, manages a 24,000-hectare estate in the central provinces of Borikhamxay and Khammuan.
The company is at the forefront of aligning business practices with heightened market demands for environmental, social and governance standards, ensuring that investments are assessed for long-term impact on communities and the environment.
Ms Keothammavong called for government support in providing clearer land tenure security, explicit policies, effective incentives and enhanced access to green finance.
Deputy Director General of the Investment Promotion Department, Ms Thavichanh Thiengthepvongsa, called for unity in strengthening the national economy. “We must all come together with one heart and one goal in mind: to strengthen the national economy in such a way that no one is left behind,” she said.
Deputy Director General of the Department of Agriculture Extension and Cooperatives, Dr Phanxay Ingxay, echoed this sentiment, emphasising the need for collaboration with development partners, civil society, and the private sector to drive local-level reforms.
As the ASEAN Chair, Laos has a unique opportunity to showcase its leadership in promoting responsible agricultural investment.
The government’s proactive measures highlight its commitment to fostering a conducive environment for sustainable and equitable investments.
Team Leader at MRLG, Dr Micah Ingalls, said “In 2024, the Government of the Lao PDR has made substantial progress in strengthening legislation around responsible investments.
Given the current financial situation, attracting high-quality investment that can level the playing field is more urgent than ever.
It is crucial, however, that these investments are regulated by the rule of law, securing public benefits for all people of Laos rather than the personal benefits of the few.”
The event was organised by TLI, MRLG and GIZ. It was hosted by the Investment Promotion Department, Ministry of Planning and Investment, the Department of Agricultural Extension and Cooperatives and the Ministry of Agriculture and Forestry.
It was funded by Switzerland through the SDC, with co-funding from the governments of Germany and Luxembourg.