19/03/2013 (PRNewswire) - Several Western-based NGOs have attacked palm oil production and foreign investment that supports industry growth in Africa. NGOs including Greenpeace and UK Rainforest Foundation have attacked palm oil cultivation in Africa for having detrimental environmental impacts.

NGOs appear to be intensifying campaign activities in efforts to influence debate in Brussels on whether to include ILUC in EU biofuels policy. Recent NGO activities have attempted to link debate over the EU's Renewable Energy Directive with alleged ‘land grabs' and environmental degradation in countries where feed stock for biofuel is grown. The campaign allegations cannot be substantiated.

The campaign against African palm oil threatens economic development. Palm oil offers African small farmers one of the best opportunities to participate in a value added economic activity. The crop also has the potential to provide significant government revenue and generates investment in infrastructure development in poor rural areas. African governments and local communities appear to have welcomed investment in this agricultural sector.

Demand for palm oil is expected to grow, as large palm oil consuming markets in China expand. South East Asia – the dominant palm oil producing region – has seen rapid industry growth over the last two decades, but this is likely to slow down as suitable land for plantation becomes increasingly scarce.

Other regions have been keen to fill this supply slack, attracted by the economic and development benefits of palm oil production. Africa, as a region with suitable climate and available productive lands, is embracing agricultural development in the palm oil sector.

The crop - indigenous to the content - offers a number of development opportunities. The continent's vast numbers of small-scale family farmers in particular are keen to participate in production of value added agricultural commodity.

Africa is currently a relatively minor palm oil producer. In 2011 the combined African palm oil output was about 2.5 million tones, or around 5% of global palm oil production. Despite having suitable conditions for palm oil cultivation, most African countries are in fact net importers. African countries import most of their palm oil for use in cooking and as an affordable source of valuable fats. The continent as a whole imported close to 4 million tonnes in 2009.

The FAO assert that investment in agriculture is one of the most effective strategies for poverty reduction. However, it appears that poverty reduction is not on the NGO agenda. Halting industrial agricultural in Africa may suit Western campaign groups, but does little to address food insecurity and poverty throughout the continent.