Narratives and Experiences of Chinese Agro-investments in Zambia: A Case Study of Cotton

Abstract

This chapter examines the experiences and narratives around Chinese agro-investments in the cotton sub-sector in Zambia. It does so by tracing historically the development of the cotton industry in Zambia from the time of independence until the current period, with the structural adjustment programme in the 1990s being a significant feature in this regard. Drawing upon both past and present fieldwork research, the chapter identifies a constant entrance and exit of many new and foreign buyers in the cotton sub-sector, with implications for sector governance, production and marketing dynamics. Overall, Chinese investments in cotton in Zambia are few and limited in scale, compared to other foreign entities. While the Chinese presence has not significantly altered the cotton industry’s dynamics and has not been effective in transforming the industry, it offers some level of competition to the already established monopolistic players. Further, while the Chinese are not well known for significant investments in inputs and loan provisions to cotton farmers, they have mastered the infamous act of exploiting market and regulatory lacunae, thereby entrenching side selling and parallel markets. This chapter thus carefully scrutinises Chinese investments in Zambia with specific reference to policy and practice in the cotton industry.