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In a major step toward revitalizing Angola’s agricultural sector, China’s state-owned Sinohydro Group has committed to investing over USD 100 million in the country’s grain production initiatives. This announcement follows closely on the heels of another significant pledge by a separate Chinese firm, which committed USD 250 million toward establishing expansive soybean and corn farms in Angola. These moves signal a growing trend of Chinese agribusiness investment in Africa.
As part of its agreement with the Angolan government, Sinohydro has secured a 25-year, tax-free lease on 30,000 hectares of farmland distributed across six of Angola’s provinces. This land will be used to cultivate grain crops, with a particular focus on soybeans. The Angolan government views this deal as a strategic effort to restore large-scale farming across the country, reduce dependence on food imports, and strengthen food security.
To speed up the project’s implementation, Sinohydro will utilize existing agricultural machinery and infrastructure to develop the region’s logistics networks and support systems. This includes building roads, storage facilities, and processing centers to streamline production and distribution.
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Of the grain harvested, 60%—primarily soybeans—will be exported to China, while the remaining 40% will be allocated for domestic consumption in Angola. In addition, the agreement includes plans for establishing a seed research center. This facility will aim to improve crop yields and serve as a hub for agricultural innovation, potentially attracting further Chinese agribusiness investment into Angola.
This partnership marks a deepening of China-Angola relations, particularly in the agricultural sector, and reflects a broader strategy by both nations to address food security and economic diversification.
