Consultation and Displacement in Large-Scale Agriculture Investment: Evidence from Oromia Region’s Shashamane Rural District

The Shashamane rural district was selected as a target area and corridor of large-scale agriculture investment (LSAI) to produce surplus agricultural products and ensure local development by the state and private (domestic and foreign) investors. Shalo–Melega private LSAI projects started operation in 2008 in the Shashamane rural district. This farm project comprises a crop production site, construction of a road, a crop storage facility, and developing irrigation in a total of about 24,710.51 acres of land along the central Rift Valley basin, for long-term leases. Little attention has been paid to how land ownership has changed and transaction transparency; how the community has been consulted; whether free, prior, and informed consent (FPIC) has been provided; and how local people have been displaced. This study sought to investigate the consultation process, land transaction transparency, the use of FPIC, and local community dis-placement as a result of LSAI in the Shashamane rural district. The study adopted multi-method qualitative and quantitative data collection tools including primary data, collected from a directly impacted population of 134 households, using systematic random sampling techniques; key and in-depth informant interviews; focus group discussions (FGD); and field visits. Through the use of qualitative and qualitative research paradigms, a systematic analysis was conducted. The result of the study shows that 86.6% of respondents (both interested and affected) expressed that both government and the proponents were not taking in account their concerns during the consultation processes. Lack of free, prior, and informed consent (FPIC) reduces local people’s sense of recognition and status. Moreover, LSAI displaced the rural people from their area of settlement and farmland, triggered a shortage of communal grazing and forest resources. Additionally, nonequivalent and unsatisfactory mitigation and compensation methods highly triggers the negative impacts. As a result of manipulation and therapy used during the consultation process, we assert that the local community had less decision-making authority and that the risk to the farm was thereby increased. The government, investors, and local communities are three actors whose respective roles need to be strengthened and transparent. It is crucial to strengthen the implementation of customary land tenure rights to benefit local and indigenous people and civil society organizations (CSOs).