By Luana Paniu

A massive total of 2 million hectares granted under four but bordering Special Agriculture and Business Lease (SABL) reportedly for poultry and vegetable farming is not practical according to former Lands Secretary, Pepi Kimas.

The sub-leased areas which are located in the Western Province and extends onto the borders of both the Southern Highlands and West Sepik Provinces, includes one individual SABL totalling a land mass of 790,800 hectares.

Previous evidence given by a representative of the foreign investor (named) by the Commission of Inquiry revealed that the sub-lease was granted for the purpose of vegetable and poultry farming.

Mr Kimas who was called to give evidence before the Commission of Inquiry (CoI) last week, made this remark after being asked about the Western Province SABL subleases to which he replied that the SABL’s should not have been granted.

“It’s not realistic,” he said.

He later said to this reporter that it was nonsense to apply for 790,000 hectares for both poultry and vegetable farming on a large scale since there was no market for it.

“It could work overseas because there is a market for it but not so much for PNG.” He said.

Mr Kimas proceeded to compare massive land area granted and the needs of Oil Palm a crop commonly stated by developers as the agro business of choice. He stated that within an SABL, in order to fulfil the required process and procedures, it would still be unrealistic because according to him – it would take 1000 years to fully develop an agro crop such as Oil Palm at 30 to 4-tonneage per hour mill.

He explained that Oil Palm was measured in tonneage and the lowest terms of viability were 30 tonnes.

“This means that 30 tonnes goes to the mill per hour,” he said.

He said for a 40 – 45 tonneage per hour mill to be viable, required a land mass of 4000 to 5000 hectares for a 40 – 45 tonnes per hour mill to be viable but for commercial purposes, it would need at least 60 tonnes per hour.

He further stated that at least 10,000 tonnes per hour mill would be needed for 100,000 hectares although only 60,000 tonnes was enough for management purposes.

Mr Kimas said the entire vicinity minus at least 10,000 hectares for roads and land needed for subsistence farming would require at least 10 mills at 60 tonnes per hour mill.

“The cost of one mill is 2 – 300 million kina and to fully develop the oil palm it would cost up to 200 – 300 million kina,” he said.

He said for fully operational mills for such a large land mass, would need 10 mills at 60 hours per tonnage to fully develop oil palm at a total cost of 2 to 3 billion kina.