LUEMBE CONSERVANCY DEVELOPMENT

BUSINESS PLAN

2003

Gamefields Limited(FCO. 1245)

Argyle Gardens, Plot 4434, Kamoyo Road, Longacres

P.O. Box 31333, Longacres, Lusaka, Zambia.

Telephone: (260) 1 25 60 22

gamefields@zamnet.zm

Definitions and Abbreviations

EXECUTIVE SUMMARY

Table of Contents

PART A: GAMEFIELDS BACKGROUND

1GENERAL BUSINESS PROFILE

1. History

1.2 Mission

1.3 Goals and objectives

1.4 Legal structure

1.5 Location

6. Situation analysis

7. Description of services

8. Operations

9. Management structure

1.10 Organization and personnel

11. Market

12. SWOT analysis

13. Promotion and marketing

2LUEMBE CONSERVANCY DEVELOPMENT

1. Location

2. Natural resources

3. The people

4. Present legal structure

5. Proposed development (outcomes)

6. Present progress

7. Proposed plan of action (outputs)

8. SWOT analysis and possible constraints

   1. General conservancy development

   2. Royal Luangwa

   3. Traditional Luangwa Bush Camps

   4. Hunting safaris

   5. Other tourism

   6. Mvuvye National Forest

   7. Mbizi Ranch and Nyamadzi Ranch

   8. Promotion and marketing

2.9 Agriculture

3 FINANCIAL STATEMENTS AND PROJECTIONS

1. General Caretaker Operation

2. Royal Luangwa

3. Traditional Luangwa Bush Camps

4. Luembe Hunting Safaris (stand-alone operation)

5. Mvuvye Forest Scheme (stand-alone operation)

APPENDICES

Appendix 1: Luembe Sketch Map

ATTACHMENTS

Attachment 1: Gamefields Certificate of Registration

Attachment 2: MOU # 1 Luembe Customary Authority/Ian Manning

Attachment 3: MOU # 2 Luembe Customary Authority/Luembe Trust Company

Attachment 4: Luembe Conservancy Trust Company Cert. Of Registration

Attachment 5 : Luembe Conservancy Development Manual (included separately)

DEFINITIONS AND ABBREVIATIONS

Biodiversity Biological diversity: the variations in biological organisms at ecosystem, species and gene level

Chiefdom Authority over land held under customary tenure

Chipuna Conservancy Development Development (symbolized by the traditional African stool) carried out by a partnership between investors, chiefdoms and NGOs

Conservancy An area of land under holistic management in which sustainable agriculture, forestry and biodiversity conservation are integrated with local community development

Customary Area Land held under customary tenure

Customary Authority The authority over land held under customary tenure

Customary Tenure Land held, through long tradition, by village headmen under the chairmanship of a chief (Appendix 4 of the Laws of Zambia)

De-centralization The allocation of responsibilities for decision-making and operations to lower levels of government, community organizations, the private sector, and NGOs

Ecosystem A dynamic complex of plants, animal and micro-organism communities and their non-living environment interacting as a functional unit

Game Commonly hunted animal species specified under section thirty (Wildlife Act 1998)

Hunting Concession An area where authority to hunt within a specified hunting block has been given by ZAWA for a specified period of time

Natural Resources Land and its biological resources: the soils, the vegetation and the fauna…

Open Areas Customary land not included in GMAs

Partner One who shares risks, losses and profits

Programme A definite plan of intended procedure

Ramsar Convention on Wetlands of International Importance

State Land Land which is not situated in a customary area

Strategy A set of chosen actions to support the achievement of a specified development goal

Sustainable Use (optimum) Use of an organism, ecosystem or other renewable resource at a rate within its capacity for renewal

Tenure System Legal and institutional framework which determines the ways in which rights to natural resources (property rights) are defined and enforced

BSAP Biological Diversity Strategy and Action Plan

CBNRM Community Based Natural Resources Management

CBD Convention on Biological Diversity

CBO Community Based Organization

CRB Community Resource Board declared under the Zambia Wildlife Act of 1998 No. 12 Part 3 (6)

CITES Convention on the International Trade in Endangered Species of Fauna and Flora

EPPC Environmental Protection and Pollution Control Act

ECZ Environmental Council of Zambia

GMA Game Management Areas declared under the Zambia Wildlife Act No. 12 Part 5 of 1998

GRZ Government of the Republic of Zambia

ICDP Integrated Conservation and Development Project

NGO Non Government Organization

NEAP National Environmental Action Plan

PPP Public Private Partnership

PWEs Private Wildlife Estates

SCC Single Concession Hunting Company

TAZCORR Tazara Corridor Agriculture Development Project

WPAZ Wildlife Producers Association of Zambia

ZAWA Zambia Wildlife Authority

EXECUTIVE SUMMARY

Gamefields Limited is an international investment and management company with a wide reach, specializing in exclusive tourism development, both consumptive and non-consumptive. In order to deliver meaningful development to rural areas, Ian Manning, Director of Gamefields and the founding trustee of ProjectsAfrica, has designed the Chipuna¹ conservancy development model for biodiversity conservation and rural development whereby investors and the traditional authority for land held under customary tenure, and development NGOs, form a joint venture conservancy trust company (limited by guarantee), to which the rights of use and occupancy are placed by the Chiefdom under the Lands Act of 1995, and which in turn then contracts investor managers to develop a conservancy – rentals being paid into a development fund for such usage, with the partner NGO taking on responsibility for community project development. The first scheme of its kind is the establishment of a 4 000 km2 conservancy on the customary land of Senior Chief Luembe and his 363 headmen in the south of the famed Luangwa Valley of Zambia, a partnership between Gamefields Ltd, the Luembe Customary Authority, the Nyimba District Council and the non-profit organization which created Gamefields, ProjectsAfrica. The scheme will involve the particular development of three classes of land within the conservancy: unfettered Open Area, Game Management Area (GMA), and protected forest, the latter two requiring a degree of co-operation with the Zambia Wildlife Authority and the Department of Forestry respectively.

1. GENERAL BUSINESS PROFILE

3 History

Gamefields Limited is registered in Gibraltar, with offices in London, Dubai, Dar es Salaam and Lusaka. Its principle interest is the development of game conservancies in which biodiversity conservation and tourism is integrated with community development. In particular it seeks to provide blue-ribbon game lodges set within pristine African game country to an extremely restricted membership – country sparsely populated with traditional African villages. Gamefields, in conjunction with its NGO partner, ProjectsAfrica has provided a model for this development based on the traditional African stool where long-term stability and security is provided by three supports i.e. a partnership between an investor (Gamefields), an NGO ( ProjectsAfrica), and the Chief and his headmen.

2. Mission

To develop game conservancies in the finest parts of Africa’s wilderness, and to recruit a discerning membership that will have exclusive access to the hunting, fishing, wildlife, wilderness and development experience available within a conservancy

1. Goals and objectives

• To identify potential game conservancy areas requiring investment and development

• To identify and promote potential conservancy partnerships (joint-ventures) with the customary authority, the local community, and the local authority

• To provide investment models which do not unnecessarily alienate land from the local community, but which offer security of tenure and sustained incomes for Gamefields and its clients

• To develop exclusive sporting clubs set within massive conservancies where sporting and recreational opportunities abound

• To foster its partnerships with ProjectsAfrica and community organizations (CBOs) so as to ensure both sustainable development and the delivery of integrated conservation and development projects (ICDPs) – particularly those involving community food security

• To foster sound game management practices and the sustained yield off-takes of game species

• To conduct ethically sound trophy hunting, fishing and photographic safaris of the highest quality

• To foster the practice of sustainable conservation agriculture

• To protect endangered species and vulnerable populations of wildlife

4Legal Structure

1.4.1 Gamefields

Gamefields is registered in Zambia as a branch of the international parent company, Gamefields Limited, in full compliance with the requirements of the Zambia Companies Act (CAP 388) as a limited liability company, and now seeks an investment certificate in full accordance with the requirements of the Zambia Investment Council.

1.4.2 Zambia

The legal system of Zambia is based on British Law, and Customary law – the latter prevailing in 93% of the country. Local courts deal with civil disputes under customary law, including such issues as marital and property claims. Appeals lie with subordinate courts, from which they may be advanced to the High court, thence to the Supreme Court

The 1995 Lands Act created the opportunity for individuals with rights of usage and occupation of land under customary law to obtain leasehold rights of 99 years within open areas – and with the permission of ZAWA, in GMAs. This has attracted a certain level of investment and one-off payments to Chiefs, particularly from the sale of lodge sites and land for game ranches (open areas), resulting in some cases, in the permanent alienation of the land and the removal of any possible sustained income for communities. While posing certain dangers of land alienation to uninformed chiefs – although there is, in any case, political resistance to large scale alienation, the Lands Act also importantly supports the power of the chiefs and their headmen in their right to allocate rights of use and occupation within customary areas. In addition to that Act, are two other important Acts, the Wildlife Act of 1998, which prescribes the election of Community Resource Boards (CRBs), with the chief as patron, and advances as one of its main missions: ‘to facilitate the active participation of local communities in the management of the wildlife estate’, and the Forestry Act No. 7 of 1999, which allows Forestry to enter into joint management arrangements (PPP) with communities and the private sector generally. However, very little investment has found its way into rural areas because the usual purpose of investors is to obtain large areas of land on leasehold, something which should be strenuously avoided in Zambia because of the extreme political sensitivity attached to land, though there is no shortage of virgin land. However, if investors are not able to obtain large areas of land, they tend to lose interest, not realizing that they can own the areas for their infrastructure and obtain rights of usage and occupancy under customary law for the rest.

4. Location

Registered Office

Lusaka HQ

Showgrounds

P.O. Box 35139

Lusaka

Working Office

Argyle Gardens

Plot # 4434,

Kamoyo Road,

Longacres, Lusaka.

Registered International Office

50 Town range

P.O. Box 472,

Gibraltar

5. Situation Analysis

Zambia is ambivalent in its attempts to attract investment, desiring investment, but wary of being swamped by aggressive outsiders whom they believe will take their jobs and collar all the business opportunities. Donors, who create few jobs, are not looked on with the same suspicion. However there is a growing realization that donor aid creates and perpetuates Zambia’s dependency, weakens is ability to fend for itself and hinders it from becoming truly independent.

Customary land has so far received little investment, western investors constrained by the difficulty of obtaining leasehold title by an overly regulated and poorly managed game industry – despite the laws of Zambia allowing for de-centralization – as well as the absence of a development model which provides security of tenure, sound investment returns and real improvement in the livelihoods of the local population. Such a model is the Chipuna Conservancy Development model. Taking advantage of current laws Zambia is probably the best place in Africa to advance Chipuna game conservancy projects - joint ventures between the Chiefs, investors and NGOs

In so far as the utilization of game areas is concerned, Gamefields emphasizes a shift away from one-dimensional safari hunting concessions, and its replacement in selected areas by a conservancy system that will ensure the continued level of earnings for the Game Department (ZAWA), the capacity support to CRBs, and the non-alienation of land from the chiefdoms, enabling it and the flagging District Councils to engage with investors and nurture the overdue raising of community livelihoods and, crucially, bring investors a sustained return. This conservancy approach is directly in line with the provisions of the Wildlife Act of 1998 and ZAWA’s Draft Policy on Private Wildlife Estates and Other Novel Use of Wildlife (May 2003). Gamefields and its partners are nurturing a relationship (PPP) with ZAWA and the Forestry Department, and are consulting with line Ministries responsible for natural resources in the initiation of joint-venture conservancy agreements with the Chiefdoms and their CRBs, whereby investment is obtained for phased developments dealing with the following:

• CRB establishment and support

• The provision of preliminary management plans

• The establishment of community Natural Resource Management Societies

• The establishment of joint-venture conservancy trust companies whose guarantors are the customary authority, ProjectsAfrica and Gamefields Limited, as well as CBOs

• The contracting of Gamefields, and the appointment of the management team

• The establishment of an exclusive conservancy membership scheme, supported by the necessary infrastructure e.g. Royal Luangwa

• The provision of a land-use plan

• Community project and programmes implementation by ProjectsAfrica

6. Description of Services

Gamefields Limited, will, at a suitable time, seek opportunities for business in partnership with customary authorities across Zambia – as well as other business opportunities. Its first project is the Luembe Conservancy Development Project – in partnership with Senior Chief Luembe, the Luembe Community Resource Board and the Nyimba District Council, as well as the Chipuna Main partner, ProjectsAfrica

7. Management Structure

The Managing Director of Gamefields in Zambia is Ian Manning (Appendix 3)

8. SWOT analysis

STRENGTHS	OPPORTUNITIES	WEAKNESSES	THREATS
Gamefields has a strategic partnership with ProjectsAfrica which is able to deliver, as part of its investment, socially responsible programmes It also has the total support of the Luembe Customary Authority, its CRB and the Nyimba District Council Gamefields is able to call on the necessary international investment and managerial backing and acumen Gamefields does call on advice from not only those in high office, but from all roll players and stakeholders Gamefields has some 40 years of Zambian biodiversity management and pioneering safari experience to call on	As the pioneer of Chipuna conservancy development where investments seek to encourage joint-ventures with local communities – and in partnership with socially responsible NGOs, Gamefields is well-positioned to take a leading and unique role GRZ’s policy of de-centralization opens investment opportunities in rural areas Policies of rural empowerment in respect of natural resources	A lack of finance and poor communication Lack of finance and capacity to implement	Any wavering of intent and the accompanying finance may create doubt in the joint-partners.

1,10 Market Analysis

Zambia offers unparalleled opportunities for the development of conservancies because of the land tenure system (Lands Act of 1995), because of provisions for local communities to assume certain ‘ownership’ responsibilities for wildlife – as well as enter into PPP joint-management arrangements for national parks (Wildlife Act of 1998), and because of the Forest Act of 1999 which provides for National Forest co-management agreements (PPPs) – actively promoted by a progressive Forestry Department.

5Promotion and Marketing Strategy

The promotion of the conservancies established by Gamefields Limited and its Chipuna partners will be carried out nationally by Gamefields, and internationally by its parent company. As conservancy members and sporting clients will, in the main, be from outside of Zambia, they will be recruited from our offices abroad.

The ‘marketing’ of community project proposals will be carried out by ProjectsAfrica on its website; with links to other suitable ‘virtual’ sites

2 LUEMBE CONSERVANCY DEVELOPMENT (Appendix 1: Luembe sketch map)

1. Location

The Luembe falls within Nyimba District in the Eastern Province of Zambia. The conservancy includes all of the Luembe Customary Authority – and probably the Mvuvye National Forest, which takes up the following land classifications:

• Part of West Petauke GMA (West Bank of the Luangwa)

From the Petauke-Serenje district boundary intersection with the Luangwa river at the Chisani rapids, down the Luangwa to a line leading west to a point below the Lunsemfwa/Lukushashi rivers confluence, thence up the Lukushashi to the Mulembo river, then up the Mulembo to its intersection with the Petauke-Serenje boundary and back to the Luangwa

• Luembe Open Area (Luangwa East Bank)

This takes in all the land between the Mvuvye forest to the east and down to the Luangwa, and south as far as the Mbizi ranch boundary at Ndevu, and north to the Nyamadzi River, the southern boundary of the Nyamadzi game ranch.

• West Mvuvye National Forest

Negotiations are presently underway to have this forest undergo a change of status from National to Local forest, and then to have the Trust enter into a co-management agreement – on a long lease, with the Forestry Department

2. Natural Resources

The area has extremely high biodiversity and habitat richness, encompasses three perennial rivers, alluvial plains, hills and scarps, with a fertile plateau area on the east bank. as well as abundant forest resources. It is readily accessible from the East bank by a five hours drive from Lusaka on an excellent tar road, with 40 km of good dirt road linking Nyimba with the Chief’s HQ. Perhaps its chief attraction is that it encloses the Luangwa River for some 30 km, a river famous for its alluvial zone of riparian forest and its meandering course. Listed as a prime hunting area, all the main species are found there and it is the last area in Zambia where an endemic big five exists – the black rhino being the last surviving population in Zambia. In addition, the area encompassing the Nyimba River towards Nyimba is likely to have high irrigation potential, and throughout the area, precious stone and gemstone deposits await controlled exploitation. The Mvuvye forest (65 000 ha) would provide an opportunity to establish a local timber and value added industry.

3. The People

The area was first settled in the mid eighteenth century – probably usurping and killing off a group of nomadic non-Bantu people, the Akafula. These settlers became know as the Ambo- Asenga, named for the cotton plant they grew. Achikunda slave traders then came and settled, followed by the Angoni in 1835 – though they took over the country lying towards present day Chipata, collecting tribute until the death of Paramount Chief Mpezeni in 1878. At this time the Angoni depopulated the country, with chiefs having no set territory, though they collected ground tusks and slaves for onward sale. Elephant numbers were much reduced due to the many hunters employed by the traders operating from Tete on the Zambezi. In 1895, the disease, Rinderpest struck, killing most of the giraffe, buffalo and eland. In 1931, the land lying east of the Luangwa was obtained by the North Charterland Company, with sleeping sickness so serious that the administration reported there was ‘…an atmosphere of despair and resignation to gradual extinction’ and moved the villagers out of the valley and further onto the plateau to the east. They returned in the mid 1930’s but did not settle, apart from a few villages, on the Luangwa.

The Senior Chief, Luembe, presides over a large area, together with his sister Chieftainess Mwape (to the north) and Chief Nyalugwe (to the south), and is joined to the west by his Nyendwa clan relations, Senior Chief Mboroma (Upper Luano) and Chief Chisomo.

The people are harvesters of the wild and hoe agriculturists, surviving as they have done for centuries. Senior Chief Luembe is an impressively wise leader, supported by 150 village headmen and a group of advisers, and works closely with the Nyimba District Council, whose Chairman lives in his district and is a close supporter and advisor of the chief, and a firm supporter of development in Luembe.

4. Present Legal Structure

The Lands Act consolidates the Chief’s control of his area, though the west bank i.e. the West Petauke GMA falls under the ZAWA joint control from the point of view of hunting concessions, requiring that any tourism development in the GMA must have the permission of ZAWA and the safari operator, and that applications for the conversion of customary to leasehold land are required to have the permission of ZAWA in addition to that of the Chief and the council. ZAWA exceeds its powers under the law and cannot restrain conservancy development in the GMA i.e. the rights of use and occupancy, as the area is part of the Chief’s domain, many of his villagers located there. As well, ZAWA cannot force Luembe to sign hunting concession agreements against his will. However, given that ZAWA’s mandate is to empower communities and see to the improvement of their livelihoods, their support should be counted on. Supported by expert legal council, Gamefields is advising the Chief, the Luembe CRB and the Council in its engagement with ZAWA, with the Zambia International Investment Advisory Council, and is also soon to make submissions to the Constitutional Review Committee, which is presently touring the country and receiving the views of civil society.

5. Proposed Development and Outcomes

To create a joint-venture game conservancy overseen by a the Luembe Conservancy Trust with the sole rights for sustainable use of all natural resources contracted out to Gamefields Limited who pay rental and levies to the Trust Development Fund, used in part by its partner, ProjectsAfrica to deliver community development projects. This conservancy will have as its original economic driving force, the creation of one or more of the following:

2.5.1 Upmarket club development (see 2.8.1)

One option is for an extremely exclusive sporting club to be built on 250 ha of land under a 99 year leasehold title, with members purchasing a share in the development and then having 60 year renewable and exclusive access rights to all of the conservancy for which they pay a club purchase price and monthly levies.

PROS	CONS
A small membership of the super-rich might be easier to manage They would be disinclined to pressure for commercial rights of usage	This would entail a restricted membership which would not be particularly visible throughout the area – something needed in order to discourage poaching and build up wildlife stocks An upmarket complex would provide too great a disparity between the villagers and the opulent lifestyle of the members

2.5.2 Traditional Luangwa (see 2.8.2)

This option entails the establishment of a conservancy membership for 60 years renewable, which allows members a camp site for their exclusive use on which they can erect, or have erected, tented or traditional thatched camps, and then enjoy exclusive access to the conservancy as a whole. They would pay a membership entry fee and a monthly levy

PROS

CONS

Membership is affordable Members would ‘own’ 1 million acres of a magnificent piece of African game country It does not emphasize ‘ownership’ of land – rather its use and occupation, and therefore does not excite political opposition Restricting camps to traditional Luangwa pole and thatch - or tented facilities, is in keeping with a pristine African wilderness area A fairly large membership of some 300 members could have a beneficial impact on a conservancy, becoming involved with conservation and community development if they so wished

As members would enjoy ‘rights of use and occupancy’ under customary law – provided for in the Lands Act of 1995, and not lease hold ownership in which they hold a title deed, they might not be keen to become members, feeling that because don’t ‘own’anything in the accepted western sense, that they have no security.

1. Projected Outcomes

OUTCOMES

INDICATORS

The establishment of a joint-venture conservancy- based on the Chipuna model, in which land is used under customary law for the benefit of its people and investors The establishment of a Conservancy Trust Company whose subscribers are Senior Chief Luembe, Gamefields, the Nyimba District Council, 2 Luembe CBOs and ProjectsAfrica The appointment of Senior Chief Luembe and Ian Manning as Director/Secretaries of the Trust The contracting of Gamefields as the sole management agency The establishment of Royal Luangwa Club on 250 ha of open area land, on 99 year lease for investment protection or the establishment of bush camps The production of a land-use plan and conservancy development manual to guide and order appropriate development The zoning and protection of community agriculture from wildlife and pests The establishment of a training and small business centre The protection of the conservancy and the implementation of a fire management plan The protection and management of the black rhino population The development of appropriate infrastructure The development of a forest management scheme and the creation of value-added production The development of conservation agriculture; and of irrigated cash crop schemes The development of complimentary tourism development The identification, funding and implementation of community projects

MOUs from the Customary Authority giving the Trust (Luembe/Ian Manning) giving sole rights of use and occupancy to the Trust, and sole development rights to Gamefields Registration Certificate of the Luembe Conservancy Trust Company; and registration of ProjectsAfrica and the Luembe natural Resources Society Trust document Contract between the Trust and Gamefields Leasehold title deeds and presence of Club Camps established Land-use Plan Luembe Development Manual Zoned area within Luembe plan; and fenced agricultural lands Luembe Centre Deployment and management of conservancy force Fire management plan Adequate protective measures in place: deployed force, fenced sanctuary; and increase in survival rates Layout in land-use plan, and development of road and track network, camps, offices, stores, workshops and accommodation Mvuvye Forest Action Plan SMEs business plans and operations Conversion to conservation agricultural techniques Within land-use plan, and implemented i.e. hunting safari operation with booked clients Projects proposal list; and implemented projects

1. Present Progress

• Gamefields is registered and a bank account will shortly be opened

• A $50k transfer will be made into the account

• A Gamefields Business Plan which presents Gamefields purely as an investment facility, one now investigating a joint-venture with Luembe, to be sent to the Zambia Investment Centre along with an application for an investment certificate

• Following this an application for a self-employed permit for Ian Manning

• The signing of the Luembe Trust application for registration, followed by the Trust registration

• The registration of ProjectsAfrica

• The registration of the Luembe Natural Resource Society

• The provision of the Luembe Conservancy Business Plan

• The agreement in principle of the Forestry Department to enter into a co-management agreement in respect of the Mvuvye Forest West

1. Proposed Plan of Action and Outputs

• Recce of Luembe for the Royal Luangwa Club site

• Cadastral survey of site and application for leasehold tenure

• Survey of whole area and identification of camp sites for alternative scheme

• Building of basic housing and office facility for the Conservancy management

• Provision of preliminary land-use plan and its acceptance by the Trust

• Provision of Royal Luangwa Club membership scheme accompanied by architectural drawings …

• Provision of alternative (bush Luangwa) scheme

• Marketing of chosen scheme and start of construction

• Implementation of conservancy development supporting Royal Luangwa/Bush Luangwa

• Identification by ProjectsAfrica of community projects

• Provision of Mvuvye management plan, and its implementation

• Takeover and operation of hunting safaris in Luembe

1. Outputs

OUTPUT 1: COMPANIES LEGAL STRUCTURE

Activity 1.1 Register Gamefields Limited (done) and obtain investment certificate

Activity 1.2 Register the Luembe Trust Company (in process)

Activity 1.3 Register ProjectsAfrica

Activity 1.4 Register Luembe Natural Resources Society (in process)

OUTPUT 2: THE LAND

Activity 2.1 Obtain MOU from Luembe giving rights of use and occupancy for 60 years to the Luembe Trust for area under the Luembe Customary Authority (done)

Activity 2.2 Recce Royal Luangwa site and provide cadastral survey and apply for and obtain title deeds

Activity 2.3 Mvuvye forest application from the Chief and Council for down listing of Mvuvye from a National to a Local forest (in process)

Activity 2.4 Obtain co-management agreement with Forestry Department for the Mvuvye’s management and exploitation (MOU submitted)

Activity 2.5 Jointly with Forestry, provide a management plan

Activity 2.6 Provide a preliminary land-use plan and have approved by the Trust

Activity 2.7 Provide comprehensive land-use plan and the Luembe Conservancy Manual (draft done)

OUTPUT 3: THE NATURAL RESOURCES

Activity 3.1 The CRB to apply for and obtain ownership of game quotas for 2004 (done)

Activity 3.2 The CRB to obtain the Luembe hunting block concessionary rights for the Luembe Trust contracted to Gamefields (applied for).

Activity 3.3 The CRB to be trained in the monitoring of trophies

Activity 3.4 The provision of a conservancy protection plan and the training and deployment of scouts

Activity 3.3 Provision of guidelines and operating procedures for the CRB

Activity 3.4 Provision of guidelines and operating procedures for the Luembe Natural Resources Society

Activity 3.5 Creation and maintenance of linkages with ministries responsible for natural resources

OUTPUT 4: THE LUEMBE COMMUNITY - BASELINE

Activity 4.1 Carry out and record baseline assessments of village populations as to population, survival strategies, agriculture, hunter/gathering, health, and wildlife depredations …

Activity 4.2 Zone, identify and quantify agricultural lands requiring protective measures

Activity 4.3 Identify constraints to the improvement of livelihoods and provide needs assessment

Activity 4.4 Map existing roads, infrastructure, settlements and agricultural lands

OUTPUT 5: THE LUEMBE COMMUNITY – LIVELIHOODS IMPROVEMENT

Activity 5.1 Provision of daily transport linking villages with Nyimba/Luembe HQ

Activity 5.2 Implementation of agricultural lands protective measures: fencing and patrols

Activity 5.3 Implementation of conservation agriculture programme

Activity 5.4 Programme for provision of quality seed, fertilizer, storage and sale for maize

Activity 5.5 Establishment of a plant nursery for the production of fruit tree seedlings and endemic plants

Activity 5.5 The delineation and assistance with small businesses and co-operatives in utilizing timber: furniture, curios, and hardware item manufacture

Activity 5.5 The encouragement of cash crops outgrower schemes

Activity 5.6 The establishment of a village-based tourism circuit: local and foreign

OUTPUT 6: ROYAL LUANGWA CLUB and or Traditional Luangwa camps

Activity 6.1 Design and building of club and installation of power

Activity 6.2 Marketing and recruitment of members

Activity 6.3 Establishment of bush camps, airstrips and road network

Activity 6.4 Training and deployment of staff

Activity 6.5 Recce and identification of potential campsites with potable water

Activity 6.6 Layout of road network

Activity 6.7 Construction of some camps

OUTPUT 7: HUNTING SAFARIS

Activity 7.1 Obtain concession, or purchase concessionary company, or purchase quota – guaranteed for remaining part of lease

Activity 7.2 Provide top-flight camps and furnishings

Activity 7.3 Institute trophy and population monitoring programme

Activity 7.4 Employ highly experience professional hunters and ensure the training of staff

OUTPUT 8: PLANNING AND IMPLEMENTATION

Activity 8.1 Write a land-use plan for the whole area

Activity 8.2 Provide and update a Luembe Conservancy Manual

Activity 8.3 Provide a link with a research university overseas, as well as Zambia

Activity 8.4 Provide a community development plan

Activity 8.5 Implement the plans

Activity 8.6 Provide a monitoring and evaluation programme

8. Possible Royal Luangwa and Luangwa bush camps scheme constraints

OPTION

POSSIBLE CONSTRAINT

ROYAL LUANGWA would be built on the East bank of the Luangwa - over which the chief has total control, on land not in excess of 250 ha, an area which is able to be easily agreed to by the Commissioner of Lands (beyond that limit, it requires the agreement of the Minister of Lands) LUEMBE GAME MANAGEMENT AREA ON THE WEST BANK will be used for hunting safaris, as well as game viewing use by Royal Luangwa – using some bush camps established to support such usage, or the development of bush camps across the conservancy may be an option. If a safari outfitter is in action in the area for 2004 – the Luembe Trust having failed to obtain the concession and having decided not to place an injunction prohibiting its use, then as a quid pro quo, the safari outfitter will have to share and respect Gamefields’ activities there LUEMBE OPEN AREA ON THE EAST BANK is totally cleared for the exclusive use of Royal Luangwa, which, together with the Mvuvye forest is more than enough to provide game viewing and recreation. LUEMBE HUNTING SAFARIS are important in the context of a sporting conservancy development and the building of the Royal Luangwa Safari Club. If Gamefields cannot obtain the concession itself, it must either purchase the hunting company or buy the quota BUSH CAMP MEMBERSHIP To make available for occupation some 300 bush camps for members

Excessive delays and bureaucratic stonewalling by the Commissioner of Lands where corruption is high. However, given the support of the Luembe Customary Authority and the Nyimba District Council – within the context of the Luembe Trust and the implications for Luembe and Nyimba, a problem is not expected ZAWA and the safari outfitter may attempt to disallow use of the area by Gamefields, though this is exceedingly unlikely. However, a letter, clearing the way on this, will be obtained prior to any investment plan going ahead. Legal council and the Chief and District Council is involved in this process Forestry Department are unlikely to refuse to enter into a co-management agreement with the Trust /Gamefields If hunting cannot be obtained by any of the proposed stratagems, then we cannot appeal to a sporting clientele. However, experience elsewhere shows that hunting falls away as a conservancy is developed. It must be born in mind that the revenues and quota available are extremely limited. One should then not perhaps aim exclusively at the sporting minded. The Open Area is free for this scheme to start at once, followed by Mvuvye Forest once an agreement has been entered into with the Forestry Department. Reference to 3.5 shows the financial projects for Mvuvye, which would be the same for the Open Area as well. The GMA requires some legal and political intervention by the Chief and the Council to clear the way with ZAWA and the safari concessionaire, Mbedza Safaris – though under the Lands Act of 1995 they cannot stop the Chief and his people from making proper use of the land

1. General conservancy development

The production of an holistic land-use plan is the basis for the development of the conservancy. As the first step it will be necessary to carry out base-line surveys to establish the existing situation, to then provide a programme of development which supports both the community and the Royal Luangwa/Traditional camp development – all of it based on the soundest of conservation principles.

2. Royal Luangwa

Royal Luangwa Club is the jewel in the crown, which one would expect would be an appropriate and tasteful old-world establishment catering to a body of members who have the exclusive use of a 1 million acre protected conservancy of high quality wilderness, but who will also know that they are responsible for the raising of living standards of the population, their partners in the development. A possible club scenario would see some 25 tasteful units set on the side of a hill near the Luangwa, served by a clubhouse, dining room and bar, a swimming pool/tennis/squash court complex, and small golf course, and airstrip.

2.8.3 Traditional Luangwa Camps

Should the upmarket version not be selected, consideration would then shift to positioning and building some 300 or more traditional Luangwa camps of thatch and poles, or traditional tented camps, throughout the area. Camps would be sited near but not on the rivers. The rivers, which would service the camps, would be the Luangwa, Lunsemfwa, Lukushashi and Mlembo rivers, which alone would provide some 300 km of river frontage. It is likely therefore that the area could accommodate anything up to 500 bush camps, conservatively 300 camps.

4. Hunting safaris² (see 3.4)

Luembe falls within the West Petauke GMA, shared with Chief Nyalugwe – the latter having a small, mountainous portion to the south, with little hunting potential. The GMA is a prime area, one of the best areas in Zambia because of its isolation. It also has the last surviving population of native black rhino left in Zambia.

In January, 2003, the area was allocated for a period of ten years to Mbeza Safaris, a company owned by Younis Mehta whose winning bid corresponded to the reserve price set for classicals ($5500), and only higher by $100 for mini hunts ($100). He immediately sub-leased to Messrs. Asherwood & Robinson

Luembe, i.e. West Petauke GMA, is categorized by ZAWA as a Prime Area, defined by ZAWA as an area having ‘abundant species and highly valued trophy species: lion, leopard, roan, sable’ (buffalo not mentioned), and because ZAWA believes the quota can accommodate more than five classical and seven mini hunts

The co-signator to the concession agreement was the Nyalugwe CRB, although the Luembe Community did not empower Nyalugwe to act on their behalf and therefore consider hunting to have been conducted illegally, a situation not helped by the fact that most of the hunting took place on the LCA land. However, in order for safari hunting not to be hindered, Luembe has accepted the situation for 2003 as they desperately require funds to pay village scouts, although making sure that by doing so they have not given up any of their legal rights in the matter. The CRB Secretary is presently attempting to recover funds due to it.

In addition to the payment of concession fees, Mbedza made certain pledges, which are listed in the table below:

2.8.4.1 Mbedza pledges report for West Petauke GMA

PLEDGES	LUEMBE CRB REPORT 30 OCT. 2003
Provide its grader to grade community roads using company’s own resources	No grading has taken place
Provide solar panels to local Chief’s palace	No panels given
Sink boreholes fitted with hand pump to provide clean drinking water to the local community	No boreholes sunk
Provide a hammer-mill	No hammer-mill provided
Supply Salaula for distribution to the vulnerable of the community	No salaula provided – though we would rather have material to support local tailors
Sponsor some members of the local community for training at Nyamaluma’s village scouts….	No people have been sent for training

2.8.4.2 Gross income ($) for five classical hunts³

Based on the 8 buffalo, 4 lion and leopard the following would apply

H/Ph	DAILY	21 DAYS	4 HUNTS	1 HUNT	TOTAL
1 x 1	1 119	23 375	93 500		93 500
2 x 1	1 680			37 590	37 590
					131 090

* 2 x 1 less 20%

These hunts account for the entire quota and do not take into account agents’ commission

The 7 minis would be serviced by quota obtained from the CRB – who will take control of resident hunting etc, plus additional quota requested. Under present quotas it is not possible to carry out the safaris required by ZAWA.

2.8.4.3 Mini rates

Based on 7 buffalo plus other species in a mix

H/Ph	DAILY	7 DAYS	3 HUNTS	1 HUNT	TOTAL
1 x 1	1 071	7 497		7 497	7 497
2 x 1	1 820	12 740	38 220		38 220
					45 717

* 2 x 1 less 15%

Luembe Gross Maximum Income: $176 807 - commissions not included (see 3.4)

4. Other tourism

Given that the area is only five hours easy drive from Lusaka, that it lies one hours drive off the Great East Road linking Malawi and East Africa, that it can be linked with a direct route through to the Luangwa South National Park and its gathering of tourism establishments, the area presents further tourism development options, though these would only be considered should the two main options not be considered:

• Village-based tourism, in which villages are linked to form a walking circuit

• Adventure tourism, making use of the spectacular walking, cycling and canoeing – particularly the rapids down to the Luangwa bridge

• Education/project tourism tapping into the gap year A level and university market with organizations such as Greenforce being contracted so that valuable scientific contributions may be captured

• Overland facilities and the upkeep of the route through to Mfuwe/South Luangwa

• Lodge development

• Self catering camps, once traditional in Northern Rhodesia and early Zambia days

4. Mvuvye Forest

The Mvuvye Forest West forms the northern and eastern boundary of Luembe encompassing hill forest and Luangwa alluvial zone. This 65 000 ha area of great biodiversity interest holds out considerable promise for eco-tourism use and for selected timber utilization. The latter could prove to be extremely attractive for the value-added export of treated timber, and the establishment of an artisanal industry based on timber not required for export.

4. Mbizi ranch and Nyamadzi ranch

   1. Mbizi ranch

This ranch borders Nyalugwe to the south and was sold to Paul Maritz, (a senior Microsoft executive) by land speculators who had obtained it cheaply from the chief. A 1% shareholder and general manager of the ranch is Chris Wienand. The area is fenced (not electrified) and has an airstrip. Elephant are causing considerable damage to the fence. Maritz, a Zimbabwean, living in America is not an avid hunter but apparently has progressive ideas and might wish to become part of a vibrant conservancy. Once the basics of the conservancy are established he will be approached and sounded out.

2. Nyamadzi ranch

The ranch is 15 000 ha in extent, dividing West Mvuvye and Luembe Open to the north of Luembe HQ. The present owners have not complied with the conditions of their investment license and the Chief is taking steps to have their lease cancelled.

There are other numerous irregularities suggesting that the area will, in time, return to the chief.

8. Promotion and marketing

Promotion of Royal Luangwa or the bush camps scheme would have to be carried out by Gamefields in Europe and America. This could be augmented by placing the opportunity on the WildnetAfrica website.

8. Agriculture

An early effort to ensure that the Luembe people have food security is essential to any conservancy development scheme. In addition to this the area has great scope for the establishment of cash crop schemes

2. FINANCIAL PROJECTIONS

1. General Caretaker Operation

CAPITAL EXPENDITURE	YEAR ONE	YEAR TWO	YEAR THREE	YEAR FOUR
HQ LUSAKA
Pc + sw + printers	1500
Laptops	700
Photo copier		1 000
Mobile phones	200
HF radios	3 000	3 000
Furniture	1 000
Vehicle pick-up
Workshop equipment	2 000
Sub-total	8 400	4 000
FIELD HQ
Plant & equip.
landcruiser p/u	20 000	15 000	15 000
Saloon car	10 000
trailers	1 000	1 000
1 tractor/trailer		5000
1 disc harrow		700
1 grass cutter		700
1 HF radio	3 000	3000
mobile radios	15 000	15 000
Satellite phone	3 000
Computer etc		4500
Firearms & ammo	3 000
Bicycles	3 000
Plant assorted	2 500
1 truck 3 ton		15000
1 Truck 7 ton
Banana boat + engine	2 000
Canoes		1000
tools	1 000
spares	3000
Sub-total	71 500	69 900
Infrastructure
Conservancy HQ		15 000
Staff housing		3000
Royal Luangwa stand
Sub-total		18 000
Capital Total	79 900	91 000
RECURRENT EXPENDITURE
Lusaka office
Staff salaries
Office manager		1 200
Administrator	1 000	1 000
Operating exp.
Phone & fax	6 000	6 000
Office rent		6 000
House rents		6 000
Sub-total
Field
Staff salaries
Managing Director	36 000	36000
Support staff	10 000	10000
Conservancy scouts4
Operating expenses
Fuel & oils	12 000	12000
Rations & supplies	3 000	3000
Travel & subsistence	3 000	3000
Office consumables	1 000	1000
Uniforms	3 000
Satellite phone costs	3 000
Levies
Sub-total
Recurrent T	78 000	97 000
GRAND TOTAL	157 900	188 000

3.2 Royal Luangwa

CAPITAL EXPENDITURE	YEAR ONE	YEAR TWO	YEAR THREE	YEAR FOUR
HQ LUSAKA
Pc + sw + printers	1500
Laptops	700
Photo copier		1 000
Mobile phones	200		100
HF radios	3 000	3 000
Furniture	1 000
Vehicle pick-up		5 000
Workshop equipment	2 000
Godown rental		15 000
Sub-total	8 400	24 000	100
FIELD HQ
Plant & equip.
landcruiser p/u	20 000	15 000	15 000	15 000
trailers	1 000	1 000
tractor/trailer		5 000	5 000
disc harrow		700	700
grass cutter		700
HF radio	3 000	3 000		3 000
mobile radios	15 000		10 000
Satellite phone	3 000
Computer etc		4 500
Firearms & ammo	3 000	3 000
Bicycles	1 000	2 000
Plant assorted	2 500		2 000
1 truck 3 ton	15 000
1 Truck 7 ton
Banana boat + engine	2 000		2 000
Canoes	500	1 000
tools	1 000		1 000
spares	3000	1 000	1 000	1 000
Sub-total	70 000	36 900	43 100	19 000
Infrastructure
Conservancy HQ		15 000
Staff housing		3 000
Royal Luangwa		2 500 000
Property purchase		30 000
MBEZA SAFARIS
Purchase		250 000	25 000	25 000
Sub-total	78 400	2 798 000	25 000	25 000
RECURRENT EXPENDITURE
Lusaka office
Staff salaries
Office manager		1 200	1 200	1 200
Administrator	1 000	1 000	1 000	1 000
Operating exp.
Phone & fax	6 000	6 000	6 000	6 000
Office rent		6 000
House rents		6 000
Sub-total
Field
Staff salaries
Conservancy
Managing Director	36 000	36 000	36 000	36 000
Support staff	10 000	10 000	10 000	10 000
Conservancy scouts5		42 000	42 000	42 000
Royal Luangwa
General Manager		15 000	15 000	15 000
Staff		20 000	20 000	20 000
Operating expenses
Fuel & oils	12 000	12 000	20 000	20 000
Rations & supplies	3 000	3 000	3 000	3 000
Travel & subsistence	3 000	3 000	3 000	3 000
Office consumables	1 000	1 000	1 000	1 000
Uniforms	3 000	1 000	1 000	1 000
Satellite phone costs	3 000	1 000	1 000	1 000
Sub-total	78 000	164 200	160 200	160 200
TOTAL COSTS	156 400	3 023 100	218 400	204 200
INCOME
Membership		4 000 000	4 000 000	4 000 000
Levy Royal Luangwa			150 000	150 000
Trust Income?
Cash Flow

2. Traditional Luangwa Bush Camps

CAPITAL EXPENDITURE	YEAR ONE	YEAR TWO	YEAR THREE	YEAR FOUR
HQ LUSAKA
Pc + sw + printers	1500
Laptops	700
Photo copier		1 000
Mobile phones	200		100
HF radios	3 000	3 000
Furniture	1 000
Vehicle pick-up		5 000
Workshop equipment	2 000
Godown rental		15 000
Sub-total
FIELD HQ
Plant & equip.
landcruiser p/u	20 000	15 000	15 000	15 000
trailers	1 000	1 000
tractor/trailer		5 000	5 000
disc harrow		700	700
grass cutter		700
HF radio	3 000	3 000		3 000
mobile radios	15 000		10 000
Satellite phone	3 000
Computer etc		4 500
Firearms & ammo	3 000	3 000
Bicycles	1 000	2 000
Plant assorted	2 500		2 000
1 truck 3 ton	15 000
1 Truck 7 ton
Banana boat + engine	2 000		2 000
Canoes	500	1 000
tools	1 000		1 000
spares	3000	1 000	1 000	1 000
Sub-total
Infrastructure
Conservancy HQ		15 000
Staff housing		3 000
Bush camp construction
MBEZA SAFARIS
Purchase		250 000	25 000	25 000
Sub-total	76 000	340 700	41 000	44 000
RECURRENT EXPENDITURE
Lusaka office
Staff salaries
Office manager		1 200	1 200	1 200
Administrator	1 000	1 000	1 000	1 000
Operating exp.
Phone & fax	6 000	6 000	6 000	6 000
Office rent		6 000
House rents		6 000
Sub-total
Field
Staff salaries
Conservancy
Managing Director	36 000	36 000	36 000	36 000
Support staff	10 000	10 000	10 000	10 000
Conservancy scouts6		42 000	42 000	42 000
General Manager		15 000	15 000	15 000
Staff		20 000	20 000	20 000
Operating expenses
Fuel & oils	12 000	12000	20 000	20 000
Rations & supplies	3 000	3000	3 000	3 000
Travel & subsistence	3 000	3000	3 000	3 000
Office consumables	1 000	1 000	1 000	1 000
Uniforms	3 000	1 000	1 000	1 000
Satellite phone costs	3 000	1 000	1 000	1 000
Sub-total
TOTAL COSTS	78 000	108 000	116 000	160 200
INCOME
Camp sites (200)7	(50) 1 000 000	(75) 1 500 000	(75) 1 500 000
Full bush camps(100)8	(10) 400 000	(15) 600 000	(20) 800 000	(55) 2 200 000
Levies monthly 9	(60) 180 000	(150) 450 000	(245) 735 000	(300) 900 000
	1 580 000	2 550 000	3 035 000	3 100 000
Cash Flow

4. Luembe Hunting Safaris (stand-alone operation)¹⁰

CAPITAL EXPENDITURE	YEAR ONE	YEAR TWO	YEAR THREE	YEAR FOUR	YEAR FIVE
HQ LUSAKA
Pc + sw + printer	1500
Fridges & Freezers	1000			500
Mobile phone	200
1 HF radio	3000
Furniture & camp equipment	1000			1000
Sub-total	6700
FIELD OPERATIONS
Plant & equip.
2 Landcruiser p/u	25 000			15000
1 trailer	1000
1 HF radio	3000
Satellite phone	3000
Firearms & ammo	3000
Bicycles & uniforms	3000			500
Plant assorted	2500			500
Banana boat + engine	3000
tools	500			500
Catering	500
Generator	1000			1000
Tents	1000
spares	500			500
Sub-total	55000
Total	61700			19500
RECURRENT EXPENDITURE
LUSAKA OFFICE
Staff salaries
Office manager	1500
Operating exp.	250
Office Rent part	1500
Sub-total	3250
Safari operations (100 day season)
Camp building	2000
Road construction	2000
Staff
Camp crew	1600
Village scouts	3600
Rations	600
Camp operations
Food	1500
Ph @ $200	20000
Fuel & oils	10000
Vehicle repairs	3000
Rations & supplies	3000
Travel & subsistence	3000
Satellite phone costs	500
Brochures & publicity	500
Sub-total	54000
GRAND TOTAL	118200
Gross income (less 15% comm.)	150000	150000	150000	150000	150000
Capital costs	61700	5000	10000	24500	10000
Recurrent costs	56500	60000	65000	70000	75000
Total costs	118 200	65000	75000	94500	85000
Pledges	10000	10000	10000	10000	10000
TOTAL COST	128200	75000	85000	104000	95000
CASH FLOW BALANCE	+21 800	96 800	161 800	207 800	262 800
Less 40% tax	13 080	136 848	121 088	100 252	93 151

This is based on the assumption that:

1. That the additional quota for minis required will be forthcoming

2. That clients will bear a cost of the following:

Classical 21 day hunt($5500 per hunt per person)

1 x 1 $28 875

2 x 1 $45 280 ($22 640 each)

Mini 7 day hunt

1 x 1 $ 8597 ($1100 per person)

2 x 1 $14 940 ($7470)

That $10 000 a year will satisfy the pledges

3. That 40% tax is applicable

3.5 Mvuvye Forest (stand-alone operation) ¹¹

CAPITAL EXPENDITURE	YEAR ONE	YEAR TWO	YEAR THREE	YEAR FOUR
HQ LUSAKA
Pc + sw + printers	1500
Laptops	700
Photo copier		1 000
Mobile phones	200
HF radios	3 000	3 000
Furniture	1 000
Vehicle pick-up
Workshop equipment	2 000
Sub-total	8 400	4 000
FIELD HQ
Plant & equip.
landcruiser p/u	20 000	15 000	15 000
Saloon car	10 000
trailers	1 000	1 000
1 tractor/trailer		5000
1 disc harrow		700
1 grass cutter		700
1 HF radio	3 000	3000
mobile radios	15 000	15 000
Satellite phone	3 000
Computer etc		4500
Firearms & ammo	3 000
Bicycles	3 000
Plant assorted	2 500
1 truck 3 ton		15000
1 Truck 7 ton
Banana boat + engine	2 000
Canoes		1000
tools	1 000
spares	3000
Sub-total	71 500	69 900
Infrastructure
Mvuvye HQ		15 000
Staff housing		3000
Sub-total		18 000
Capital Total	79 900	91 000
RECURRENT EXPENDITURE
Lusaka office
Staff salaries
Office manager		1 200
Administrator	1 000	1 000
Operating exp.
Phone & fax	6 000	6 000
Office rent		6 000
House rents		6 000
Sub-total
Field
Staff salaries
Managing Director	36 000	36000
Support staff	10 000	10000
Conservancy scouts12
Operating expenses
Fuel & oils	12 000	12000
Rations & supplies	3 000	3000
Travel & subsistence	3 000	3000
Office consumables	1 000	1000
Uniforms	3 000
Satellite phone costs	3 000
Levies
Sub-total
Recurrent Total	78 000	97 000
GRAND TOTAL	157 900	188 000
INCOME13
Camp sites	(25) 500 000	(25) 500 000
Full bush camps14	(10) 200 000	(20) 200 000
Levies monthly	(35) 105 000	(70) 210 000
TOTAL	805 000	910 000
Balance

Appendix 1: Luembe Sketch Map