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  "documentTitle": "Olam International Ltd. (SGX:O32)",
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  "authorName": "Carson Block",
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  "presentationDate": "2012-11-27 00:00:00",
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  "notes": "The slide uses expert consultation and industry yield data to cast doubt on the company's financial projections (IRR).",
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      "text": "We believe it is extremely unlikely Olam can achieve the targeted production levels, especially across the full 6,000 Ha.",
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      "kind": "image",
      "text": "A photograph from Olam's Nasarawa rice farm, taken in October 2012",
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      "text": "Olam claims that this farm will be able to produce 10 MT/ha of rice per year via two crops of five tons each. We consulted two Africa-based agriculture experts, including one who specializes in rice, to learn whether this target is realistic.",
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      "text": "We believe it is extremely unlikely Olam can achieve the targeted production levels, especially across the full 6,000 Ha. If the announced IRR of 28% is indeed based on the 10 MT/Ha yield, then we believe this project will fail to achieve its objectives.",
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      "text": "It is theoretically possible to have two crops per year in Nigeria, each of five MT/ha. However, this apparently requires near flawless planning, execution, and very cooperative weather conditions. Olam and other companies have engaged in testing new agricultural techniques in Nigeria, but with mixed results.",
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      "text": "We learned that in the developing world, annual rice yields are generally two to four MT/ha. In the developed world, the best annual yields are generally seven to eight MT/ha. These figures are both based on one crop cycle per year.",
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      "kind": "source-note",
      "text": "140 Olam December 2011 press release. 141 Developing the rice industry in Africa, Nigeria assessment, July 2012, Bill & Melinda Gates Foundation. 142 Olam, Press Release, December 1, 2011",
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      "kind": "title",
      "text": "Is Olam Massively Overpromising?",
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