Villagers whose farms in Vietnam will be bulldozed to make way for a $1.5bn golf resort backed by the Trump family have reportedly been offered rice provisions and cash compensation of as little as $12 for a square metre of land by state authorities.
Thousands of villagers will be offered compensation based on land size and location, according to a report by Reuters. The agency spoke to elderly farmers who said they feared they would struggle to find a stable livelihood.
The sprawling golf resort, the first project by the Trump Organization in Vietnam, broke ground as the country scrambled to reach a crucial trade deal with the US.
Vietnam, which is heavily dependent on exports, was facing the threat of a 46% tariff in April, which has since been reduced to 20% for many goods.
Vietnam’s prime minister said the project played an important role in deepening the country’s relationship with the US and that villagers would be reimbursed. Pham Minh Chinh added that he hoped the development would create jobs and improve livelihoods.
The project will include a 54-hole VIP golf course, luxury resorts, high-end villas and a modern urban complex, according to state media. Reactions among local people have been mixed, with many farmers suggesting the compensation rates are too low.
The New York Times reported in May that the development had been approved unusually fast and was allowed to break ground even though at least half a dozen legally required steps, including environmental reviews, had not been conducted.
The White House has denied suggestions of a conflict of interest, saying the business deals of the Trump Organization are entirely separate from trade negotiations and that Donald Trump’s assets are in a trust managed by his children.
However, disclosures in June showed income from those sources ultimately accrues to the president.
The golf course development in Hung Yen province, south of Hanoi, is a joint venture between the Trump Organization and the Vietnamese real estate company Kinh Bac City.
Trump’s family business is not involved in granting compensation to farmers, according to Reuters.
Five farmers facing a loss of land told Reuters they had been informed reimbursements would be offered of between $12 and $30 for every square metre of farmland, with additional payments for uprooted plants and rice supplies offered for several months.
A local official told the news agency that rates for farmland in the area had usually not exceeded $14 a square metre.
All land is managed by the state in Vietnam, a communist country, with farmers given small plots for long-term use, which can be taken back by the authorities.
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