Thank you programme director
Honourable Premier
Colleagues and Members of the Executive Council
Ministers from other parts of our beautiful continent Africa
Dignitaries from all over the world
Our strategic partners in development
Members of the diplomatic corps
Amakhosi, mayors and municipal office bearers
Farmers and farmer representatives
Senior government officials
Members of the media
All protocols observed
Ladies and gentlemen
It is indeed my pleasure to stand before you and to share our dreams and our vision in as far as agriculture is concerned in our province. Our communities throughout the province are aware of this important gathering and are looking forward to the tangible outcomes, which will undoubtedly change their lives for the better.
I also welcome the timing of this summit as we are already out there on the land as the rainy season has just started. Looking at the objectives of the summit and our agricultural aspirations, I cannot wait for the outcomes. In anticipation, I commit that we do not seek any handouts for our communities but genuine partnerships through which natural resources can be deployed to ensure self-sustainability of our people, particularly rural communities.
The summit will provide critical insights and serve as a platform for the business partners, investors and farming communities to advance agriculture investment. Issues of finance, markets, infrastructure, trade, corridor development and produce handling will be discussed as they are critical for the success of any agribusiness initiative.
Most of KwaZulu-Natal is rural, and agriculture is the cornerstone for rural development. It is therefore without doubt that opportunities for agricultural investments are unlimited. Our natural resources particularly in communal areas can still be further developed to their optimum, benefiting both our communities and investors alike. There is still an opportunity for high potential agricultural land to be fully utilised throughout the province. Clean rivers and potential dam sites exist in every corner of KwaZulu-Natal. Bio-diversity and attractive vegetation complete this natural picture of “opportunities galore” in the province.
South Africa also boasts internationally acclaimed progressive policies, which seek to enable investors to engage in a fair, equitable global trade across all sectors of the economy. Recently, the Honourable Finance Minister, Mr Hordhan emphasised that although South Africa is well into a modest economic recovery after the recession, the country must still work better in order to create an environment that is favourable to investment, the ultimate goal being inclusive, sustainable, economic growth. The cost of doing business in South Africa compares favourably to those in other emerging world markets. With the Green Economy and Environmental Markets occupying their rightful place in the mainstream world economy, KwaZulu-Natal is poised to participate and to benefit its people and our partners in development.
The time has come for us to focus more on the African continent in terms of trade, technology exchange, skills development and investment. In doing so, we have to share our best practices, resources and knowledge, which will lead into identification of new markets and new opportunities.
The agricultural development strategy for the province informs any engagements with partners both as we negotiate and administer our agreements with our trading partners. The strategy makes emphasis on optimum natural resource development, namely land, water, livestock and biodiversity. Investment opportunities come in the form of infrastructure development, skills development, input supplies, partnerships, value-adding, marketing, post-harvest handling and a wide range of other services.
Agriculture is a business, and as such it creates opportunities for investors and communities alike. While water, infrastructure and energy can be limiting elsewhere on the continent, KwaZulu-Natal is not only endowed with water and degree-days but has also done enough to develop infrastructure that serves as catalyst for more investments. Our rivers across the province, our good sub-tropical climate, our indigenous Nguni cattle and our Hutton soils have to be optimally deployed to meaningfully contribute to our Gross Domestic Product (GDP). Although climate change remains a threat to our farmers, environment and agricultural productivity, research shows that the province is likely to receive high intense rains at shorter periods, which will necessitate even better storage facilities, thus creating opportunities for infrastructure investment.
Much as the agricultural sector has challenges with finance capital, markets, inputs and services, these challenges open a number of possibilities to the entrepreneur and to government, hence this summit today.
We cannot over-emphasise the importance of agri-business to the economy. Agriculture contributes approximately R124 billion to South Africa’s Gross Domestic Product (GDP), and employs 451 000 people in the formal sector. Currently, agriculture contributes approximately 4.5 percent of KwaZulu-Natal (KZN) GDP, and has a potential to do even better.
Elsewhere in this province you can produce summer crops throughout the year. This provides an entrepreneur with the opportunity to reach the market when commodity prices are at the peak. The same can be said about deciduous fruits as we have high altitude, valleys, mountain range and river basins that are suitable for such commodities. Our countryside and grazing areas have the highest carrying capacities that compare with the best in the world. The African Sky also decided to concentrate its solar energy in most parts of this province; hence our heat units will guarantee the investor the best quality produce that is suitable for the export market. It is on the basis of these opportunities that I invite you to invest in our agricultural sector unconditionally.
I am sure that you will hear more about the Dube Tradeport, one of our major facilities that will facilitate export of our fresh produce to other parts of the continent and the rest of the world.
Through agri-business, KwaZulu-Natal seeks to make rural development a practical reality and through this summit we aim to bring about tangible outcomes that will change the economic outlook of this province for the better. We are indeed heartened that such eminent investors and partners have graced this summit. We are convinced that you will not regret your decision to invest in our country and specifically our province. During the State President’s recent visit to China, one of the businessmen, Anderson Lee, said “Chinese people make a fortune in South Africa, and we appreciate the support and friendship of the local people.”
I take this opportunity to wish you all the success in your deliberations, and I look forward to a fruitful two days.
I thank you
