Introduction to Do Agric campaign and Year of Agriculture
In 2003, Africa Union member states in Maputo, Mozambique pledged to increase the levels of investments in agriculture by 10% of their national budgets to drive agriculture growth, cut poverty and improve food security.
ONE launched the “Do Agric” campaign to support the 2014 AU Year of Agriculture, calling for an agricultural revolution in Africa to help lift more than 85 million Africans out of poverty, create jobs for youth and women, and recommit to the 2003 Maputo Declaration.
Do Agric will push African leaders to commit to policy reforms (discussed in the Open Letter), increase public investments in agriculture, and make sure donor and private sector support is aligned to country-led goals and strategies.
Over 2 million African citizens have signed the Do Agric petition and ONE has physically delivered the petition to leaders from Benin, Burkina Faso, Mali, Niger, Nigeria, Senegal, South Africa, Tanzania, and Zambia.
Now it’s time for leaders to respond to the voices of their citizens. They have a golden opportunity to recommit to agriculture, poverty reduction, and job creation at the AU Summit next week in Malabo.
Minister of Agriculture remarks.
Youth unemployment
It is estimated that more than 50% of young South Africans between 15 and 24 are unemployed. South Africa has the third highest unemployment rate in the world for people between the ages of 15 to 24.
While in many emerging markets there are jobs and the potential for more jobs to be created, many youth people do not have the skills to meet that demand.
Therefore, countries such as South Africa should invest more in agriculture to create those jobs and education and training so that youth can take advantage of them.
My goal, in the next five years, is to work on establishing and strengthening SETAs for, specifically, agriculture, with the aim of attracting young people like yourselves, into the sector.
Last week I had the priviledge of being invited to an event in Cape Town where young people like yourselves were listening to industry experts on our important sector. The future of agriculture indeed looks bright.
Employment in agriculture
Farming remains vitally important to the economy with 638,000 people formally employed – although it’s estimated that around 8.5 million people are directly or indirectly dependent on agriculture for their employment and income (about 5% of South Africans are employed in agriculture).
The sector's significance is largely because of its potential to create jobs, and is a key focus of the New Development Plan, a plan by the government to create 1 million new jobs by 2030. Over R7 billion will be spent on conditional grants to provinces to support about 435,000 subsistence and 54,500 smallholder farmers and to improve extension services.
Importance of agro-processing
World-class infrastructure, counter-seasonality to Europe, vast biodiversity and marine resources, and competitive input costs make South Africa a major player on the world's markets.
I had a very very good meeting with the Minister of Trade and Industry last week on, among other things, agro-processing and the potential it has to help us create much needed jobs in our country. I can’t say too much right now. But I want to assure you that we are working around the clock to fine tune details that will speak to you.
Agroprocessing contributed R280 million to the GDP in 2011, which is 20% of the total amount generated by the manufacturing sector. It is the third largest contributor to GDP within the sector, after chemicals and metals.
South Africa’s role
In the 2014/15 budget, South Africa allocated R6.69 billion on agriculture, but this less than 1% of the total budget, coming up very short to the Maputo Declaration of 10%.
Between 2003-2010, this figure was 2.1% on average.
Clearly, South Africa needs to reprioritise public spending towards agricultural development to create jobs and reduce poverty, especially in rural areas.
