Improving agricultural production and revitalising infrastructure
Role of agriculture
Entities
The mandate of the Department of Agriculture, Land Reform and Rural Development (DALRRD) includes developing agricultural value chains, providing agricultural inputs, and monitoring production and consumption in the agriculture sector, as well as facilitating comprehensive rural development. The department executes its mandate by implementing, managing and overseeing key legislation, including the:
- Conservation of Agricultural Resources Act of 1983, which makes provision for control over the use of the country's natural agricultural resources to conserve soil, water sources and vegetation;
- Agricultural Product Standards Act of 1990, which provides for control over the sale and export of certain agricultural products, and the sale of some imported agricultural products;
- Provision of Land and Assistance Act of 1993, which makes provision for the designation of certain land, the regulation of the subdivision of such land, and the settlement of people on it. It also provides for the acquisition, maintenance, planning, development, improvement and disposal of property, and the provision of financial assistance for land reform;
- Restitution of Land Rights Act of 1994, which makes provision for the restitution of rights to land to people or communities dispossessed of such rights after 19 June 1913 because of racially discriminatory laws or practices of the past. To administer this task, the Act established a Commission on the Restitution of Land Rights and a Land Claims Court;
- Spatial Planning and Land Use Management Act (SPLUMA) of 2013, which seeks to enable the transformation of South Africa's settlement patterns by adopting a new approach to spatial planning and the management of land use.
Over the medium term, the department aimed to continue focusing on improving agricultural production and revitalising infrastructure, accelerating and reform and finalising land restitution claims, and increasing research and development capacity to improve agricultural outputs.
The department continues to administer the SPLUMA of 2013 to ensure a cohesive and effective approach to spatial development in South Africa. The Act is one of the key pieces of legislation at the centre of driving transformation at all levels.
Improving agricultural production and revitalising infrastructure
The department will continue to work on implementing the agro-processing master plan over the medium-term period. The plan has received buy-in from various constituents across the agricultural value chain, including the South African Grain Farmers Association, the Grain Farmer DevelopmentAssociation, the South African Sugar Association, the South African Pork Producers' Organisation, the South African Poultry Association, the National Emergent Red Meat Producers' Organisation, and the South African Mohair Growers' Association.
The operationalisation of the plan is expected to give rise to an investment-friendly environment for small, medium and micro enterprises, mainly those owned by black women, in agroprocessing value chains. In its efforts to improve rural employment, support industrialisation efforts by smallholder farmers and support economic development in rural areas, the department will continue to implement the agri-parks model, which includes creating farmer production support units, agri-hubs, irrigation schemes and other similar socioeconomic infrastructure.
In line with the master plan, the model seeks to create capacity in agro-processing and industrialisation value chains for broad-based job creation and market access opportunities. As part of the agri-parks model, the department plans to coordinate 212 infrastructure projects.
Accelerating land reform and finalising land restitution claims
Land reform programmes play a critical role in government's response to the triple challenges of inequality, poverty and unemployment. To support farmers and fast-track land reform, the department uses a blended finance model comprising grants and loans.
The department funds the grant component and prospective applicants are expected to source funding for the loan component.The department was expected to acquire I 02 025 ha of strategic land for redistribution.This forms part of the department's efforts to change land ownership patterns in the country through its Land Acquisition Strategy.The department also planned to settle I 234 land claims.
By mid-2024, the Restitution Programme had since 1998 settled a total 83 205 land claims, including land restoration and financial compensation. These are made up of 2.3 million individual beneficiaries who are members of 465 005 households. Of those, 179 478 are female-headed households and I 270 are households headed by persons with disabilities.
Increasing research and development capacity to improve agricultural outputs
Over the period ahead, the department plans to enhance capacity in research and development to improve market access and the safety and quality of agricultural products. This entails streamlining the policy and legislative framework to improve sanitary and phytosanitary activities related to biosecurity and associated animal diseases, plants pests and disease surveillance. These activities are, in turn, expected to improve market access through export certification and thereby foster agricultural economic growth.
Role of agriculture
Agriculture plays an important role in the process of economic development and can contribute significantly to household food security. South Africa's rich agricultural heritage has long been an integral component of the nation's economy and cultural fabric.About 9% of agricultural output is produced by previously disadvantaged farmers, implying the sector is growing and gradually improving on inclusivity.
The growth in agriculture could be attributed to the enhancement of its competitiveness, made possible by clear policies, regulatory environment and financing instruments such as the statutory measures and agricultural trusts that have financed the collection of industry data, market development, transformation, and research and development as well as innovations.
The National Development Plan (NDP): Vision 2030 recognises the need to integrate rural areas in agricultural development by mainly expanding irrigated areas and promoting dry-land farming where feasible. The NDP further envisions the conversion of underutilised land in communal areas and land reform projects into commercial production.
Agri-Industrial Fund
The Industrial Development Corporation in partnership with the DALRRD have established the Agri-lndustrial Fund to support to a wide range of economically viable activities in agro processing (food and non-food) sectors. The aim is to develop a competitive industry in the food, beverage, fibre, forestry, and agro-derivative industries; that utilises and develops local and regional resources to supply domestic demand and increase participation in international trade.
Agro-Energy Fund (AEF)
The AEF is a blended finance programme established by the Land Back in partnership with the DALRRD to provide funding support for the acquisition of alternative energy assets to alleviate the impact of loadshedding on farming operations and the agricultural sector.The AEF will focus on financing energy intensive agricultural activities which include irrigation, intensive agricultural production systems and on farm cold chain related activities.
Entities
Agricultural Land Holding Account (ALHA)
The ALHA was established in 2009 in terms of the Provision of Land and Assistance Act of 1993. The Act authorises the Minister of Agriculture, Land Reform and Rural Development to purchase land to enable the department to accelerate land redistribution, acquire land in nodal areas and other areas of high agricultural potential, improve the identification and selection of beneficiaries, improve the planning of land on which people could be settled, and ensure the most productive use of acquired land.
Over the medium term, the entity aimed to focus on promoting equitable land redistribution and agricultural development by acquiring a targeted I 02 025 hectares for redistribution, of which 50% is set to be allocated to women, 40% to youth and I 0% to people with disabilities. The entity also aimed to prioritise the land development support programme, which focuses on redistributed farms that have received limited or no agriculture support but have growth potential.
Agricultural Research Council (ARC)
The ARC was established by the Agricultural Research Act of 1990 and is the main agricultural research institution in South Africa. The entity's primary mandate in terms of the act is to conduct research and development and effect the transfer of technology to promote agriculture and industry, contribute to a better quality of life, and facilitate and ensure the conservation of natural resources.
Over the medium term, the council aimed to focus on: generating knowledge and technologies that enhance efficiencies of crop production, animal production and health, the management of natural resources, and research and development; developing a Foot and Mouth Disease facility at Onderstepoort to reduce reliance on imports; maintaining national assets such as irrigation and mechanisation laboratories; and providing diagnostic and analytical services on behalf of the department and industry stakeholders.
KwaZulu-Natal lngonyama Trust Board
The KwaZulu-Natal lngonyama Trust Act of 1994 makes provision for 2.8 million hectares of land across KwaZulu-Natal to be held in trust and managed on behalf of communities. The trust is administered for the benefit, material welfare and social wellbeing of the members of the tribe, communities and residents. The affairs of the trust are administered by the KwaZulu-Natal lngonyama Trust Board, which was established in terms of the Act.
Over the medium term, the board aimed to focus on systematically aligning its organisational processes with the resources it has available.This initiative is pivotal for the new board, as it underpins its ongoing commitment to enhancing the administration of its land and fostering integrated socioeconomic development.
National Agricultural Marketing Council (NAMC)
The NAMC derives its mandate from the Marketing of Agricultural Products Act of 1996, which provides for the authorisation, establishment and enforcement of regulatory measures to intervene in the marketing of agricultural products, including the introduction of statutory measures on agricultural products. Over the period ahead, the council aimed to continue playing an active role in coordinating the work of industry trusts, conducting research aimed at advising the Minister and directly affected groups on marketing matters and working directly
with farmers to address their marketing needs. As the council primarily conducts research and development, it relies on highly skilled personnel such as agricultural economists. scientists and researchers to fulfil its mandate.
Office of the Valuer-General (OVG)
The OVG continually aims to be a leader in the property valuations sector and be recognised as a centre of excellence and innovation for property valuations, with a primary focus on land reform. To do this, the office seeks to build a strong corporate identity to increase visibility and improve stakeholder engagement. Over the medium term, the office planned to help speed up land reform by providing independent and credible property valuation services to ensure that land claim values are settled with greater efficiency and decisiveness.
Onderstepoort Biological Products (OBP)
OBP was established as a public entity in terms of the OBP Incorporation Act of 1999, with the government as its sole shareholder. Its mandate is to prevent and control animal diseases that affect food security, human health and livelihoods by developing, manufacturing and commercialising animal vaccines and ensuring food security through the promotion of animal health.These activities will comprise the entity's primary focus over the period ahead. It will also maintain a reserve stock of vaccines to be used in the event of an outbreak of animal diseases.
Perishable Products Export Control Board (PPECB)
The PPECB is an independent service provider of quality assurance, food safety and cold chain management services for producers and exporters of perishable food products, as mandated by the Perishable Products Export Control Act of 1983.The board also derives its mandate from the Agricultural Products Standards Act of 1990, which broadly requires it to monitor the minimum quality standards of perishable exports as required by government and bilateral agreements with importing countries.
The board aimed to improve client experience over the medium term through the seamless integration of its systems with those of its clients. This was expected to ensure the provision of relevant and timeous export and shipping information and market trends to enhance the competitiveness of the industry.
Registration of Deeds Trading Account
The Deeds Registries Act of 1937 provides for the administration of the land registration system and the registration of rights in land. It requires that deeds and documents are prepared and lodged in the deeds registry by a conveyancer or public notary and scrutinised for accuracy and compliance with common law, case law and statutory law.
The main goal of the trading account is to contribute to effective land planning, administration and property registration. The entity planned to develop and implement an electronic deeds registration system over the medium-term period, driven by the Electronic Deeds Registration Systems Act of 2019.
This is expected to result in a more secure, accessible, integrated, innovative, scalable, cost effective and self-sustainable deeds registration system that enables and provides accurate and reliable land administration and information.
The system is also expected to have the capacity to register and record insecure land tenure rights. Its development and implementation is expected to lead to enhanced confidence in the country's land registration process.
Source: Official Guide to South Africa
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