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VKB AGRICULTURAL DEVELOPMENT INITIATIVES
14 NOVEMBER 2019
POST SETTLEMENT SUPPORT • Mainstream Development & Finance Program: 128 • Developing Farmer Database: 1312• Finance (limited collateral): R40 M • Agriseta Accredited Training est. 2008: 236
• Enterprise Development Model• Full Package of Support:
- Training, Mentorship, Technical & Economic Advice- Input Procurement- Market Access- Mechanisation- Finance & Insurance
NEW DIRECTIONR
M
P
Publieke private vennootskappeSTAKEHOLDERS IN DEVELOPMENT
Studygroup
Mentorship &
Training
Financial management
Mentorship & CoachingAgri-Seta (NQF2)
Limpopo: Intensive crops, small scale, traditional tenure
Free State: Commercial Grain Crops RP Tsotetsi: 5.95 t/ha
TJ Nkisi: 7.9 t/ha
KB Lesia: 5.8 t/ha
L Makoele 6.5 t/ha
MA Letuka 5.1 t/ha
Mr. D. Maqala: Developing Dry Bean Farmer of the Year 2019 (DPO)
Mr. Malakia Modikwa
Overall Winner Limpopo Young Farmer of 2019
Reality of many developing farmers:Not competitive in view of global trends & economic realities
Structural restrictions:
• Knowledge & skills
• Capital
• Lack of financial feasibility
• Collateral
• Access to markets
• Mechanisation & equipment
• Infrastructure
• Poor soil status
• Contours & waterways (water management)
• Economy of scale (commercial)
INTRODUCED ASPARAGUS AS HIGH VALUED CROP TO INCREASE ECONOMIES OF SCALE
EXPANDED LAND THROUGH LONG TERM LEASE AGREEMENTS (9 farmers, 135ha)
ESTABLISHED ASPARAGUS LONG TERM CROP (135ha)
RESTRICTIONS TO ENTER:
➢ No producer organisation (information)
➢ Seed import to grow crowns/seedlings
➢ Capital intensive (R65000/ha)
➢ Market access – retail chain stores
➢ Distribution & continuity
➢ Cold chain maintenance
-80000
-60000
-40000
-20000
0
20000
40000
60000
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026
Ran
d
Year
Tswelopele Asparagus Co-op
Rosendal Job Creation Co-op
Exports:- UK- Europa- Mideast
- Finance- Project management- Technical Services- Economic Services- Mentorship & training- Global GAP
- Market access - Distribution- Technical advice- Training
Local
- Management- Production- Basic infrastructure- Job creation
Public Institution Commercial FarmerAgribusiness RetailNew Era Farmers
- Grant funding- Monitering
PUBLIC PRIVATE PARTNERSHIP (PPP)
LAND REFORM
o Land transfer via restitution & redistribution (Government)
o Land transfer via private transactions & partnership formation
o Post Settlement Support & Development
o Integration into institutions, markets, value chains
o Social harmony:
o Trust
o Relationships
o Cohesive farming community
LAND REFORM INFLUENCEABLE BY COMMERCIAL FARMERS
o Land transfer via restitution & redistribution (Government)
o Land transfer via private transactions & partnership formation
o Post Settlement Support & Development
o Integration into institutions, markets, value chains
o Social harmony:
o Trust
o Relationships
o Cohesive farming community
TWO WAY APPROACH TOWARDS GREATER INVOLVEMENT OF COMMERCIAL AGRICULTURE
o REGIONAL CENTRE FOR LAND REFORM & DEVELOPMENT:
o Witzenberg PALS Model
o Special Purpose Vehicle directed by farmers
o Promote regional development & partnership formation
o Link to ADA & other incentive schemes (enablers)
o LOCAL DISTRICT COOPERATION INITIATIVES:
o Improve cooperation & social cohesion at district level
o Local district body (discussion forum & committee) 5
1
6
3
2
4
Regional Centre
❖ Trust
❖ Cooperation
❖ Togetherness
Aldrin LawrenceJapie van der Goot
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