IMPACT ASSESSMENT OF
LAND REFORM IN South Africa
REPUBLIC OF
SOUTH AFRICA
Presented by:
Mr Thozi Gwanya: Acting Director General,
Department of Land Affairs, South Africa
World Bank Conference
14 – 15 February 2008
Washington DC, USA
Greetings
 Klaus Deininger together with other WB Colleagues who
put this conference together
 Various Participants coming from different parts of the
world.
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
 Programme Director,
Introduction
— Industrial Competitiveness & Job Creation Project
— Municipal Financial Management Technical Assistance
Project
— SA – Lesotho Highlands Water Project
— Institutional Development Fund and Information for
Development Program
— Global Environmental Facility
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
 Let me express my heart felt appreciation for WB
inviting me to participate at this conference.
 South Africa has a long association with the WB, dating
even before the advent of our democracy in 1994.
 Between 1951 & 1966 the WB funded the expansion of
the rail & harbour systems in SA.
 WB resumed activities in SA in 1991, with economic
policy advice & capacity building. Some of the WB
supported projects include the ff;
Introduction cont….
— Supporting national growth and development programme
— knowledge and technical support for the regional
development agenda.
— Key projects are currently municipal development and land
reform.
 The WB made an input in the development of our
current land policy. WB continues to interact with us as
we implement and review our policy. We agree on some
of the issues but we also strongly disagree on some.
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
 Since 1999 SA an WB have agreed on a country
Assistance Strategy (CAS) focusing on Knowledge
Sharing, rather than Lending. The review of CAS has
led to the Country Partnership Strategy (CPS) whose
objective is :
Introduction cont…
 The new democratic government responded proactively to the cry
of the 6 million victims of racial land dispossession by coming
up with the South African Land Policy which has three land reform
programmes, namely, Restitution, Redistribution and Land
Tenure Reform.
 The new Constitution; among others, recognised that; “ public
interest includes the nation’s commitment to land reform, and
to reforms to bring about equitable access to all South Africa’s
natural resources
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
 In 1994, the Government of South Africa inherited one of the worst
racially skewed land distributions in the world: whites owned 87
percent and blacks 13 percent of agricultural land, this despite the
fact that Blacks constitute about 80% of the population.
APARTHEID LEGACY:LAND DISPOSSESSION
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
The Land Act of 1913
 Foundation for racial segregation of land
ownership
 Erosion of rights to land for blacks, evictions
South African Native Trust and Land Act of
1936
 De-scheduling of land reserved
 Implementation of segregationist thinking
 SADT created to purchase and administer
farm land
 Expropriate blacks living outside reserves,
basis for the creation of “bantustans” /
homelands, Xhosa, Zulu, Venda, Tswana etc
Bantu Authorities Act of 1951
 Apartheid Govt created new illegitimate
leaders for tribal authorities
 Co option and manipulation of tradition &
culture.
 Betterment: villagisation & apartheid control
to headmen
RURAL REMOVALS
REPUBLIC OF
SOUTH AFRICA
 “Black spot” removals for blacks who had title /
indigenous title/ beneficial occupation.
 “Whitening” of rural areas and fragmentation of
communities, thus farm land owned by “Whites
only”
 Expropriation & displacement of rural black
people in the name of development thru:
 Forestry Act
 Irrigation Acts
 Parks Board Acts
 Transkei Constitution and Development Act
 Proclamation 302 of 1928 (PTO to commonages)
 Proclamation 117 of 1931
 Proclamation 31 of 1939
 Proclamation 116 of 1949 (Betterment)
LAND & AGRICULTURE
 1960’s - 1980’s: era of legalised forced removals
URBAN REMOVALS
 Group Areas Act 36 of 1966
 Racial suburbs for whites
 Townships for Blacks,Coloureds and Indians
 “Qualified” and “disqualified persons”
 Magistrates ordered evictions (S46.2) and official
harassment
 Criminal prosecution of disqualified persons
(S26)
 Selling of unlawfully held properties
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
RACIALLY DISCRIMINATORY LAWS
 Black Administrative Act (38/1927 ,Native Trust and Land Act
(18/1936)
 Blacks (Urban Areas) Consolidated Act (25/1945)
 Blacks Resettlement Act (19/1954),
 Black Laws Amendment Act (42/1964)
 Community Development Act (31/1966)
 National States Constitutions Act (21/1977) ( TBVC Homelands)
 Borders of Particular States Extension Act (2/1980)
 Group Areas Act (36/1966), Racial Practices (Slums Act of 1959)
 Prevention of Illegal Squatting Act 52 of 1951
 Nature Conservation Legislation
LAND & AGRICULTURE
EXAMPLES:
REPUBLIC OF
SOUTH AFRICA
POLICY CONTEXT FOR LAND REFORM
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
STRATEGIC GOALS AND VISION OF LAND POLICY
● Deal with injustices of racially-based land
dispossession;
● inequitable distribution of land ownership;
need for security of tenure for all;
● need for sustainable use of land;
● need for rapid release use of land for development;
● need to record and register all rights in property; and
● administer public land in an effective manner
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
LAND REFORM PROGRAMMES
Redistribution aims to provide the disadvantaged and the poor with
access to land for residential and productive purposes. Its scope
includes the urban and rural very poor, labour tenants, farm
workers as well as new entrants to agriculture (87:13% the White:
Black land ownership ratio debate). Target is to redistribute 30% of
agricultural land by 2014.
Land Restitution covers cases of forced removals which took place
after 1913. They are being dealt with by a Land Claims Court and
Commission on Restitution of Land Rights established under the
Restitution of Land Rights Act, 22 of 1994 (redress).79 696 land
claim forms were lodged by the cut off date of 31 Dec 1998.
Land Tenure reform is being addressed through a review of present
land policy, administration and legislation to improve the tenure
security of all South Africans and to accommodate diverse forms of
land tenure, including types of communal tenure (ownership).
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
LAND REFORM TARGET
 Total land surface 122 million hectares
– 86 million agricultural land
– 24.3 million State Land
– 16 million is other land (cities, rocks, rivers,
dams)
 30% of 86 200 000 ha/ agric land = 25.86 million
hectares to be redistributed by 2014
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
Estimated 30% Agric Land in SA
Province
Agric Land (ha)
30% Target
Annual Provincial
Target till 2014
WC
11 560 609
3 468 183
385 353
NC
29 543 832
8 863 150
984 794
FS
11 572 000
3 491 600
385 733
EC
10 815 867
3 244 760
360 528
KZN
3439 403
1 031 821
114 646
MP
4 486 320
1 345 896
149 544
Limp
7 153 772
2 146 132
238 459
GP
828 623
248 587
22 618
NW
6 785 600
2 035 680
226 186
86 200 000
25 800 000
2 866 666
TOTAL
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
Land use patterns
Hectare
%
Arable Land
14,753,249
12.1%
Nature Conservation
14,549,797
11.9%
Forestry
1,790,270
1.5%
Natural Pasture
89,240,143
73.2%
Industrial / Commercial
274,549
0.2%
Urban Residential
1,299,784
1.1%
TOTAL
121,907,792
100.0%
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
Land Use
LAND PRICES
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
 Urban residential
— smallest proportions of land use (1.1%) but significant number
of landowners.
— segment of the market have increased at a rate below the
average inflation rate while prices at the high end of the market
increased more or less in line with inflation. Residential
property prices of the middle-market have recorded substantial
increases in real terms.
— FACTORS that have contributed to the significant increases in
property prices of middle-category houses are:
 relatively low interest rates, higher disposable income of
middle-income earners partly due to tax relief, increased
 demand by an expanding black middle class, and
 increased demand by foreign buyers partly due the
weakening of the Rand in 2000 and 2001.
 Commercial and industrial properties (0.2%)
— Price increases in commercial and industrial properties have
been around 10 per cent per annum.
 Agriculture
— Price increases in agriculture properties have been between 10
and 25 per cent per in 2002 and 2003.
LAND DELIVERED SINCE 1994
 This includes land delivered through the restitution, redistribution
and state land.
 The total number of household/individuals that have benefited
from land reform is over one million ( 1 028 887).
R ED IST R IB U T ION
( Exclud ing LR A D )
3 1%
R EST IT U T ION
23%
ST A T ELA N D
22%
T EN U R E R EF OR M
5%
R ED IST R IB U T ION
( LR A D )
19 %
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
 Land delivered since 1994 is about 4.3 million ha, thus 21.5
million ha still to be delivered by 2014 to meet 30% target.
POLICY DIRECTIVES
LAND SUMMIT 2005:
REPUBLIC OF
SOUTH AFRICA
 taking stock of progress made in meeting the land reform
imperatives of the:
— Freedom Charter, 1955; “The land shall be shared among
those who live on and work it”.
— the Rural Development Programme (RDP) policy framework
document, 1994; underlined the importance of land reform.
— the White Paper on South African Land Policy, 1997, argued
for a just, equitable and fair land reform programme
— the Constitution of the Republic of South Africa, 1996 (Act No.
108 of 1996)., chapter 25, protects property rights, accepts
land rights as human rights included in the bill of rights,
confirms that land reform is in the public interest. Allows
expropriation for land reform purposes as in the public
interest.
LAND & AGRICULTURE
http://land.pwv.gov.za/Land-Summit
Compensation at Expropriation {s25 (3) }




the current use of the property;
the history of the acquisition and use of the property;
the market value of the property;
the extent of direct state investment and subsidy in the
acquisition and beneficial capital improvement of the
property; and
 the purpose of expropriation”
Thus no “land grabs”
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
 “The amount of the compensation, time and manner of
payment must be just and equitable, reflecting an
equitable balance between the public interest and the
interests of those affected, consider:
Directives of the Land Summit
 Review of the willing buyer-willing seller (WBWS) principle
— the market-driven approach to land reform was singled out
as the major obstacle to accelerated land delivery for land
reform purposes
 A new trajectory towards 2014
— focus on the poor, women, disabled, youth, workers on
commercial farms
— Restructure the dominant models of land use and
agricultural production
— Decentralization of land and agrarian reform, participatory
and people-centred methods which are area based and
included in the Integrated and development plans of local
and district municipalities
— Promote sustainable development
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
— Conduct land audit
— Scrap restrictions on sub-division of agricultural land
— Use of expropriation of targeted land in line with the rule of law
— Technical and financial support to Smaller producers.
— Greater regulation of land market to control rapid increase to land
prices.
— Land tax for those who own too much land
— Regulating ownership of land by foreigners
— Regulating land use management to optimize social benefit
— Better co-ordination across government to support land reform.
— Greater investment and better co-ordination of settlement support
LAND & AGRICULTURE
 Leading role of the state
REPUBLIC OF
SOUTH AFRICA
 Partnerships and decentralized reform
—Local government to factor land and agrarian
reform into economic development priorities
—Partnerships at all levels to adress unequal
relationships (empowerment, capacity & financial
resources)
 Security of tenure and rights of people living and
working on commercial farms
— Deal with illegal evictions & continued displacement of people
living on farms
— Deal with illegal occupations and ‘squatter farming”
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
PROGRESS: POLICY DIRECTIVES
 there should be State intervention in the land markets to stabilise
land prices and speed up land reform.
 towards a MENU of land acquisition measures to accelerate land
delivery:
— Affirmation and Continued Use of the Willing Buyer-Willing
Seller Principle as contemplated in the White Paper on South
African Land Policy
— Affirmation and Continued Use of the Current Expropriation
Measures and the Design of the New Expropriation Mechanisms
— Use of the Pro-Active Acquisition of Land Strategy (PLAS)
— Better Articulation of the Land Demand via the Area Based
Planning (ABP)
— The Design and Implementation of a Land Tax Regime
 The Imposition of Land Ceilings
 The State’s Right of First Refusal
— Review completed –report submitted to Minister then Cabinet for
approval and publishing for public comment
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
 WILLING BUYER WILLING SELLER PRINCIPLE –Review
REPUBLIC OF
SOUTH AFRICA
— Report and recommendations by a panel of experts and consultation
with various stakeholders
 Some recommendations:
– Compulsory Disclosure of Nationality, Race and Gender and
other information
– Special Ministerial Approval-be introduced for certain changes
in land use in general and for disposal of certain categories of
land
– shortcomings in the registration of deeds justify an
amendment to the statutory requirements regarding
nationality and citizenship not only for foreign individual
owners, but also for corporate owners
– Regulate ownership of land by foreigners, in line with
international practice.
— Final inputs received by 14 December 2007 from public consultation
process and currently consolidating the inputs
LAND & AGRICULTURE
 POLICY ON LAND OWNERSHIP BY FOREIGNERS (PLOF)
Priorities for New Dispensation





Rapid growth
Basic services (water, energy)
Employment
Social inequalities, focus on
people & not things/ places
Access and participation
Human capital development
Infrastructural development
Beneficiation
Sustainability
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
Economic
Growth &
Stability
Job Creation
Poverty
Alleviation
Transformation




The Land and Agrarian Reform Project (LARP)
Goals, Strategies & Objectives
Poverty
Eradication
50%
Goals
Strategies
Good
Goals
Strategies
Governance
Job
Creation
6 million
Land Reform
Access
&
Participation
Profitability
&
Competitiveness
Sustainable Agricultural
Resource Use
Exports
Agribusiness
Production
Objectives
Economic
Growth
6%
Services
Objectives
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
The Land and Agrarian Reform Project (LARP)
- LARP was submitted and accepted by the Presidency, as
no 7 of the 24 Presidential Apex of Priorities
LARP Objectives are:
 Redistribute 5 million hectares of white-owned
agricultural land to 10 000 new agricultural producers.
 Increase Black entrepreneurs in the agribusiness
industry by 10 %.
 Provide universal access to agricultural support
services to the above target groups.
 Increase agricultural production by 10-15% for the
target groups, under the LETSEMA-ILIMA Campaign
Increase agricultural trade by 10-15% for the target
groups.
— will directly contribute to the overall goals of the Agricultural
Sector Plan, namely participation, global competitiveness
and sustainability, and the White Paper on South African
Land Policy
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
The Land and Agrarian Reform Project (LARP)
LARP key principles to fast-track land and agrarian reform:
— Focus areas to concentrate service delivery in order to better
exploit synergies between land redistribution, agricultural
production and agri-business development;
—
Aligned comprehensive support package to cater for the
inherently multi-sectoral requirements to make sustainable
agricultural production and agri-business development a success;
—
Cooperative government by establishing joint planning,
budgeting, approval and implementation procedures between
various government departments and programmes;
—
Subsidiarity: The decentralisation of decision-making and
implementation to the lowest possible level depending on the
specific program activity; and
—
Utilisation of partnerships in order to exploit the relative
strengths and capacities of the key non-governmental
stakeholders; and
—
Individual project success and sustainability will be the
measure of success.
LAND & AGRICULTURE

REPUBLIC OF
SOUTH AFRICA
The Land and Agrarian Reform Project (LARP)
 LARP Focus areas:
— Agricultural development corridors Location of large
concentrations of farm dwellers
— Areas of high farm dweller eviction rates. Farm dwellers ( +/3 million) are a first priority, given the urgent need for them to
fully realise their constitutional rights
— Comprehensive individual project plans including support,
identified markets and monitoring
Development of agricultural villages in response to identified
accommodation needs and opportunities for farm dwellers.
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
Settlement and Implementation Support (SIS)
Strategy
REPUBLIC OF
SOUTH AFRICA
Capable people, robust institutions
CAPACITY & INTITUTIONAL DEV
Skills Dev Act, CPAs, Trusts, Pty…
SKILLS, LAND & BUSINESS ENTITY
LEGISLATION
Sustainable resource mgt
Mission
The delivery of effective settlement and
implementation support contributes to
successful land and agrarian reform to reduce
poverty, enhance livelihood security, boost
economic growth, enable security of tenure and
sustainable land use
SL, viable enterprises, finance & market access
LIVELIHOOD, ENTERPRISE & TECH SUPPORT
INRM & SUST SETTLEMENTS
Land reform sector plan in IDP
NWA, NFA, NVFFA, NEMA, CARA, LEFTEA
SPATIAL & FUNCTIONAL INTEGRATION
Restitution Act, Act 126, ESTA, LTA, BEE Act, CASP…
LAND REFORM, AGRICULTURE & DTI POLICY AND LEGISLATION
ENVIRONMENTAL & TOWNSHIP LEGISLATION
IGRF Act, MUNICIPAL SYSTEMS ACT, IDP, SDF…
LAND & AGRICULTURE
CONSTITUTION, LOCAL GOVERNMENT & PLANNING LEGISLATION
 Key Pillars of SIS Strategy
—Livelihood and Enterprise Development
—Sustainable Human Settlements
—Integrated Natural Resource Management
—Social Institutional and Capacity Development
—Spatial and functional integration
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
IMPACT OF LAND REFORM
—MONITORING AND EVALUATING THE QUALITY OF
LIFE OF LAND REFORM BENEFICIARIES:
2005/2006 (4th study since 1994)
—ASSESSMENT OF STATUS QUO OF SETTLED
LAND CLAIMS WITH A DEVELOPMENTAL
COMPONENT 2005
—SETTLEMENT SUPPORT INFORMATION
MANAGEMENT –RESTITUTION ONGOING
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
 Research :
—REVIEW OF THE LAND REDISTRIBUTION FOR
AGRICULTURAL DEVELOPMENT (LRAD) 2003,
current review in process
LRAD REVIEW
 Highlights for DLA
—progress in terms of delivery (more flexible grant
system and decentralization of project approval to
the Provincial level)
—Reaching an appropriate mix of beneficiaries:
majority of grants goes to the poor,
—Significant share of the grants is now reaching
emerging farmers. And women and youth receive
35 and 22 percent of grants, respectively.
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
THE QUALITY OF LIFE
 Highlights for DLA
—Improvement in performance and impact
 The rate of delivery has increased;
 targeting of the most poor has taken place;
 both agricultural and non-agricultural production
is occurring;
 services delivery to land reform beneficiaries
seems better than to the rural population as a
whole; and
 less evidence of institutional problems.
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
STATUS QUO OF SETTLED LAND CLAIMS
—positive relationship between the level of
involvement of government departments and other
agencies in projects and the level of attainment of
developmental aims
—Strategic partnerships enhance the projects to attain
sustainability.
LAND & AGRICULTURE
 Highlights for DLA
REPUBLIC OF
SOUTH AFRICA
RESTITUTION SETTLEMENT SUPPORT
 Highlights for DLA
—On 90% of the projects other government
departments are involved in project support
—1 108 permanent jobs created, 2 725 temporary
jobs and 475 people who are currently benefiting in
terms of training.
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
IMPROVING THE IMPACT OF LAND REFORM
—Review on the relative importance of land reform for
“livelihoods” as compared to productive projects
 economic success is not the only objective
currently pursued under the land reform
programme
 Reduce procedures, adapting them to the specific
target and integrating them into a decentralised
and participatory process
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
 POLICY
 project characteristics appear to be more important
determinants of success than beneficiary attributes,
suggests that policy has an important impact on
whether or not land reform in South Africa can
realise its economic potential.
 approach that links asset redistribution to improved
economic opportunities.
—Align the land market with the Government’s land
reform strategy.
 policy guidelines to substantially increase the rate
of sub-divisions within and outside the land reform
programme. South Africa’s land market needs to
cease biasing against smallholdings.
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
—more flexibility policy framework
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
 Governance
—integrated delivery, both with regard to the various land
reform programmes (Restitution, LTA, ESTA and
LRAD) as well as the provision of the non-land
components and services (e.g. agricultural support
services, housing etc).
—link more explicitly to the other programmes initiated
under the RDP; pensions and housing, Provincial and
Local level planning, Integrated Development Planning
—further decentralize and strengthen integration with
other departments and key stakeholders outside of
Government
—Enhanced monitoring and evaluation
—Beneficiaries: appropriate training; managing projects,
technical training in terms of project specifics, mentors
and strategic partners to build capacity, conflict
resolution, resource mobilization, marketing etc.
—Government Department: training and capacity building
activities pertaining to land reform in the various
departments and municipalities
LAND & AGRICULTURE
 Training – Capacity Building
REPUBLIC OF
SOUTH AFRICA
CATA Story Uplifting : Eastern Cape
—
—
—
—
—
Households without income dropped from 43% to 4%
Employment rates increased from 4% to 26% (2001 to 2007)
People with education less than G7 dropped fro 50% to 35%
Use of Electricty increased from 3% to 51%
99% of community have two meals a day.
 For further details contact ; Mr Ashley Westaway, Border Rural
Committee (Land NGO) East London South Africa.
Phone +27437420173 Email: ashley@brc21.co.za
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
 420 household became victims of “betterment planning”
 Became successful claimants & decided to use their restitution
award for their own development
 Projects included : Agriculture, infrastructure, forestry, education
and rural livelihoods (local economic development)
 Outputs: Community centre, School Classrooms, Wattle plantation,
water for food project, irrigation scheme, museum, Heritage trail
 Results included:
CHALLENGES IN LAND REFORM
 The spatial planning of apartheid left the victims of
land dispossession in homeland rural towns where
they are locked up in less than a quarter of a hectare
per rural homesteads, consequently the interest and
commitment to agriculture was heavily eroded,
Agricultural skills have been lost, urban life promises
jobs and better opportunities hence a growing trend of
urbanisation.
 National Spatial Development Plan supports
existing urban development centres at the expense of
rural areas
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
 Group/Collective Production does not yield the
desired results as often groups have to deal with
group dynamics and conflicts. Decline in agricultural
production may have a negative effect on economic
growth
Challenges Cont….
 The dichotomy of community vs. private
ownership, social vs. economic practices of land
use and subsistence vs. commercial farming are
all a challenge to the implementation of land reform.
Most financial institutions including the commercial
banks, the Land Bank, Industrial Development
Corporation (IDC), etc are focusing on privately
owned land with individual land use. Their support
and after-care to clients does not adopt a
developmental approach (to cover needs of the new
Landowners).
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
Sector Challenges
All
farmers
1st
economy
farmers
—Limited water
—Scarcity of arable land
—Soil degradation
—Climate change
—Rising input costs
—Limited innovation in risk
management
—Limited access to
financial services
2nd
economy
farming
challenges
Demand-Side
—Inadequate
access to market
information
—Lack of shared
vision across
role players
—Inadequate focus on
new markets
—Limited product
innovation
—Negative impact on
competitiveness
—Cost of compliance to
standards
—High cost of
compliance to labour
legislation
—Limited access to
markets
—Poor infrastructure
—Limited access to
—Inadequate basic services
local markets
—Ltd Access to capital
—Technical & management skills
—Slow Pace of Land Reform
—Limited supporting
institutions
—Globalisation
—Limited settlement
support
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
Supply-Side
Business
Environment
Challenges cont…
The aggravating factors include the purchase of
strategic tracks of land by foreigners, especially in
the coastal areas of KZN, Eastern Cape and
Western Cape as well as in Mpumalanga and
Limpopo. Most of such land is used for game parks,
golf courses, eco-tourism and private homes.
LAND & AGRICULTURE
 The issue of exorbitant land prices is a serious
challenge affecting not only restitution but also other
land reform programmes. Land prices have varied
between US$ 64/ha to US$ 7142 /ha, the average
price being US$ 471 /ha. This is making land
reform quite expensive.
REPUBLIC OF
SOUTH AFRICA
Challenges Cont…
• Protracted negotiations and Disputes with land
owners (validity of land claims and/ or land prices)
• Unavailability of land in urban areas
• Traditional leader conflict ito jurisdiction and
boundaries and between CPA and Traditional
Leaders, issues about who is the rightful traditional
leader, given the apartheid distortions of chieftainship
• Family disputes and disputes amongst community
members
 The issue of funding land reform in the country is
critical, particularly in the light of increasing land
prices, under-utilized farm land , absentee land
lordism, increasing demand for land.
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
Funding in the past five years
Appropriated
Millions
4,000
3,500
3,000
2,500
2,000
1,500
1,000
500
0
Spending
99.9%
73%
98%
97%
99%
'2002/03
'2003/04
'2004/05
'2005/06
'2006/07
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
Fixed approach (linear) +budget
(US$ 1=ZAR 7.03)
REPUBLIC OF
SOUTH AFRICA
2007 / 2008
Hectares per
Year
1,292,539
3,000
3,877,617
1,346,601
-2,531,016
Total
Budget
Required
Baseline
allocation
Budget
Deficit
LAND & AGRICULTURE
Financial
Year
%
increa
se
Price
p/ha
(9,8%
increase
)
2008/2009
(LARP)
15%
3,122,840
3,294
10,286,634
2,616,313
-7,965,559
2009 / 2010
17%
3,640,798
3,617
13,168,766
3,008,760
-10,160,006
2010 / 2011
17%
3,640,798
3,971
14,457,608
3,189,286
-11,268,322
2011 / 2012
17%
3,640,798
4,360
15,873,879
-15,873,879
2012 / 2013
17%
3,640,798
4,788
17,432,140
-17,432,140
2013 / 2014
17%
3,640,800
5,257
19,139,685
-19,139,685
TOTAL:
100%
21,416,461
90,653,953
8,814,359
-81,839,594
CASP model
The Hungry &
Vulnerable
Agricultural macrosystem within
consumer economic
Farm & Business
environment
Household food
level activity
security &
Subsistence
6 pillars
Training &
Capacity
building
Agriculture support
Critical Issues
LAND & AGRICULTURE
 United & prosperous agricultural sector
 Equitable access & participation
 Global competitiveness and profitability
 Sustainable resource management
 Good governance
 Integrated & sustainable rural
development
 Knowledge management & innovation
 International Cooperation
 Safety & security
REPUBLIC OF
SOUTH AFRICA
Outcomes: Land & Agrarian Reform





Creation of wealth in agriculture & rural areas
Increased sustainable employment
Increased incomes & foreign exchange earnings
Reduced poverty & inequalities in land & enterprise
ownership
Improved farming efficiency
Improved national household security
Stable and safe rural communities, reduced levels of
crime & violence, sustained rural development
Improved investor confidence, leading to increased
domestic foreign investment in agriculture
Pride and dignity in agriculture as an occupation &
sector of choice.
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE




Partnership in SA Agriculture
Respect
acceptance
Trust
commitment
Recognition
Successful
Partnership
Positive
Attitude
Support
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
KEY STRATEGIC PARTNERS
Municipalities
Private Sector
Government
Departments
NGOs &
Organs of Civil
Society
Sustainable
Development
for Claimants
Religious/ Faith
Institutions
Domestic &
international
markets
Financial Institutions
State-Owned
Enterprises (SOE)
Donor Partners
Strategic Partners for Partnership




Organized Agriculture (Unions, including all sectors)
Emerging Farmers
Food Growers
Farm Workers and Farm dwellers
Government (esp. DoA, DLA, DTI, SARS, DPLG, SAPS,
PDA, Municipalities)
Women and Youth Groups in Agriculture
Financial Institutions (Land Bank, ABSA, Sanlam, DBSA
etc)
Research Institutions (ARC, OBP, Universities, HSRC,
CSIR )
Marketing & Trade Organisations (NAMC, WTO, etc)
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE





Enabling Environment : Partnership
LAND & AGRICULTURE
 Identify sector needs that may unite the
sector
 Agree to disagree on specific issues
 Agree on strategy to address the needs &
differences
 Regular focus sessions to be on the same
page (shared understanding and
approach)
 Reviews and assessment
 Support to Ministerial Advisory Council
REPUBLIC OF
SOUTH AFRICA
Conclusion
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
 Dialogue and Negotiations led to the SA miracle
 The Implementation of Land and Agrarian Reform and
the Agricultural Sector Plan are the test for successful
partnership in the agriculture sector in SA.
 Collective effort from both the Government and the
sector Partners will take us where we want to go as the
country.
 We have many opportunities for all of us, we must
simply learn to work together in the spirit and letter of
the new democratic SA
 Let me thank all those who have made constructive
inputs which took us to where we are today.
 As we implement & review our land and agrarian reform
policies and legislation we are keen to learn from other
countries who have been on this road.
NEVER AGAIN
In the words of Nelson Mandela
“Never, never and never again
shall it be that this beautiful
land will again experience the
oppression of one by another”.
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA
THANK YOU
Mr. Thozi T. Gwanya
Acting Director General
Department of Land Affairs
184 Jacob Mare Street
Private Bag x833
Pretoria 0001
South Africa
Tel +27 12 312 8503
Fax +27866987389
Cell +27 82 577 5552
Email : TTGwanya@dla.gov.za
or tozigwanya@yahoo.com
Website: http://land.pwv.gov.za/
LAND & AGRICULTURE
REPUBLIC OF
SOUTH AFRICA