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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
Programme Director, REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
Klaus Deininger together with other WB Colleagues who
put this conference together
Various Participants coming from different parts of the
world.
Introduction
Let me express my heart felt appreciation for WB REPUBLIC OF
SOUTH AFRICA
inviting me to participate at this conference.
LAND & AGRICULTURE
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;
— 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
Introduction cont….
Since 1999 SA an WB have agreed on a country REPUBLIC OF
SOUTH AFRICA
Assistance Strategy (CAS) focusing on Knowledge
LAND & AGRICULTURE
Sharing, rather than Lending. The review of CAS has
led to the Country Partnership Strategy (CPS) whose
objective is :
— 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.
Introduction cont…
In 1994, the Government of South Africa inherited one of the worst REPUBLIC OF
SOUTH AFRICA
racially skewed land distributions in the world: whites owned 87
percent and blacks 13 percent of agricultural land, this despite the
LAND & AGRICULTURE
fact that Blacks constitute about 80% of the population.
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
APARTHEID LEGACY:LAND DISPOSSESSION
The Land Act of 1913
Foundation for racial segregation of land REPUBLIC OF
SOUTH AFRICA
ownership
Erosion of rights to land for blacks, evictions
LAND & AGRICULTURE
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
1960‘s - 1980‘s: era of legalised forced removals
LAND & AGRICULTURE
―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)
URBAN REMOVALS
REPUBLIC OF
SOUTH AFRICA
Group Areas Act 36 of 1966
LAND & AGRICULTURE
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
RACIALLY DISCRIMINATORY LAWS
REPUBLIC OF
SOUTH AFRICA
EXAMPLES:
LAND & AGRICULTURE
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
POLICY CONTEXT FOR LAND REFORM
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
STRATEGIC GOALS AND VISION OF LAND POLICY
REPUBLIC OF
SOUTH AFRICA
● Deal with injustices of racially-based land
LAND & AGRICULTURE
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 REFORM PROGRAMMES
REPUBLIC OF
SOUTH AFRICA
Redistribution aims to provide the disadvantaged and the poor with
LAND & AGRICULTURE
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 REFORM TARGET
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
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
Estimated 30% Agric Land in SA
REPUBLIC OF
SOUTH AFRICA
Province Agric Land (ha) 30% Target Annual Provincial
LAND & AGRICULTURE
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
TOTAL 86 200 000 25 800 000 2 866 666
Land use patterns
Land Use Hectare % REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
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%
LAND PRICES
Urban residential REPUBLIC OF
— smallest proportions of land use (1.1%) but significant number SOUTH AFRICA
of landowners.
LAND & AGRICULTURE
— 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
Land delivered since 1994 is about 4.3 million ha, thus 21.5 REPUBLIC OF
SOUTH AFRICA
million ha still to be delivered by 2014 to meet 30% target.
LAND & AGRICULTURE
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 EST IT U T ION R ED IST R IB U T ION
( Exclud ing LR A D )
23%
3 1%
ST A T ELA N D
22% R ED IST R IB U T ION
T EN U R E R EF OR M
( LR A D )
5%
19 %
POLICY DIRECTIVES
LAND SUMMIT 2005: REPUBLIC OF
SOUTH AFRICA
http://land.pwv.gov.za/Land-Summit
LAND & AGRICULTURE
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.
Compensation at Expropriation {s25 (3) }
―The amount of the compensation, time and manner of REPUBLIC OF
SOUTH AFRICA
payment must be just and equitable, reflecting an
LAND & AGRICULTURE
equitable balance between the public interest and the
interests of those affected, consider:
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‖
Directives of the Land Summit
REPUBLIC OF
SOUTH AFRICA
Review of the willing buyer-willing seller (WBWS) principle
LAND & AGRICULTURE
— 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
REPUBLIC OF
SOUTH AFRICA
Leading role of the state
— Conduct land audit
LAND & AGRICULTURE
— 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
REPUBLIC OF
SOUTH AFRICA
Partnerships and decentralized reform
LAND & AGRICULTURE
—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‖
PROGRESS: POLICY DIRECTIVES
WILLING BUYER WILLING SELLER PRINCIPLE –Review
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
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
POLICY ON LAND OWNERSHIP BY FOREIGNERS (PLOF)
LAND & AGRICULTURE
— 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
Priorities for New Dispensation
Economic Rapid growth REPUBLIC OF
SOUTH AFRICA
Basic services (water, energy)
Growth &
LAND & AGRICULTURE
Employment
Social inequalities, focus on
Stability people & not things/ places
Job Creation
Access and participation
Human capital development
Poverty Infrastructural development
Beneficiation
Alleviation Sustainability
Transformation
The Land and Agrarian Reform Project (LARP)
REPUBLIC OF
SOUTH AFRICA
Goals, Strategies & Objectives
LAND & AGRICULTURE
Poverty
Goals Eradication Goals
50%
Good
Strategies Strategies
Governance
Job Access Profitability Economic
Creation & & Growth
6 million Participation Competitiveness 6%
Sustainable Agricultural
Resource Use Exports
Land Reform
Production Agribusiness
Services
Objectives Objectives
The Land and Agrarian Reform Project (LARP)
REPUBLIC OF
SOUTH AFRICA
- LARP was submitted and accepted by the Presidency, as
no 7 of the 24 Presidential Apex of Priorities
LAND & AGRICULTURE
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
The Land and Agrarian Reform Project (LARP)
REPUBLIC OF
SOUTH AFRICA
LARP key principles to fast-track land and agrarian reform:
— Focus areas to concentrate service delivery in order to better
LAND & AGRICULTURE
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.
The Land and Agrarian Reform Project (LARP)
REPUBLIC OF
SOUTH AFRICA
LARP Focus areas:
LAND & AGRICULTURE
— 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.
Settlement and Implementation Support (SIS)
Strategy
REPUBLIC OF
SOUTH AFRICA
CONSTITUTION, LOCAL GOVERNMENT & PLANNING LEGISLATION
ENVIRONMENTAL & TOWNSHIP LEGISLATION
LAND & AGRICULTURE
IGRF Act, MUNICIPAL SYSTEMS ACT, IDP, SDF…
SKILLS, LAND & BUSINESS ENTITY
NWA, NFA, NVFFA, NEMA, CARA, LEFTEA
SPATIAL & FUNCTIONAL INTEGRATION
Skills Dev Act, CPAs, Trusts, Pty…
CAPACITY & INTITUTIONAL DEV
INRM & SUST SETTLEMENTS
Capable people, robust institutions
Land reform sector plan in IDP
Sustainable resource mgt
LEGISLATION
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
Restitution Act, Act 126, ESTA, LTA, BEE Act, CASP…
LAND REFORM, AGRICULTURE & DTI POLICY AND LEGISLATION
REPUBLIC OF
SOUTH AFRICA
Key Pillars of SIS Strategy
LAND & AGRICULTURE
—Livelihood and Enterprise Development
—Sustainable Human Settlements
—Integrated Natural Resource Management
—Social Institutional and Capacity Development
—Spatial and functional integration
IMPACT OF LAND REFORM
Research : REPUBLIC OF
SOUTH AFRICA
—REVIEW OF THE LAND REDISTRIBUTION FOR
LAND & AGRICULTURE
AGRICULTURAL DEVELOPMENT (LRAD) 2003,
current review in process
—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
LRAD REVIEW
REPUBLIC OF
SOUTH AFRICA
Highlights for DLA
LAND & AGRICULTURE
—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.
THE QUALITY OF LIFE
REPUBLIC OF
SOUTH AFRICA
Highlights for DLA
LAND & AGRICULTURE
—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.
STATUS QUO OF SETTLED LAND CLAIMS
REPUBLIC OF
SOUTH AFRICA
Highlights for DLA
LAND & AGRICULTURE
—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.
RESTITUTION SETTLEMENT SUPPORT
REPUBLIC OF
SOUTH AFRICA
Highlights for DLA
LAND & AGRICULTURE
—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.
IMPROVING THE IMPACT OF LAND REFORM
POLICY
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
—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
—more flexibility policy framework REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
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.
Governance REPUBLIC OF
SOUTH AFRICA
—integrated delivery, both with regard to the various land
LAND & AGRICULTURE
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
REPUBLIC OF
Training – Capacity Building SOUTH AFRICA
LAND & AGRICULTURE
—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
CATA Story Uplifting : Eastern Cape
420 household became victims of ―betterment planning‖ REPUBLIC OF
SOUTH AFRICA
Became successful claimants & decided to use their restitution
LAND & AGRICULTURE
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:
— 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
CHALLENGES IN LAND REFORM
Group/Collective Production does not yield the REPUBLIC OF
SOUTH AFRICA
desired results as often groups have to deal with
LAND & AGRICULTURE
group dynamics and conflicts. Decline in agricultural
production may have a negative effect on economic
growth
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
Challenges Cont….
REPUBLIC OF
SOUTH AFRICA
The dichotomy of community vs. private
LAND & AGRICULTURE
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).
Sector Challenges
Business REPUBLIC OF
Supply-Side Demand-Side SOUTH AFRICA
Environment
LAND & AGRICULTURE
—Limited water —Inadequate —Lack of shared
All
—Scarcity of arable land access to market vision across
farmers —Soil degradation
information role players
—Climate change
—Rising input costs
—Inadequate focus on —Negative impact on
—Limited innovation in risk new markets competitiveness
1st management
—Limited product —Cost of compliance to
economy innovation standards
farmers —High cost of
—Limited access to compliance to labour
—Limited access to
markets legislation
financial services
2nd —Poor infrastructure —Limited supporting
—Limited access to
economy —Inadequate basic services institutions
local markets
farming —Ltd Access to capital —Globalisation
challenges —Technical & management skills —Limited settlement
—Slow Pace of Land Reform support
Challenges cont…
REPUBLIC OF
The issue of exorbitant land prices is a serious
SOUTH AFRICA
challenge affecting not only restitution but also other
LAND & AGRICULTURE
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.
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.
Challenges Cont…
REPUBLIC OF
SOUTH AFRICA
• Protracted negotiations and Disputes with land
LAND & AGRICULTURE
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.
Funding in the past five years
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
Millions Appropriated Spending
99.9%
4,000 73%
3,500
3,000 98%
2,500 97%
2,000
99%
1,500
1,000
500
0
'2002/03 '2003/04 '2004/05 '2005/06 '2006/07
Fixed approach (linear) +budget (US$ 1=ZAR 7.03)
REPUBLIC OF
SOUTH AFRICA
Price
p/ha
LAND & AGRICULTURE
% (9,8% Total
Financial increa Hectares per increase Budget Baseline Budget
Year se Year ) Required allocation Deficit
2007 / 2008 1,292,539 3,000 3,877,617 1,346,601 -2,531,016
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
Agricultural macro-
system within
consumer economic
Farm & Business
environment
Household food level activity
security &
The Hungry &
Subsistence
Vulnerable
Agriculture support
Training &
6 pillars
Capacity
building
Critical Issues
United & prosperous agricultural sector REPUBLIC OF
SOUTH AFRICA
Equitable access & participation
LAND & AGRICULTURE
Global competitiveness and profitability
Sustainable resource management
Good governance
Integrated & sustainable rural
development
Knowledge management & innovation
International Cooperation
Safety & security
Outcomes: Land & Agrarian Reform
Creation of wealth in agriculture & rural areas REPUBLIC OF
SOUTH AFRICA
Increased sustainable employment
LAND & AGRICULTURE
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.
Partnership in SA Agriculture
REPUBLIC OF
SOUTH AFRICA
acceptance Trust
Respect
LAND & AGRICULTURE
commitment
Recognition Successful Support
Partnership
Positive
Attitude
KEY STRATEGIC PARTNERS
NGOs &
Municipalities Government Organs of Civil
Departments
Financial Institutions
Society
Sustainable
Private Sector Development State-Owned
for Claimants Enterprises (SOE)
Religious/ Faith Domestic &
Institutions international Donor Partners
markets
Strategic Partners for Partnership
Organized Agriculture (Unions, including all sectors) REPUBLIC OF
SOUTH AFRICA
Emerging Farmers
LAND & AGRICULTURE
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)
Enabling Environment : Partnership
Identify sector needs that may unite the REPUBLIC OF
SOUTH AFRICA
sector
LAND & AGRICULTURE
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
Conclusion
Dialogue and Negotiations led to the SA miracle REPUBLIC OF
SOUTH AFRICA
The Implementation of Land and Agrarian Reform and
LAND & AGRICULTURE
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
REPUBLIC OF
SOUTH AFRICA
LAND & AGRICULTURE
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”.
REPUBLIC OF
SOUTH AFRICA
THANK YOU
LAND & AGRICULTURE
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/
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