Saai welcomes assistance to farmers, though state initiative lacks insight
7 April 2020
The fact that agriculture is excluded from the strict lockdown regulations, has created a perception that it’s business as usual for the agricultural industry. This is however not the case. Many of the agricultural value chains have been interrupted and the integrated nature of the various products that are produced on a farm – coupled with the fact that only some of these are regarded as essential products – are causing great harm to countless farms that are being operated as businesses.
There are for instance many farms where fruit and vegetables or meat constitute only a part of their annual income stream and have to be supplemented by tobacco, forestry or ornamentals. All of the latter are currently being excluded from being farmed, thus jeopardising the complete viability of such farms.
The same lack of knowledge for the food system in South Africa was evident yesterday when Thoko Didiza, Minister of Agriculture, Land Reform and Rural Development, announced during a media conference that R1.2 billion will be made available to small scale and communal farmers. While these farmers play a role in maintaining household food security in the poorest areas of the country, they contribute very little to the supply of food on shop shelves in the cities.
Only R100 million have been set aside by the Land Bank for its clients in the commercial sector that have more than R126 billion in insured loans. This is hardly enough to make a scratch on the surface in assisting these farmers.