15 October 2020 - NW1583
Steyn, Ms A to ask the Minister of Agriculture, Land Reform and Rural Development
Whether her department transferred the R100 million Covid-19 agricultural support funding to the Land Bank; if not, why not; if so, (a) on what date was the funding transferred and (b) what criteria and/or conditions are attached for the use of this fund?
(a) 06August 2020.
(b) The R100 million grant funding from the Department of Agriculture, Land Reform and Rural Development (DALRRD) will be applied for loan instalment waiver of no more than one annual instalments due per client whose business operations have experienced distress due to the impacts of COVID-19 and associated intervention measures implemented by government. This concession will be applicable for distress for the period starting on 1 April to 31 December 2020 for instalments due.
Each beneficiary is eligible for amounts ranging from R500 000 to R1.5 million per client for qualifying farming legalentities or individuals including related parties. The applicant must complete and submit a grant funding application form with the required supporting documentation.The application period commencesfrom the date of announcement and will close after onemonthto allow time for submission and collection of required information by clients.
The following are not eligible for Covid-19 agricultural support funding:
- Distressed accounts prior to April 2020;
- Distressed accounts due to reasons other than Covid-19 are excluded fromthis supportbut may apply using normal Land Bank criteria;
- Non-Land Bank clients; and
- This intervention will not extend the loan tenure nor interest burden to the entitiessupported through this intervention.