Question NW1490 to the Minister of Public Enterprises

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20 May 2022 - NW1490

Profile picture: Magaxa, Mr K

Magaxa, Mr K to ask the Minister of Public Enterprises

Given that the Government is working to improve the business environment for companies of all sizes through a dedicated capacity to reduce red tape, what does his department intend to do to access land for planting for SA Forestry Company Limited to expand production, revenue generation, job creation and downstream industrialisation?

Reply:

Currently, SAFCOL has a total of 189 747 hectares with plantable area of 120 644 hectares. As a result, only 116 695 hectares is planted and 3 949 hectares is “Temporary Unplanted” (TUP). This is approximately 3% of the total ,which was maintained for the past 5 years, is in line with annual industry targets.

The Department of Public Enterprises has since requested SAFCOL to consider assisting the Department of Forestry, Fisheries and Environment (DFFE) in reducing its TUP which is currently above 30%, either by leasing or managing plantations near its operations in Mpumalanga, Limpopo and KZN. This will not only reduce unlimited risks DFFE is currently exposed to but also increase rural employment and sawlog availability for supply of raw material to small and medium business in response to sector transformation and addressing the Commercial Forestry Masterplan objectives.

Furthermore, DPE has encouraged SAFCOL to ensure that it remains a preferred partner post the land settlement process as currently 57% of SAFCOL land under operation is under land claim. This is in collaboration with DFFE and the Department of Agriculture, Rural Development and Land Reform.

 

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