Question NW1874 to the Minister of Agriculture, Land Reform and Rural Development

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29 June 2022 - NW1874

Profile picture: Lees, Mr RA

Lees, Mr RA to ask the Minister of Agriculture, Land Reform and Rural Development

With reference to the Cathedral Peak Outgrowers Project in the Okhahlamba Local Municipality in KwaZulu-Natal, what are the details of all (a) government and (b) private persons and/or entities who (i) are currently participants in the project and (ii) have been participants in the project since its inception; (2) what are details of all contributions made to the project by each (a) government and (b) private person and/or entity; (3) what are details of any payments made to any persons and/or entities involved in the project; (4) what are details of all (a) consultants who are and/or have been involved in the project and (b) the services that they rendered?

Reply:

1. The tables below lists the stakeholders in the project and their participation over the years: (a) refers to government stakeholders and (b) to private person/ entities:

(a) Name of Govt Stakeholder

Years in Participation

 

2015/16

2016/17

2017/18

2018/19

2019/20

2020/21

2021/22

(a) KZN-COGTA

Project Steering Committee

Y

Y

Y

Y

Y

Y

Y

 

Project implementing

N

N

N

N

N

N

N

 

Project Funding

Y

Y

Y

N

N

N

N

(a) KZN-DARD

Project Steering Committee

Y

Y

Y

Y

Y

Y

Y

 

Project implementing

N

N

N

N

N

N

N

 

Project Funding

N

Y

Y

Y

Y

Y

N

(a) KZN-ADA

Project Steering Committee

Y

Y

Y

Y

Y

Y

Y

 

Project implementing

Y

Y

Y

Y

Y

Y

Y

 

Project Funding

N

Y

Y

Y

Y

Y

Y

(a) Okhahlamba Local Municipality

Project Steering Committee

Y

Y

Y

Y

Y

Y

Y

 

Project implementing

N

N

N

N

N

N

N

 

Project Funding

N

N

N

N

N

N

N

(a) KZN-EDTEA

Project Steering Committee

N

N

N

N

Y

Y

N

 

Project implementing

N

N

N

N

N

N

N

 

Project Funding

N

N

N

N

N

N

N

(b) Name of Private Stakeholder

Years in Participation

 

2015/16

2016/17

2017/18

2018/19

2019/20

2020/21

2021/22

(b) Grain Hills Agri (Pty) Ltd- (Mentor)

Project Steering Committee

Y

Y

Y

Y

Y

Y

Y

 

Project implementing

Y

Y

Y

Y

N

N

N

 

Project Funding

N

N

N

N

N

N

N

(b) Cathedral Peak Wine Estate- (Off taker for Winegrape’s)

Project Steering Committee

Y

Y

Y

Y

Y

Y

Y

 

Project implementing

N

N

N

N

N

N

N

 

Project Funding

N

N

N

N

N

N

N

(b) Beneficiaries

(the Cooperatives in each site)

Project Steering Committee

Y

Y

Y

Y

Y

Y

Y

 

Project implementing

Y

Y

Y

Y

Y

Y

Y

 

Project Funding

N

N

N

N

N

N

N

(b) Traditional Council Representatives

Project Steering Committee

Y

Y

Y

Y

Y

Y

Y

 

Project implementing

N

N

N

N

N

N

N

 

Project Funding

N

N

N

N

N

N

N

(2)(a) The project in its entirety was an initiative of the Okhahlamba Local Municipality, with its concept and business plan used to source initial funding from COGTA. Funding was approved by COGTA for commencement with implementation in the 2015/16 financial year. COGTA therefore provided project initiation funding and could not fund the project beyond the first two years of implementation.

COGTA then effectively contributed 14% of the total project funding until year two of implementation.

At that time of funding approval, the KZN Provincial Agribusiness Development Agency (ADA) was appointed as the project implementing agent for the project on this site which was in the 2015/16 financial year.

The ADA is a provincial entity of the Department of Agriculture and Rural Development (DARD) which implements commercial agribusiness projects for the department. The DARD through ADA, continued to fund the project from 2018/19 until 2020/21 when project review indicated that the project would not be sustainable without perpetual government support based on possible income expected from the wine grapes. The DARD then effectively contributed 86% of the total project funding until year five of implementation.

The ADA further appointed Grain Hills Agri (Pty) Ltd as mentor to provide overall capacity building and skills transfer to the beneficiaries including production and business management in relation to grapes enterprises.

Market for the wine grapes was secured with Cathedral Peak Wine Estate, a wine producer/processor in Winterton.

(b) No funding was received from private persons or entities for this project

3. Please refer to Annexure A.

4. (a),(b) Please refer to Annexure A which includes details of consultants who are, and/or have been involved in the project and the services that they rendered.

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