Question NW3623 to the Minister of Agriculture, Land Reform and Rural Development
20 December 2023 - NW3623
Masipa, Mr NP to ask the Minister of Agriculture, Land Reform and Rural Development
What (a) are the full detailed arrangements and/or contracts that are in place between her department and the SA Farmers Development Association (SAFDA) and (b) is the detailed breakdown of funds received by SAFDA from the allocated budget of her department. (2) what (a) are the details of farmers who were funded and/or supported through SAFDA, (b)(i) items were received and (ii) is the price of each item and (c) is the success rate of the farmers to date. (3) what are the (a) details of farmers who were excluded from the support provided by SAFDA and (b) reasons for their exclusion?
Reply:
(1) (a) The Department of Agriculture, Land Reform and Rural Development (DALRRD) signed an overarching MoA with the National Agricultural Marketing Council (NAMC) which controls all commodity organization trusts through the Marketing of Agricultural Act No. 47 of 1996 including the introduction of levies on agricultural products. A portion of these levies is used for transformation of the sectors. The MoA allows DALRRD to enter into Service Level Agreements (SLA) which regulate this partnership.
The response is divided into three parts based on specific interventions as per agreements emanating from the main Memorandum of Agreement (MoA) concluded with the South African Farmers Development Association (SAFDA). Part 1 focuses on Land Development and Post Settlement Support, Part 2 on Fertilizer support and Part 3 on Infrastructure Development.
(b) Please refer to Annexure A.
(2) (a),(b)(i),(ii) Please refer to Annexure A.
(c) The farms are all at different levels of productivity. Infrastructure projects progress is reflected in Annexure A.
(3) (a) None.
(b) Falls away.
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(1)(b) Breakdown of funds received by/ disbursed to SAFDA from allocated budget |
(2)(a) Details of farmers funded and/or supported |
(2)(b)(i) Item received / details of support |
(2)(b)(ii) Price per item |
(c) Success rate of farmers to date |
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Budgeted amount |
Amount disbursed to SAFDA. |
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Part 1: LAND DEVELOPMENT SUPPORT PROGRAMME |
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KWAZULU-NATAL: FARMS UNDER SAFDA |
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|
R18 461 128.92 |
R18 461 128.92 |
Isizwe Sakwa Dludla Trust |
Production inputs |
R4 991 840.00 |
The Trust had internal conflict that delayed implementation. Following a community resolution, the Trust established a new Operational Entity for the implementation of LDS. Current status: the new entity to sign a Financial Tripartite with the Financial Institution to enable the transfer of funds to be completed and implementation to resume. |
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Machinations |
R12 907 306.50 |
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|
Infrastructure |
R200 000.00 |
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|
Operating Capital |
R0.00 |
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|
SAFDA management fee (2%) |
R361 982.92 |
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|
R18 577 375.52 |
R18 577 375.52 |
Entembeni Trust, Entembeni |
Production inputs |
R1 529 280.00 |
Expenditure to date R9 635 713.31 Implementation at 52% |
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|
Machinations |
R15 133 833.25 |
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|
Infrastructure |
R1 550 000.00 |
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|
Operating Capital |
R0.00 |
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|
SAFDA management fee(2%) |
R364 262.27 |
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|
R14 429 937.91 |
R14 429 937.91 |
Entembeni Royal Household |
Production inputs |
R842 400.00 |
Expenditure to date R8 685 887.13 Implementation at 60% |
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|
Machinations |
R12 754 598.30 |
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|
Infrastructure |
R550 000.00 |
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|
Operating Capital |
R0.00 |
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|
SAFDA management fee (2%) |
R282 939.66 |
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|
R15 178 092.92 |
R15 178 092.92 |
Emakhasaneni Trust |
Production inputs |
R0.00 |
Expenditure to date R9 216 378.88 Implementation at 61% |
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|
Mechanizations |
R13 323 282.20 |
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|
Infrastructure |
R650 000.00 |
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|
Operating Capital |
R907 200.00 |
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|
SAFDA management fee (2%) |
R297 609.67 |
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MPUMALANGA: FARMS UNDER SAFDA |
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|
R33 508 660.53 |
R33 508 660.53 |
Matsamo CPA |
Production inputs |
R5 509 769.09 |
90% complete |
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Mechanizations |
R6 313 705.00 |
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|
Infrastructure |
R8 750 000.00 |
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|
Operating Capital |
R17 787 922.57 |
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|
SAFDA management fee (2%) |
R657 032.56 |
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|
R4 839 900.00 |
R4 839 900.00 |
Rouxville |
Production inputs |
R00.00 |
25% complete |
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Mechanizations |
R810 000.00 |
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|
Infrastructure |
R3 935 000.00 |
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|
Operating Capital |
R0.00 |
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|
SAFDA management fee (2%) |
R94 900.00 |
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|
R14 879 839.00 |
R14 879 839.00 |
Bambanani Mlambo trust |
Production inputs |
R709 745.00 |
100% complete |
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Mechanizations |
R1 464 217.25 |
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|
Infrastructure |
R0.00 |
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|
Operating Capital |
R6 322 877.00 |
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|
SAFDA management fee (2%) |
R291 761.65 |
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Part 2: EDTM: FERTILIZER SUPPORT DALRRD signed a Service Level Agreement with the SA Farmers Development Association (SAFDA) to coordinate and facilitate procurement of production inputs (fertilizers) for Small-Scale Growers (SSGs) in the Komati/Malelane Farmer Production Support Units (FPSUs) in Nkomazi Local Municipality under the Ehlanzeni District of the Mpumalanga Province:
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KWAZULU-NATAL (KZN): SMALL SCALE GROWERS’ (SSGs) FERTILIZER SUPPORT 2023 (Summary of SSGs, HAs, Bags and value of provided fertilizer) |
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|
Budgeted amount |
Amount disbursed to SAFDA. |
MUNICIPAL DISTRICT |
BUSINESS PLAN |
No of Bags @R856
|
Price per item |
Success rate to date |
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|
Area |
Growers |
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|
R97 274 342 |
R97 274 342 |
Umzimkulu |
1 436.65 |
235 |
7 183 |
R856.00 per bag |
All the Growers received the fertilizer and signed for it. |
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|
Sezela |
3 166.59 |
1 661 |
15 833 |
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|
UGU |
4 603.24 |
1 896 |
23 016 |
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|
Umfolozi |
2 478.89 |
1 624 |
12 394 |
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UMKHANYAKUDE |
2 478.89 |
1 624 |
12 394 |
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Gledhow |
2 210.40 |
182 |
11 052 |
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|
Darnall |
1 948.55 |
160 |
9 742 |
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Maidstone |
1 476.30 |
343 |
7 382 |
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ILEMBE |
5 635.25 |
685 |
28 176 |
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Noodsberg |
849.60 |
714 |
4 248 |
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Eston |
737.45 |
487 |
3 687 |
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UMGUNGUNDLOVU |
1 587.05 |
1 201 |
7 935 |
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Pongola RCL |
136.60 |
16 |
683 |
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|
ZULULAND |
136.60 |
16 |
683 |
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|
Amatikulu |
4 040.22 |
2 661 |
20 201 |
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Felixton / Makhatini / Jozini |
4 801.75 |
2 596 |
24 009 |
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|
KING CHETSHWAYO |
8 841.97 |
5 257 |
44 210 |
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|
TOTALS |
23 283 |
10 679 |
116 415 |
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MPUMALANGA : KOMATI PROJECTS |
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|
R43 million |
R43 million |
Project |
Cession (ha) |
No of growers |
Cession (No of Bags) |
Price per item |
Success Rate |
|
|
Spoons 8 Farmer Association |
627,8 |
56 |
3139 |
R833.65 per bag of fertilizer throughout all the projects |
All fertilisers were issued and signed for. |
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Lugedlane and Shinyokane |
576 |
37 |
2880 |
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Figtree A FA Association |
447 |
14 |
2235 |
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Figtree B Farmer Association |
235 |
14 |
1175 |
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Figtree C Farmer Association |
446,4 |
47 |
2232 |
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Figtree D Farmer Association |
437,8 |
76 |
2189 |
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Madadeni FA |
327 |
40 |
1635 |
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Magudu FA |
391,2 |
15 |
1956 |
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Mbunu B |
402 |
52 |
2011 |
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|
Mfumfane |
634 |
75 |
3170 |
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|
Ntunda A and B |
33 |
1 |
42 |
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Sibange |
333 |
38 |
1665 |
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|
Sikhwahlane |
436 |
54 |
2180 |
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Spoons 7 A&B |
367,2 |
30 |
1836 |
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Sibonshwa project |
116 |
1 |
580 |
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|
Walda |
871,6 |
36 |
4358 |
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|
Vuka Usebente |
76 |
7 |
380 |
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Huchinson farm Mzinti |
18 |
1 |
90 |
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|
Timiseleni Coop Magudu |
243 |
15 |
1215 |
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|
Phaphamani womens coop |
23,3 |
2 |
117 |
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|
JJ Maswati coop |
141 |
40 |
705 |
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|
Total |
71 825 |
651 |
35790 |
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MPUMALANGA: MALELANE PROJECTS |
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|
Projects |
Cession (ha) |
No of Growers |
Cession |
Price per item |
Success rate |
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|
Nyubela and Sons |
51 |
1 |
255 |
R833.65 per bag of fertilizer throughout all the projects |
All fertilisers were issued and signed for. |
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|
Langeloop 1 (West & East) |
410 |
40 |
2050 |
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|
Langeloop 2 |
300 |
37 |
1500 |
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|
Khanyangwane/ Buffelspruit |
224 |
29 |
1121 |
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|
Gijima Bomake Coop |
135 |
56 |
677 |
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|
Tikhontele Co-op |
314 |
28 |
1570 |
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Schoemansdal Trust |
104 |
88 |
522 |
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Nhlangu West |
87 |
27 |
435 |
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|
Nhlangu East |
127,6 |
25 |
638 |
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|
Ngogolo |
590 |
39 |
2950 |
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|
Mbongozi |
135,6 |
18 |
678 |
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|
Zelpy |
136 |
22 |
680 |
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|
Dwaleni |
51 |
1 |
255 |
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|
Lotswitswi |
22 |
1 |
110 |
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Middleplaas (Timiseleni n Tizameleni) |
122 |
28 |
610 |
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|
Rainbow |
32 |
20 |
160 |
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|
Rouxville farm |
90 |
1 |
450 |
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|
Total |
2931,8 |
461 |
14659 |
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EQUIPMENT AND MACHINERY FOR KOMATI/MALELANE FPSU |
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EQUIPMENT / MACHINERY |
Specification |
Usage |
Quantity |
Total Amount (R) |
Growers that use the services of the FPSU equipment can save more than R3 500/ha on land preparation costs since private contractors have been charging more than R8 000/ha for complete land preparation while the FPSU charges between R4 500 – R5 500/ha. The current land preparation rate is more than R10 000/ha, and the FPSU currently charges R5 500/ha. Farmers that have used the growers’ machinery have saved and improved their farm profitability (though no actual impact assessment has been done at this stage). The success rate on farms will be determined after harvesting in December 2023. |
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|
Tractors (4x4) |
71-80 kw with CAB MFWD |
Land Preparation/ General Purpose |
2 |
R1 554 132 |
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|
Tractor (4x4) |
91-100 kw with CAB MFWD |
Land Preparation /Fire Fighting |
1 |
R1 387 284 |
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|
Boom Sprayer |
600L |
Herbicide/Pesticide Application |
1 |
R63 106 |
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|
Fire Tanker |
5000L, full house |
Firefighting/ Herbicide |
1 |
R252 800 |
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|
Gyramower/ Slasher 1.8m |
Heavy Duty |
Slashing/Road Maint |
1 |
R53 424 |
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|
Mouldboard Plough |
Reversible |
Land Preparation |
1 |
R111 700 |
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|
Lowbed |
6 Ton capacity |
Transporting machinery between projects |
1 |
R221 600 |
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|
Bell Loader |
120 model |
Crop removal |
4 |
R4 338 688 |
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|
Ripper |
Medium Duty – 5 Curved Shank |
Land Preparation |
1 |
R84 000 |
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|
Ridger/ Furrow |
Shear Ridger – 3 Row |
Land Preparation |
1 |
R77 000 |
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|
TLB |
Land Preparation /General Purpose |
1 |
R1 017 600 |
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|
3 row fertilizer applicator |
3 row fertilizer applicator |
Fertilizer application |
1 |
R58 500 |
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|
5 Ton Tipper Trailer |
5 Ton Tipper Trailer |
General Purpose |
1 |
R128 000 |
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INFRASTRUCTURE |
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|
Dragline rehabilitation |
(50m draglines; tripods; sprinkler heads; nozzles; stoppers; piplets) |
Irrigation overhauling (procurement and supply) |
300 |
R1 500 000 |
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|
Drip system materials |
(filters; valves; rolls; gromets; L-couples; reducers; straight couplings; End stoppers; Submain line) |
Irrigation overhauling (procurement, supply and installation) |
100 |
R2 500 000 |
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|
Dam/River Pumps |
8x10/75kw motors; 8x soft starters) |
Replacement and installation |
400 |
R1 000 000 |
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|
TOTAL |
R14 347 834 |
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Part 3: RURAL DEVELOPMENT: INFRASTRUCTURE |
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|
KWAZULU NATAL |
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|
R37 455 014 |
R37 455 014 |
Amatikulu |
Macekane FPSU: Macekane has 2 600 small-scale sugar cane growers, planting approximately 5372 hectares. |
R37 455 014 |
Progress made to date is 30-50% |
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|
R37 455 014 |
R37 455 014 |
Felixton |
Amatikulu FPSU: Amatikulu has 4 025 sugar cane small-scale growers, planting approximately 5 862 hectares. |
R37 455 014 |
Progress made to date is 30-50% |
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|
R37 455 014 |
R37 455 014 |
Gledhow Darnall Maidstone |
Qwabe FPSU: Qwabe has 547 sugar cane small-scale growers, planting approximately 3 958 hectares. |
R37 455 014 |
Progress made to date is 30-50% |
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|
R37 455 014 |
R37 455 014 |
Makhathini/ Jozini |
Jozini FPSU: Jozini has 1240 sugar cane small-scale growers, planting approximately 2278 hectares. |
R37 455 014 |
Progress made to date is 30-50% |
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|
R37 455 014 |
R37 455 014 |
Umzimkulu Sezela |
Sezela FPSU: Sezela has 1156 sugar cane small-scale growers, planting approximately 4283 hectares. |
R37 455 014 |
Progress made to date is 10% |
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|
R37 455 014 |
R37 455 014 |
Noodsberg Eston |
Noordsburg FPSU: Noordsburg has 2321 sugar cane small-scale growers, planting approximately 1467 hectares. |
R37 455 014 |
Progress made to date is 30-50% |
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|
MPUMALANGA |
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|
R44 844 404.66 |
R29 299 331.13 |
Komati:
|
Farms Irrigation infrastructure development and upgrades for 2 200ha |
R29 299 331.13 |
Progress is at 32% (700ha) to date. |
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|
R15 545 073.53 |
Malelane:
Schoemansdal |
Refurbishment of 22 farms’ production inputs storage facilities and offices Farms soil and water conservation structures development Development of Malelane/Nkomati Sugarcane FPSU that will provide support to production farms in the form of a mechanisation centre and fuel depot. |
R15 545 073.53 |
Progress made to date is 80%. |