ATC240228: Report of the Portfolio Committee on Agriculture, Land Reform and Rural Development on a Study Tour to Brazil, dated 20 February 2024
Agriculture, Land Reform and Rural Development
Report of the Portfolio Committee on Agriculture, Land Reform and Rural Development on a Study Tour to Brazil, dated 20 February 2024
The Portfolio Committee on Agriculture Rural Development and Land Reform, having undertaken a Study Tour to Brazil on 19 – 23 June 2023 reports as follows:
1. Introduction
This report documents the proceedings of, and insights from, a five-day study tour in Brazil by the Portfolio Committee on Agriculture, Land Reform and Rural Development from 19 to 23 June 2023. The study tour focussed on how the federal government of Brazil and states have tackled landlessness and addressed unequal land distribution patterns as well as land development mechanisms that support agricultural growth and prosperity which in turn enables government in its totality to improve the socio-economic conditions and contributing to economic growth.
1.1 The aim and objectives of the study tour
The overarching aim of the study two-fold: firstly, to explore and gain insights with regards to Brazil’s land and agrarian reform, support to the smallholder sector and the contribution of agriculture and related value-chains in the economy; and secondly, understand how parliamentary oversight on agrarian reform has resulted in inclusive growth in agriculture. The oversight seeks to ensure that the delegation of the Portfolio Committee on Agriculture, Land Reform and Agriculture draw lessons from Brazil, as a BRICS member, with regard to its interventions in agriculture to grow the economy. Specific objectives for the study tour can be summarised as follows:
- Land and agrarian reform: To understand how the land redistribution and land governance programmes have contributed to thriving family farms and smallholder sector in general; To explore existing policy mechanisms available to the State for faster pace of land redistribution as well as beneficiary selection criterion; To explore the impact of existing private-public partnerships, where they exist, and other forms settlement support to producers.
- Large-scale commercial farming and value chains: To understand the role of the State in supporting its modernised large-scale commercial farming and related value-chains to the extent it is one of the top producers in the World and a net exporter; and To interact with officials of government as well as experts in relation to agricultural research and development, rural extension and technical assistance; and
- Parliamentary oversight: To draw lessons on Brazil’s model, and strategies for, parliamentary oversight by relevant committees in its National Congress, as well as range of institutions overseeing agriculture and agrarian reform initiatives of government.
- Why was Brazil chosen for the study tour?
Brazil and South Africa are members of the BRICS, a vitally important grouping of major emerging economies from the world, comprising 41% of the world population and having 24% of the world GDP with 16% share of global trade[i]. The eThekwini Declaration of 27 March 2013, at the BRICS summit fifth BRICS Summit titled “BRICS and Africa: Partnership for Development, Integration and Industrialisation” pledges a commitment to “exploring new models and approaches towards more equitable development and inclusive global growth by emphasising complementarities and building on our respective economic strengths”. Against this backdrop, and a long history of land struggles as well as agrarian reform in Brazil, this study tour offers an opportunity for important agrarian transformation lessons for South Africa.
- Delegation
A multiparty delegation of five members undertook the study tour on behalf of the Committee in line with the recommendation of the House Chair: Committees and ICT. The delegation was supported by the Committee Secretary. Further, it was accompanied by officials of the Department of Agriculture, Land Reform and Rural Development, representing the Minister of Agriculture, Land Reform and Rural Development.
Table 1: The delegation
|
Names |
Political Party |
|
|
Members of the Portfolio Committee on Agriculture, Land Reform and Rural Development |
Nkosi Mandela, Mr ZMD MP Capa, Mr NL MP Tshwete, Ms B |
African National Congress |
|
Masipa, Mr NP |
Democratic Alliance |
|
|
MP Matiase Mr NS |
Economic Freedom Fighters |
|
|
|
||
|
Parliamentary Official |
Ms Phumla Nyamza, Committee Secretary |
|
|
|
||
|
Department of Agriculture, Land Reform and Rural Development |
Mr Ralph Sebifelo: Parliamentary Liaison Officer Mr Julius Mashaphu: Chief Director Land Development & Post Settlement Support Mr Rirhandzu Shilote: Chief Director Redistribution
|
|
|
South African Embassy in Brasilia |
Ms Iturralde, Counsellor Economic,
|
|
- Meetings with Stakeholders
The Committee was assisted by the South African Embassy in Brazil to facilitate and set up engagements between the delegation and various stakeholders as shown in Table 2 below. The meetings ranged from briefing sessions and conversations about agrarian transformation in Brazil as well as agricultural development and support mechanisms as well as the contribution of agriculture to economic growth of Brazil. In order to achieve its objectives, a wide range of stakeholders were met as per the schedule shown in Table 2 below.
The delegation met with Krieltech, Institute of Innovation for Sustainable Rural Development (Amater), Interamerican Institute; Brazillian Parliament (both lower and upper house); Green Imperative Project; Brazilian Agricultural Research Corporation; Landless Rural Workers Movement (MST); National Agriculture and Livestock Confederation; and National Confederation of Family Agriculture (CONAF).
Table 2: Schedule of engagements and list of stakeholders met
|
Date |
Meetings with Stakeholders |
Purpose |
|
19 June 2023 |
Krieltech and Chemistry Institute
|
Arboline Nano Technology |
|
South African Embassy
|
Courtesy Meeting |
|
|
Institute of Innovation for Sustainable Rural Development (EMATER)
|
Food Acquisition Program; National Schools Meals Programme; National Programme for Strengthening Family Agriculture |
|
|
20 June 2023 |
Site visits (Kriltech) |
Farm visit (Tomato and Bean farms) |
|
Interamerican Institute for Agriculture (IICA)
|
|
|
|
21 June 2023 |
Brazilian Parliament Lower Chamber (Camara dos Deputados; Chamber of Deputies)
Brazilian Parliament Senate? Upper Chamber Senator Thronile, President of the Agric Portfolio |
Parliamentary oversight |
|
The Green Imperative Project (GIP) – FGV-EU CIITTAA
|
Technology transfer for food production in tropical climates |
|
|
Movemento Sem Terra/Landless Rural Workers Movement (MST)
|
The role of social movements in advancing redistribution of land |
|
|
EMBRAPA (Brazilian Agricultural Research Corporation)
|
Agricultural research and technology |
|
|
22 June 2023 |
|
Food Systems for Nutrition |
|
Daniel Franco Institute, Dr Daniel Franco |
Youth Training |
|
|
National Agriculture and Livestock Confederation
|
Livestock Production |
|
|
23 June 2023 |
National Confederation of Family Agriculture (CONAF)
|
Promotion of family farming and agricultural initiatives |
|
Monte Pascoal College Prof Erico Erico Meirellas Prof Carbio Wahed Prof Bruno Anacieto |
Academic and Professional training for livestock farming |
1.5 Structure of the report
Following this introductory section, the report highlights background to relations between Brazil and South Africa and compares the contexts within which the two countries are located, especially the constitutional architecture and mandates in relation to land. It highlights the country profile, and lastly documents the stakeholder engagements. A synopsis of key issues and insight from the study tour are discussed, and it concludes with findings made and the conclusions reached by the Committee delegation.
2. Context for the study tour
In the 6th Parliament, the Portfolio Committee on Agriculture, Land Reform and Rural Development has decried a lack of sufficient progress towards transformation of property relations in South Africa as envisioned in Section 25 (5), (6) and (7) of the Constitution of South Africa. For example, restitution claims (pre and post 1998) are yet to be finalised[1], farm evictions especially in Mpumalanga and KwaZulu[2]; communal land tenure insecurity[3]. What this means is that the skewed patterns of land ownership have continued despite progressive policies and legislation that sought to drive transformation for the empowerment of the marginalised majority of South Africa. In contrast, the established commercial agriculture continued to prosper. Transformation of the agricultural sector has become minimal as the implementation of the AgriBEE Charter has fallen short of the public expectations.
It is thus obvious that South Africa’s dual agrarian structure characterised by agricultural primary production in which there is a well- developed commercial growers of the vast majority (about 80%) of the country's food production (about 35 000 commercial growers) on one hand whereas on the other hand exists a large group of subsistence and smallholder producers who mainly produce for their own consumption, but less contribution to the country’s food production ( approximately 2 000 000 smallholder or household farmers). Many of these farmers rely predominately on the land to feed their families with hopefully some surplus to sell or trade. This duality is partly a legacy of the colonial and apartheid racially based policies which supported and advanced large-scale commercial farming. Several policy interventions made since 1994 have hardly made any impact at scale.
The National Development Plan of the government of South Africa identified agriculture as a sector that will have to support economic development and create approximately 1 million jobs by 2030 (NPC 2011). With the statistics showing that one in four inhabitants currently experience food insecurity the smallholder and subsistence sectors can play a significant role in food production. There is a potential for the growth of the Fourth Industrial Revolution (4IR) and agriculture to accelerate the growth of South Africa’s agriculture sector, opening opportunities for smaller producers to leapfrog hurdles like market access and food losses.
It vitally important for South Africa, especially the Parliament as a legislated oversight body to explore practices, experiences and lessons from other jurisdictions. Brazil, as discussed above offers such an excellent opportunity for Parliament to learn what can be done in agricultural land reform, fighting landlessness, using technology to advance agricultural production and marketing.
3. Country profile
3.1 Political overview
Brazil has a three-sphere federal, state, and local municipal government structure. Brazil's 1988 Constitution, which has since evolved into the cornerstone of most of its projects through the development of policy and legislation, can be credited with the country's success in agriculture. Eliminating poverty, shoddy living conditions, and regional and socioeconomic inequality are some of the goals of the 1988 Constitution. The Constitution gave the union the authority to expropriate property for agrarian reform with just compensation as one of its many powers.
Brazil has two official languages, namely, Portuguese and Spanish, with the former being the most popular. Presentations were made in Portuguese both orally and in writing, with oral presentations predominating. Although translators were appointed to help with the translation, there were still instances where it was challenging to follow. Due to time restrictions, the team was only able to visit one family farm, which served as a demonstration of the advantages of the Arboline Nano technology created by KrillTech in partnership with the University of Brazilia.
3.2 Agriculture
According to the Brazil country profile presented to the Committee, the State plays an important role in supporting its modernised large-scale commercial farming and related value-chains to the extent that it is one of the top producers in the World and a net exporter. Agriculture is one of the main contributors into the economy of Brazil; 94 percent of its agricultural produce is exported with each region focusing on its competitive advantage.
Brazil’s agricultural success can be attributed to its focus on the following areas:
- Access to land
- access to finance – promoted through sound credit policies with low interest rates biased towards family farmers
- promotion of cooperatives
- technological innovation
- extension services; and
- farmer training
High value products like fruits, such as apples, pears, grapes, etc., are produced in Brazil on farms with an area of 12 ha. Although it is still difficult for them to get young people interested in agriculture, their efforts to promote it in classrooms and technical institutions are starting to show progress. The Union was given the authority by the Constitution to expropriate property for agrarian reform with just compensation. The development of the Agriculture and Land Policy and Agrarian Reform relied on effective participation of the production sector, comprising producers and rural workers, as well as the marketing, storage and transportation sectors. Brazil has heavily invested in EMBRAPA, an entity of the Ministry of Agriculture and Livestock responsible for research and development to drive its agricultural and agrarian reform.
- Policy overview
3.3.1 Affordable finance through credit rural finance
One of the federal government's credit initiatives is the Rural Development Fund. There are three different kinds of loans offered:
- Production cost credit for cooperatives and small-scale farmers
- Credit for commercialisation and
- Investment
The Ministry of Agriculture oversees the Crop Plan, also known as PLANO SAFRA, which is a comprehensive plan for planting, harvesting, and marketing. It was institutionalized by the Central Bank of Brazil and is funded from rural savings accounts, deposits to check accounts, community stock investments, among other sources.
- Summary of meetings with invited stakeholders
- South African Ambassador, Ambassador V Mavhimbela
The Ambassador confirmed the good political relationship of South Africa and Brazil. South Africans could benefit from Brazil for purposes of food security, agricultural agreements that could assist SA. Exchange programmes could be established to share experiences on agricultural sector. A similar approach conducted by South Africa on Section 25 of the Constitution was conducted by Brazil. Brazil embarked on the process of expropriating land without
4.2 Meeting with Senator – Soraya Thronicke
The team met the Senator after a brief tour of the Parliament building. She also underscored Brazil's investment in agriculture by pointing out that more than 2000 agricultural experts hold master's and doctoral degrees from both within and outside of Brazil.
Family farmers found it difficult to obtain financing due to the lack of title deeds as a form of security. Brazil is addressing the issue. Recently, a Brazilian cocoa business addressed the parliament with a proposal to import cocoa from Africa to supplement its meagre existing supply, which might present a chance for African farmers, especially South Africans.
4.3 Brazilian Parliament: Commission for Agriculture and Agrarian Reform
The President (Chairperson of the Committee in SA context) explained to the delegation that Brazil is a three-sphere government, made up of the (i) Federal; States; and local municipalities. Brazil’s agricultural success can be attributed to its 1988 Constitution, which has since become the bedrock of most of its initiatives through policy and legislation development. One of the objectives of the 1988 Constitution is to eradicate poverty and substandard living conditions and to reduce social and regional inequalities.
4.4 KrillTech
The meeting provided information on how the Arbolina was used to increase production in the agriculture sector. Brazil was compelled to actively explore research and development for a number of reasons, including: to move from being a net importer to an exporter of agricultural products; to address the issue of expensive fertilizer; and boost the calibre of its agricultural output and the continuous increasing population demands mass production, among other factors.
An arbolina nanotechnology was created by KrillTech in association with the University of Brazil and EMBRAPA, and its advantages include:
- friendly to the environment,
- enhanced productivity and
- higher nutritional standards
- The return on investment was between 10% and 30% when it was tested on commodities like tomatoes, soybeans, green beans, strawberries, and cocoa.
- Wheat's tolerance to various weather conditions has enhanced because of the application of technology.
- A visit to a family farm of about 1400 acres, where products including tomatoes, wheat, and garlic are grown, was made to see the use of this technique on tomatoes.
- What was seen was a robust tomato crop with dark green leaves that produced bunches of tomatoes rather than just one, that is, four to five fruits in each bunch.
4.5 Emater Institute of Innovation for Sustainable Rural Development
- EMATER was established after the World War II, it is a State Technical Assistance and Rural Company of the Federal District, and it was founded to ensure food security for the Brazilian people.
- They have 50 offices spread out over the length and breadth of Brazil, covering all district states.
- They carry out the directives of the Federal District.
- Offers free livestock and crop extension services to producers.
- They employ agronomists, engineers, and other specialists in agriculture to provide this support.
- Training farmers and their families in agricultural production's technological, organizational, marketing, and management aspects to create jobs.
4.5.1 In the main it focuses on three dimensions:
- Economic dimension
- Environmental dimension and
- Social dimension
The EMATER has programmes specialists in the negotiations and implementation of modern treaties and self- government agreements, land management regimes, and claims settlement processes.
4.5.2 EMATER oversees three government initiatives:
- The government's plans for acquiring food from family farmers under the family farming program helps the local economy; government is required to buy this food for feeding scheme under the National School Meals Programme (program to education)
- The government's procurement initiatives for goods and food for the Federal District family
- At various levels, EMATER on behalf of government is in charge of making logistical arrangements to make sure that food arrives at distribution hubs in a timely manner.
With 158 institutions participating, there is a solid coordination mechanism between the Ministries of Agriculture and Education.
4.6 Inter American Institute for Agriculture (IICA)
The Cooperation works with other hemispheres including Africa in addition to South, Middle, and North Americas. It was established in 1942 to help its member states advance rural and agricultural well-being. It is purely technical and not a financing organization.
There are 20 observer nations who do not make financial contributions to the IICA's operations. 35 offices are spread out throughout the member countries to offer technical support. A nation must submit an application for membership in order to be considered.
4.7 Embrapa
EMBRAPA is a state-owned research corporation established in 1973 under the Ministry of Agriculture. Its mission is to “develop research, development and innovation solutions for the sustainability of agriculture, for the benefit of the Brazilian society”. It’s part of the National Agricultural Research System, which comprises federal and state public institutions, universities, private companies, and foundations, which cooperate to conduct research in different geographical areas and fields of knowledge. Through research and development with its partner institutions, it has managed to not only produce more variety of foods and fibres, but also better-quality products at lower prices, creation of new jobs, etc. It prides itself of hundreds of technologies as well as hundreds of cultivars.
The main functions of EMBRAPA
- Undertake strategic research in partnership with the world’s centres of excellence.
- Monitor science and technology in areas of interest to Brazil.
- Articulate projects of common interest to the Brazilian teams, US, Europe and Asia
4.8 Daniel Franco Institute for Agriculture
This is a private institute with a focus on agricultural training, with specific reference to genetic excellence, and selective and sustainable livestock raising, raising cattle to new levels of productivity and providing quality meat and milk, as well as food safety. They’ve had 83% success rate in the export of semen and have attributed the this to their professional handling of the exported semen. They have managed to improve milk production from 40 litres per day to between 44 to 48 litres a day. Countries would identify the need and send student for training, and they’ve had students from countries such as Nigeria, Panama, Dominican Republic for a course in artificial insemination – with most request in milk production.
- Training is between four – six months at an all-inclusive cost of 150 USD per month.
- Offer 34 courses in various areas of training in agriculture.
- Their specialty is beef and milk, they’ve had request for soya-beans, wheat, and other commodities.
4.9 National Agriculture and Livestock Federation
The National Agriculture and Livestock Confederation is a group of employers that represents two million small, medium, and large-scale farmers established in 1951, the organization has representation from 200 rural unions that help producers as well as 27 state federations. It represents, unite, and amplify rural producers on issues of agribusiness policy discussion and development at the national and international levels. It consists of the National Rural Learning Services (SENAR), which is in charge of providing technical help, social programs, and training to rural communities. Land can be expropriated for a variety of reasons, including the land's societal use, according to the Land Tenure Regularization and Land Reform Policy.
However, there are four conditions that must be met in order for expropriation to occur:
- Utilization that is reasonable and appropriate for the land,
- protection of the environment,
- observance of labor laws, and
- well-being-promoting exploitation.
Distribution of land in Brazil: - Native vegetation covers 81.1% of the land, while significant water surfaces make up 2.1% of the total area. The remaining 13.8% of the area is taken up by farming (2.3%), pastures (10.5%), and road and rural infrastructure (1%). observing and recording invasion incidents
Up until June 2023, there were 57 invasions reported, most of which were supported by the Landless Workers Movement (MST) and affected more than 40 municipalities across 10 states.
4.10 National Confederation of Family Agriculture
National trade union federation CONAF, or the National Confederation of Family Agriculture, was established in 2004 with the goal of promoting family farming. It fights for the issuance of title deeds, lends technical assistance, and conducts social protection projects motivated by the requirements of its members. It also calls for and carries out government policies supporting family farmers. At all three tiers of government, it arranges its membership.
Family farmers, who are claimed to produce 70% of the nation's agricultural output, are represented by this sector. The allocation of this land in accordance with the Regularization Policy is significantly impacted by the illegal occupation of 90% of the expropriated land. There are 500 people waiting in line since the former president decided to halt land allocation.
Fully supports the government's market access program, which mandates that towns purchase food from family farmers with 30% of their budgets. Family farmers could increase their income by exporting honey and a regional fish.
4.11 Monte Pascoal College
The college was established through a partnership with the National Institute of Courses (INCURSOS) and this year they’ll be celebrating 18 years in the continuing education market. Estancia Tamburil is a genetic dairy farm, with the largest genetic bank of milk producing cows. The college is recognized by the Ministry of Agriculture in Brazil. Their target market is veterinarians, animal scientists, and other professionals (e.g. animal technicians) in the field of milk production. They provide teaching/learning for postgraduate and professional development courses. Participated in production of over 5,000 specialists, and now has 1,700 postgraduate students in progress.
Its dairy Gir and Girolando breed, are one of the most prestigious, renowned both nationally and internationally for its remarkable quality of embryo production and high levels of genetic performance.
5. Findings
- Policy development require proper stakeholder analysis to ensure that all critical stakeholders effectively take part in the development of their respective areas.
- Fast tracking land redistribution. It therefore means that government must amendment of Section 25 of the Constitution to enable government to expropriate land for purposes of access to land and agrarian reform.
- Consider a special interest rate regime for smallholder farmers to encourage them to take loans for their agricultural activities!
- Issuing of tittle deeds to smallholder farmers to use as surety to access finance has a potential to improve production on land acquired by the poor.
- Promote agriculture at school and technical level to encourage the youth to follow agriculture as a career.
- Increase investment in research and development, the use of retired researchers to strengthen capacity especially in the state entities and encourage collaboration with entities such as EMBRAPA.
6. Conclusion
There is a great need to explore the coordination of different government agencies in a federal system, and they appear to have found mechanisms for working together cooperatively.
[1] Budget Vote Report (2023)
[2] Joint oversight report – PCALRRD and PCEL dated 28 Oct. 2022
[3] CLaRA judgement and HLP report