Land allocation alone cannot guarantee agricultural success. At the Agda congress in Boksburg, Gauteng, industry role players urged integrated support combining infrastructure, timely financing, business development and market access for emerging farmers to build sustainable commercial enterprises.
The discussions, facilitated by Agda CEO Leona Archary, brought together government officials, commercial farmers and investment representatives to explore how partnerships could strengthen transformation and improve black farmers’ participation in commercial agriculture.
Moving beyond land Allocation to integrated support
Nomtandazo Moyo, deputy director-general for land reform and rural development, said government had recognised the limitations of allocating land without the support needed to make it productive.
“Farmers were allocated land and left on their own to see what to do with the land,” Moyo said.
She explained that the department is adopting an integrated approach that linked land allocation to infrastructure, commodity planning and value-chain development. Basic requirements include water access, energy, fencing and land preparation, alongside training, skills development and enterprise support.
“Farming, same as hospitality, is a business,” she said, emphasising the need to help beneficiaries operate sustainable enterprises. Support should also extend to subsistence and smallholder farmers, rather than focusing only on those considered ready for commercial growth.
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Critical need for timely capital and market access
Dr Dan Mosia, a commercial farmer, said access to land alone cannot guarantee commercial success. Farmers also need timely funding, sound business organisation, production discipline and effective partnerships.
“Funding must be timely. It has to come on time,” Mosia said, warning that delays could cause farmers to miss critical production opportunities.
He encouraged farmers to plan ahead for the next production season and build their capacity to finance future operations. Partnerships, he added, should help emerging farmers become sustainable businesses with clear milestones and shared responsibilities.
Mosia also called for greater participation beyond primary production, including packaging, exporting and accessing markets, where farmers could capture more value from their produce.
Unlocking equity investments and agro-processing
Keneilwe Nailana-Mabona, representing the Public Investment Corporation (PIC), said the challenge is not simply a lack of capital, but a shortage of investable projects suited to available funding.
She explained that the PIC’s direct investment approach focuses on businesses seeking to expand, with potential support through equity partnerships. Investment decisions consider management, governance, operations and how funds would be used.
“We want to see more black agribusinesses operating at agroprocessing level,” Nailana-Mabona said, adding that infrastructure investment is also important.
She said partnerships should include clear exit strategies to help businesses become sustainable over time.
Kallie Schoeman, chairman of Schoeman Group Holdings and general manager of its Northern Cape division, called for stronger integration between farmers and other value-chain participants.
He highlighted the pressure of production costs, including fertiliser, fuel, pesticides and herbicides, electricity, seed and finance. Farmers, he said, face significant production and market risks that other participants in the value chain do not necessarily share.
“The rest of the people in the value chain does not carry the same risk as the farmer does,” Schoeman noted.
He urged businesses across the value chain to provide stronger support to farmers, including encouragement for those dealing with financial pressure and uncertainty.
Mooketsa Ramasodi, director-general of the department of agriculture, identified market access, skills development and greater participation by women, young people and persons with disabilities as priorities for agricultural development.
He called for more inclusive participation across agricultural value chains, with transformation creating meaningful economic opportunities for historically excluded groups.
“At the core, we want [to look at] how we ensure that we move women, youth, and persons with disabilities up the ladder in terms of where the country could be,” Ramasodi said.
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