As the country marks 30 years of democracy, the issue of land reform has become the centre of attention with many political parties using it to woo voters while others are reflecting on achievements thus far.
Chief executive officer of Vumelana Advisory Fund Peter Setou said the declining budgetary allocations for land reform continue to hamper the state’s ability to effectively drive a successful land reform programme, leaving many land-dependent communities entrenched in poverty and frustration.
Government needs to walk the talk
Setou said the adoption of the Proactive Land Acquisition Strategy (PLAS) in 1996 by the department of agriculture, land reform and rural development (DALRRD), sparked optimism for a revitalised land redistribution effort.
“The noble intentions of the government to empower communities through land redistribution have been thwarted by various challenges, including among others, corruption among state officials, bureaucratic hurdles, favouritism towards elites, limited access to funding, implementation inefficiencies, and external factors like crime and deteriorating infrastructure.
“Through our partnership with beneficiary communities, we have identified strategies to alleviate some of the key challenges within the land reform programme,” he said.
According to Setou, one significant barrier to the success of the land reform programme has been the lack of access to capital and the far-reaching implications of that.
While initial grants provided by the department of rural development and land reform facilitated the launch of farming activities, he added, post-settlement support and sustained financial support are crucial for the long-term success of land reform.
“Commercial farming requires substantial investment and ongoing infusion of capital, which is often beyond the reach of emerging farmers. To address this, the government needs to create an enabling environment where emerging farmers can leverage their land as collateral to access funding from lending institutions.
“We also need to explore other affordable and innovative financing mechanisms to address the current challenges faced by land reform beneficiaries. The involvement of the private sector and the financial services sector will be crucial if we are to achieve this,” he said.
Collaboration should be the order of the day
Setou said fostering community-private partnerships is critical to ensure that land reform is realised in its true meaning, and able to unlock other economic activities such as agricultural development, tourism and conservation.
“To facilitate this, the government, specifically the department of rural development and land reform, should create favourable conditions to enable these relationships to flourish and mitigate some of the risks,” he explained.
Setou added that decaying infrastructure is a concern and has been cited as a significant factor contributing to the failure of most of the land allocated to beneficiary communities.
“Investing in infrastructure upgrades is essential for enhancing farm productivity and sustainability. The government has a responsibility to ensure that off-farm infrastructure is upgraded and maintained as part of creating an enabling business environment.”
He said capacity building is essential for the advancement of land reform beneficiaries. “Strengthening governance and capabilities are key components in ensuring their success.
Sound corporate governance crucial for investment
“While the specific needs for capacity building vary among communities, certain fundamental aspects are crucial for CPA development. These include institutional support, such as the establishment of an enabling CPA constitution or trust deed, as well as the implementation of governance measures, including beneficiary verification, financial record-keeping, and regular report-back sessions including the holding of annual general meetings (AGMs).”
Setou believes training in areas like financial management and corporate governance is crucial for CPAs to thrive and fulfil their objectives.
He emphasised that the private sector is more inclined to invest in entities with sound corporate governance practices as these ensure transparency and accountability and serve as a safeguard against fraud and mismanagement while fostering stability within the community.
“These recommendations have been tried and tested. What we require now is scalability – to provide support to struggling CPAs to enable them to use their land productively. This will involve assessing their current status and implementing progressive solutions to revive the potential of vast idle land tracts.
“Such efforts will contribute significantly to food security and the revitalisation of rural economies,” he said.
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