Tonight President Cyril Ramaphosha will deliver his eighth State of the Nation Address (Sona) since assuming the role back in 2018 following the resignation of Jacob Zuma. The speech will also be the last one under this administration ahead of the much anticipated national and provincial elections.
Ramaphosa started his presidency with energy and vibrancy narrating the great song of the late jazz musician Hugh Masekela, “Thuma Mina” (send me), displaying himself as the one sent to resolve the many challenges the country was faced with.
Many agricultural promises were made in his last seven Sonas, and while some have been partially kept, others remain undelivered with no clear indication when will they be reached.
Land reform lacking
In 2018, Ramaphosa said the government was going to accelerate the land redistribution programme, not only to redress a grave historical injustice, but also to bring more producers into the agricultural sector and to make more land available for cultivation.
The Commission on Restitution of Land, however, said that it would take South Africa about 30 years and more than R170 billion to settle land claim backlogs at the current rate and with the current budget.
In his two Sonas in 2019, Ramaphosa said the government was going to support the push for the Land Expropriation Bill to be passed in Parliament, which they did not.
Ramaphosa in 2021 promised creation of a Land Reform and Agricultural Development Agency. To date, the sector has not heard anything from the President regarding the agency.
Master plan mishaps
In 2020, Ramaphosa highlighted the importance of different commodities having their master plans which would enhance the agricultural sector.
While there has been a master plan for agriculture and different commodities, the tough economic climate in the country has made it impossible for the plans to be fully implemented.
No growth in cannabis industry
In 2022 Ramaphosa said the hemp and cannabis sector has the potential to create more than 130 000 new jobs.
While the news was widely welcomed, the industry said government departments were working in silos and little progress was made.
Powerless promises
In a bid to end power cuts, Ramaphosa announced in his last Sona the appointment of a new minister of electricity.
To date, agriculture has been the hardest hit by rolling power cuts up to stage six, leading to four hours twice a day of no electricity.
What do industry leaders say?
Poultry industry
Noting the successes of the Poultry Master Plan, South African Poultry Producers chief executive officer Izaak Breitenbach said the industry has invested more than R2.4 billion since 2019 and the start of the Agriculture and Agro-processing Master Plan (AAMP).
“Then 2023 arrived with extremely high raw material costs, massive expenses on diesel cost due to load shedding, and a devastating HPAI (bird flu) outbreak that cost the industry over R9.5 billion. The industry is on its knees with not a single company having made profits in 2023.
“Then came the unfortunate announcement by minister Ebrahim Patel that a rebate would be given on tariffs which effectively took away all protection against unfair trade except for anti-dumping duties. The industry is now forced to compete with this action that in essence stimulates imports and reduces local production on the back of all the hardships mentioned,” he said.
Sugar industry
Siyabonga Madlala, chief executive officer of the South African Farmers Development Association (Safda), appreciated the signing of AAMP together with the Sugar Master Plan.
“Phase one expired in March 2023. One of the objectives of the phase one master plan was to restore the local demand for sugar with at least 300 000 tons; this target was exceeded by 37 107 tons.
“Phase one was about stabilising the industry. In the three years of implementation, not a lot of jobs were created but also not a lot were lost. It is hoped that as diversification projects are conceptualised, finalised, and implemented new jobs will be created,” he said.
Cannabis industry
Trenton Birch, chief executive officer of Cheeba Cannabis Academy, said government has not come to the party when it comes to the cannabis industry. He said there have been a lot of talks and there certainly has been some movement but there has been little to no investment into the industry.
“The provinces have all gone rogue and are doing their own thing. The illegality of the industry has flourished due to a lack of clear regulations and a lack of movement with the legislation. In terms of the government and the cannabis industry to date, I think they have failed us because all the talk has just been hot air.
“I do not think the cannabis industry receives enough support at all by government and I do not believe the government has been doing its job in assisting the industry move forward,” he said.
Wine industry
South Africa Wine chief executive officer Rico Basson said the President must touch on national priorities including excise tax alignment with inflation, investment in law enforcement, infrastructure development, alternative power supply, agricultural development support, solar and wind alternative incentives, and water infrastructure prioritisation.
“We strongly urge government to ensure excise taxes remain aligned with inflation rates and linked to the incidence alcohol policy framework set by National Treasury, thus avoiding undue burden on our industry and producers.
“The wine and brandy sector needs a balanced approach to taxation to ensure economic stability and foster fairness in the system,” Basson said.
ALSO READ: Potatoes SA shares commitment to transformation, sustainability
Sign up for Mzansi Today: Your daily take on the news and happenings from the agriculture value chain.
