Agbiz concerned about lack of clarity on land reform during Sona speech

21 June 2019 - 08:12 By ERNEST MABUZA
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President Cyril Ramaphosa during his state of the nation address in Cape Town on Thursday. Agbiz has welcomed his comments on the importance of agriculture.
President Cyril Ramaphosa during his state of the nation address in Cape Town on Thursday. Agbiz has welcomed his comments on the importance of agriculture.
Image: Esa Alexander

The Agricultural Business Chamber (Agbiz) on Friday welcomed President Cyril Ramaphosa’s recommitment to placing South Africa’s economic growth at the forefront of the sixth administration's agenda.

However, it said the lack of clarity regarding the land reform policy framework remained a concern to South African agribusinesses.

Agbiz, an association of agribusinesses operating in South and southern Africa, was commenting after the president’s state of the nation address (Sona) on Thursday night.

In his address, Ramaphosa said government was going to substantially expand the agriculture and agro-processing sector by supporting key value chains and products, developing new markets and reducing the country’s reliance on agricultural imports.

“We were also pleased to hear the president’s re-emphasis of the need to implement the National Development Plan (NDP) and the country’s commitment to vision 2030.

“In this vision, the agricultural value chain plays a crucial role in the growth and stability of rural economies,” Agbiz said in a statement.

The association said it had long supported and argued for the implementation of chapter six of the NDP over the past few years. Chapter 6 deals with an inclusive and rural economy.

Agbiz said this chapter of the NDP was the roadmap to inclusive growth in the sector and would address the triple challenges of poverty, unemployment and inequality.

“We are encouraged by the president's pragmatism regarding contemporary issues facing the agricultural sector, such as climate change mitigation and adaptation, water infrastructure and increasing the pace of technology adoption across the globe.”

Agbiz said these factors could affect the growth and competitiveness of the South African agricultural sector in the global markets.

On the lack of clarity regarding the land reform policy framework, Agbiz said it would continue to engage with government to craft a sustainable solution to land reform in South Africa.

It said the solution it envisaged was based on the principle of public-private and community partnerships.

“For the agricultural sector to thrive, South Africa not only needs to boost production, but also increase access to the export market, and we were pleased that the president acknowledged the importance of export-led growth in the sector.

“While we like the tone of the president’s speech, we remain cautiously optimistic,” Agbiz said.

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