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EASTERN CAPE RURAL DEVELOPMENT AND AGRARIAN REFORM STATE OF READINESS FOR CROPPING 18/19 SEASON 4 SEPTEMBER 2018.

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Presentation on theme: "EASTERN CAPE RURAL DEVELOPMENT AND AGRARIAN REFORM STATE OF READINESS FOR CROPPING 18/19 SEASON 4 SEPTEMBER 2018."— Presentation transcript:

1 EASTERN CAPE RURAL DEVELOPMENT AND AGRARIAN REFORM STATE OF READINESS FOR CROPPING 18/19 SEASON 4 SEPTEMBER 2018

2 PURPOSE Provide an update on the state of readiness for 2018/19 Cropping Program

3 OBJECTIVES To measure readiness against time frames To strengthen collaboration To increase production and number of hectares planted To achieve value for money

4 EASTERN CAPE AGRICULTURE POTENTIAL

5 LAND USE PATTERNS IN THE EASTERN CAPE PROVINCE
Due to a combination of ecological, geological, morphological, topographical and climatic factors 90 % of the Eastern Cape land surface is suitable for extensive livestock farming and only 10 % is suitable for crop production.

6 Eastern Cape land use & cropping potential
District Total Area (ha) (000's) Non -Agric Land (ha) (000's) Forest (ha) (000's) Agric. Land Use (000's) Total Grazing area (ha) (000's) Potential Cropland (ha) (000's) Current Commercial/ cropping/Pasture (ha) (000's) Projection for expansion of commercial cropping (25% of current semi-formal cropping area + virgin land areas) (000's) Alfred Nzo 1,460 101 42 1,317 858 392 22 55 Amatole 2,404 139 94 2,170 1,860 231 49 BCM 254 36 11 207 151 45 16 5 Chris Hani 3,610 194 38 3,378 3,032 381 88 43 Joe Gqabi 2,566 78 21 2,467 2,228 233 114 18 O R Tambo 822 65 93 664 597 98 S Baartman 5,834 140 50 5,644 5,483 158 236 NMM 196 1 157 155 4 Total 17,146 791 350 16,004 14,364 1,542 536 159 100.0% 4.6% 2.0% 93.3% 83.8% 9.0% 3.1% 0.93%

7 RESOURCE POTENTIAL : RAINFALL & COMMODITY SUITABILITY
Veg & Potat. Dryland Cropping (Maize) Beef Cattle Sub-trop. Frt. Livestock ( Cattle, sheep. Goats) < 300 mm Livestock (sheep, Goats - game) Poultry Citrus Chicory Pineapples Macadamia Deciduous Dairy Dairy

8 SUMMER DRYLAND CROPPING POTENTIAL AREAS

9 CROPPING ACHIEVEMENTS
The Province has made progress in increasing production from ha in 2014/15, ha in 2016/17, ha in 2016/17 and ha in 2017/18 There has been significant progress in support of household food security from ( persons) in 2014/15 to in 2017/18 benefitting a total of persons The decline in 2017/18 is attributed to increase in the cost of production and the general decline in the economy For the first time black smallholder have been provided with a platform to export their maize to Vietnam through partnership with GFADA In partnership with Land Bank a total of 220 ha of macadamia nuts were planted in Amajingqi Ripplemead pack shed in Ngqushwa for export market is operational Increase the number of black pineapple producers

10 CITRUS PRODUCTION AND PACKING

11 FIRST EXPORT OF GRAIN BY BLACK EASTERN CAPE FARMERS

12 Working staff at Amajingqi Macadamia farming

13 PLANNED HECTARES PER COMMODITIES AND JOBS FOR 2018/19 FINANCIAL YEAR
COMMODITY HECTARES JOBS FRUIT 297 302 VEGETABLES 470 1410 MAIZE 53 383 1107 FODDER 730 22 CHICORY 120 720 TOTAL 55 000 3561

14 SIGNED APP TARGETS EASTERN CAPE 55 000 - 45 000 10 000 PROVINCE
SIGNED OFF APP TARGETS QUARTERLY TARGETS Q1 Q2 Q3 Q4 EASTERN CAPE 55 000 - 45 000 10 000

15 AREA AND DEMOGRAPHICS PER DISTRICT
Districts Targeted Hectares Beneficiaries Males Females  ALFRED NZO 16100 2510 1534 976  AMATHOLE 9700 3697 1813 1884  CHRIS HANI 10700 7843 3518 4325  JOE GQABI 4500 766 341 425  O.R. TAMBO 14000 9973 4124 5849  SARAH BAARTMAN 450 310 154 156 TOTALS 55450 25099 11484 13615

16 Cropping Budfget: 2018/19 Finacial year
Source of Funds Budget (R'000) CASP R 23,741 LETSEMA R 71,263 VOTED R 67,092 TOTALS R 162,096

17 Total Investment in Cropping: 2018/19

18 PARTNERSHIPS TO LEVERAGE FUNDING FOR CROPPING
Government creates conducive environment for farmers to farm It must provide targeted commodity support to farmers Partner with farmers to reduce the cost of production Subsistence/ household production are provided with starter pack (seeds, seedlings, fertilizer and garden equipment) For large scale production/smallholder grain producers where farmers have decided to cluster their communal land in to production units for commercial purposes, DRDAR provides a grant of R3200 per ha, which depending on the choice of the farmer could be production inputs or mechanization. These farmers are not first time beneficiaries as they were supported in the previous seasons, they are now required to top up government grant with their own contribution which will depend on their choice and targeted yields

19 PARTNERSHIPS TO LEVERAGE FUNDING FOR CROPPING (CONT.)
RED HUBS (Mqanduli, Mbizana, Ncora, Malahleni) : Co-operatives (clustered communal land) raise their contribution through the sale of their mealie meal in order to invest in expanding the primary production WIPHOLD (Mnquma and Mbashe): Farmers clustered into large scale grain production units where the DRDAR provides a grant of R per ha and WIPHOLD top up the shortfall as per target yield GrainSA (Chris Hani, Joe Gqabi, OR Tambo, Amathole, Alfred Nzo): clustered farmers (study groups) where the DRDAR provides a grant of R per ha and Grain SA through their Job Fund top up, the shortfall as per target yield GFADA (Alfred Nzo, Joe Gqabi, Chris Hani): smallholder farmers (where the DRDAR provides a grant of R per ha and GFADA provides top up the shortfall as per target yield as well soil correction, crop insurance and mentorship Citrus Gowers Association (Amathole. Sara Baartman): Grant provided for infrastructure development and production inputs to maintain and expand orchards

20 PARTNERSHIPS (Cont.) Partner Commodity DRDAR investment Target (ha)
Grain SA Grain R15 million 4687 Grain Farmer Development Assoc. Citrus Growers Assoc Citrus R9.5 million 570 WipHOLD R6.8 million 2 127 RED Hubs R19.2 million 6000 Chicory SA Chicory R1 million 120 Pineapple Growers Assoc. Pineapples R2.5 million 275 TOTAL R69 million 18 466

21 MECHANIZATION MECHANIZATION A total of 77 government tractors are available which are mainly used in the irrigation schemes and for household food security, distributed as follows: Alfred Nzo = 11 Amathole = 24 OR Tambo = 31 Chris Hani = 9 (Qamata Irrigation Scheme) Sara Baartman = 2 A total of 23 tractors were awarded to Traditional leaders and cooperatives to support cropping To support large scale grain production, DRDAR source mechanization contractors within the district where operation are conducted for implementation The mechanization contractors are mainly black SMMEs which are experienced in mechanization

22 Summary of the State of READINES 2018/2019 Fertilizers Ordered (Tons)
THANK YOU Summary of the State of READINES 2018/2019 Districts Targeted Hectares Beneficiaries Seeds Ordered (Tons) Fertilizers Ordered (Tons) Pesticides (Litres)  ALFRED NZO 16100 2510 11040  AMATHOLE 9700 3697 131 3055  CHRIS HANI 10700 7843 72 331 4900  JOE GQABI 4500 766  O.R. TAMBO 14000 9973 256 400  SARAH BAARTMAN 450 310 87 1750 TOTALS 55450 25099 805 21145

23 Summary of EXPENDITURE AND COMMITMENTS TO DATE
PROGRAMME Budget Expenditure Commitment Available Cropping R 164,262,500 R 4,028,940 R 14, 665, 813 R 145, 567, 747

24 CLIMATE CHANGE CONSIDERATIONS
Target high rainfall suitable arable land Support fodder production in high risk areas. Support conservation agriculture practise with adapted implements and research Irrigation designs are water and energy efficient. Training and Development of farmers in climate smart practise Early warning unit at Dohne Research Institute is operational Conservation practises supported by Rural Appropriate Technology unit Bio-gas systems implemented tpo reduce energy costs of farmers

25 CONCLUSION The Eastern Cape Province is ready for the 2018/19 cropping season Contracted production input suppliers which will be ready to deliver by the month of September Mechanization contractors were assessed and are being contracted Farmers are enthusiastic and committed to participate in the cropping program Partnership agreements have been signed for implementation of the program starting in October DRDAR is ready in terms of monitoring the implementation and will work closely with DAFF and other stakeholders


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