Agri SA and land expropriation

Agri, which incorporates Die Boer / The Farmer, is Agri SA’s bi-monthly magazine.   The magazine provides background information on policies, legislation and programs of interest to farmers.    It also provides advice, expansion and news on current events to more than 29 000 farmers who are members of Agri SA through the respective affiliates.  Agri SA, a federation of agricultural organisations, was established in 1904 as the South African Agricultural Union and consists of 9 provincial- and 26 commodity organisations as well as 33 corporate members.    Essentially Agri SA, through its affiliated membership represents a diverse grouping of individual farmers regardless of gender, colour or creed.  NIE AL ONS VOLKSLEDE SE BOERE IS LEDE VAN HIERDIE ORGANISASIE NIE.
https://www.agrisa.co.za/

AGRI SA CONGRESS 2018  – LAND REFORM

Current Mandates

• Agri SA’s support for orderly land reform stands firm.
• Agri SA concedes that equitable land distribution is a prerequisite
for rural stability and the organisation has long been committed to
co-operation in implementing land reform.
• Agri SA also realises the importance of accelerating land reform
and successful black farmer development.
• Organised agriculture should also be involved in land reform and
farmer establishment at all levels.

These views were adopted at Agri SA’s 2001, 2002 and 2003
congresses.

At the 2005 Agri SA congress, it was decided that:
1. Agricultural producers and their organisations shall co-operate within the
framework of the Agricultural Strategic plan to promote land reform;
2. Agri SA and its members should commit themselves to realistic
objectives and innovative action in terms of land reform and farmer
development;
3. Agri SA and its members should make use of the best possible advice in
order to create workable models for land reform, which will confine state
intervention in the market to a minimum;
At the 2006 Agri SA congress, an Agri SA Land and Agrarian Strategy
document was adopted. This was essentially a policy document on land that
dealt with all the different policies and aspects of land reform.
4. The document states that Agri SA supports the Constitution and
land reform that takes place within the rule of law, supported by
good administrative practices and in accordance with free market
principles.
5. The document deals in detail with Agri SA’s policy positions on
restitution, redistribution, tenure reform, expropriation, evictions,
farmworker housing, land ceilings and post settlement support.
6. On the role of the state in the property market, the policy document
provides as follows:
a. The redistribution of land is in the national interest, and for this reason
the Treasury should bear the cost thereof. Such costs cannot in any way
be apportioned to an individual.
b. With the redistribution of land, the participation of existing commercial
farmers, who wish to continue farming, should not be adversely affected
or terminated due to state intervention.
c. The state should use the fair market value of land as point of departure
when land is acquired for land reform purposes. This should also be the
case where land is expropriated.
d. The budget allocations for land reform should be adequate to meet the
government’s ambitions/targets in terms of quality and quantity, bearing
in mind the principle of fair market value and post-settlement costs.
e. There should be various funding mechanisms available for acquisition of
land, which should be driven by or underwritten by the state.
f. The redistribution of agricultural land must take place in a manner that
would ensure the continued productive use and conservation thereof.
7. The policy views on expropriation are the following:
a. Expropriation should only be used as a measure of last resort where bona
fide negotiations have failed. In such cases, the Expropriation Act should
apply.
b. The procedures followed with expropriation should be fair towards the
landowner, and the principles of administrative justice should apply.
c. The purpose of the expropriation should be clear.
d. A landowner whose land is expropriated should always have recourse to
the courts.
e. Under no circumstances should the payment of compensation to a
landowner be dependent on the state’s ability to pay. If the state is not
in a position to pay within a reasonable time, it should not resort to
expropriation.
f. It is of utmost importance that a transparent process be followed in
valuing land.
g. Professional valuators with experience in farm valuations should be
used and landowners should be consulted in drawing up the guidelines
for valuation.
h. Landowners should also have access to valuation reports
8. The 2007 Congress adopted an implementation strategy for land
reform.
The focus was on area based implementation through a Special Purpose
Vehicle. The congress decided that:
– Agri SA favours a constructive approach of co-operation with the
authorities, where possible, and support for viable models of
land reform and farmer settlement.
There are two new land reform models which are in line with Agri
SA’s implementation strategy, namely the
– Special purpose vehicle for land reform and the
– Concept of area-based land reform.
Agri SA’s Land Affairs Committee is of the opinion that these models are
workable in principle and that Agri SA and its structures should become
involved in this regard.
9. It was also decided that: Structures of organised agriculture must
become involved in the SPV as agents. Agribusinesses, commodity
organisations and multi-role player agencies such as the one envisaged
by Kwanalu could serve as agents to identify land, formulate business
plans, identify and train beneficiaries, and provide post-settlement
support. The overarching objectives of such agencies should be in line
with the objectives of the Sector Plan for Agriculture.

11. It was proposed that: Agri SA would like to see farmer
associations, commodity organisations and agribusinesses at local
level not only participating in these initiatives but as far as possible
initiating them, as happened in the Bester case, and as has
already been done by affiliates such as Agri Gauteng, Kwanalu
and Free State Agriculture.
12. Activities of land forums could be monitored and co-ordinated at
provincial level via a national land forum. A guideline for a
national forum will be compiled. This guideline can be adapted for
provincial and local forums.

At the 2014 Agri SA Congress the Holistic Plan for Land Reform
and Rural Development was adopted
13. The essence of this Plan is that Agri SA is committed to developing
and implementing proposals whereby the agricultural community
can play a leading role in sustainable land reform, the development
of entrepreneurship and the social upliftment and development of
farm workers and farm worker communities.

14. Such proposals must also:
a. comply with the guidelines of the Constitution of South Africa;
b.give full recognition to economic and market realities;
c. not necessarily be dependent on state support; while utilising the
potential of private‐public partnerships as far as possible.
15. Such approaches must build forth on chapter 6 of the National
Development Plan (NDP) which deals with “An integrated and inclusive
rural economy”, as well as Agri SA’s mandates around land reform.
16. Land reform proposals must recognise the diversity of agriculture
(regions, commodity branches and size/scope of farming units, etc.).
This requires suppleness within a variety of options whereby land
reform can be achieved.

17. Participation must not be compulsory, but it should be sufficiently
incentivised in order for all landowners to consider participation. This
includes commercial farmers, irrespective of scale‐size or race, as well
as emerging farmers.
18. While private property rights is Agri SA’s preferred approach to
agricultural development, attention should also be given to approaches
whereby commercial agricultural development can be promoted in
communal areas;
19. AgriBEE codes of good practise and related scorecards should provide
for full reflection of contributions to empowerment.
20. Good leadership, down to local level, is needed to implement land
reform successfully.

19. The Holistic Plan then proposed a Special Purpose Vehicle, as well
as a Social Accord, Sustainable Restitution Models, a right of first
refusal and database of best-practice models.
20. In 2015, Agri SA adopted a Financing Plan based on subsidised
capital and a government guarantee fund.

Work in Progress flowing from mandates

Ideas Bank – project concepts – Land Summit;
• Financing Plan – Barclays workstream – discussions with various
financing institutions and government;
• Engaged with Restitution Commission on sustainable restitution
models on a number of occasions;
• High level social compact proposal developed;
• Farmworker agropreneurship proposal developed;
• Committee established to focus on labour tenants and
farmdweller issues – must come up with policy proposals;
• Investigate ways to secure property rights for black farmers –
possible test cases.

Land Summit feedback

– Agri SA co-hosted a land summit with LandbouWeekblad on 23 and 24
August 2018
– The intention was to showcase best practice in land reform
– The Summit was a huge success
– There were 65 presenters, a large media presence and an address by
Deputy-President, David Mabuza
– The presentations and videos used at the Summit are available online.

Mandates sought

1. Congress needs to confirm the mandates put forward, particularly the
mandate on the holistic and financing plans;
2. The elements of the holistic plan are the following:
a. An SPV;
b. Development financing;
c. Partnerships;
d. A social compact;
e. Sustainable restitution and redistribution models;
f. Labour Tenant / Dweller models;
g. A right of first refusal;
h. Assistance for farmers in communal areas;
i. Holistic rural development and agrarian reform implementation
models.
3. Focus on social compact, labour tenants and farmworkers, SPV,
farmers in communal areas and rolling out development financing.

EWC
1. Agri SA’s mandate on EWC to be confirmed namely that we oppose
the amendment of section 25 of the Constitution;
2. Confirmation of Agri SA submission to CRC on EWC;
3. Agri SA’s strategy for EWC to be confirmed;
4. Monitor Expropriation Bill
https://www.agrisa.co.za/download/E0EbtIkj4qvMJgx0zUz4u4wg1PX1eNJcPm6xzbK6.pdf

***

AgriSA is ‘n organisasie wat uit ‘n paar  boere bestaan en kan nie namens alle boere of gemeenskappe praat om hulle grond sonder vergoeding aan wie ookal te oorhandig nie.  Indien hulle dit verkies kan hul gerus maar by die Ministers en President begin wat baie grond het en al AgriSA se boere wat so sterk voel om grond weg te gee, begin sommer by jou eie.  Ander boere en gemeenskappe het hard gewerk wat hulle het is nie in die minste geinteresseerd om grond weg te gee wat met bloedgeld gekoop is nie.  Heelwat boere en volkslede betaal nog af aan lenings.  Geen werker dra finansieel by tot die risiko’s van besighede of plase waar daar hard gewerk en geboer word.  Op ‘n stadium was almal van ons ook onder op die trappie en het ook geklim met baie moeite.