Land reform in South Africa : a case study of the Witzenberg pals initiative

Thesis (MCom)--Stellenbosch University, 2019.ENGLISH SUMMARY : The post-1994 South African government introduced Black Economic Empowerment (BEE) in an attempt to address the economic inequality of the country. The primary goal of BEE policy is to assist black South Africans to enter the mainstream economy successfully. However, the agricultural sector faces various idiosyncratic problems rendering BEE ineffective; the unequal distribution of land is one. The objective of land distribution programmes is to enable black people to be successful participants in the economy. Commercial farmers (private sector) from the Witzenberg region collaborated with the municipality, the agribusiness sector, and the community to implement an effective and sustainable land reform programme. The goal was to contribute to successful land reform, job creation involving the community and improving social cohesion. In 2014, the Witzenberg Partnership in Agricultural Land Solutions (PALS) was born. The purpose of this study was to analyse whether this model for land redistribution meets the requirements for the successful empowerment of emerging farmers. The results could generate lessons for future land reform initiatives. A literature review determined entry difficulties, skills development, production rights, and an exit strategy as factors to be addressed for land reform to be successful in the agricultural sector of South Africa. A case study analysis was conducted on 13 Witzenberg initiative projects. Qualitative primary data were collected using semi-structured interviews and by reviewing official documentation of the implemented projects. These projects were measured against the four factors proposed for successful implementation of land reform. The results indicate the Witzenberg initiative meets the requirements for successful land reform in South Africa. It is recommended the government should incentivise private sector involvement to encourage partnerships between commercial and emerging farmers. Financial institutions should provide discount rates for land reform projects to support the acquisition, initial capital investment, and operating capital. Because this study was restricted to measuring the influence of the private sector in one region only, the results are not generalisable. Future studies could include other farming areas measuring the impact and contribution of the government instead of the private sector.AFRIKAANSE OPSOMMING : Na die 1994 verkiesing het die nuwe Suid-Afrikaanse regering Swart Ekonomiese Bemagtiging (SEB) ingestel om ekonomiese ongelykheid aan te spreek. Die primêre doelwit van die SEB-beleid is om swart Suid-Afrikaners by te staan in die proses om die hoofstroom-ekonomie suksesvol te betree. Die landbousektor ondervind verskeie idiosinkratiese probleme wat SEB ondoeltreffend maak. Die ongelyke verspreiding van grond is een. Kommersiële boere (privaatsektor) uit die Witzenberg-streek het saam met die munisipaliteit, die agri-besigheidsektor en die gemeenskap gewerk om 'n effektiewe en volhoubare grondhervormingsprogram te implementeer. Die doel was om ʼn bydrae te maak tot suksesvolle grondhervorming en werkskepping wat die gemeenskap betrek en sosiale samewerking aanmoedig. In 2014 is die Witzenbergvennootskap in Landbougrond Oplossings (PALS) gestig. Die doel van dié studie was om te ondersoek of die PALS model vir herverdeling van grond aan die vereistes vir die suksesvolle bemagtiging van opkomende boere voldoen. Die resultate kan lesse genereer vir toekomstige grondhervormings-inisiatiewe. 'n Literatuuroorsig het toetredingsprobleme, vaardigheidsontwikkeling, produksieregte en uitgangstrategieë wat aangespreek moet word vir grondhervorming om suksesvol te wees in die landbousektor van Suid-Afrika bepaal. 'n Gevallestudie-analise is uitgevoer op 13 Witzenberg-inisiatiefprojekte. Kwalitatiewe primêre data is ingesamel met behulp van semi-gestruktureerde onderhoude en ontleding van dokumentasie van die geïmplementeerde projekte. Hierdie projekte is gemeet aan die vier faktore wat voorgestel is vir die suksesvolle implementering van grondhervorming. Die resultate dui daarop dat die Witzenberg-inisiatief aan die vereistes vir suksesvolle grondhervorming in Suid-Afrika voldoen. Dit word aanbeveel dat die regering privaatsektor-betrokkenheid moet aanspoor om vennootskappe tussen kommersiële en opkomende boere aan te moedig. Finansiële instellings moet verdiskonteringskoerse vir grondhervormingsprojekte voorsien om verkryging van grond, kapitaalinvestering en bedryfskapitaal te steun. Omdat hierdie studie beperk is tot die meet van die invloed van die private sektor in die Witzenberg munisipale area, is die resultate nie algemeen nie. Toekomstige studies kan ander boerderygebiede insluit wat die invloed en bydrae van die regering in plaas van die private sektor meet