Farming gets R100 million boost

Nearly 1000 landowners in Bizana and Lady Frere are set to benefit from a R100-million agro-processing programme managed by the Eastern Cape Rural Development Agency (ECRDA).

The initiative was launched by MEC for rural development and agrarian reform Mlibo Qoboshiyane in an event attended by community members and local municipal officials in Mbizana.

ECRDA chief executive Thozamile Gwanya said the R100-million from the Eastern Cape provincial treasury is in addition to  R91-million committed last year  to roll out the agro-processing programme in Ncora and Mqanduli.

“A total of R53-million and R46-million respectively has been committed to Bizana and Lady Frere respectively over the next three years.

In this first season, 1000 hectares of white maize will be planted in Bizana and another 100 hectares of sorghum will be planted in Lady Frere,” said Gwanya.

The initiative is managed along the ECRDA’s Rural Enterprise Development (RED) Hub concept,  linking production, processing and marketing to boost the competitiveness of rural economies and communities and ultimately   increased rural incomes, he said.

“We are excited that this RED Hub agro-processing initiative is already taking shape. In practice, the RED Hub concept means that maize should be grown by the community, milled in the community, processed and packaged in the community and even sold back into the community with the whole process being owned by these communities.”

Gwanya said communities benefit by contributing their own land which has been lying fallow for many years for production.

“In the first year, government contributes 100% of the production costs and thereafter landowners through cooperatives contribute to production on a sliding scale,” Gwanya said.

Qoboshiyane said the RED Hub will focus on maize and soya bean production on 1000 hectares. This is in addition to the processing of grain, establishment of a milling plant with a three tons/hour capacity, branding and marketing of processed products to local and external markets, capacity development through skills development and training and distributing dividends of the sale to the participating primary cooperatives.

He  added that it would reduce poverty in  Mbizana in  Alfred Nzo District Municipality. “Income levels within the area ... are very low. Only 6.6% of the economically active population has an income of more than R1601 per month.

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