In the 2019 budget review, the ministry of finance reveals that in the first three quarters of 2018, real value added in the agriculture, forestry and fishing sector reduced by 3% compared to the same period in 2017.
The review, released at the same time as finance minister Tito Mboweni’s budget speech, reflected more “subdued activity” compared to the same period the previous year.
However, the review also reveals that exports of certain agricultural products grew appreciably in recent years, particularly in Asian markets.
This could be a boon for Eastern Cape farmers.
“Trade promotion, market access and water interventions are crucial to attract investment in key crops such as apples, table grapes, citrus, avocados, macadamia and pecan nuts, and beef, which hold significant export potential,” the report reads.
Mkululi Pakade, chairperson of Kula Development Facilitators, the company that helped establish a Border macadamia industry, said grants to emerging farmers should be used to support the Ncera macadamia farming business.
Eight 150ha farms have been identified on a coastal strip near East London.
“We have an ‘Outgrowers’ scheme where emerging black farmers can use the infrastructure already in place, and within a few years become part of a thriving export industry.
“All that is holding them back is money, and it seems that it is now available,” Pakade said.
Dumisani Fadana, the marketing director of Umtiza Farmers’ Corp, an organisation that works with emerging farmers in the former homelands, welcomed Mboweni’s announcement.
“We would like to see a strong emphasis in the Transkei,” he said.
No mention was made of SA’s ocean economy in Mboweni’s budget speech.
Both former president Jacob Zuma and President Cyril Ramaphosa in respective State of the Nation addresses have talked up the country’s potential in this sphere.
Speaking to the Dispatch prior to the budget speech, Teboho Qholosha, of the Eastern Cape Socio-Economic Consultative Council, said harbours like the port of East London had all the potential to boost the ocean economy but to date had not enjoyed political support.
“We have not accepted the government’s argument that too few ships come to East London,” Qholosha said.
“What needs to have happened is that the infrastructure was improved.
“Just look at what happened at the port of Ngqura [Port Elizabeth].
“There was political will, and it is succeeding.”
He said ports along the east coast of the country were attractive to other countries, particularly those from South America, which used the harbours as vital stop-over and refuelling ports.
Although Total’s promising gas find in deep water south of Mossel Bay occurred in another province, Qholosha believes the Eastern Cape is bound to benefit down the line.
“Ngqura has excellent gas storage facilities and East London can then also benefit as it moves along the value chain.”
Port St Johns was also expected to be proclaimed a harbour, with a waterfront development, he added...