Meaningful land reform is crucial, not only to allay the farming community’s fears, but to help restore the economy and benefit South Africa’s poor.
The views expressed in our weekly opinion piece do not necessarily reflect those of Farmer’s Weekly.
Cas Coovadia is the managing director of the Banking Association South Africa, and currently serves as the chairperson of the International Banking Federation (IBFed). He is also treasurer of the African Union for Housing Finance. For more information, phone 011 645 6700, or email cheryln@banking.org.za.
There is little doubt that land reform is one of the most pressing issues facing South Africa. From the pronouncements of politicians to government policy, to social media commentary, everyone is talking about land. And with good reason; it has a direct impact on a critical sector of our economy that employs some 850 000 people, contributes about 2,5% to GDP, and ultimately affects food security.
Over and above this, the agribusiness sector, which ensures that primary products reach our shelves and pantries, is a substantive employer and revenue earner for the country. It is estimated that the agricultural sector’s total economic contribution through this multiplier effect is about 28%.
South Africa remains saddled with massive inequity inherited from centuries of colonialism, which was further exacerbated by the exploitation of the apartheid era. We cannot continue with a situation in which some 70% of productive farmland is owned by the minority white population. The frustration and anger of the landless is clear, not to mention the poverty, unemployment and hopelessness of the rural dispossessed. A workable land reform solution must be found.
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