SA’s greengrocer, butcher and grain merchant
The Limpopo province is without a doubt South Africa’s greengrocer, supplying three-quarters of the country’s mangoes and twothirds of its tomatoes. But it can also be regarded as South Africa’s butcher, as a key red meat supplier and a grain merchant through the Sekhukhune region. The province’s challenges are to grow and diversify its agriculture, bring new, mainly black players into the fold and deal with the effects of climate change.
The Limpopo province is without a doubt South Africa’s greengrocer, supplying three-quarters of the country’s mangoes and two-thirds of its tomatoes. But it can also be regarded as South Africa’s butcher, as a key red meat supplier and a grain merchant through the Sekhukhune region. The province’s challenges are to grow and diversify its agriculture, bring new, mainly black players into the fold and deal with the effects of climate change.
Ramatsimele Maisela, head of the department of agriculture and rural development, says agriculture is a key strategic sector for a province that is 80% rural. Although agriculture contributes just 2% to South Africa’s economy, it contributes 7.6% to Limpopo’s economy while agro-processing, which entails activities such as fruit juice and puree manufacturing, accounts for 4.1% and is an area that the Limpopo government has identified as one that must grow.
Agriculture is the cornerstone of Comprehensive Rural Development, one of the key outcomes of the Limpopo Development Plan. The outcome also includes pursuing sustainable agrarian reform, improved food security and the development of smallholder farmers. It also includes the growth of strong rural enterprises and industries with strong urban linkages, and includes investment in agro- processing. The aim is to improve Limpopo’s food security, as a significant portion of the province’s households is food insecure and 60% of the population depends on grants.
Maisela says agriculture is a key job creator, even if employment is seasonal and cyclical in nature. Limpopo services a fragmented market. Gauteng is the largest market, through the Johannesburg and Tshwane Fresh Produce markets. Citrus fruit from Limpopo is exported to the US and the EU, with new markets opening up in the Middle and Far East.
She also points to a large, vibrant “informal” market in the neighbouring countries of Botswana, Zimbabwe and Mozambique, comprising people with bakkies and small trucks driving to various regions to sell and buy wares.
Maisela notes that their most pressing challenge at present is to help farmers deal with the devastating effects of drought. In the medium term, the government needs to revitalise the sector and boost its skills levels.
The government’s comprehensive agricultural support includes infrastructure support for small farmers. Government also helps farmers use electricity more efficiently so as to reduce its costs. Farmers are advised on initiatives such as co-operative marketing and pooling their production resources in transport and logistics so as to share the costs and risks involved.
Limpopo is host to five of the 44 Agri Parks being set up nationally. Limpopo’s Agri Parks are set up roughly according to commodities being grown in various regions. An Agri Park is a large defined area of about 50 hectares, which brings together the primary production facilities of a commodity as well as the agro-processing facilities such as packaging and processing machinery. An Agri Park then provides access to markets by providing research on prices and forecasting demand from various places such as the Joburg Fresh Produce market. Agri Parks also have office space to offer administrative support to farmers.
Capricorn is regarded as the potato developing region of Limpopo while Vhembe produces subtropical and citrus fruits The Mopani district has cash crops as well as sub-tropical and citrus fruits; the Waterberg area is the Red Meat Cluster as it is removed from the Foot and Mouth disease area that borders the Kruger National Park, where the epidemic spreads from buffalo. The Sekhukhune region produces mainly grain.
Maisela points out that in 2012 an agro processing strategy was adopted but implementation was, at best, ad hoc. The department has now built capacity to fully support its strategy. She says the first thing that is required to make agro processing viable is to strengthen primary agriculture. “This ensures that we have the supply of raw materials for agro-processing.” She spoke of the need to ensure that some output is processed, but there must still be enough produce left to supply the primary market.
The next is to strengthen agroprocessing infrastructure, including upgraded machinery and irrigation systems. The province is also working with its local universities, the University of Limpopo and University of Venda, to improve ways of producing crops under changing climatic conditions.