21 February 2024
By: Lebogang Mashala
The 2024 Potatoes SA Transformation Symposium emphasised the importance of collaboration and partnerships to accelerate transformation in the agricultural industry.
The symposium, attended by farmers and industry leaders, was held in Kempton Park with the theme “Human capital development – an essential step in unlocking strategies for economic inclusivity”.
Rendani Murovhi, the transformation manager at Potatoes SA, said the industry had made significant strides in transformation. She highlighted the impact of the organisation’s four-year Enterprise Development Programme (EDP), which offers financial assistance for pre-feasibility studies, seeds, mentor remuneration, and opportunities for industry exposure to benefit producers.
“We are currently working with 64 farmers across the country, with the majority in Limpopo. This is due to the significant investment made by the Limpopo Department of Agriculture and Rural Development (LDARD) in developing emerging potato farmers in the region,” said Murovhi. Last year, the department provided R44 million in support of 25 EDP farmers.
Murovhi said the biggest challenge in accelerating transformation is funding. “Thanks to the support of LDARD, Limpopo has the highest number of participating farmers with 25, followed by KwaZulu-Natal with 14.”
Potato production is difficult for black farmers to enter due to its high cost and technical complexity, requiring substantial investment. This makes it difficult for the industry to accelerate transformation.
According to Murovhi, the budget allocated for the EDP is R5 million, which is enough to support only seven farmers. “However, LDARD has made available R44 million to implement this programme and commercialise the farmers.”
Murovhi also expressed her gratitude to Agri Enterprise Funding, which played a significant role in assisting farmers to pay for their consumables, including electricity and diesel.
Angelo Petersen, chairperson of the National Agricultural Marketing Council, said that besides funding, regulatory policies supporting transformation in agriculture are crucial. He believes statutory measures, such as levies, are vital.
It costs money to transform, said Petersen, and agriculture needs to find smarter and innovative ways to achieve transformation. “Forging partnerships along the value chain, building relationships and having conversations with the government can develop a culture of innovative knowledge exchange and collective problem-solving,” he said.
Petersen said success in the agricultural sector depends on adaptability to changing technologies by accessing training and knowledge to stay up to date with industry advances.
Aldrin Lawrence, a beneficiary of Potatoes SA’s production support programme for emerging farmers and now a commercial potato farmer in Limpopo, praised the programme. When he started, he had no tractor or any implement, he said. Today, through the help of his mentor and Potatoes SA, he has the implements he needs and has built a packing and grading facility.
“I underwent a comprehensive training programme on potato farming that covered all aspects from soil preparation to harvesting, including planting and maintenance. The journey has been long, but with the dedicated support of a full-time mentor and the training programme, I was able to overcome the challenges,” said Lawrence.
Julius Mashaphu, chief director for shared services at the Limpopo Department of Agriculture and Rural Development, expressed his happiness about the partnership with Potatoes SA. Mashaphu said it is the government’s obligation to deliver transformation goals and agriculture is the sector that caters to the most vulnerable.
“Through the partnership with Potatoes SA, the department aims to unlock R7 billion in agricultural financing for farmers and SMMEs,” he said.
Mashaphu said the money will be made available through blended finance, the Agro-processing Support Scheme, statutory levies, state grants, industry trusts and supplier development programmes. “All of these come under the objectives of the Agriculture and Agro-processing Masterplan.”
Murovhi called for more partnerships and highlighted potential partnerships under discussion with companies such as PepsiCo, which owns Pioneer Foods. Pioneer produces popular potato chips such as Simba and Lay’s.
Murovhi added that Potatoes SA faces financial resource challenges and must reject many applications. “Therefore, we are calling on other provinces and companies to come on board and assist to speed up the transformation they are aiming for.”
