1-Land tenure
Land tenure security should be assured through issuing 99-year leases for larger land reform farms and permits for smaller farms. This should be complemented by clear regulations to avoid land concentration and to facilitate women’s access to land. This can be achieved through a multiform tenure system based on trusted, secure property relations.
2-Finance
Getting private bank finance flowing is essential. Bankable leases will help, as will the acceptance of a range of forms of collateral by finance institutions. State assurances and the building of trust will be key.
3-Partnerships
Partnerships and joint ventures will be significant for some larger farms and certain crops, where external finance and expertise are essential. Already Chinese involvement in tobacco production is proving to be important. Opening opportunities for the return of highly skilled former white farmers will be significant too. Regulations to ensure such partnerships are truly joint and involve the transfer of skills are vital.
4-Government loans
Government loans for agriculture are currently offered through the “command agriculture” programme. Focusing on larger farms with irrigation infrastructure, it has shown some success in the past season. But such programmes should not be abused for political ends. And it’s essential that loans are fully repaid.
5-Access to markets
Linking diverse producers to markets is essential. Too often smallholders get poor value for their products, but ensuring local content purchasing by supermarkets, reduced red tape and support for investment in transport infrastructure will help. Already the reduction in market transaction costs through the removal of many police roadblocks has had a massive, positive impact, as fewer bribes have to be paid.
Continued next page
(263 VIEWS)
0 Comments