Citrus industry welcomes Ramaphosa's recognition of transformation, but calls for stronger support for emerging growers

Responding to President Ramaphosa's weekly newsletter of 12 October, which focused on expanding and transforming South Africa's agricultural sector, Ntshabele expressed appreciation for the President's acknowledgement of the important role commodity organisations are playing in developing a new generation of farmers.

In his newsletter, Ramaphosa highlighted the continuing divide between established commercial agriculture and emerging black farmers, who account for approximately 10% of the country's commercial farming output. He argued that expanding South Africa's productive agricultural base is essential not only for economic transformation, but also for long-term food security and employment creation.

The President specifically recognised the work of organisations such as the CGA and Fruit SA in transferring knowledge, providing mentorship and developing the skills required for successful commercial farming.

Citrus industry making progress in transformation

Ntshabele welcomed this recognition, highlighting the contribution of the CGA Grower Development Company and Citrus Academy to empowering emerging growers and developing agricultural skills. These two industry-funded organisations have played an important role in providing technical training, business development support, mentorship and opportunities for young people to establish careers in citrus production.

Ntshabele noted that one of the most encouraging developments has been the growing interest among young South Africans in agriculture as a viable career and business opportunity. Historically, farming has often been perceived as a profession dominated by an ageing generation. The increasing enthusiasm of young people therefore represents an important opportunity to strengthen the industry's future.

However, Ntshabele cautioned that the challenge facing South African agriculture is no longer simply identifying its growth potential, but ensuring that government policies and support programmes translate into practical results.

Emerging growers need patient capital

Access to appropriate finance remains one of the most pressing challenges. Although various government departments and public institutions are mandated to support emerging farmers, Ntshabele expressed concern that their programmes are not always sufficiently coordinated.

In some instances, development finance institutions apply lending conditions similar to those of commercial banks, leaving emerging growers without the flexibility and longer-term support that developmental funding is intended to provide. This is particularly problematic in citrus production, where substantial establishment costs and the time required for orchards to reach commercial production demand considerable long-term investment.

Ntshabele emphasised the need for patient capital that allows growers to withstand difficult periods without jeopardising the future of otherwise viable farming businesses. The need for financial flexibility is especially important given the challenges currently confronting the industry, including geopolitical uncertainty, market access constraints, biosecurity threats, inefficient port operations and the potential effects of El Niño-related drought conditions.

In this environment, financing arrangements that do not accommodate temporary difficulties could place additional pressure on emerging farmers and potentially undermine years of development.

Accelerating land ownership

Ntshabele also emphasised the importance of accelerating the transfer of land ownership to emerging growers. President Ramaphosa announced that government was releasing approximately 2.5 million hectares of state-owned land to black farmers through the Proactive Land Acquisition Strategy, including the provision of title deeds.

Secure land ownership is critical for farmers seeking to develop sustainable commercial enterprises, particularly where access to finance depends on the availability of collateral. Ntshabele confirmed that he had recently discussed the issuing of title deeds with the Director-General of Land Reform and Rural Development and was encouraged by the engagement.He nevertheless stressed the importance of accelerating implementation so that land reform translates into meaningful benefits for growers.

Turning agricultural potential into growth

The CGA's response reflects broad support for the President's vision of expanding South Africa's agricultural sector, while highlighting the practical challenges that emerging growers continue to face.

Through its Grower Development Company and Citrus Academy, the citrus industry has demonstrated how established growers and industry organisations can contribute to transformation through knowledge transfer, skills development and practical business support.

However, Ntshabele's central message is that these efforts must be matched by effective government implementation, coordinated institutional support, affordable developmental finance and secure land tenure.

For South Africa's citrus industry, successful transformation means more than bringing new growers into agriculture. It requires creating the conditions in which they can establish profitable, resilient farming businesses that contribute to production growth, employment and the country's expanding agricultural exports.