Transcription of AGRIPARKS – TOWARDS AN INCLUSIVE AGRICULTURE …
1 AGRIPARKS TOWARDS AN INCLUSIVE AGRICULTURE ECONOMYDEPARTMENT OF AGRICULTURE AND RURAL DEVELOPMENTPRESENTATION TO THE CPSIP resenter: MrMotlatjo Makaepea29 JUNE 2017 KEMPTON PARK 1 Contents An introduction to Gauteng Overview of Gauteng AGRICULTURE economy Focus on AGRIPARKS as a mechanism for INCLUSIVE participation of all farmers in the AGRICULTURE economy Conclusion An introduction to GautengProvince: Location Gauteng is the smallest province in South Africa with haof land surface area It occupies only of RSA land surface area Population: ( -Largest % share of RSA population Census 2011) Gauteng has 3 of the 8 Metro Municipalities in the CountryBroader economic overview of Gauteng Gauteng is the economic powerhouse of South Africa The province contributes to national GDP It furthermore contributes 10% to Africa GDP Major cities such as Johannesburg and Pretoria are in Gauteng Province.
2 Built- development pressure high The province has 4 largest fresh produce markets in the country Johannesburg Fresh Produce Market Tshwane Fresh Produce Market Springs Fresh Produce Market Vereeniging Fresh Produce MarketContribution of AGRICULTURE to Gauteng economy Contribution of primary AGRICULTURE to Gauteng GDP is Contribution of total agricultural value chain including secondary and tertiary agrictiers to GDP is The province is 18% built-up with of High Potential Agricultural Land Vacant land in the province is 946 710ha (52% of the total surface area) Vegetation: 2 biomes which are Grassland and Savanna AGRICULTURE households in Gauteng Gauteng Agricultural sub-sectors gross farming income Livestock production is the lead agricultural sector with 59% of gross farming income Horticulture sector with specific reference to Vegetables and flowers is the 2ndbiggest income earner with 21% of the gross farm income Field crops8%Horticulture21%Animals/Livestock5 9%Animal/Livestock products10%Other products2% AGRIPARKS : National Context State of the Nation Address (SONA).
3 Declared 2015 year of Freedom Charter AGRIPARKS becomes a focal point for AGRICULTURE development A sum of R2b was reprioritized for the program Department of Rural development and Land Reform (DRDLR) becomes the National Custodian of the Program State of Province Address (SOPA) Township Economic Revitilization(TER) linked to Agri-Parks Agro-Processing as a viable tools to re-industrialise Gauteng (WRDM & Sedibeng) Gauteng becomes a leading province for development of AGRIPARKS nationally by allocating its own resources R60M 7 Agri-Parks - Formulation of the problem Lowcontributionof agricultureto theeconomy( ) Lackof adequatelandparcelsforproduction Lowproductivitylevelsof smallholderfarmingsector Lackofinfrastructureforvalue-addingandag ro-processingtargetedat smallholderfarmers Inadequateclusteringofsmallholderagricul turalproduceforensuringadequatevolumes,a ccesstomarketsandvalue-addedinfrastructu re Fundingconstraintsimpedingdevelopmentofp rocessinginfrastructureat individualfarmlevelAGRI-PARKS.
4 CONCEPT 9 Agri-Parkswhichisanetworkcomprisedofclus teredagriculturalinfrastructureforproduc tionandvalue-addingdevelopedintheperi-ur banareas Agri-parksbasedonAgriculturePolicyAction Plan(APAP)andIndustrialPolicyActionPlan( IPAP)withprioritygivento HorticultureValueChain and Grain-PoultryIntegratedValueChain .AGRI-PARKS: CONCEPT 10 TheAgri-parksprovidesfor: Secured,intensivebulkproductionofaspecif icagriculturalcommodityforeconomiesof scale Agro-processingwithina sharedinfrastructure(incubation), Marketingavenuesof agri-infrastructure, Valueaddingandmarketingwithintheboundari esofa singlegeographicalfarmoranagriculturalho lding.
5 Modeldifferentfromexistingfarmingmodel(B asedon- Onelocality)AGRI-PARKS GOALS Agri-parks emphasise competitiveness Production of High-value commodity (Focus) Branding (Logo) & Visibility Localiztion Volumes & Quality of produce Retail presence Export capabilityPRIORITY COMMODITIES FOR GAUTENG ( AGRIPARKS PROGRAM) Horticulture Value Chain (21% of Gauteng GVA) Vegetables Cut Flowers Herbs & Essential oilsOpportunity: Proximity to large population and growing middle class Bulking up, quality assurance and branding Horticulture Value Chain Grains Poultry Integrated Value Chain (4thlargest producer of Grains)Red Meat Value Chain 59% of Gauteng Gross farm income comes from Livestock predominantly in FeedlotsOpportunity.
6 Processing infrastructure for smallholder farmers and their to mobile abattoirs program AGRIPARKS / Agrihubs Protect Areas of High Potential Agricultural Land 7 Agricultural Hubs are Agricultural development Zones delineated to protect High Potential Agricultural Land and focus agricdevelopment. The AgricHubs encompass the Maize growing belt of Gauteng also known as Maize TraingleMajor Crop Commodities Spatial Distribution A total of 314 992ha is under cultivation with the following crops Grains (Maize & Sunflower) covers a large area of 107 259ha Vegetables Orchards (Peaches & Citrus)
7 Flowers Essential oils and herbs Gauteng is the Number 1 producer of cut flowers with the exception of Proteas 4thMaize producer in South AfricaAGRIPARKS CATCHMENTAGRIPARKS LINKAGE TO NEIGHBOURING FARMERSAGRIPARKS OPERATING MODEL Each Agriparkwill be a critical link between the formal markets and the smallholder farmers. The Agriparkwill serve as an intermediary and a distribution facility whereby the smallholder farmers `s produce will be aggregated and graded in accordance with formal markets requirements Management of each Agriparkis to be undertaken on a private-public partnership to ensure a balance between with economic and development goals.
8 FORMAL MARKETSAGRIPARK Shared packaging & coldroomfacilities Out-grower Model & On-site productionSmallholder farmerSmallholder farmerCommunity gardensSmallholder farmerOff-take AgreementsGeneric Project Plan for all AgriparkSitesKEY ACTIVITIES TIME2014/152015/162016/172017/18Q1Q2Q3Q4 Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q41. Planning Agri-parks 2. Infrastructure development 3. Entrepreneur Selection4. Contract Markets Negotiations 5. Production (Scaled and Synchronised per commodity)6. Logistic (Aligned to Contract Markets)7. Maintenance Servicing Infrastructure RelationshipsRANDWEST AGRI-PARK FACILITIESW estonaria Agripark: Hydroponics, Packhouseand Administration Block and Training roomWestonaria Agripark: Lettuce production Training room Westonaria AgriparkHydroponics Vertical chamberInvestment in New Technology onsite As part of Re-industrialization the department has introduced the latest farming technology in the form of Vertical Growth Chamber farming system.
9 The facility is also established at Rand West Agri-park facility. This is also in line with adaptation mitigation of climate change. The chamber is an intensive growth chamber for vegetable production; high yield is attained within short period of time. This technology has the potential to solve many problems associated with access to land and attain economic viability within a small spaceProduction of baby spinach on vertical chamber AGRIPARKS TER LINKED -SEBOKENG ZONE 10 24 Size 816 MSebokengZone 10 AgriparkCOJ EikenhofAgripark- Fence, training and office building MERAFONG AGRIPARK (EXPANSION) TheProjectincludes.
10 Constructionof16x 300m2hydroponicstunnels(100%complete) Constructionofa5000m2shadenet(100%Comple te) Repairingofpumpstation(96%complete)Eiken hofFPSU - 20 Tunnels and 4 10000l water tanksFence, training and office building at the EikenhofAgri-parkMERAFONG AGRIPARK (EXPANSION) TheProjectincludes: Constructionof16x 300m2hydroponicstunnels(100%complete) Constructionofa5000m2shadenet(100%Comple te) Repairingofpumpstation(96%complete)Meraf ongAgriparkVegetable production ONVERWACHT AGRIPARK FARMER PRODUCTION SUPPORT UNIT (FPSU)32 Commodities to be produced:Vegetables, Flowers and HerbsThe Innovation Hub Agripark - Food innovation CONSTRUCTION STATUSG reenhouseconstruction 90%completed Entrancecabins,electricalinstallationste stedandfunctional(extractor& circulationfans) wettablewallinstalled Waterreticulationlayered(Mainline,draina gepipe,internalgutterdownpipes,undergrou ndpipesandirrigationpipes) ThermalscreensinstalledCONSTRUCTION STATUS.
