A critical analysis of the PALS initiative to determine its contribution to land redistribution and agricultural development in South Africa

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dc.contributor.advisorKirsten, Johannen_ZA
dc.contributor.authorAbdoll, Caitlynen_ZA
dc.contributor.otherStellenbosch University. Faculty of AgriSciences. Dept. of Agricultural Economics.en_ZA
dc.date.accessioned2024-03-03T19:15:52Z
dc.date.accessioned2024-04-26T12:59:31Z
dc.date.available2024-03-03T19:15:52Z
dc.date.available2024-04-26T12:59:31Z
dc.date.issued2024-03
dc.descriptionThesis (MAgric)--Stellenbosch University, 2024. en_ZA
dc.description.abstractENGLISH SUMMARY: Since the start of South Africa’s democracy in 1994 and the deregulation of the country’s agricultural market in 1997, the agricultural sector has been undergoing transformation. In 1994, the newly elected ANC government set the target to redistribute 30 percent of white-owned agricultural land by 2014. This process is facilitated through a three-pronged approach to land reform consisting of land restitution, land redistribution, and tenure reform. Progress has been made with respect to land transfers, but a more effective approach is needed to accelerate the pace of land redistribution and agricultural development. In February 2021, President Ramaphosa announced the creation of a Land Reform and Agricultural Development Agency to address the issue of land ownership inequality. This concept of the land reform agency has many similarities to, and seemed to build on, the framework of the Partners in Agri Land Solutions (PALS) initiative which was launched in August 2014. The primary objective of this research was to do a critical analysis of the PALS initiative, its different projects, and its reported success in redistributing agricultural land and establishing commercial black farmers on this land. This analysis helped to understand whether it is feasible to use the PALS framework as the blueprint for the Local Land and Agricultural Development committees as part of the proposed Land and Agricultural Development Agency. A literature review identified land access, beneficiary selection, access to capital, market access, post-settlement support, and an exit strategy as the challenges impacting land reform and agricultural development in South Africa. A case study analysis was conducted on 20 implemented Witzenberg PALS projects. Qualitative primary data were collected by conducting semi-structured interviews and reviewing official project documentation of the projects. The projects were measured against the seven factors and the level of empowerment created through the private redistribution of land. The results indicated that Witzenberg PALS has facilitated the redistribution of 19 997.16 hectares of farmland through substantial black-owned private land redistribution projects. However, 6 388.86 hectares of redistributed land was transferred by means of an equity share scheme arrangement. Two of the implemented Witzenberg PALS projects are classified as equity share schemes, with minority black shareholding, where the commercial partner oversees all farming activities. Of the 468 beneficiaries involved in the Witzenberg PALS projects, only 64 were permanently employed by the respective joint ventures. This limited the empowerment of the historically disadvantaged beneficiaries as they were not involved in the project’s day-to-day farming operations. The PALS initiative should address the nature of employment and management conditions of the equity share scheme projects to improve the empowerment of the beneficiaries. The PALS centre can be replicated and adapted as the Local Land and Agricultural Development Office in the proposed land reform agency. It is recommended that the government should enable a supportive environment to promote public private partnerships and involve the private sector in the implementation of land redistribution. The results of this study are not generalisable as it was restructured to measuring the private implementation of land redistribution in the Western Cape only. Future studies could include the impact of the private sector in other regions of South Africa.en_ZA
dc.description.abstractAFRIKAANSE OPSOMMING: Die Suid-Afrikaanse landbousektor het sedert die aanvang van demokrasie in 1994 en die deregulering van die landbou sektor in 1997, drastiese transformasie ondergaan. Sedert die ANC – Regering in 1994 aan bewind gekom het, het hulle hulself die taak gestel om 30 persent van landbougrond in Blanke besit te herverdeel. Die proses word gedryf deur ‘n drieledige benadering wat insluit, grondrestitusie, grondherverdeling en die hervorming van grondbesitstelsels. Daar was heelwat bereik ten opsigte van oordrag van grond, maar daar is nogsteeds argumente dat die proses van grondhervorming teen ‘n slakkepas beweeg. In sy Staatsrede in Februarie 2021 het President Cyril Ramaphosa, die totstandkoming van die Grondhervorming en Landbou Ontwikkelings Agentskap aangekondig om die pas van grondhervoming te versnel. Die konsep van die grondhervormingsagentskap kom baie ooreen met die beginsels van die PALS inisiatief wat in Augustus 2014 in die Witzenberg Distrik in die lewe geroep is. Die hoofdoelwit van hierdie navorsing is om ‘n kritiese analise te doen van die PALS inisiatief, om meer inligting in te win omtrent die projekte, en om vas te stel of die projekte as deel van die PALS inisiatief wel suksesvol tot die doelwitte van grondhervorming en swartbemagtiging by dra. In die proses poog die analise om vas te stel of dit lonend is om die PALS raamwerk te gebruik as ‘n bloudruk vir ‘n toekomstige Landbou Ontwikkelingsagentskap. Tydens die studie het die navorser gekyk na aspekte soos die beskikbaarheid van grond, keuse van begunstigdes, beskikbaarheid van befondsing, toegang tot markte en ondersteuning. Die tesis behels ‘n stel van detail gevallestudies van twintig PALS projekte. Kwalitatiewe data is versamel deur middel van semi-gestruktureerde onderhoude en inligting verkry uit amptelike dokumentasie insake die vordering van die projekte. Die sukses en vordering van elke projek is gemeet aan die hand van sewe faktore en die vlak van bemagtiging wat bereik is ten opsigte van die private herverdeling van grond. Die navorsing bevind ondermeer dat die Witzenberg PALS die herverdeling van 19 997.16 hektaar landbougrond gefasiliteer het. Dit moet egter ook genoem word dat 6 388.86 hektaar landbougrond beskikbaar gestel is deur middel van aandeelooreenkomste (share-equity schemes). Twee van die Witzenberg PALS projekte is voorbeelde van hierdie tipe aandeel ooreenkomste, waar daar ‘n swart minderheidsaandeel bestaan met die hoofaandeelhouer wat alles met betrekking tot die projek beheer en bestuur. Daar is tans 468 begunstigdes in die Witzenberg PALS projekte. Slegs 64 van die begunstigdes het permanente poste op hierdie projekte. Dit beteken dat die bemagtiging van voorheen benadeelde begunstigdes beperk word aangesien hulle nie betrokke is by die dag tot dag aktiwiteite en besluite van die onderneming nie. Die PALS inisiatief moet hierdie aspek aanspreek om te verseker dat die aandeelhouers en deelnemers ten volle bemagtig is. Ten spyte van hierdie tekortkoming bly dit duidelik dat die PALS inisiatief as raamwerk gebruik kan word vir toekomstige grondherverdelingsaksies en wetgewing. Daar word ook aanbeveel dat die regering van die dag ondersteunend moet wees in die vestiging van private vennootskappe, en om die privaatsektor te nader oor hoe om grondherverdeling op n regverdige grondslag te laat geskied. Hierdie studie is nie ‘n veralgemening nie. Dit was bloot ‘n studie om te kyk hoe die verdeling van grond tans in die Weskaap hanteer word deur middel van ‘n speisfieke raamwerk wat dalk vir ander dele in Suid-Afrika ook van nut kan wees. Daar sal beslis in die toekoms in meer detail na die impak en bydrae van die privaatsektor tot die herverdeling van landbougrond in die groter Suid-Afrika gekyk moet word.af_ZA
dc.description.versionMasters
dc.format.extentxii, 155 pages
dc.identifier.urihttps://scholar.sun.ac.za/handle/10019.1/130311
dc.language.isoen_ZAen_ZA
dc.publisherStellenbosch : Stellenbosch University
dc.rights.holderStellenbosch University
dc.subject.lcshLand reform -- Economic aspects -- South Africaen_ZA
dc.subject.lcshLand tenure -- South Africaen_ZA
dc.subject.lcshAgriculture and state -- South Africaen_ZA
dc.subject.lcshLand use -- South Africaen_ZA
dc.subject.nameUCTD
dc.titleA critical analysis of the PALS initiative to determine its contribution to land redistribution and agricultural development in South Africaen_ZA
dc.typeThesisen_ZA
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