The land reform programme in South Africa has faced numerous challenges, underscoring a pressing need for private sector involvement to rejuvenate the process, said the Vumelana Advisory Fund yesterday.
As a non-profit organisation founded to support land reform beneficiary communities, Vumelana believes that corporate social investment (CSI) can offer vital expertise, resources, and capacity to catalyse sustainable development and enhance the effectiveness of land reform post-settlement.
Peter Setou, CEO of Vumelana, highlighted the ongoing struggles faced by many land reform beneficiary communities in utilizing their land productively due to inadequate access to resources and expertise in commercial farming.
He argued that without the necessary support, these communities found it challenging to thrive and contribute to national economic growth.
“Channelling CSI funding into land reform can enable beneficiaries to access training and financial support essential for job creation, improved livelihoods, and the overall sustainability of land use,” he said.
Setou called for a concerted effort to direct CSI funding towards land reform endeavours, promoting job creation and revitalising rural communities across South Africa.
He said this support could come in various forms, including capacity building, organisational development, and direct support for projects on restituted land.
Grant funding would prove integral in unlocking the immense economic potential tied to titled land held by Community Property Associations (CPAs).
Currently, more than 1 707 CPAs are registered with the Department of Agriculture, Land Reform, and Rural Development, signalling a significant need for training and capacity building within these entities.
Vumelana has noted that private sector involvement through CSI can significantly bridge this gap, offering the necessary tools and support to enable CPAs to effectively manage their land.
While Setou emphasised that CSI was not a standalone solution to land reform’s challenges, it remained an essential component in moving forward.
“With collaborative efforts between the government, NGOs, and the private sector, South Africa can make the vision of equitable land restitution and improved livelihoods for millions a tangible reality,” he remarked.
Vumelana has made strides in facilitating partnerships between land reform communities and the private sector through its Community Private Partnerships (CPP) model.
Since 2012, the organisation has successfully brokered 26 partnerships that have attracted over R1 billion in private investment, leading to the productive use of more than 76 000 hectares of land.
These initiatives are projected to create approximately 2 500 jobs and positively impact more than 16 000 households, illustrating the immense potential of combined efforts.
Tracey Henry, CEO of Tshikululu - a social investment fund manager - noted the challenges faced in South Africa’s current economic climate.
In a recent Report to Society for 2023, she highlighted the increased importance of intentional investment during difficult times to ensure contributions towards lasting solutions.
“Every Rand invested will contribute towards sustainable and long-term solutions,” she affirmed.
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