Mpumalanga Business 2020-21

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OVERVIEW

Agriculture and agri-processing New agricultural sites are planned for defunct mines.

W

ith several coal mines reaching the end of their lives, steps are being taken to convert the land to useful agricultural land. Safety and health concerns will have to be addressed, but there is potential to improve food security for poorer families in the province. A number of off-take agreements have been signed between commercial and emerging farmers and wholesalers and distributers in Oman. A provincial programme called Phezukomkhono Mlimi is providing mechanisation and input support to subsistence and emerging famers and households which are engaged in agriculture. Farmers receiving support from government are expected to enrol on courses offered by the AgriSETA. The Fortune 40 programme has a specific focus on developing young entrepreneurs in farming. Twelve of the Fortune 40 farms have been linked to retailers such as Spar, Shoprite and Boxer and with wholesalers and agri-hubs. The goal is to have an agri-hub in each of the province’s three districts. Small-scale farmers and co-operatives are being given a chance to connect to the formal economy via the hubs which will also provide advice and equipment. The Mkhuhlu agri-hub in Bushbuckridge, which forms part of the Provincial Government Nutrition Programme, is operational. The Mkhondo agri-hub in Gert Sibande District is completed and partially operational. The plan is for it become fully operational in the next financial year. A feasibility study is underway relating to the establishment of a hub in the Nkomazi Municipality. A budget of R15million has been agreed for the first phase and the creation of a packhouse. An International Fresh Produce Market is planned as a means of stimulating agricultural production, but the project has stalled. Other interventions include the re-commissioning of the Bushbuckridge poultry abattoir and support for soya and maize farmers to supply the Lekwa Oilseed Crushing Plant in Standerton. Agriculture is responsible for about 3.4% of Mpumalanga’s Gross Domestic Product (GDP).

Sector Insight The Sultanate of Oman will purchase Mpumalanga produce.

Crops Mpumalanga accounts for about 21% of South Africa’s citrus production and a third of its export volumes, with Valencias being the province’s most popular varietal and Nelspruit being the centre of the sector. Avocados, litchis, mangoes and bananas thrive in the province. Haz yview is an important source of bananas, with 20% of South Africa’s production originating there. D e c i d u o u s f r u i t s a re cultivated in smaller quantities. About 15 000 tons of table grapes are produced in the province annually and Mpumalanga produces its own wine. A specialist fruit that does well in the province is the marula. The marula fruit makes a popular beer and is used in the production of a liqueur that has done well on the international market. Macadamia nuts have grown in popularity exponentially. About 4 000 hectares of new trees is added each year across

Macadamia orchard. Image: Likweti Bushveld Farm Estate MPUMALANGA BUSINESS 2020/21

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