Small-scale farmers reject R1.2bn government relief package as too small
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While the agricultural sector escaped some of the strictest Covid-19 lockdown regulations as it is regarded as an essential service, small-scale farmers have spurned the government's R1.2bn relief package that was set aside to assist them as too little.
The small-scale farmers are the second business grouping to express dissatisfaction at the government’s support. Their counterparts in the taxi industry have rejected a R1.14bn relief package offered by transport minister Fikile Mbalula. Taxi owners rejected the amount — believed to be R20000 per taxi — as too small, and were also irked by the conditions accompanying the package.
The farmers said they struggled to cover operational costs and were forced to retrench their workers to keep operations going, and it is likely to take a long time to recover.
Agriculture is among the resilient sectors in SA as it continued operating during the lockdown. It contributes about 3% to GDP and is responsible for about 900,000 jobs.
In April, agriculture minister Thoko Didiza announced the R1.2bn relief package to help the small-scale farmers weather the effects of the coronavirus lockdown on their operations, with priority given to women, youth and people with disabilities. The farmers have an annual turnover of between R20000 and R1m.
The department said more than 50,000 applications were received. Successful applicants received assistance according to the size of their farming operations, up to a maximum of R50000.
More than R500m has been disbursed so far, but the relief does not cover farmer debts, mechanisation, infrastructure and overhead costs.
Didiza’s spokesperson, Reggie Ngcobo, told Business Day more than 15,000 of the 50,000 applications had been approved.
Organic farmer Nomsa Ngwenya, who farms Moringa — a plant considered to be a highly nutritious superfood — at her 42ha farm in Phalaborwa, Limpopo, said she received R23000 in relief funding from the state.
“It’s relief, yes, but it’s a drop in the ocean. I had to reduce my workers from 28 to 16 during the lockdown because we were not getting any income” she said.
“For small-scale farmers, Covid-19 was a big problem. It’s going to take us a very long time to recover from this pandemic. Before Covid-19 came we were experiencing the drought problem.”
Another farmer, Isaac Muvhali, who produces beef, pork, chicken and maize in Balfour, Mpumalanga, told Business Day on Thursday that while he had received R32000 in relief funding, he had struggled to pay ...
The small-scale farmers are the second business grouping to express dissatisfaction at the government’s support. Their counterparts in the taxi industry have rejected a R1.14bn relief package offered by transport minister Fikile Mbalula. Taxi owners rejected the amount — believed to be R20000 per taxi — as too small, and were also irked by the conditions accompanying the package.
The farmers said they struggled to cover operational costs and were forced to retrench their workers to keep operations going, and it is likely to take a long time to recover.
Agriculture is among the resilient sectors in SA as it continued operating during the lockdown. It contributes about 3% to GDP and is responsible for about 900,000 jobs.
In April, agriculture minister Thoko Didiza announced the R1.2bn relief package to help the small-scale farmers weather the effects of the coronavirus lockdown on their operations, with priority given to women, youth and people with disabilities. The farmers have an annual turnover of between R20000 and R1m.
The department said more than 50,000 applications were received. Successful applicants received assistance according to the size of their farming operations, up to a maximum of R50000.
More than R500m has been disbursed so far, but the relief does not cover farmer debts, mechanisation, infrastructure and overhead costs.
Didiza’s spokesperson, Reggie Ngcobo, told Business Day more than 15,000 of the 50,000 applications had been approved.
Organic farmer Nomsa Ngwenya, who farms Moringa — a plant considered to be a highly nutritious superfood — at her 42ha farm in Phalaborwa, Limpopo, said she received R23000 in relief funding from the state.
“It’s relief, yes, but it’s a drop in the ocean. I had to reduce my workers from 28 to 16 during the lockdown because we were not getting any income” she said.
“For small-scale farmers, Covid-19 was a big problem. It’s going to take us a very long time to recover from this pandemic. Before Covid-19 came we were experiencing the drought problem.”
Another farmer, Isaac Muvhali, who produces beef, pork, chicken and maize in Balfour, Mpumalanga, told Business Day on Thursday that while he had received R32000 in relief funding, he had struggled to pay ...