1. The Land Bank’s Role in Agricultural Development From 1994 to Date Presentation To The Portfolio Committee on Agriculture and Land Affairs (National Assembly)
10 June 2003

2. Presentation Outline -
1. How Much Has Been Advanced for Agricultural Development from 1994 to Date?
2. What Activities Have Been Organized or Embarked Upon on Agricultural Development?
3. What Further Inputs / Programmes Will Your Institution Be Involved In?
4. Your Relationship With The Department of Agriculture and Land Affairs?

3. 1. How much has been Advanced for Agricultural Development since 1994

4. 1. How much has been Advanced for Agricultural Development since 1994*

5. 2. What Activities Have Been Embarked Upon on Agricultural Development

6. 2. What Activities Have Been Embarked Upon on Agricultural Development

7. What Activities Have Been Embarked Upon on Agricultural Development

8. What Activities Have Been Embarked Upon on Agricultural Development

9. What Activities Have Been Embarked Upon on Agricultural Development

10. What Activities Have Been Embarked Upon on Agricultural Development

11. What Activities Have Been Embarked Upon on Agricultural Development

12. What Activities Have Been Embarked Upon on Agricultural Development

13. Challenges for Agricultural Development Finance
Access to Skills and Capacity Building
Access to Information, Technology
Access to Markets
Access to Land
Debt: Arrears and Repayment
Unable but willing
Able but not willing

14. Stakeholder Relations - Annexure 1 (1)
Agency agreements with provincial DFI / Village Banks / Intermediaries - Wholesale facility of R10m granted to Ithala and of R40m to Uvimba
National and Provincial Youth Commission - 4 farms made available to the youth.
Umsobomvu Trust - Provide production credit finance as well as training capacity building on the Youth Farms.
MoU signed with both NAFU & NERPO - R885k provide for capacity building, conferences and international relations. Also represented at Nerpo Young Agribusiness Entrepreneurial Development.

15. Stakeholder Relations - Annexure 1 (2)
Onderstepoort Biological Product (OBP) - OBP busy with a proposal where Land Bank is to provide finance to the distributors of Animal medicines and Livestock feeds.
ARC - Initiatives which develop models for livestock improvement & risk management on grazing and crop production and the Geographical Information System.
Farmers of the Year - Sponsored the Provincial Female Farmer of the Year, National Female Farmer of the Year and the Grain SA Development Farmer of the Year.

16. Stakeholder Relations - Annexure 1 (3)
IDC - Co-financing & risk sharing on selected projects e.g Bethlehem Small Farmers (Apples project) & Sundays River (Citrus project).
Agri SA - Mentorship programs which benefited 832 beneficiaries.
ABC - Relationship which promote discussion on issues pertaining to the Land Bank Act and its impact to the Agribusiness. Firm commitment by ABC to support agricultural development in the form of linking development farmers to market opportunities.

17. Major Development Projects Funded - Annexure 2 (1)

18. Major Development Projects Funded - Annexure 2 (2)

19. Public Private Sector Partnerships (1) - Annexure 3
Nkomazi Project
Land Bank - Finance (R93m)
DLA - Grants (R47m)
TSB - Sugar Quota
Eskom - Power
DWAF - Water Grants
Goodhouse (Paprika)
Land Bank – Finance (R55,4m)
Variety Holdings Contracts
DLA - Grants (R13m)
Regional Council - Long Term Leases
Top Rose
Land Bank – Finance (R4,6m)
Netherlands Investment (R5m)
IDC (R4,6m)
Equity Africa (2,5m)
Hydro Tech
Land Bank – Finance (R6m)
Private Investors (R6m)

20. Public Private Sector Partnerships (2)
Mabandla & Sigidi & Zintwala Forestry Project
Land Bank – Finance (R15,5m)
State Land
Private sector (Mondi) Management
Makatini Cotton
Land Bank – Finance (R55m)
Private Investment – NSK (R20m)
Papricor Oils
Land Bank – Finance (R8m)
Pamodsi & Andre Hendricks (Private investment) - (R20m)
Kanhym Estates
Land Bank – Finance (R96.8m)
LRAD Grant Approved (R24m)
Private Sector Investment (Management & members) - (R11,7m)
Various Capacity Building Programmes with Individual Commercial & Development Farmers

21. 3. What Further Inputs / Programmes Will Land Bank Be Involved in Future? (1)
A. COMMUNICATION STRATEGY
- Land Bank communication strategy
- Improved internal communication
- Improved external communication
B. FOOD SECURITY STARTER PACK
- Food Security initiative -
- Concluding MOU implementation with NDA

22. 3. What Further Inputs / Programmes Will Land Bank Be Involved in Future? (2)
C. ENHANCED BUSINESS PROCESSES AND SYSTEMS
- Help to streamline our internal processes.
- Identify bottlenecks within our internal systems.
- Help to speed up our loan processing, thus improving our turnaround time.
D. DIPUDI GOAT PROJECT
- Analysis of Goat Industry into financing opportunities
- Meat, Skin, Milk and Cheese analysis.
- Busy with a proposal and a financial package.

23. 3. What Further Inputs / Programmes Will Land Bank Be Involved in Future? (3)
E. ARC JOINT INITIATIVES
- Livestock Improvement & Innovation Analysis
- Risk Management - Impact of climate condition on grazing & crop production.
- Developing early warning climate conditions.
F. NEW BANKING SYSTEM
- Assist with improved customer service
- Enable us to operate on-line.
- Improve processing of documents.

24. 3. What Further Inputs / Programmes Will Land Bank Be Involved in Future? (3)
G. National Agricultural Risk Management Initiative
- Partnering and Supporting the NDA initiaive
H. Proposed Agency agreement for the implementation of Agricultural Debt Management Act

25. 4. Relationship With The Departments of Agriculture and Land Affairs
Accountable to the National Department of Agriculture.
NDA a key partner for agricultural development
Joint monitoring of project - Provincial Advisory Forum.
Land Restitution Project - Land Bank provide technical advise and finance.
Flood Relief - Project Manage the NDA R161.5m scheme.
Agent for the DLA for LRAD distribution
Joint initiatives with NDA in sourcing international grant funds - DGRV (German Based Institution)
Joint initiatives with NDA in the Kgalagadi Dipudi Projects
Participate in ITCA and Minmec .

26. Thank You