Uniting for a Prosperous Free State Agriculture Future

This executive summary provides an overview of key points from the address by Elzabe Rockman, the LUR van Landbou (MEC for Agriculture) in the Free State, delivered at the Free State Agriculture Congress.

Context and Collaboration:

• The address took place almost exactly one year after the previous congress, at a time when the realities of the Government of National Unity were setting in.
• The MEC expressed appreciation for the openness and honesty in collaboration with Free State Agriculture, a relationship characterized by a shared commitment to ensure, stabilize, strengthen, and grow the future of agriculture in the Free State.
• Key areas of cooperation include safety along the border and in rural areas, veld fires, disaster conditions, biosecurity, and the state of roads. A public-private sector committee is being formed to implement the agriculture and agro-processing master plan in the Free State.

Key Legislative Developments:

• The President ratified two important pieces of legislation in January:

    ◦ The Conservation and Development of Agricultural Land Act: Aims to ensure agricultural land supports long-term food production, contributing to economic growth. It applies to all agricultural land, outlining principles for its management, evaluation, and classification, and provides for the declaration of protected agricultural land.

    ◦ The Expropriation Act (replacing the 1975 act): This act provides for just and equitable compensation in line with Section 25(3) of the Constitution and guides the factors considered for compensation. It enables the government to acquire property for public purpose and public interest. Section 12(3) specifically allows for expropriation without compensation in circumstances where land is not productively utilized. The Minister of Agriculture has clarified that the act does not permit arbitrary land seizure and requires fair compensation for legitimate expropriations.

Agricultural Sector Performance and Dominance:

• The agriculture sector rebounded strongly in late 2024, growing by 17.2% quarter-on-quarter (seasonally adjusted) in Q4 2024, making it the largest contributor to national GDP growth for that quarter. This growth continued into Q1 2025, expanding by 15.8%. These results effectively kept South Africa out of recession.
• The Free State remains South Africa's agricultural backbone and one of the most productive crop-growing provinces. It is the country's number one producer of white maize (52%), sunflower (51.5%), and soybean (47.3%), and also leads in groundnut production (47%). The province accounts for approximately 20.3% of the national sheep herd and 16% of the national cattle herd.
• This dominance means the Free State's fortunes significantly influence South Africa's food security and commodity exports. However, it also implies that climate shocks like drought and floods have an outsized economic impact. Diversification and adding value to production are critical for resilience and growth.

Export Diversification and Opportunities:

• While vulnerable to recent US tariffs (US exports are about 4% of agricultural exports, mainly citrus, grapes, wine, and juice), significant opportunities exist.
• The African continent accounts for the biggest share of South Africa's agricultural exports, and opportunities within the African Continental Free Trade Agreement must be optimized.
• There's potential to leverage South Africa's strategy of expanding agricultural trade with BRICS partners and other emerging economies. China and India are massive importers of food and fiber that align with the Free State's production. China, the world's largest agricultural importer, opened up to SA beef in 2023 and is the top buyer of South African wool. India is a huge market for pulses, edible oils, and fruit.
• New BRICS members like Saudi Arabia, UAE, and Egypt also offer high potential for Free State products, importing vast quantities of food.
• An export diversification strategy requires targeted promotion and marketing programs and urgently addressing phytosanitary and tariff barriers.

Public-Private Partnerships and Projects:

• The department is forming a public-private sector committee with Free State Agriculture to implement the agricultural master plan, focusing on infrastructure, crop and livestock development, research, technology, value-adding, and market development.
• Agreements have been signed with organizations like the National Wool Growers Association and the University of the Free State to support wool farmers.
• The Da Vinci Institute launched an initiative to train 30 students in food manufacturing and production.
• Agreements with AFASA, the Red Cross, and Meals on Wheels strengthen food security projects.
• Agreements are being finaliz