SMMEs catalyst to growth, transformation and job creation in agriculture
ENGINEERING NEWS / 03 MAY 2018 - 13.08 / STAFF REPORTER
President Cyril Ramaphosa has earmarked 2018 as the year to take decisive action to realise the economic potential of the agricultural sector. In the second and third quarters of 2017, agriculture made the biggest contribution to the growth of the economy and forecasting shows that agriculture presents one of the greatest opportunities to significantly grow the economy and create jobs. Currently, agriculture delivers more jobs per rand invested than any other sector and the NDP estimates that agriculture could potentially create 1 million jobs by 2030.
In order for the agricultural sector to deliver on its growth potential, government recognises the role that Small, Medium and Micro Enterprises (SMMEs) have to play in job creation and economic growth in that sector. To this effect, the NDP has set a target of 90% of new employment opportunities to be created by 2030 to come from SMMEs. Government has also set aside at least 30% of public procurement for SMMEs.
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At the 2018 edition of the Vision 2030 Summit, Land Bank is sponsoring a topical breakaway session entitled, "SMMEs, key to future growth, transformation and job creation”. Land Bank has prioritised the transformation of the agricultural sector as a main driver of its finance offerings. The facilitation of entry of black emerging farmers, women and youth into the mainstream agricultural value chain is of paramount importance in order to deracialise the sector. The session will look at the at the role that SMMEs play in being viable models to bring about positive growth in the agricultural sector to ensure that the agricultural sector reaches it maximum potential and in turn grow the economy, create sustainable jobs and bring the country closer to reaching its NDP goals
For TP Nchocho, CEO of Land Bank, this collaboration to facilitate greater support for SMMEs in the agricultural sector could not be timelier. ‘We at Land Bank have been working to ramp up the participation of emerging commercial farmers and agribusinesses in the sector, bringing both the financing and technical skills gaps that makes it extremely difficult for small players to progress to the next level. With greater collaboration from all interested players, and a more coordinated approach to addressing issues of transformation, we can do more to create real development impact by growing these small businesses and providing a comprehensive support system for their success.’
‘The Vision 2030 Summit helps connect business and government, by identifying and sharing best practices of leading companies and organisations that have implemented successful development and investment projects and can clearly demonstrate success with measurable returns to stakeholders in relation to projects aligned to the NDP,’ says Ryland Fisher, Editorial Director at Topco Media.
The annual Vision 2030 Summit platform is the only event that tracks the implementation and impact of the NDP. Vision 2030 Summit creates a space that allows both public and private sector to actively engage one another in their shared responsibilities of realising the National Development Plan.
Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER