Ramaphosa says 2.5 million hectares being released to black farmers

President Cyril Ramaphosa says the government is releasing approximately 2.5 million hectares of state-owned land to black farmers as part of efforts to expand commercial farming, create jobs and address inequalities in South Africa’s agricultural sector.

In his weekly letter to the nation, Ramaphosa said access to land must be supported by financing, training, mentorship and technology if emerging farmers are to build sustainable businesses.

The initiative forms part of the government’s Proactive Land Acquisition Strategy, which is being used to make state-owned land available to black farmers in different parts of the country.

Government says land access must lead to commercial farming

Ramaphosa described secure land ownership as an important first step towards building a new generation of South African farmers.

However, he warned that giving farmers access to land without the resources to develop it could leave them struggling to grow beyond subsistence farming.

Emerging farmers often face difficulties securing funding for essential inputs, infrastructure and additional land, he said.

Without that financial support, farmers may find it difficult to expand production, employ workers and compete in commercial markets.

Ramaphosa said government wanted to combine land access with the practical support needed to establish viable farming businesses.

Eastern Cape dairy farm highlighted as an example

The president pointed to Redlands Farm, a commercial dairy operation in Stutterheim in the Eastern Cape, as an example of how partnerships and financial assistance can help young black farmers grow their businesses.

The farm has received support from the Land Bank and benefits from its Blended Finance Scheme, which combines government grant funding with loan finance.

Ramaphosa said the example demonstrated the potential of partnerships between government and financial institutions to support agricultural development and strengthen rural economies.

He also encouraged more lenders and agribusinesses to develop funding options that meet the needs of emerging farmers.

Access to finance can help farmers invest in equipment, infrastructure and production, allowing them to increase output and create employment opportunities.

Black farmers account for around 10% of agricultural output

Despite the growth of South Africa’s agricultural sector since 1994, Ramaphosa said the benefits have not been shared equally.

According to the president, the sector has more than doubled in size and recorded agricultural exports worth R270 billion in 2025, placing South Africa among the world’s leading agricultural exporters.

The country exports a range of products, including citrus, table grapes, maize, beef, wine, sugar and wool. Nearly half of its agricultural exports go to other African countries, with the remainder reaching markets in Europe, Asia, the Middle East and the Americas.

However, Ramaphosa said predominantly white-owned commercial farms still account for most commercial agricultural output, while black farmers contribute around 10%.

He described this imbalance as a challenge for both transformation and the country’s long-term food security.

With South Africa’s population growing and demand for food increasing, he argued that the country needs a broader base of productive farmers.

Training and mentorship remain essential

Ramaphosa said land ownership alone would not guarantee success. Farmers also need practical knowledge of crops, weather patterns, animal diseases and the demands of running a commercial operation.

He highlighted the role of agricultural organisations, including the Citrus Growers’ Association, Grain South Africa, the National Wool Growers’ Association, Potatoes South Africa, Red Meat Industry Services, the Milk Producers’ Organisation and Fruit South Africa, in supporting farmers and expanding participation in the sector.

The president also pointed to the importance of agricultural research, new breeding techniques and biotechnology in improving production and opening up opportunities in export markets.

He said government was engaging with farmers and agribusinesses to expand and diversify markets for South African agricultural products.

Agriculture’s role in jobs and food security

Agriculture employs approximately 944,000 people, with another 200,000 working across the broader agricultural value chain, according to Ramaphosa.

He also cited a 2025 University of Pretoria study that found a strong relationship between investment in agriculture and poverty reduction.

For the government, expanding access to productive land is therefore linked to several wider goals: creating employment, strengthening rural economies, reducing historical inequalities and ensuring the country can meet its food needs.

Ramaphosa said closer cooperation between government, farmers, businesses, lenders, traditional leaders and communities would be necessary to achieve those goals.

The release of approximately 2.5 million hectares is a significant part of that effort. Its broader impact will depend on whether farmers can also secure the funding, skills and infrastructure required to turn access to land into productive, sustainable commercial operations.

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Source: IOL