Public-Private Extension Approaches: A Case Study of the Eastern Cape

Citrus IndustryKevin Whitfield

Centre for Sustainable Agriculture, Rural Development & Extension, University of the Free State, South Africa

Presentation Outline1.Introduction & Context of Situation

2.Eastern Cape’s Citrus Industry

3.Riverside Enterprises

4.Riverside Advisory Service

5.The Emerging-Commercial Farmers

6.Sustainability of Riverside

7.Implications for Policy Development

8.Conclusion

1.Introduction & Context of Situation• South Africa has emerged from prejudiced-Apartheid system

• New dispensation aims to restore equity to the country

• Hence, land reform is taking place

• 1 Aim of land reform: Black-commercial farmers

• Unfortunately, many of these farmers do not reach this aim

• A solution is needed for this problem!

2. Eastern Cape’s Citrus Industry• Predominantly in Kat River valley

• Regulated markets under Apartheid system

• New dispensation brought free-market system

• New challenges for the farmers

3. Riverside Enterprises• White-commercial family farm for over 100 years

• Started own pack house after market was deregulated

• Established a export market

• Market demand grew, but their farm size was a limiting factor

• Therefore, needed more farmers to supply pack house

• Decision made to support black emerging-commercial farmers

4. Riverside Advisory Service• Funds for farmers received from government-funding agency

• Advice given on holistic farm management

• Emerging-commercial farmers’ methods on commercial scale

• Lack financial skills required for commercial enterprise

• Riverside provide administrative assistance for this too

5.The Emerging-Commercial Farmers• There are 22 farmers with the Riverside Advisory Service

• They have previously received formal or informal training

• Citrus orchards are between 20 and 40ha

• They have diversified with cash crops to reduce risks

• This also generates income while orchards come into production

• Farmers have hired permanent and casual labourers

• They expressed that they are happy with the advisory service

6. Sustainability of Riverside6.1 Maintaining & enhancing production levels

• Initial farm is still maintaining production levels

• New farmers are enhancing production levels

6. Sustainability of Riverside (cont.)6.2 Reducing the level of production risk

• Farmers diversified to reduce risks assoc. with monocultures

• Pack house to diversify into packing other fruits

• Riverside keeps up-to-date with new technologies and cultivars

6. Sustainability of Riverside (cont.)6.3 Protection of Natural Resources &

Prevention of Degradation

• Due to export market, they comply with international practices

• All farmers are Global-GAP compliant and certified

6. Sustainability of Riverside (cont.)6.4 Economic Viability

• Riverside is an economically-viable enterprise

• Cash flow affected by own funds used for farmer development

• Riverside is long-term focused, future returns will be worthwhile

6. Sustainability of Riverside (cont.)6.5 Social Acceptability

• Fairtrade Alliance certified & rated in top 3 companies to work for

• Riverside helped build community learning centre & crèche

• Affirmative action/BBBEE: Plan to sell some pack house shares to packers

• Affirmative action/BBBEE: Plan to sell one farm – through state – to packers and farm workers

7. Implications for Policy Development7.1: Increases in accountability, efficiency, empowerment & impact?

•One can answer that there is.

7.2: Is this mix of regulations, goods and services the most appropriate in meeting the needs of the country’s goals within the given socio-economic and agro-ecological context?• One can say that it does meet the country-specific goals.

7. Implications for Policy Development (cont.)

7.3: What is the future role of the public extension service?

• One could say that pressure is relieved from the public extension service, although public funding is still needed to fund the emerging-commercial farmers.

7.4: What are the policy lessons that can be learnt from privatization of the extension service?

• From this case study, one can deduce that the private sector is capable of providing an effective extension & advisory service provided that they are not self-serving their own interests, hence accountability is necessary.

7. Implications for Policy Development (cont.)

7.5: What research is needed to fill the knowledge gaps?

• One can say that more research is needed before this extension & advisory approach is expanded in the citrus industry as well as into other industries.

5. What research is needed to fill the knowledge gaps?

8. ConclusionThis public-private partnership can be strong and relevant provided that there is commitment from all of the parties involved. Positive lessons can also be taken from this case study.

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5. What research is needed to fill the knowledge gaps?

Thank You

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