STANDING TOGETHERFOR A BETTER RURAL EASTERN CAPE

AsgiSA Eastern Cape is an initiative of the Eastern Cape provincial government fast-tracking rural development and agrarian reform in the former Transkei.

“…plantings have further significance that it supports

the Government’s goal to ensure food security,

provide job creation…two priorities that are the

cornerstone of rural development interventions…”

Minister for Agriculture and Rural Development

Gugile Nkwinti

Helping to shape a new rural Eastern Cape

Visualising a vibrant and sustainable rural

economy that improves livelihoods and

unlocks the dormant potential of the land

and the people of the Eastern Cape

Through partnerships, high level and focused

integration and coordination, AsgiSA Eastern

Cape (EC) will play a direct and catalytic role in

building a sustainable and modern, rural-

based economy, primarily through agrarian

reform

Focusing initially on Mzimvubu catchment area

Mzimvubu Development Zone

AN UNTAPPED RESOURCE

The largest river in South Africa

The Mzimvubu River Basin extends over 20,000km²

It is one of the highest mean annual rainfall areas in

South Africa, from 700mm -1,500mm

The natural mean annual run-off is 2,500 million m³

Hydro-electric power potential is in excess of 2,000 MW

Population: over one million

Over 50% of workforce is unemployed and longing for

gainful work

APPROACH

Partner with private sector investors to unlock dormant

potential

Create a new economic development zone

Provide an important counter balance to economic growth

in other parts of the province i.e. Coega and East London

IDZs

Build thriving rural communities engaged in industrialised

value-added processes

Rural development through 6 high impact priority projects (HIPPs):Agriculture & agro-processing, forestry leading the way

Agriculture & agro-processing

Agriculture & agro-processing5 year goal

• Dry-land cropping – 100,000ha

• Irrigated cropping - 11,000ha

• Development of regional food

processing & biofuel industries –silos

and maize mills

• 6,700ha of maize harvested in Chris

Hani, Amathole, OR Tambo and Alfred

Nzo districts

• Matatiele highest yield

• Other sites harvested:

Butterworth

Mount Frere

Qumbu

Agriculture & agro-processing2009 milestones

Expansion of current planting season• 6,700ha to be expanded to 12,000ha for

dry-land cropping

• 11 municipalities involved

Criteria for selecting areasCropping programme

At least 300ha

Adequate fencing

Technical information (soil potential,

climate conditions and slope)

Community readiness (existing community

co-operatives/organised structures)

• R91 million citrus project in

Port St Johns

• Planting granadillas in 2010

• Includes agro-processing

• Cooperating with Riverside community farm

Port St Johns fruit project

• Livestock development – 400,000 livestock

units, 100 fenced grazing paddocks

• Value addition – feedlots, packhouses, meat

processing facility

Livestock5 year goal

• 43 farmers on LRAD farms in Elliot

• 1,043 livestock units already delivered

• Initial investment R12 million

Total investment to grow to

R28 million

• Additional 107 farmers to be included

into next 12 month cycle

• Integrated cooperative to include four

existing cooperatives

2009 MilestoneSakhisizwe livestock beef project

Agribusiness model

Agribusiness model, an Special Purpose

Entity, which formalises relationships

Trialed with Mhlontlo, national pilot site for

rural development

• Butterworth - Mambabaleni, Komkhulu,

Magenuka and Luxhomo

• Community helped with fencing

• Fencing a key criteria for participation

• “We realised that we could not wait for

government to provide us with fencing before we

can start planting.” Donald Kwanele Ntshwanti

Zingqayi accolade

Forestry

Forestry5 year goal

Identify, scope 100,000ha of afforestation land

Help communities plant 30,000ha of forest

• Biodiversity study of 100,000ha of afforestation land

completed

• Making headway in finding a solution to bottlenecks in

water licensing

2009 milestones

Forestry model

Water resource development

Water resource development5 year goal

Complete feasibility studies for pumped storage schemes,

hydro-electric power generation

Get existing irrigation schemes (8,000ha) working again

Water resource development2009 milestones

• Initial study now complete

• Ntabelanga, Tsitsa Falls identified as two sites with

best potential

• Next study to assess cost-vs-benefit of sites as multi-

purpose dams

Hydro and alternate energy

20,000km² is the length of the Mzimvubu

River Basin

900 million cubic tons is what the

Mzimvubu River Basin is estimated to hold

5% of this resource is only used

700 -1500 mm of rainfall which makes it

an area with one of the highest mean annual

rainfalls in South Africa

2,000 MW is the estimated excess of hydroelectric power

An economic modeling study has been commissioned to

investigate linkages with the Tsitsa River basin.

The Eastern Cape Appropriate Technology Unit (ECATU)

involved in the planning, financing and implementation of

projects relating to appropriate technology for development

purposes, in partnership with AsgiSA EC has requested

proposals for the installation and utilisation of anaerobic

digesters for production of biogas at household level.

Tourism

ASGISA EC HAS ENTERED INTO A

PARTNERSHIP WITH THE KING SABATHA

DALINDYEBO MUNICIPALITY, NTINGA OR

TAMBO DEVELOPMENT AGENCY AND THE

NELSON MANDELA MUSEUM TO DEVELOP

THE NELSON MANDELA CULTURAL PRECINCT

This programme intends to link eco-tourism on the

Wild Coast with the adventure hotspots of the

Southern Drakensberg through a branded tourism

corridor that includes Nelson Mandela’s

birthplace,the Mandela Museum in Mthatha and

the Ntlango Conservancy. This development will

be influenced mainly by research, market

opportunities and partnership development. The

tourism master plan, currently facilitated by the

provincial Department of Economic Development

and Environmental Affairs will inform AsgiSA EC’s

interventions.

Human settlement and planning

OR Tambo District Municipality Spatial Development

Framework Review

Agribusiness model implementation

Ingquza Hill (Qaukeni Infrastructure Master Plan

development)

Development charter and social impact

Mhlontlo and Eluadini Tsitsa River Basin Land Use and

Environmental Management Study

Mhlontlo Infrastriucture Atlas Study

Water resource technical support

Resource mapping

Wild Coast tourism initiative – Wild Coast Resort Club

Feasibility studies and business planning

2008 the first year of operation

• Stakeholder consultation process regarding AsgiSA EC

mandate completed

• AsgiSA EC’s business plan 2009 to 2014 approved

• AsgiSA EC future, in terms of other rural development

players underway

• Board including MECs for Agriculture and Economic

Development and Tourism in place

• Branding, communication underway

• Key HIPPs – agriculture and forestry underway

2009 the second year of operation

• Several stakeholder agreements signed and in

progress

• Several community agreements and social charters

signed; process to be completed by 2010

• Integration plans for AsgiSA EC with another

parastatal is under discussion

• Clean audit

• Moved to larger offices in Stirling, East London;

Mthatha office remains in place

• Number of employees grew

2010 the third year of operation

40 community agreements in place

10% community share and profit from the 2009

harvest being distributed

Over 12,000ha maize and bean plantations in

11 local municipalities

Irrigation prospects assessed in key areas

within the Mzimvubu River

R7 million for the construction of silos at

strategic sites

Livestock programme to be upscaled threefold

with an additional 107 farms

Luvuyo Thomas

MANAGER, LEGAL

SERVICES AND

COMPANY

SECRETRIAT

Janine Baxter

CHIEF FINANCIAL

OFFICER

Thukela Mashalogu

PROJECT

MANAGER,

AGRICULTURE

& AGRO

PROCESSING

Simpiwe Somdyala

CHIEF EXECUTIVE

OFFICER

Chuma Sangqu

INVESTMENT

PROMOTION &

STAKEHOLDER

MANAGEMENT

Stephen Keet

FORESTRY

SPECIALIST

Hazel Nombembe

HR MANAGER

Solly Vuso

GIS SPECIALIST

NobaTembu Pako

MARKETING &

COMMUNICATIONS

MANAGER

Gcobani Ntshanga

STRATEGIC

PROGRAMMES

MANAGER

Andile Sibulali

SUPPLY CHAIN

MANAGER

Absent:

Siya Morris

CAPACITY DEVELOPMENT MANAGER

Mathembekhaya Mapuma

LIVESTOCK SPECIALIST

Luvo Qongqo

AGRONOMIST

“... AsgiSA Eastern Cape will change our livelihoods for the better. They came at the right

time where our fields have been lying flat for a long time ...”

Mxoli Poto, chairman of the Tsomo Valley Farmers Co-operative, president of the National

Farmers Union

Ngumhlaba wam loo.

This is my land.

Lithemba lam eli.

This is my hope.

Namhlanje, sizakutya ubuncwane balo.

Today, we will feed on its goodness.

Izolo lidlule.

Yesterday is behind.

Ingomso lethu liqhakrazile.

Our future is getting brighter.

Sisonke singenza umahluko.

Together, we can make it happen.!

Mthatha:

ECDC House, 7 Sissons St, Fort Gale, Mthatha,

t 047 501 5100 | f 047 501 5110

East London:

Arundel Park, Unit 2 & 3A, 12 & 14 Old Transkei Rd, Stirling, East London 5247

t 043 735 1673 | f 043 735 2679

Postnet Suite 385, Private Bag X 9063, East London 5200

www.asgisa-ec.co.za