The success and impact of agri-hubs in driving economic stimulation in the province hinge on effective planning.

The KwaZulu-Natal Department of Agriculture and Rural Development (KZNDard) plans to persist in investing in strategic programs targeting the lucrative agricultural sector. This aims to support economic growth, job creation, and poverty alleviation in the province.

The South African agricultural sector has experienced a twofold increase in both value and volume over the last three decades, as reported by the Agricultural Business Chamber (Agbiz). This sector significantly contributes to South Africa’s gross domestic product (GDP).

Zibusiso Dlamini, the head of the KZN Department of Agriculture and Rural Development, mentioned in a Business Report interview that among the programs is the agri-hub initiative, which establishes secondary and tertiary value addition centers for primary agricultural products.

The success and impact of agri-hubs in bolstering the province’s economic stimulation relied on effective planning.

At present, the department is undertaking feasibility studies, conducting value chain analyses, crafting business plans, and conceptualizing designs. This phase is closely connected to environmental impact assessments (EIAs), geotechnical investigations, and the formulation of an aggregation strategy.

Further details include promising harvests in citrus and pome fruit exports. The China-Africa Agricultural Cooperation is seen as a safety net for food security and sovereignty in Africa. The agricultural output has doubled in the past 30 years and is still expanding. Similar challenges in agriculture are anticipated this year as those faced in 2023.

Additional information reveals optimistic yields in citrus and pome fruit exports. The China-Africa Agricultural Cooperation is viewed as a safeguard for food security and sovereignty in Africa. Agricultural output has doubled over the last 30 years and continues to grow. Similar challenges in agriculture are expected this year as those encountered in 2023.

Locations for all the hubs have been designated, and the necessary approval from property owners at the provincial level has been obtained. The formal acquisition process for these sites is overseen by the Department of Public Works, aligning with its mandate to progress property-related contracts and register the properties in the state’s asset register, as stated.

KZNDard reported the initiation of an application to secure funding for all agri-hubs through the Budget Facility for Infrastructure (BFI). In response, the BFI granted approval for a budget of R153 million specifically designated for the development of the fresh produce hub. The allocated amount for the financial year 2023/24 stands at R8,400,000.

The department, guided by the aggregation strategy, has recently decided to split the red meat hub (pig and sheep) into two segments. This entails establishing the red meat hub (beef) in Zululand and the red meat hub (sheep and pig) in uMgungundlovu.

The proposal for 2023/24, pending approval, aims to initiate on-site contractors for both the fresh produce hub and the red meat hub (sheep and pig) by the commencement of the financial year 2024/25. Simultaneously, plans for the remaining hubs are intended to be finalized for implementation in subsequent years.