Flying over the Peebles area near White River this last weekend. It’s a good agricultural area but located right next to the tribal trust areas of Swalala and Mahushu.
The Peebles farmers were among the first to sell their land to the government for land restitution. They were motivated in no small part by the challenges posed by the growing risk of theft and violent crime.
Most sold their land 10 or more years ago. (Peebles was truly liberated)
Predictably the farming enterprises collapsed.
There was some mentoring but that didn’t work.
Predictably the farming enterprises collapsed.
There was some mentoring but that didn’t work.
Orchards died, farm houses and farming infrastructure were stripped bare, fields went fallow.
In short the beneficiaries never saw any benefit from restitution.
Mainly this was the case because they lacked the skills or capital to maintain the productive use of the land.
In short the beneficiaries never saw any benefit from restitution.
Mainly this was the case because they lacked the skills or capital to maintain the productive use of the land.
Curiously, Peebles is now experiencing a resurgence. Irrigation systems are being restored, orchards are being resuscitated and fallow land is being cleared and replanted. It is looking good.
So what’s happened?
So what’s happened?
1. The market for avocados and macadamia nuts, for which Peebles is incredibly well suited, is strong.
2. The land claimants have been subjected to a hard dose of reality. Land without the skills and capital to exploit it is worthless.
2. The land claimants have been subjected to a hard dose of reality. Land without the skills and capital to exploit it is worthless.
3. The land claimants’ aspirations are a lot more modest than they were.
4. There is a class of entrepreneurs with an appetite for risk. They are young, bright and ambitious. They are integrated, in touch with their fellow South Africans and able and willing to do deals.
4. There is a class of entrepreneurs with an appetite for risk. They are young, bright and ambitious. They are integrated, in touch with their fellow South Africans and able and willing to do deals.
5. This generation of entrepreneurs have access to capital.
6. They are concluding deals with the CPA’s and restitution trusts that own the land to lease it for 10 to 20 years on very favorable terms and are making an investment on the strength of that.
6. They are concluding deals with the CPA’s and restitution trusts that own the land to lease it for 10 to 20 years on very favorable terms and are making an investment on the strength of that.
7. They are confidant enough to take the risk and invest their time and the money (borrowed from financial entrepreneurs) to restore the land to productivity.
The risks are huge but so are the profits if their gamble pays off. If it doesn’t, they lose their shirts. But these are the kind of people who are happy to move on and to try again.
This dynamic is playing out in many areas other than Peebles.
This dynamic is playing out in many areas other than Peebles.
It gives me hope.
Predictably the process that is unfolding bears no relationship to the mainstream narrative of race and land and victimhood.
Viva
Predictably the process that is unfolding bears no relationship to the mainstream narrative of race and land and victimhood.
Viva
