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The Commercial Farmers’ Union of Zimbabwe. By Deon Theron President of the CFU . Disputed title and deadlock!!! WHY “Land Reform” flawed. Questionable motives, legality and legitimacy. Compensation is either unfair, inadequate or non existent. THE LAND IS DEAD
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The Commercial Farmers’ Union of Zimbabwe By Deon Theron President of the CFU
Disputed title and deadlock!!! WHY • “Land Reform” flawed. Questionable motives, legality and legitimacy. • Compensation is either unfair, inadequate or non existent.
THE LAND IS DEAD • No property rights and no incentive to invest. • No collateral value. No access to private finance. • Government broke no access to public finance. • Donor support conditional. • No incentive for farmers to practice sustainable agriculture or for capital development. • Farming skills lost and not transferred to new land holders. NO EMPOWERMENT!!!
SEVERE DROUGHT YEARS . LAND REFORM Source: CSO + IMF + Robertson Forecasts • Estimates
US Dollars per Head per Year Robertson Economic Information Services
Must be in the Public Interest • Must be in accordance with the law (due process must be followed) • Must be accompanied by prompt payment of compensation.
There are still disruptions to agricultural businesses. • Commercial Farmers are evicted and replaced with senior politicians, security force personal or civil servants. • The land is still used as an asset in a system of political patronage and not as an economic asset to enrich the country as a whole.
MANUFACTURING Food Production ALL ITEMS AVERAGE INDEX: 1990 = 100 Estimate Robertson Economic Information Services
MANUFACTURING Fertiliser Production Volume: Tonnes ’000 THOUSANDS OF TONNES Robertson Economic Information Services
Importance of Commercial Farming Sector As a group of about 4 500 companies, the commercial farming sector was: Zimbabwe’s largest industrial sector Zimbabwe’s largest employer Zimbabwe’s largest supplier of raw materials to the manufacturing sector Zimbabwe’s largest export revenue earner Zimbabwe’s largest supplier of product to the commercial sector
Businesses Affected Farming businesses – about 4 500 Manufacturers dependent on agricultural inputs – about 2 000 Manufacturers of agricultural requirements – about 500 Thousands of service providers: commercial – banking – legal – financial – construction – transport – educational – health – leisure/sport
Future generations of Zimbabweans will be burdened by the arrested physical and mental development of today’s infants. With investment in new productive capacity having been brought to a halt by government policies, very few of the school-leavers of the past ten years have found work. As their options have been to live by their wits, emigrate or join Zanu PF’s Youth Militia, they constitute a lost generation.
What changes have occurred in regional food security because of land reform in Zimbabwe? • RSA is main beneficiary as Zimbabwe has become dependent on South African commercial farmers to make up maize production shortfalls. • Zambia is another beneficiary – many ex-Zimbabwean commercial farmers have moved there and now produce maize and wheat to boost stocks and food security in Zambia. • Zambia seldom used to achieve self-sufficiency in grain production – it now regularly does so and even exports surplus maize to the DRC and Zimbabwe. • Malawi has also sometimes exported maize to Zimbabwe during the last nine years. • Little effect on food security of other countries in the region.