Giba CPA–land reform beneficiaries sign partnership agreement

The Giba Communal Property Association (CPA) in Hazyview, Mpumalanga, has signed a partnership agreement with private investor W van R Schmidt (Pty) Ltd, facilitated through non-profit organisation Vumelana Advisory Funds’ community private partnership (CPP) model.

The Giba CPA has signed off 127 hectares for two lease agreements with W van R Schmidt. The one lease is for 24 hectares of land for the development of a ginger farm over a 10-year period, with the option to renew at the sole discretion of the CPA. The second lease is for 103 hectares for the development of a macadamia farm over a 22-year period. The ginger will be used mainly for local consumption and the macadamias for export. The Giba CPA will receive income generated from the two lease agreements and will gain critical skills as the community will be involved in the business administration of the venture.

An estimated R51 million will be invested in cultivating crops and improving infrastructure on the land under lease, and an estimated 130 permanent jobs will be created for the community.

The Giba CPA is an association of families who were awarded land rights in terms of the Restitution of Land Rights Act and consists of approximately 417 registered beneficiary households. Additional households are currently being considered for verification and inclusion in the beneficiary list. The CPA was awarded restitution of 2 700 hectares of land in Hazyview and about 1 540 hectares of the land has been transferred to date; the remaining 1 166 hectares is state-owned land and is yet to be transferred.

The community approached the Vumelana Advisory Fund to assist with identifying an investor and act as the transaction advisor for approximately 100 hectares of prime export grade sub-tropical orchards on the CPA land.

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