An evaluation of the impact of land redistribution for agricultural development projects on beneficiaries in the Ngaka Modiri Molema district of North West Province, South Africa

Abstract

The fundamental objective of this study was to evaluate the impact of the LRAD projects in the Ngaka Modiri Molema district of the North-West Province. Under the ownerships of LRAD beneficiaries, the majority of the projects undertake combinations of livestock, grains and vegetable production. Based on the number of LRAD projects in the district, random sampling was performed and 65% of ail the active projects under LRAD sub-programme which is the focus of this study were selected. Qualitative and quantitative analyses were performed on the data collected using a structured questionnaire from forty-seven LRAD projects in the study area. Graphs, histograms and tables were used to present the results of frequency indicator variables. Three models, the Tobit, the Binary Logistic Regression and the Ordinary Least Squares models were fitted to the data respectively to analyse the effects of the socio-economic factors on the projects ' performance. The limited dependent variable of the study, Yi (performance) was left censored hence the Tobit regression model provided estimates which were asymptotically consistent and efficient. The Limdep Version 4.1.0 Statistical Programme was used to analyse the censored limited dependent variable model (Tobit model) and the estimates of the effects of the socio-economic factors on the projects' performance were determined. Sixteen out of the twenty explanatory variables were found to be statistically significant at the 1, 5 and 10% levels of significance.The variables which were statistically signiftcant included: years of project operation (NYR); Number of project beneficiaries (NBNOW); Number of project beneficiaries with less than matric education (EDLM); number of project beneficiaries with matric Level of education (EDM); number of project beneficiaries with tertiary level of education (EDT); number of beneficiaries employed outside the project (NAEBP);availability of project business plan (AVBP); average number of trainings attended by project beneficiaries (AVTR); number of conflicts per project (NCONF); adoption of new technologies by the projects (ADTECH); promotion of women with children per project (PROW); households of beneficiaries' food security status (HHFSD); net farm income of project (NFI); project savings (SAVINGS); farm records keeping (FRK); and number of established relevant linkages of projects (LINKAGES). It was expected that the LRAD projects in the Ngaka Modiri Molema district of North-West Province were meeting the objectives of the LRAD programme implying that the projects were among others improving the living standards of the beneficiaries by creating jobs; generating satisfactory monthly income: ensuring food security; equipping beneficiaries with the requisite skills for effective, efficient and sustainable farming; and established reliable farm infrastructure. However. the results of the analysis showed that the aforementioned expectations have not being fully achieved by the projects. There were both negative and positive aspects of the results. Some of the aforementioned key indicator variables were lowly achieved; such as low quality of infrastructure, few skills training. less contribution to food security, poor savings and financial constraints. The positive aspects revealed by the results of the study include: access to sizeable productive agricultural lands; improved participation of women and youth in farming; household supply of food stuffs from the projects; earning of some form of monthly income from farm produce sales; some of the projects, even though small in number, have some good farming infrastructure; through the projects. though grossly inadequate, some have means of transport and farm machinery; the projects considered in the study created some permanent and temporary jobs on the projects; the projects have also established some beneficial linkages; and some form of best practices on some of the farms. It was recommended that sustainability of the projects would be achieved only if the LRAD projects being implemented were monitored independently by consultants on a tender and five year\ renewable contract basis. The department of Rural Development and Land Affairs could intervene in and restructure failing projects. It must also provide more education and technical support. The balance of grants of some of the projects should be properly directed to solve critical problems on such projects. The project participants as clients should be involved in decisions regarding the use of grants allocated to their projects. The areas that need training are: livestock management;-financial planning and management skills; practical skills in water-point maintenance, basic mechanics and construction; irrigation management; crop production; environmental management; wildlife and game management. An integrated agrarian reform support programme will go a long way to improve productivity on the projects if it consists of a package in support services, rural infrastructure and co-operatives. There should be extension of a special grant to support government 's efforts. Furthermore, the agrarian reform development support project should primarily involve the establishment of Farmer-Support centers for the acquisition and distribution of agricultural equipment to agrarian project beneficiaries. These farmers support centres will provide the necessary services and support to the agrarian reform project beneficiaries.