ONGELUKSNEK FARMERS ASSOCIATION
22 November 2004
Re : Ongeluksnek Farms ; Matatiele / Maluti

As a follow up to our meeting held recently in Matatiele I forward you the following information as requested. It is to be noted however that in an effort not to over duplicate previous submissions regarding the long outstanding issues of the Ongeluksnek farms to various officials, certain equally important points might be recorded at this stage, without elaboration until we hopefully are afforded an opportunity of a presentation.

Factual references relating to all items of concern which need urgent intervention are recorded on our files with a view of tabling these at a proposed hearing.

The plight of the Ongeluksnek farmers have been tossed back and forth at regional level since 1999. This has been followed up at higher level, by virtue of several meetings held in Matatiele with high ranking officials. "Positive" resolutions were agreed upon as to pave the way forward, however we regret to state that in spite of various correspondence and a vast amount of phone calls, there has been no execution of these resolutions whatsoever.

Geographical Location:

The Ongeluksnek Valley is situated directly west of Matatiele, stretching alongside the Kinira river and Mabela river right up the southern Drakensberg, with Lesotho forming the border.
The total area is approx. 16,000h/a, made up of approx. 38 farms I e (10 farms between the Kinira bridge and Matatiele, and ± 28 farms between the Kinira bridge and further beyond to the Lesotho border).

Without getting into to much detail, purely however with an effort of providing the reader with some background, Ongeluksnek farms were under ownership of white farmers during the previous apartheid government. A buy out of all farms by the previous government was concluded during ± 1978/79.The farms were to be handed over to the then "Mathanzima Government", who had jurisdiction of the previous "Transkei" During 1980 these farms were then made available to various applicants on a leasehold basis through a certain Mr. Hechter who worked from the Matatiele Magistrates offices. Approval was apparently given by the Minister to dispose of these farms during December 2001 to the present occupiers. Since then this proposed process has been dealt with by Dept. Land Affairs (Urntata East London). It is to be noted that the original farmers with their families have occupied these farms up to this day.

Land Evaluation and Deeds of Sale

Although one of the main points of disagreement has been the methodology and subsequent evaluation of the land that was originally conducted, various other issues that is felt by the farmers which should be addressed are contained in the "agreement of sale" tabled by the DLA through their lawyers in Urntata. And it has to be stated categorically that most of these farmers that signed the Deed of Sale did so under duress, without really understanding the implications thereof and only through fear of losing their land.

Purchase Price and Finance

Serious complications face these emerging farmers if there is insistence from the powers at large that they have to pay the said prices ie. R 400-00 p/ha. (Details are to be explained later), however in brief; the sole, preferred financier would be Land Bank, at an interest rate of 10% paid in arrears. Land Bank like any other institution insists on security. The only forms of security these farmers have are a few cattle and hopefully the land they occupy (once transferred). It is to be noted that further "development funding" needs to be accessed otherwise it would be near impossible to get production going, which will ultimately spell economic disaster in the form of the farm etc. being attached and sold on auction. This will not be empowerment.

Further to this, is that the majority (± 80% of these farmers are older than 60 years, and as a result due to failure of obtaining Life Assurance will not qualify for a loan through Land Bank. So what remains; only to be given notice to vacate the land, and that will have it's own implications, both legally and morally, because under the "Extension of Security of Tenure Act (ESTA) this is going to be difficult.

Above mention situation has been the main point of contention.
"Lebenya Land Claim "

( Previous Correspondence : )

To : Miss Faleni ( Land Claims Commission - East London: dated 4/8/2004 from: Chief J.D. Moshoeshoe DMA44)

To : Mr Zama Mamela (Land Claims Commission- East London : dated 5/8/2004 from: S'Dumo Trust

To : Miss Faleni ( Land Claims Commission - East London : dated 26/8/2004 from : Chief J.D. Moshoeshoe DMA44)

Miss Faleni (Land Claims Commission - East London : dated 13/9/2004 from : Secretary Ongeluksnek Farmers Association.

(Above correspondence never even received the curtesy of a reply.)

(i)The apparent lack of serious recognition afforded to the "Ongeluksnek / Matatiele Farmers Association" as the mouthpiece and decision makers on behalf of it's members, by certain government institutions, which is totally undermining the empowerment of these farmers

(ii)The one sided approach embarked upon by the "Commission on Restitution of Land Rights" (East London) in handling the mentioned apparent "Land Claim" by the Bokoena Tribe.

(iii) It is this Associations opinion that the commission has thus far failed to act in terms of the Restitution of Land Rights Act, Act 22 of 1994 (Section II (1) in as far as even notifying the "Association" about the so called pending land claim by the Bokoena Tribe. There has been untold confusion and suspicion created as to the modus operandi related to the handling of this claim, and it is our sincere request that before it costs every role player that has an interest in this issue a large amount in unnecessary legal expenditure, intervention from yourselves is to be embarked upon as a matter of extreme urgency.

Development Funding (ie.: "Massive Food Production Programme- Eastern Cape)

Infrastructure:

The Ongeluksnek Valley together with adjacent tribal land (Moeketsi reserve, Mparane and Queens Mercy) has a collective availability of fertile arable land of ± 8,000ha.

The farms in Ongeluksnek comprise of ± 38 commercial units @ an average size of ± 400ha each.

The lands in the tribal area comprise of the traditional small "patches" of lands, though we are presently engaging in dialogue with a view of organizing the present beneficiaries into a co-op, which will allow for much more practical, areas of arable land comprising of ± 100 -200ha in size. This situation will then also fall within criteria as laid down by the "Massive Food Production" initiative of the E-Cape.

The following Infrastructural Projects are imperative in order to extract maximum economic benefit:

A.(i) Electricity: ± 50km 3-phase line and ±l 1,0 km single phase line is to be constructed as a matter of urgency. It is to be noted that although majority of homesteads in Ongeluksnek have existing boreholes, no pumps are connected for fresh domestic running water.

(ii) We have entered into discussions with ESCOM. GPS (Global Positioning Systems) coordinates for the line has already been recorded, together with a preliminary quote received from ESCOM. These together with a business plan are being forwarded to the Chief Planner : Mr Dyonase : Agriculture, in Bisho.

B. Bridges:
The widening of two single lane bridges; Kinira Bridge and Queens Mercy Bridge, to allow for crossing of heavy duty machinery such as 98 kw tractors, planters and harvesters. Application was submitted to; Mr E.M. Chirwa; (Engineering Services, Alfred Nzo D/C- Mt Ayliff E-cape on 17/7/2003) acknowledgement of receipt was received, however no further action. A follow up was forwarded to Mr Mpumza (Mayor) Alfred Nzo D/C on 7/10/2004. A reply that the application has been forwarded to Engineering Services on 12/10/2004. To date no action.

C. (i) Drainage - Flood Areas: Although extremely fertile with a high yield potential, some areas are prone to flooding. The reason is that the Drakensberg on the west forms a large catchment with two lower mountain ranges on either side of the planes that create run off during rain storms.

(ii) Cut off drains are to be constructed at several points along the Valley in order to lead storm water away into specific areas such as the natural wetlands and rivers. This will further contribute to the important echo system that exists in this area, simultaneously draining valuable arable lands increasing crop yield.

D. Water Resources. Dams and Irrigation
(i) The potential to irrigate is excellent provided dams are to be constructed at approx. 3 locations ;ie; (subsidiary of the Mabela river: Mariazell Mission subsidiary of the Mabela river; "Roseberry Farm", Sieta river: "Maria Linden mission")

(ii) It would be anticipated that water would be piped along a route of ±30km which will allow for irrigation to a minimum of 2,000ha - of grain, (mealies @ ± 8- 12ton p/ha)

(iii) Due to the climate and quality of water these dams would open up enormous potential for both "aqua- culture" development in the form of trout farming as well as tourism in the form of fishing etc. A huge demand exists intentionally for trout prepared in various forms.

(iv) Measured against the backdrop of a shortage of water due to various reasons throughout the country, it can only be described as ludicrous that such quality and quantity of water is allowed to flow away into the ocean without being utilized effectively to economic benefit of emerging farmers and the country alike.

E. Regional Job Creation
For various reasons it has to be believed that the Ongeluksnek / Queens Mercy region has the agricultural potential, if carefully managed to provide employment to a large sector of this densely yet poor population. This will be achieved during construction of infrastructure, ie ESCOM power lines, dams, storm water drains, pipeline for irrigation etc. Beyond that the long term sustainable employment opportunities to both women and men through agriculture, aqua - culture and eco- tourism, is of extreme importance to this region.

F. Added Value to Agricultural Products
It would be imperative for the co-ops (Ongeluksnek, Queens Mercy and Mparane) to purchase shares in an existing mill with the storage (sillo capacity of ± 15,000 tons which is situated in the Matatiele region. Whereas the margin between say production cost of mealies and selling price being minimal, leaving hardly any profit to the farmer, when put through a mill the profit margin could increase by ± R200 p/ton.

Example (i) 6000 ha crops x 4 tons p/ha = 24,000 tons mealies

x R200p/ton gross profit = R4.800 000 mil.

Example (ii) "Homoney - chop" (a by-product rich in roughage and proteins left over after the milling of maize ) is successfully fed to cattle.

Example (iii) The old "cheese factory" which is tiled out and with few changes could be ideal for rearing pigs. "Homoney - chop" mixed with certain scientifically manufactured feeds can be utilized as feed.

Conclusion:
The request tabled by the Ongeluksnek Farmers Association is as follows;

An urgent high level hearing to resolve recorded long outstanding matters standing in the way of socio economic empowerment in this region.

Yours faithfully
Secretary

Compiled by: S'dumo Trust (BEE)
08/12/2004 V. haviside
B. Zenzele