Description
Land Redistribution for Agricultural Development (LRAD)
sub-programme, was designed to assist previously
disadvantaged
citizens, from African, Coloured and Indian communities to
access
land specifically for agricultural purposes, or to make
better use
of land already accessed.
To qualify, you must
- be a
member of a
previously disadvantaged group (i.e. African, Coloured
or
Indian)
- be 18
years or
older
- intend to
use the
land for agricultural purposes only
- intend to
farm on a
full-time basis
- not hold
any position
within government structures
- be
prepared to
participate in a training programme after you have
acquired
land
- be in a
position to
make own contribution
- be an
organised
entity if applying as a group
- have a
bank
account.
Successful farmers who wish to expand their operations may
apply for further grants, but the total of LRAD grants to one applicant
may not exceed R430 857100 000, this is called graduation where one
graduates from a small scale farming to commercial farming. Further
capital that may be required to commence or expand a farming project
after it has been realised that the allocated grant cannot meet the
demands of the land, can be obtained from a bank. LRAD grant is not
repayable, it is not a loan.
A formula is used to determine how much an individual will
get, and this formula is called a sliding scale where one will give less
own contribution and get a large grant amount, and later one will give
more and get less. To qualify for a grant of R111 152 20 000, you have
to make an input of R513 000. The input does not have to be in the form
of cash – it can also take the form of farming equipment, livestock and
other agricultural assets, as well as the labour.
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Steps to follow
-
Identify the land you wish to buy, in other instances
the
Provincial Land Reform Office or the District office
near you, can
give you information of the land that is available, or
even the
land that these offices might have identified through
the Area
Based Planning process. Alternatively, you may already
have access
to land, such as communal land.
- Approach
the
(Provincial Land Reform Office or the District office
near you) to
apply for the grant.
- The
following need to
accompany your application:
-
- a
land use proposal
or farm plan (project proposal), if present and if
not there, the
office will assist in the development of one
- an
option to sell
with an agreed price, if leasing with an option to
buy
- a
list of household
members or group members and their identification,
if the proposal
is for a group
- a
valuation report,
if present and if not there, the office will assist
in the
development of one.
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Legal
framework
(Documents are provided in PDF
format. To open PDF documents, you need to have
Adobe Acrobat Reader 4
or higher installed on
your computer.)
Provision of Land
Assistance Act, 1993 (Act 126 of 1993)
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Service standard
Under normal circumstances the process might take a minimum
of four
months, and can also take longer depending on the complexity
of
some projects.
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Cost
A minimum amount of R111 152 20 000 will require a minimum
own contribution amount (cash or in-kind) of R135 000. A maximum amount
of R1430 857 00 000 will require a maximum own contribution amount of
R5400 000. Between the minimum and maximum amounts, there is a continuum
of grant amounts, depending on the participant's own contribution.
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Forms to complete
You will be given a form to complete at the provincial
office of
the Department of Land
Affairs or at the local agricultural extension office.
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Contact details
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