Land Distribution in South Africa

What is the issue?

South Africa’s land redistribution issue has gained focus with a recent tweet of the U.S. President.
It is imperative at this juncture to understand this crucial issue which is worsening South Africa’s inequality.

What is the recent happening?

U.S. President recently contended that white farmers are being killed on a large scale in South Africa, and farms and lands are being expropriated.
This has led to renewed racial tensions within and outside South Africa.
In response, South African President Cyril Ramaphosa made it clear that South Africa was a profoundly unequal society.
He pledged to address this inequality resulting from land dispossession during the colonial and Apartheid eras.

What is the land redistribution issue?

The inequality of land distribution in South Africa is rooted in the colonial 1913 Natives Land Act.
The Act reserved almost 93% of the land for the white minority in South Africa.
It thus legalized the historical dispossession of the African population.
The 1936 Native Trust and Land Act slightly decreased that share to 87%.
Nevertheless, the vast inequality of land ownership persists even today.

What after democracy?

The constitution adopted in 1994 made possible the transition from apartheid to democracy.
It was specified that land should be restituted to those dispossessed during the colonial and Apartheid eras.
It stipulates that there should be just and equitable compensation for expropriated land.
This inspired the “willing-seller, willing-buyer” land redistribution policy of previous governments.
Under such a market-based approach, the government would purchase and redistribute land to the dispossessed people.
However, progress has been slow for many reasons.
These include property owners' refusal to sell, exorbitant prices, and inadequate dispute resolution mechanisms.
The slow pace of the implementation led to doubts on the effectiveness and constitutionality of the policy.

What is the current scenario?

Growth - The annual growth rate of the country is poor and unemployment hovers around 25%.
South Africa has one of the highest levels of inequality in the world.
Land - 72% of farms and agricultural holdings are owned by whites.
But notably the whites make up only 8.2% of the population.
Black South Africans comprise around 80% of the population, but own just 4% of the land.
Clearly, land ownership patterns remain skewed against the black majority.
But official statistics on land holdings among racial groups are contested on their details.

Why is land distribution crucial?

The World Bank, in its recent study, noted that inequality in South Africa was exacerbated by the

WB has rated unequal distribution and access to land as South Africa’s second greatest obstacle to reducing poverty, after skill deficits.
A well-managed system of land distribution is thus crucial to redressing the country’s economic inequality.
Productive land use among the poor is inevitable to curb rising poverty levels.
It is also essential to reversing the high unemployment and inequality conditions.
The government is thus considering certain land policy reforms.

What are the recent proposals?

The parliament has passed a bill in 2016 under the presidency of Jacob Zuma.
It was aimed at ending the “willing-buyer, willing-seller” approach to land reform.
It enabled the government to pay at adjudicator value and expropriate land for the public interest.
In 2017, a resolution to redistribute land without compensation was backed by the parliament.

The proposals target unutilised land, informal settlements, and abandoned inner-city buildings.
The implications of these changes for the mining sector could be significant.

What is the way forward?

Trump’s tweets incorrectly suggest that land distribution process is disorderly and unlawful.
But certainly, land reform in South Africa is an emotive, complex, and important issue.
The competing and conflicting interests have to be balanced for the greater good.

Source: The Hindu, Brookings