SOUTH AFRICA

3.4 mn ha of land in Limpopo Province identified by DI as suitable for productive rainfed agriculture. Currently only a fraction of this area is cultivated. Developing the smallholder agriculture sector, and expanding Limpopo’s agricultural processing industry, would generate vital resources for poor communities and the province as a whole. 

Limpopo is the key province in South Africa for Anglo American Platinum (AAP). The province is home to all but one of AAP’s mining operations and also hosts several diamond mining operations of Anglo American subsidiary De Beers. Anglo American and AAP aim to make a lasting and positive contribution to the countries and communities in which they operate. The companies have put in place a raft of policies and mechanisms to minimize and mitigate their socio-economic impacts while also investing in community initiatives to foster sustainable development. However, these development projects have not always brought significant lasting benefits to either the communities or the companies. 

The reasons behind poor results include, for example, a narrow focus on infrastructure and mining-related projects, the lack of a long-term outlook and insufficient scale to generate substantive economic change. In addition, project planning often relies on regional or municipal development plans that are outdated or not integrated with the plans of neighboring areas. 

At the same time, the development strategies of Limpopo Province and its districts and municipalities have tended to rely heavily on mining-driven growth. With the current economic downturn, the sharp drop in mined commodity prices and the large-scale job losses, this area faces tough times ahead and needs to develop a strategy that reflects the current harsh realities and builds resilience to weather the storm. 

To address these challenging issues AA and AAP with the assistance of Dobbin International started a process of developing a strategic spatial socio-economic development strategy for the business. 

This long-term strategy considers multi-sector socio-economic development potential and constraints not only of the mining areas and their host communities but also of the whole region and province. It seeks to move the business from an individual player in the region to a regional development partner, and from a participant in discussions to one that proactively supports the development conversation and process. 

Dobbin International’s work to date has: 

1. Identified and assessed the comparative and competitive advantages of all existing and potential economic sectors including, for example, agriculture, forestry, fisheries, and tourism in Limpopo Province as well as the Mogalakwena region where Anglo American Platinum and other platinum operations are planned or underway; 
2. Produced initial spatial and economic analyses outlining the Province’s opportunities and constraints to unlock its full potential by leveraging basic investments in platinum mining as a motor for development; and 
3. Developed detailed strategic spatial development plans for Mogalakwena, Thabazimbi, Blouberg and Musina Districts identifying many opportunities to diversify the economy into agriculture, forest plantations, tourism, conservation and restoration. 

DI identified detailed planning and implementation strategies and actions of specific investment opportunities by Anglo American and partners (Investment Platform or The Impact Catalyst) for local community participation and development 

DI developed many new insights and proposed actions at provincial-, and district-levels through its unique multi-sector strategic spatial development planning process for more resilient and sustainable development of Limpopo Province, South Africa

DI’s spatial planning and economic analysis revealed an easy target of US $5 Billion/ Year in potential in agriculture in Limpopo Province on 2,000,000 ha resulting in 200,000 direct jobs (area-based jobs) not including: tourism, SMME, mining beneficiation, and secondary services. 

DI’s spatial planning and economic analysis revealed an easy target of US $200 million/ year in agriculture potential in each of the four districts – Mogalakwena, Thabazimbi, Blouberg and Musina Districts on 80,000 ha resulting in 8,000 direct jobs (area-based jobs) not including: tourism, SMME, mining beneficiation, and secondary services. 

Reference: 

Dobbin International Inc. (2016–2018). Limpopo Provincial Strategy for Resilient Sustainable Development, Linking People, Places, Potential TM: South Africa, Limpopo Province, Mogalakwena Municipality, Thabazimbi Municipality, Musina Municipality, and Blouberg Municipality. A series of ten Consultant PowerPoint Reports prepared for Anglo American, Anglo American Platinum, and DeBeers Group of Companies. 1,500 plus pages.