Farm Size Efficiency, Food Security And Market Assisted Rural Land Reform In South Africa

This paper explores the South African experience with respect to farms size efficiency, food security and the South African market for rural land. The evidence suggests that the South African experience is no different from that which is generally observed internationally. The present situation in South African agriculture subsequently provides both an unique and necessary opportunity for advancing a market assisted land reform program. Managing the imminent debt crisis, increasing efficiency, improving food security and addressing some of the racial imbalances in South Africa's farm sector following market liberalization and the withdrawal of other privileges can be facilitated through a market assisted land reform process, rather than through a much more costly, inefficient and inequitable blanket debt relief program. It will also have the added advantages of increasing employment at a low cost and adding to the rural safety-net. In addition, the market assisted process provides a mechanism for efficient and quick land reform without most of the problems and excessive procedures associated with a state or parastatal-led expropriation and redistribution mechanism.