Farmyard Project: Gauteng MEC of Agriculture halts funding and probes R36 million deal

Questions about the high cost of Gauteng's Farmyard project have prompted Agriculture MEC Vuyiswa Ramokgopa to suspend funding and order a full investigation. Picture: Supplied

Questions about the high cost of Gauteng's Farmyard project have prompted Agriculture MEC Vuyiswa Ramokgopa to suspend funding and order a full investigation. Picture: Supplied

Published Nov 22, 2024

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Gauteng MEC of Agriculture and Rural Development, Vuyiswa Ramokgopa has launched an internal investigation into the R36 million Farmyard “containers store” project in townships.

Departmental spokesperson, Danisile Sathekge said the project, aimed to establish 16 container-style fresh produce stores in Gauteng townships, was supposed to support small-scale entrepreneurs and provide vital market access.

The Farmyard project was launched in May, by the then MEC, Mbali Hlophe, targeting youth and women with the intention of promoting healthy diets in townships, hostels and informal settlements.

Hlophe said the re-purposed containers would serve as local stores for local farmers to sell their produce to their communities in an effort to bring to sharp focus the healthy diet.

“This is about bringing back good health and nutrition to our townships. When you look at the stats in our disposal, they show that many people, especially children, are not eating nutritious meals required for their growth, on a daily basis. By bringing farmyards closer to our people, we are making sure people start paying attention to their health,” Hlophe said at the time.

However, Sathekge revealed that six months after its launch, it had not met its objectives.

Sethekge said each container cost R1.75 million, which amounts to a total of R36 million, a figure which he said appears inconsistent with the market rates for similar structures.

“These figures have prompted a reassessment of the costing model,” he said.

Sathekge said in response to that, Ramokgopa has suspended all further funding of the project and submitted a formal deviation request to the National Department of Agriculture, which manages the Conditional Grant funding.

He said the internal investigation had already commenced to determine the “true cost of the project, determine whether its original plans and targets were met, and evaluate the operational status of the containers through unannounced oversight visits”.

Sathekge said Ramokgopa is set to meet with the beneficiaries of the project next week to address their concerns and will also meet with the service providers.

He emphasised the department’s ongoing commitment to supporting township entrepreneurs and to growing the township economy.

“This must, however, be underpinned by the prudent and responsible use of public funds and sound governance practices,” Sathekge said.

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