Gauteng Agriculture Department wastes millions on incompetent company as farmers struggle

Issued by Bronwynn Engelbrecht MPL – DA Gauteng Shadow MEC for Agriculture and Rural Development
03 Mar 2025 in Press Statements

The Gauteng Department of Agriculture and Rural Development (GDARD) has again allocated R8.7 million of its Comprehensive Agricultural Support Programme (CASP) to the incompetent FreshMap company. This private company has already demonstrated its inability to manage public funds efficiently, while there are many capable companies with a reputation that are struggling to access funding from the department.

The FreshMap project initially received R4.5 million in funding from the department in the 2017/18 financial year for a milling project which included the equipment and raw products.

Despite this company’s failure to deliver in its initial phase, the project has now been handed another financial lifeline without penalties for non-delivery, accountability for past mismanagement, or a clear plan for maintaining the expensive equipment purchased with taxpayers’ money.

The new round of funding will cover the installation of silo storage, a weighbridge, and additional processing equipment for sunflower, yellow maize, and soya. However, glaring concerns remain unanswered:

Firstly, there are no consequences for prior failure. FreshMap was fully supported during its first attempt at operation. The project failed to sustain itself due to mismanagement and unprofitability. Public Funds should not be wasted on a second attempt.

Secondly, the department provides unlimited support without due oversight on FreshMap and unrestricted access to product supply and funding. There are no stipulations ensuring responsible financial or operational management. Furthermore, the apparent neglect of equipment maintenance because there is no regard for any measures ensuring that the costly machinery and infrastructure are properly and regularly maintained raises serious concerns about long-term sustainability.

This blatant misallocation of funds exposes the department’s serious lack of due diligence. Instead of addressing the root causes of the project failure and holding the company accountable, officials have doubled down on a failing enterprise. This happens while many struggling farmers continue to sustain their services without much-needed assistance.

A DA-led Gauteng provincial government would ensure strict financial accountability with rigorous auditing and performance assessments. We will ensure taxpayers’ money is not wasted on failing enterprises while directing resources towards empowering small-scale farmers with training, market access, and sustainable infrastructure. In addition, any entity receiving public funds must adhere to strict performance guidelines. Non-delivery would result in financial penalties and potential exclusion from future funding with a transparent procurement process. The allocation of funds will be based on merit, with a clear focus on efficiency, sustainability, and return on investment.

The public deserves answers. More millions should not be poured into failed projects while real agricultural innovation and sustainable development are ignored. The department must immediately justify this reckless decision and implement strict accountability measures to ensure taxpayers’ money is used wisely to benefit all farmers.