KwaZulu-Natal Department of Agriculture and Rural Development has signed a Memorandum of Understanding (MoU) with one of South Africa's biggest financial institution - ABSA to empower smallholder producers through skills development, financial literacy, and access to markets. Speaking at the signing MoU in Richards Bay, north coast of the province, on the 23rd of May 2025, MEC Thembeni kaMadlopha-Mthethwa said she welcomed ABSA on board and expressed her gratitude for its support in the government's endeavors to help both commercial and smallholder farmers especially the historically disadvantaged groups; "I am pleased to announce that we have signed a Memorandum of Understanding with ABSA. Having ABSA on board will help us as the sector is the backbone of the province. We felt that let's tap into their expertise in terms of financial prowess to train our farmers on issues such as handling their profits. There are some loopholes that we have identified as the department when it comes to the capacity building of our farmers we are assisting. So ABSA will help us in that regard, and they will be training and upskilling our farmers."
"This partnership is aimed at enhancing our initiatives to support previously disadvantaged farmers. We view this collaboration as a strategic partnership, as it seeks to, amongst others, focus on collaboration between KZNDARD and ABSA by means of integrated planning, training, mentoring, value chain development, unlocking of markets for historically disadvantaged producers, job creation spin-offs, and entrepreneurial development," concludes MEC KaMadlopha-Mthethwa.
The collaborative objectives of the agreement include
1. Convene Producer Information Days to share support and financing opportunities that are offered by Absa and the Department
2. Collaboration between the Department on a funding readiness programme for producers 3. Co-financing, financial support, to qualifying producers
4. Provide consumer financial literacy training to selected groups of Producers and farm workers.
The DARD will attend producer information days and will support farmers with agricultural advice and extension services.
KZNDARD and ABSA are committed to transparent, participative development and responsible stewardship of agricultural resources.
This initiative reinforces agriculture as a critical driver of the provincial and national economy.
