The Scaling Down of SAGCOT Public Private Partnerships

Abstract

This study analyses SAGCOT’s public-private partnership policy, which anticipated attracting external investors in large-scale nucleus farms to commercialise smallholder farmers. Data were collected from a review of SAGCOT policy documents, a compilation of SAGCOT registered partners and qualitative interview data collected from private companies, government officials, farmers and outgrower associations. The majority of SAGCOT registered commercial partners are small- to medium-scale and most of them were already operating in the area before SAGCOT was established. We conclude that the SAGCOT investment strategy, in practice, has been linked to small- to medium-scale operations and also mainly to already existing enterprises, which stand in contrast to the initially envisioned model of attracting new large-scale farming enterprises to the region. We argue that there is a need for SAGCOT and policy makers to learn from this dissonance between initial policy ambition and actual outcomes of SAGCOT public-private partnerships.