Land will continue to be a major focus area for government in terms of policy formation over the next five, possibly ten, years, political analyst and international adviser Justice Malala says.

“There is a barrage of legislation that faces people in agriculture and there are many issues. It is not going to let up; it is going to be intensified.  Whether it is through the 50/50 policy or the limits on land-holdings, this government is quite adamant that it wants to be a player and transform society through these tools,” he advised in his keynote address at the ninth annual Agribusiness Conference, at the Gallagher Convention Centre, in Midrand.

“The ANC [African National Congress] says it is entering a radical phase of socioeconomic transformation and sees itself as a development State,” Malala noted. Therefore, agriculture needed to be considered within this framework.

Government saw itself as an actor in the economy, not standing by and allowing business people to create jobs in South Africa, where, out of a population of 52-million people, 8.3-million were currently unemployed.

Government believed in using State-owned entities, such as Eskom and South African Airways, to bring about change.  As such, Malala said South Africa would not see the privatisation of State entities as government saw them as tools to transform society.

But the mood in South Africa at present was solemn.

“We go through periods of self doubt in South Africa,” added Malala, noting that over the past year, South Africa had faced serious challenges, such as xenophobia. This was despite the fact that more than 100 South African companies were doing business in Nigeria across several industries and Nigerian tourists contributed R720-million to the South African economy in 2013 alone, according to the South African Presidency.

Cumulatively, these challenges, which included the “Rhodes must fall” campaign and service delivery protests, had caused business and consumer confidence to wane.

Malala emphasised that the country had achieved “massive success” over the last 21 years, largely because “we looked to the future”. But, the country was currently increasingly looking to the past and blaming other people for South Africa’s existing problems.

Malala’s biggest worry was the youth of South Africa, with the unemployment rate among young black males being 67% and 75% among young black females.

The country’s ‘born frees’ were disillusioned and vulnerable to those promising to nationalise industries, such as the banking, farming and mining sectors, to provide them with a better life, he highlighted, adding that at the end of the month 16-million people would stand in a queue and receive grants from government. “You cannot say we are succeeding when so many people depend on the State.”

Malala advised that the country faced three scenarios; the low road, the middle road and the high road.

The low road would see South Africa’s gross domestic product (GDP) grow at 1.5%, as it did last year, which was “terrible by any standard” as it would not create jobs and industry.

The second scenario saw South Africa continue with 2% growth – an acceptable outcome, but “is this a winning strategy? I don’t think so.”

The winning strategy, Malala explained, was the high road; getting back to GDP growth of 5.8% achieved in 2006.

The key to the high road was the implementation of the National Development Plan (NDP), which was 93% endorsed; only one party did not endorse the NDP - the Economic Freedom Fighters.

“Then why is it being implemented so slowly?” Malala questioned.

“Therefore, if you begin to see this government implementing the NDP in totality, then we are on the high road, because I think it is one of the best documents we have written.”

Other factors influencing South Africa going forward were the strengthening of opposition parties, whether the ANC self corrected, future ANC leadership and inclusive leadership.

Meanwhile, investment in Africa – which just 20 years ago was said to be a hopeless case – was another big focus for South Africa and its policies, Malala added, as “things have changed on this continent”.

As such, government was expected to continue to support South African business going into the rest of the continent, he noted. “This is a good thing and we should continue to encourage people to invest [in Africa], as this is where money is being made.”

Malala pointed out that South Africa’s investment in Africa reached R36-billion in 2014, with the country being the second-largest developing country investor on the continent.

However, as South African businesses continued to invest in the rest of Africa, they would largely be playing along with “our Chinese compatriots”. South Africa’s closest relationship was with China, its developmental partner, and would continue to be so, he advised.