18 farms set to be expropriated

Government says it is preparing for a “court war” as it intensifies efforts to expropriate up to 18 farms in the next few months.

Lands Minister Jerry Ekandjo told a gathering of Namibian diplomats in Windhoek yesterday that Government was about to expropriate Okorusu farm, which also hosted a mine, in addition to Ongombo West. “It’s a tough game but we will overcome,” he told the ambassadors and high commissioners.Ekandjo said it was “just a question of paying the money” and Government would take over Ongombo West, a flower-producing farm 30 km northeast of Windhoek.And, they have already set their sights on the next one – Purus some 50 km north of Otjiwarongo, on which there was once an open pit fluorspar mine.Ekandjo said the notice for expropriation would be served on Okorusu’s owners today.The Minister was quite bullish when he briefed Namibia’s Heads of Missions.He said that expropriation was in full swing – as announced last year.”We are on course [to expropriate 18 farms].We are preparing ourselves for a battle in court,” Ekandjo said.He said several commercial farmers were reluctant to part with their land but Government was ready to fight them in court.Minister Ekandjo said Ongombo West was in the bag.He said said the owner, Hilde Renate Wiese, had settled for N$3,7 million despite initially demanding N$9,9 million.Government plans to get people onto the 4 007 hectare land who will continue producing flowers for the European market.Ongombo West exported around 150 000 flowers and the owners were in the process of increasing the exports to 750 000, when a labour dispute resulted in the sacking, eviction and re-appointment of six workers.Ekandjo said many commercial farms had been turned into close corporations (CCs) with shareholders, as owners tried to avoid selling them to Government.However, plans were afoot to enact laws to counter that.Ekandjo said a new law would be enacted that would force farmers to notify the State before converting their farms into close corporations.The law will also force farmers to first offer the farm to Government before selling shares to other people and converting it into a close corporation.”We want to close all the loopholes,” the Minister said.Since Independence, Government has bought 145 farms amounting to 932 864 hectares for N$130,7 million.Ekandjo said the price of land had rocketed by 200 per cent since 1990 but Government had managed to resettle 1 538 families on freehold land and 4 352 families in the communal areas.Land tax was also introduced last year with Namibians paying 0,75 per cent for the first farm and increasing progressively by 0,25 per cent with any additional farm.Foreigners are taxed at 1,75 per cent for the first farm and this increases by 0,25 per cent with every additional farm.Ekandjo said they hoped to raise N$28,2 million in revenue through land tax this year.His Deputy, Isak Katali was however quick to point out that land tax was not introduced as a punishment for foreign land owners.He did not elaborate on why it was introduced.”It’s a tough game but we will overcome,” he told the ambassadors and high commissioners.Ekandjo said it was “just a question of paying the money” and Government would take over Ongombo West, a flower-producing farm 30 km northeast of Windhoek.And, they have already set their sights on the next one – Purus some 50 km north of Otjiwarongo, on which there was once an open pit fluorspar mine.Ekandjo said the notice for expropriation would be served on Okorusu’s owners today.The Minister was quite bullish when he briefed Namibia’s Heads of Missions.He said that expropriation was in full swing – as announced last year.”We are on course [to expropriate 18 farms].We are preparing ourselves for a battle in court,” Ekandjo said.He said several commercial farmers were reluctant to part with their land but Government was ready to fight them in court.Minister Ekandjo said Ongombo West was in the bag.He said said the owner, Hilde Renate Wiese, had settled for N$3,7 million despite initially demanding N$9,9 million.Government plans to get people onto the 4 007 hectare land who will continue producing flowers for the European market.Ongombo West exported around 150 000 flowers and the owners were in the process of increasing the exports to 750 000, when a labour dispute resulted in the sacking, eviction and re-appointment of six workers.Ekandjo said many commercial farms had been turned into close corporations (CCs) with shareholders, as owners tried to avoid selling them to Government.However, plans were afoot to enact laws to counter that.Ekandjo said a new law would be enacted that would force farmers to notify the State before converting their farms into close corporations.The law will also force farmers to first offer the farm to Government before selling shares to other people and converting it into a close corporation.”We want to close all the loopholes,” the Minister said.Since Independence, Government has bought 145 farms amounting to 932 864 hectares for N$130,7 million.Ekandjo said the price of land had rocketed by 200 per cent since 1990 but Government had managed to resettle 1 538 families on freehold land and 4 352 families in the communal areas.Land tax was also introduced last year with Namibians paying 0,75 per cent for the first farm and increasing progressively by 0,25 per cent with any additional farm.Foreigners are taxed at 1,75 per cent for the first farm and this increases by 0,25 per cent with every additional farm.Ekandjo said they hoped to raise N$28,2 million in revenue through land tax this year.His Deputy, Isak Katali was however quick to point out that land tax was not introduced as a punishment for foreign land owners.He did not elaborate on why it was introduced.