Restaurant manager turns commercial farmer

Through dedication and hard work, William Matasane of Senekal in the Free State has changed from being a restaurant manager to an award-winning commercial farmer in less than 10 years. Peter Mashala visited him on his farm Keurfontein.

Restaurant manager turns commercial farmer
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“If twenty years ago, someone had told me I would one day be farming my own land on a large scale, I would have told him he was crazy,” says William Matasane of Senekal in the Free State. William, a former manager of a small restaurant, is currently a Grain SA 1 000-ton Club member and Grain SA’s 2010 Developing Grain Producer of the Year. From humble beginnings, he has grown his operation into a commercial farming business.

“I always had a dream to farm, but I never imagined I would own a farm,” he admits.

While still managing the restaurant, he farmed part-time on communal land. Now he owns three farms and a fleet of tractors and implements, all financed through Land Bank. In March 2003, he bought the farm Verblyden (388ha) just outside Senekal. He resigned from his job in November of the same year to farm full-time. He then boosted the 253ha of arable land on Verblyden by leasing land in the Ventersburg district and planting maize and sunflower.

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Until 2010, he farmed these two crops on 400ha, getting an average yield of between 4t/ha and 5t/ ha for the maize and between 1,5t/ ha and 2t/ ha for the sunflower. His holdings (leased and owned) amounted to about 900ha, including grazing land for cattle and sheep.

Growing the business
By 2010, William had paid off Verblyden and started looking for another farm. When the neighbouring 257ha Leeukuil dairy farm came onto the market in the same year, he bought it. The farm had about 80ha of arable land while veld made up the remainder. “The dairy unit was still in good shape,” he says. William has recently paid off this second farm.

In October last year, he consolidated his land by buying the 460ha Keurfontein farm adjacent to Verblyden and Leeukuil. His total hectareage is now 1 105ha, of which he uses 600ha for maize and 300ha for sunflower. He markets his grain through VKB, which has granted him production loans.

William says that grain production has grown tougher because farming conditions change every year. “Input costs keep rising and climate change also affects us,” he explains. The average rainfall in his district is generally between 400ml/year and 450ml/year, but the figure was lower than this last year. “I only managed a crop of 320t for maize and 228t of sunflower last year,” says William. “Current maize prices and input costs of about R4 200/ha put us in a squeeze as far as margins are concerned.”

Disadvantages of old equipment
William would welcome some support from the government. Lack of funds is an obstacle which prevents him from using the latest technology. “I use second-hand equipment, which is outdated,” he explains. With current farming conditions, he believes that farmers need to use the most recent and innovative farming technology to stay ahead of the game. For example, because of lower rainfall and higher input costs, maximum till is no longer a good option.

“But to do minimum or zero till, you need the right equipment. Like most farmers, I do what I can to survive.”

William used to put his cattle on the maize lands after harvesting. As well as utilising the maize stover, the cattle grazed off new plant shoots that used up soil moisture. “But because cattle are big animals, their movement caused soil compaction, which meant I had to till the soil deeper,” he explains.

He now uses sheep to graze the lands. “They are much lighter and more effective for this job,” he says. Less compaction has meant that it is easier to prepare the soil. “I start land preparation after the first rains between mid-August and mid September. The sooner the better,” he says. “The best time to plant sunflower is between November and January, depending on the rainfall. But if it rains earlier, I plant earlier.” William uses Pannar maize and sunflower seed.

Diversifying
William says he has learned that it is a good idea to expand as his skills and experience grow, adding: “It’s best not to try and do everything at once.” Because of narrow profit margins, high input costs, lack of government support and unstable climate conditions, he says it would be easier for him to sell most of his equipment and focus only on his livestock and increase his herd. He runs a commercial beef herd of about 120 cattle including calves, and over 40 sheep.

“I would just plant pastures, employ two people and simplify my operation,” he says. But apart from his love of farming, William feels a sense of responsibility towards the people who depend on him for their livelihood. He employs eight permanent workers and uses 16 seasonal workers, all women, from the Setsoto Township, a few kilometres from his farm.

William says that diversification helps to make it easier financially. Apart from his commercial beef herd, he would like to resuscitate the two dairies. He has plans to use the existing infrastructure, which needs upgrading, to produce milk, which he will market in nearby Setsoto Township. “Dairy production is difficult but the cash flow is attractive and money from milk sales could help pay the running costs of the farm and create more jobs.”

Sheep trading is part of his diversification. In addition to the flock on the farm, William buys from a selected supplier and sells to the public. “Instead of spending money which I could be saving from grain production, I could use income generated from the dairy and the sheep to pay salaries and other running costs,” he explains.

Community
William explains that farmers such as himself are keen to help create more jobs and establish food security, but government ‘has to come to the party’. “We’re not asking for handouts, but for meaningful assistance that will make it easier to help the state achieve its employment creation goals.” He is grateful, nonetheless, to government for helping him to own land and get involved in agricultural production. “As the MEC of agriculture in the Free State likes to say, ‘Help comes to those who help themselves’,” he says.

Phone William Matasane on 083 521 2044.