In his Budget speech to Parliament on Wednesday, Finance Minister Trevor Manuel said the scheme would provide "further assistance" to these two groups.
"An amount of R1-billion is available for this initiative of which R600-million is expected to be allocated over the next five years," he said.
In terms of the Budget Review, the Department of Agriculture receives additional allocations of R200-million, R300-million and R450-million in the medium term to support the agricultural black economic empowerment initiative and the micro-agriculture financing scheme.
Total allocations to agriculture in the budget at national level rises to R1.68-billion in 2004/05 from R1.4-billion in 2005/06.