SONA 2017: what agri leaders want to hear from Zuma

President Jacob Zuma will be presenting his State of the Nation Address (SONA) 2017 at 7pm on Thursday, 9 February. South African agriculture has faced a number of challenges in recent years, most notably the severe drought of which the after-effects are still being felt across much of the country.

SONA 2017: what agri leaders want to hear from Zuma
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Farmer’s Weekly asked leaders in the agriculture sector how issues highlighted in SONA 2016 had helped the sector over the past 12 months. They were also asked what they hoped Zuma would say in his SONA 2017:

Dr John Purchase – CEO of the agriculture business chamber, Agbiz: “As a positive, SONA 2016 highlighted the ‘Revitalisation of the agriculture and the agro-processing value-chain’ as the number 1 priority on the 9-point plan to generate growth. On the negative side, it was government’s insistence on proceeding with the Regulation of Agricultural Land Holdings Bill, despite clear evidence that land [ownership] ceilings are a crude, blunt, expensive and dangerous mechanism to effect land redistribution.

There still is no Bill in sight as the Socio-economic Impact Assessment team understandably expressed strong reservations about this draft legislation because there are far more efficient and sustainable models available to effect sustainable land redistribution.”

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Purchase’s hope for SONA 2017 is, “to recognise the resilience of, and incredible role that, the commercial agro-food sector, and especially primary agriculture, has played in ensuring food security for the country in the face of the worst drought conditions over the past couple of years, especially in 2015 and early 2016.

This [was achieved] without any significant support or relief for the commercial sector. And then for the President to say ‘well done’ and ‘to go forth and invest in the sector, and grow the sector, to the benefit of all South Africans’.”

Chris van Zyl, assistant manager of national farmers’ union, TAU SA, said what emerged in SONA 2016 was “the clear focus on the stabilisation of energy and the prevention of water wastage. Whether the latter really materialised remains to be seen.”

Van Zyl’s hope for SONA 2017 is, “that ‘radical economic transformation’ will have sound roots in the application of economic principles, which will ensure respect for private ownership and property, sustainability, profitability and productive use of land to ensure food security. It boils down to less concern with struggle and more responsible government.”

Roger Godsmark, operations director of Forestry South Africa’s hope and also concern for SONA 2017 is, “commitment to grow the economy and, in particular, the rural economy through far more support for those sectors that work in these areas. [No] talk of ‘radical transformation’ measures that would have a negative impact on economic growth and a decrease in investor confidence.”

Aggrey Mahanjana, secretary-general of the African Farmers’ Association of South Africa said, “there was nothing special about agriculture [in SONA 2016], except to include it among other major programmes, such as Operation Phakisa. The call for, and agenda of, radical economic transformation and implementation of the National Development Plan was the main issue in 2016, and we expect it to still be the main issue in SONA 2017.”

Mahanjana’s hope for SONA 2017 was, “this year we expect the President to unpack the meaning of ‘radical transformation’ and how he plans to implement it. The issue of land reform is also expected to come up clearly in the SONA 2017, as well as how [government] plans to turn around the economy.”

Kevin Lovell, CEO of the South African Poultry Association, on SONA 2016: “The fact that agriculture got a mention is a positive.”

Lovell’s hope for SONA 2017 is, “that agriculture will be properly funded in a coordinated way that will allow both growth in production capacity and an improvement in transformation targets reached.”

Leon de Beer, general manager of the National Wool Growers’ Association’s hope for SONA 2017 is, “agricultural land should not be used as a political pawn, and proper land reform strategies should be structured to really ensure that agriculture contributes to the economy and food security of South Africa.

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Government policies should create a production environment that will support optimum agricultural production and draw investment into the sector. Rural security and specifically farm safety should be high on the agenda.”

Jannie de Villiers, CEO of Grain South Africa, on SONA 2016: “As a rule we regard SONA and Budget as ‘general affairs’ for which Agri SA takes responsibility.  SONA rarely focusses on a commodity per se. In 2016, a few days after the SONA, Grain SA was invited to the Portfolio Committee on Agriculture to present the state of the grain industry. It focused on the drought at that time.”

De Villiers’s hope for SONA 2017 is: “I assume that land reform and job creation will be matters that will be mentioned relating to agriculture. The rural road network, and other infrastructure, is hampering farmers to get products to the markets and will hopefully be addressed as well.”

Trix Trikam, executive director of the South African Sugar Association, on SONA 2016: “The President’s reiteration of commitment to the 9- point plan, with revitalisation of the agriculture and agro-processing value-chain as the first order of business, was seen as a positive for the industry.

During the course of 2016, the sugar industry, already reeling from the devastating effect of drought, suffered a significant blow with the announcement of a proposed tax on sugar-sweetened beverages, as well as a review of the tariff mechanism that is intended to safeguard local producers from world market imports.

The industry has suffered an influx of imports that continue to undermine the initiatives undertaken to revitalise the growing and processing of sugar cane.”

Trikam’s hope for SONA 2017 is, “a further affirmation of the 9-point plan, with confirmation that government policy will be focused on supporting the plan with respect to the revitalisation of agriculture and agro-processing.”

Dr Peter Oberem, acting president of Wildlife Ranching South Africa, on SONA 2016: “There was no mention of wildlife ranching in SONA 2016, but we are nevertheless grateful to government for their continued endorsement of the concept of sustainable utilisation and their recognition of the critical role the private sector plays in the country’s conservation, food security and the socio-economic development of poor and rural communities.

“As it stands, the sector is the largest employer in the agriculture industry. This was most recently expressed in Zuma’s opening of the 17th Conference of the Parties of the Convention of International Trade in Endangered Species, held in Johannesburg in September last year.”

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Oberem’s hope for SONA 2017: “We would like to see more clarity on government’s policies in ensuring sustainable food security in South Africa, including land reform, security of tenure, the deracialisation of the agricultural sector and its value chain as well as import protection.

“At a departmental level, we would like finality as to whether the wildlife ranching sector falls under the auspices of the Department of Environmental Affairs or the Department of Agriculture, Forestry and Fisheries, or both; and where there is an overlap, a clear distinction of the roles of both departments.

“We would also like to see an undertaking by government to streamline the regulatory environment so that the wildlife ranching sector can reach its full potential.”

Dr Pieter Prinsloo, vice-chairperson of the Red Meat Producers’ Organisation, on SONA 2016: “The single negative I got out of SONA 2016 is the total disregard for the predicament South African agriculture found itself in at that time, being the middle of a drought cycle with most commodities contributing to food security being in dire straits then already. Now it is a year later and we have seen what the shortage of maize has done to the poultry industry as well as to the beef and lamb feedlot industry.

“Intervention by government back then could have made a serious difference. The direct effect of the drought is high prices currently, for beef especially, which we predicted back then, to the detriment of food security.”

Prinsloo’s hope for SONA 2017: “I am probably dreaming, but what I would like to hear from SONA 2017 is a whole industry approach to agriculture in support systems, and not only for smallholder farmers. The help promised for smallholder farmers is nothing less than a tenderpreneur heaven and poverty elevation. It does not contribute at all to food security.

“In SADC countries political decisions override trade agreements, never mind how strongly they have been agreed upon by industry. I sincerely wish politicians would refrain from this and leave industry to practice free and fair trade. That is all I am asking for but it is probably too much.”

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