Thank you, hon Minister. Hon members, to be fair, the Minister mentioned a few people. I think those are her visitors who have done or are doing very well in this sector. I think, hon members, we should not be shy to applaud them. [Applause.]
Chairperson, Minister Joemat-Pettersson and all Ministers present here, Deputy Minister Mulder and all Deputy Ministers present here, colleagues and comrades, director-general and officials from the department you are leading, chairpersons and chief executive officers of the state- owned enterprises, industry players in the agriculture, forestry and fisheries sectors of our economy, my daughter Litha, who is seated among us, and also the Minister's two sons, who are also seated among us here, fellow South Africans, comrades and friends, on 26 June 1955, the only Congress of the People declared among other things:
The land shall be shared among those who work it!
Restrictions of landownership on a racial basis shall be ended, and all the land redivided amongst those who work it to banish famine and land hunger;
The state shall help the peasants with implements, seed, tractors and dams to save the soil and assist the tillers;
Freedom of movement shall be guaranteed to all who work on the land;
All shall have the right to occupy land wherever they choose.
Informed by the above time-tested scientific assertion 56 years ago, the Department of Agriculture, Forestry and Fisheries adopted its vision of "striving for a united and prosperous sector" alongside a mission that seeks "to lead and support sustainable agriculture, forestry and fisheries and promotion of rural development in South Africa".
Allow me, as we debate in the month of our heroes, to dedicate my speech to an ununiformed soldier of our people, Ibutho Mthuthuzeli Malaba Makhuphula, waseDora [from Dora], New Brighton in Port Elizabeth, whom we just buried on 16 April 2011. Like himself at the time of his death, his family continues to languish in a state of squalor and poverty.
This being Heroes' Month, we remember Oliver Tambo, Chris Hani, Solomon Mahlangu, Siphiwe Mthimkhulu and Topsy Madaka, who vanished without a trace on 14 April 1982. The only remains of Siphiwe Mthimkhulu to be buried some 20 years later was his hair. As we celebrate their contributions and sacrifices during this month of heroes, let us never lose sight of our historic mission, that of building a united, nonracial, nonsexist democracy in a prosperous South Africa.
Chairperson, with its theme of "safe food for all through decent jobs", agriculture continues to have great potential to assist the ANC-led government in the fight against poverty and unemployment, as it plays a critical role in producing food for the country in the subsistence areas of the rural communities, and in providing jobs for the unskilled and semiskilled citizens of our country. Our role as an activist Parliament is unambiguously that of ensuring the success of such deliverables through robust oversight.
Factors of agricultural production are the basic inputs that are used to produce the goods and services that are derived from agriculture itself. These important factors are natural resources such as land and water, capital, labour, entrepreneurship, technology and innovation through technology that can sometimes be embodied in capital and entrepreneurship. Without these factors, there can be no effective and sustainable agricultural production.
Poverty, household food insecurity, and environmental degradation continue to be the key concepts underpinning the discourse within South Africa, and have been recognised by most developing countries as critical development challenges that are given highest priority in the development agenda.
Colleagues, in order to address poverty, inequality and high unemployment, among other things, Cabinet developed a new economic growth plan in 2010. The aim of the New Growth Path, the NGP, is to target the country's limited capital and capacity at activities that maximise the creation of decent job opportunities through macro and micro economic policies, in order to create a favourable overall environment and to support more labour-absorbing activities. The main indicators of success will be the number and quality of jobs created; the rate, labour intensity and composition of economic growth; equity, manifested as lower income inequality; and environmental outcomes.
The agricultural value chain has been identified as one of the key job drivers in the NGP. Agriculture in South Africa accounts for approximately 8% of the country's total employment, which is a far smaller supply of labour than in other developing economies and emerging markets, where one in five people work in agriculture. This low figure may be attributed to the decline in the number of commercial farms, diversification like gaming activities, the introduction of advanced technologies, and increases in the cost of labour and production inputs, alongside the cost of doing business in our country.
The creation of decent jobs is one of the main foci of the country's NGP, in which the agricultural value chain is one of the job drivers. In terms of the NGP, jobs in agriculture will be in smallholder schemes in industrial products, the export of wine and fruit, as well as extension services. The key integrated policies will be developed to link smallholder schemes to land reform and provide integrated support, address high input costs, and support farmworker organisations and growth in the commercial sector by addressing price fluctuations in maize and wheat in particular.
Fellow South Africans, this whole programme must indeed be seen to be meeting the Millennium Development Goal targets of halving unemployment and poverty by the year 2014, goals to which this country is a signatory.
Hon Minister and director-general, in meeting the above targets, we have taken note of the department's draft Integrated Growth and Development Plan, the IGDP, which is a 20-year plan, 2011 to 2031, and how it seeks to promote agriculture and rural development in South Africa. I quote from the plan:
The primary purpose of the IGDP is to achieve the transformation and restructuring of the agriculture, forestry and fisheries sectors that are currently dominated by a small number of large companies, and to ensure that constraints experienced in the areas of input supply, production and marketing are addressed cost-effectively and in a timely manner.
In addressing equity and transformation in the sector, the Department of Agriculture, Forestry and Fisheries, collaborating with the Department of Trade and Industry and the agricultural industry, plans to assess and refine the Agri-BEE Charter, to address shortcomings including publication in terms of section 9 of the Broad-Based Black Economic Empowerment Act of 2003, and fully implement it by the middle of next year. The IGDP further proposes a number of new strategies and policies, and assessment and implementation of existing ones, to address and strengthen integration, growth, export potential and competitiveness of the sector, focusing more on commodity-specific planning and production.
To ensure growth in the sector and integration of smallholder farmers into mainstream markets, the IGDP proposes the implementation, in five years' time, of an agricultural input coupon programme to subsidise the most expensive agricultural inputs for production systems that contribute the most to food security. In addition, the IGDP proposes incentivising the establishment of a public-private partnership to improve access to information, training and capacity-building, mentorship and entrepreneurial activity.
As the committee, we feel that we seriously need to engage with this area that talks to subsidies and tariffs, so that we have a department that not only attends negotiations of the World Trade Organisation, but also actively participates.
Furthermore, the IGDP also proposes the implementation of an agricultural academy programme and development services centres, which will prioritise skills development, and decentralise support services respectively.
In this regard forestry and fisheries fall far behind in transforming our economy, though we do have the forestry charter, which was expected to be implemented at the beginning of this year. As a result of this situation, fisheries has since become a cartel, only benefiting the large few in the industry. Due to this situation, fronting in the fisheries industry continues to be the order of the day.
The conditions of employment leave a lot to be desired, with fisherfolk left to die with no one able to account for them when they fall ill or die on the deep sea. This is due to the casual nature of the jobs offered, as these are not registered employees. We call on the industry to desist from such unscrupulous activities, where it is profit at any cost, regardless of people's lives. We also call on the industry to stop marginalising our black people with regard to fishing permits, where they are paid peanuts, which is daylight robbery. Have they not had enough of daylight robbery of our land when the colonisers arrived on our shores led by that bandit called Jan van Riebeeck? [Interjections.] I wonder whether you are part of that bandit regime of Jan van Riebeeck.
Chairperson, despite the constitutional mandate of the Intergovernmental Relations Framework Act, in practice very few organs of state adhere to the Act. Hence there are so many failed government programmes due to a lack of well-co-ordinated, integrated efforts to ensure maximum benefits and returns. In terms of agricultural and rural development, failed land reform projects are a classic example of this challenge. This issue is acknowledged in the IGDP and also by the Presidency's National Planning Commission.
Coming to poaching and stock theft, we are confronted with life-threatening experiences. Because of shortages of SA Police Service and SA National Defence Force members we cannot manage such ills in our society. As a result, stock theft not only accounts for losses of some R400 million per annum to smallholder farmers, but lives of people are also in danger. Maybe it is time we call on communities, in support of their own livelihoods, to form their own street and area committees as a collaborative effort that would assist our security agencies.
Time is not on my side. Chairperson, it cannot be acceptable that today, 17 years into our democratic Parliament, the majority of a minute number of black winegrowers is only limited to the primary production level, where they grow grapes only to supply raw material, in the majority of cases to white cellars, for processing, bottling and labelling, and marketing. We ask ourselves, as the ANC-led Parliament exercising our role on oversight, what continues to be the role of Wines of South Africa and the SA Wine Industry Trust, respectively, as these are instruments aimed at assisting and growing black winegrowers?
I don't have time for the section I had on extension services. Director- general, chairpersons of state-owned enterprises and CEOs, Ncera Farms continues to be an albatross around our necks, with no governance or systems in place. The portfolio committee is not impressed with this entity and the matter is urgent.
Research and training advances can help reduce costs, increase production, protect natural resources and improve sufficiency in our systems.
The last point I want to relay has to do with climate change and disaster management. As South Africa hosts the United Nations Conference of the Parties 17, we need to be combat ready, able to showcase our abilities in climate change mitigation and adaptation in the agricultural sector. We must be aware that agriculture, forestry and fisheries are most affected by climate change and changing weather patterns, to the point that this directly affects food security in our country and the world over. As stakeholders, we are therefore called upon to drive and develop strategies towards mitigating and adapting to these climatic conditions.
Chairperson, we are going to hold the department and the Ministry accountable for, among other areas, the following: ensuring that it provides Parliament with regular quarterly reports and updates on the implementation of its programmes; meeting its implementation targets of policies and establishment of governance structures; monitoring expenditure and ensuring that its activities produce value for money; encouraging and promoting intergovernmental relations and integrated approaches through the IGDP in tackling issues such as food security, job creation and climate change; reviewing and aligning existing legislation and policies that govern the sector; and ensuring that programmes are in line with other state policies, such as the New Growth Path, the Industrial Policy Action Plan 2 and the Comprehensive Rural Development Programme.
In conclusion, 50 years later, a new democratic South African government declares: The land is being shared, albeit slow progress is being made, among those who work it. Restrictions of landownership on a racial basis are gradually coming to an end, and all the land is being shared by those ...
The ANC supports the R4,7 billion Budget Vote 26. I thank you. [Time expired.] [Applause.]
Hon Chairman, hon Minister and Deputy Minister, hon members of the House and guests, the Department of Agriculture, Forestry and Fisheries developed its integrated growth and development plan to support the New Growth Path, to achieve the transformation and restructuring the sector needed. The budget for 2011-12 must therefore be judged in terms of the above addressing the following issues.
Stygende voedselpryse het 'n direkte impak op elke inwoner van Suid-Afrika se lewenspeil, meer nog op die armes. In 2008 reeds het daar in sommige lande geweld uitgebreek omdat die mense nie meer kos kon bekostig nie. Danksy die huidige sterk rand het Suid-Afrika nog nie die volle impak van die jongste vlaag prysverhogings gevoel nie, maar indien vakbondleiers en ander regeringslui se oproepe om die rand kunsmatig te verswak, gevolg word, sal voedselpryse drasties verhoog en sal so 'n stap die armstes die swaarste tref.
Dit is dus ironies dat daar nou nog deur die departement meer fokus op transformasie geplaas word, as om die wesenlike gevaar van voedselsekerheid en ho voedselpryse aan te spreek.
Dit blyk uit Landbousensus se jaarlikse peiling dat sowat 20% van Suid- Afrika se boere nie vanjaar hul produksiegeld sal kan terugbetaal nie. Landbouskuld gaan dus steeds toeneem en kontantvloei verswak. (Translation of Afrikaans paragraphs follows.)
[Rising food prices have a direct impact on the standard of living of each inhabitant of South Africa, more so on the poor. As early as 2008, there were outbreaks of violence in some countries because the people could no longer afford food. Thanks to the current strong rand, South Africa has not yet felt the full impact of the latest wave of price increases, but if the calls by trade union leaders and others in government to artificially weaken the rand are adhered to, food prices will rise dramatically, which would affect the poorest the most.
It is therefore ironic that the department is still more focused on transformation rather than on addressing the substantial threat of food security and high food prices.
According to the Agricultural Census' annual statistics, it appears that approximately 20% of South Africa's farmers will not be able to repay their production costs this year. Agricultural debt will therefore continue to increase and cash flow will weaken.]
Just one example to illustrate the above: Primary wine grape producers are under serious financial pressure and have been for the past six years. They experienced a drop in wine grape prices of 40%, and an increase in production costs of 40%, while the profit margins of wine farms have decreased by more than 50% since 2004.
'n Primre wynprodusent verdien gemiddeld - en u moet luister - 44 sent uit 'n bottel wyn wat vir R24 in die kleinhandel verkoop.
Terselfdertyd verdien die regering, na hierdie jaar se aksynsverhoging, R4,56 per bottel wyn uit BTW en aksyns. Die regering verdien dus tien maal meer as wat die boer, die produsent, daarvoor kry.
Ander aspekte wat beleggersvertroue negatief benvloed is, onder andere, die volgende: Uitsprake van onteiening wat oor boere se koppe hang; stygende misdaad in landelike gebiede; die besoedelingsgevaar van rioolwater en mynbou; en die verswakkende infrastruktuur. Ons kan aangaan.
Die resultaat hiervan kan ons voedselsekerheid, werkskepping en landelike ontwikkeling in gedrang bring. (Translation of Afrikaans paragraphs follows.)
[On average, a primary wine producer earns - and you should listen - 44 cent per bottle of wine that retails for R24.
At the same time, the government, after this year's excise tax increase, earns R4,56 per bottle of wine through VAT and excise. The government therefore earns ten times more than the farmer, the producer.
Other factors that negatively influence investor confidence are, amongst others, the following: Statements regarding expropriation that hang over farmers' heads; an increase in crime in rural areas; the pollution risk associated with waste water and mining; and the weakening infrastructure. We can go on.
The outcome of this could jeopardise our food security, job creation and development of rural areas.]
The agricultural sector has been identified - we heard that this morning - as one of the key job creators in the New Growth Path to assist government in the fight against poverty. Agriculture in South Africa accounts for about 8% of the country's total employment.
Die aantal plaaswerkers het die afgelope dekades drasties gedaal, terwyl die regering die sektor geoormerk het om 250 000 nuwe werkgeleenthede teen 2020 te skep. Die Minister het vanoggend 'n ander syfer genoem. (Translation of Afrikaans paragraph follows.)
[The number of farmworkers has declined dramatically over the past decades, while the government has earmarked the sector to create 250 000 new job opportunities by 2020. The Minister mentioned another figure this morning.]
The number of people employed on commercial farms dropped by 27,1% between 1994 and 2007, or from 1,1 million to 790 000 workers. Similarly, the same trend was echoed in the number of farms, which declined from 57 994 to 39 900 in 2007, a decrease of 31%. Economies of scale, leading to farms merging is one reason, maybe the most important reason for the decline in the number of farms.
Boerdery in die vryemarkomgewing bly 'n besigheid wat winsgewend moet wees om te kan oorleef. Arbeidskoste bly 'n produksiekoste wat oordeelkundig bestuur moet word vir maksimum wins. Die Departement van Arbeid se arbeidswetsontwerpe maak die kans op die skepping van nuwe poste selfs kleiner, terwyl die Extension of Security of Tenure Act en die nuwe konsepwetgewing oor sekerheid van verblyfreg deur verskeie bekende marknavorsers as dwaasheid bestempel word.
Die slotsom waartoe die DA kom, is dat die regering self besig is om werksgeleenthede in die sektor te vernietig en nie die groeiteiken van 250 000 nuwe poste sal bereik nie, tensy hulle die speelveld drasties verander en die gewraakte wette verwyder.
Die harde feite bewys dat boerdery in Suid-Afrika die gevaarlikste beroep ter wreld is. Die moordsyfer vir boere in Suid-Afrika is 333 per 100 000 boere. Vergeleke met 111 per 100 000 soldate wat in Irak militre diens verrig, is die kans dus drie keer groter vir 'n Suid-Afrikaanse boer om vermoor te word as vir 'n soldaat om in Irak te sneuwel! Dit is dus skrikwekkend en vereis die hoogste prioriteit van die regering.
Mens kan die vraag dus vra: Wil jy 'n boer in Suid-Afrika wees? Die antwoord is nee. Dit is te gevaarlik. Ek gaan veg eerder in Irak; dit is veiliger. (Translation of Afrikaans paragraphs follows.)
[Farming in the free-market system remains an enterprise that needs to be profitable in order to survive. Labour cost remains a production cost that needs to be managed sensibly in order to produce maximum profit. The labour Bills from the Department of Labour reduce the chance of creating new positions even more, whilst various well-known market researchers regard the Extension of Security of Tenure Act and the new draft legislation on security of tenure as foolishness.
The DA has come to the conclusion that the government itself is busy destroying job opportunities in the sector and that the growth target of 250 000 new positions will not be met unless they change the playing field drastically and remove the Acts that have been objected to.
The hard facts prove that farming in South Africa is the most treacherous profession in the world. The murder rate for farmers in South Africa is 333 of every 100 000 farmers. In comparison to 111 of every 100 000 soldiers who perform military service in Iraq, the chances are three times greater for a South African farmer to be murdered than for a soldier to die in battle in Iraq! This is appalling and requires the highest priority from government.
One could thus ask the question: Do you want to be a farmer in South Africa? The answer is no. It is too dangerous. I would rather go into combat in Iraq; it's safer.]
The year 2011 marks the launch of the International Year of Biodiversity under the theme, "Biodiversity is Life". It is a theme of critical interest to farmers since biodiversity and agriculture are interdependent; both are also key elements to address climate change, and food safety and security.
Farmers are contributing to the conservation and protection of biodiversity through practices such as land set aside for wildlife and indigenous plant species, conservation farming, organic farming, reforestation, rotational grazing, and rehabilitation of degraded land.
From the above it is obvious that the Department of Agriculture, Forestry and Fisheries also has the responsibility to manage the risks associated with animal disease, plant pests, genetically modified organisms and registration of products used in the agricultural sector to promote food safety.
Over the past two years, we have seen on various occasions that the department has failed to deliver on this important issue. To give you an example, the responses by government to the outbreak of foot-and-mouth disease in KwaZulu-Natal left much to be desired. The Department of Agriculture Forestry and Fisheries, as well as Veterinary Services waited until it was too late effectively to control the area where the outbreak started. No movement control had been implemented as a matter of urgency, even though the Defence Force was on standby.
When foot-and-mouth disease was detected in southern Mozambique in December last year, Swaziland took immediate steps to prevent it from entering their country, while our own Department of Agriculture, Forestry and Fisheries did not take any action, resulting in our OIE foot-and-mouth-free status being withdrawn and our borders being closed for export of products of animal origin.
The main stumbling block appears to be a lack of capacity and knowledge of the control systems in government, as currently 37% of veterinarian posts are vacant and 26% of border and control zone staff posts are vacant in the department. Let me remind you that on a previous occasion, as part of a bilateral agreement with Zambia, our own Minister intended to import sable from Zambia, a country which has an endemic foot-and-mouth disease status - I'm just reminding you.
At the same time, senior officials in the relevant departments were removed from their posts, and in some cases even given demotions. We believe that they were removed because they were, correctly, not prepared to issue the necessary permits for the import of the sable.
The department has also been dealing with an outbreak of Rift Valley fever, which was similarly badly managed. To make things even worse, just last week we experienced an outbreak of avian flu in the Western Cape among the ostrich population, which will cost the ostrich farmers about R108 million per month in lost income.
This brings me to the budget and management of those institutions dealing with the above issues. The Agricultural Research Council is funded from government grants and income generated from research. A parliamentary budget of R709 million for the financial year 2011-12 decreased by 1%, and is too little to cover all the costs of the entity, and to fill all the critical vacancies, and also maintain the ageing infrastructure.
Onderstepoort Biological Products, OBP, was left without any government support in the past, and had to sustain itself by selling vaccines locally and internationally. The replacement of critical equipment to ensure supply of vaccines could cost the government R120 million over the following two years.
Although Onderstepoort Biological Products generated a surplus for this past financial year, it could not use it because it was operating without a board since September last year, and with a suspended CEO since April 2010, all because of a lack of urgency by the hon Minister to execute her duty to replace the OBP board and to dismiss the CEO, costing Onderstepoort Biological Products approximately R100 000 up to November 2010 in wasteful expenditure.
Considering wasteful expenditure, I would also seriously question the Minister's expenditure on international visits, spending R1,737 million on 18 visits abroad between July 2009 and November 2010, especially spending R889 955 on one chartered flight to Egypt.
In conclusion, the Department of Agriculture, Forestry and Fisheries is people-driven and the correct people need to be appointed to do the job. The DA questions the logic of cadre deployment and appointing people to positions for which they are not qualified, whilst at the same time removing others from posts in which their skills could have been used more effectively.
Furthermore, we are concerned over the general lack of monitoring and evaluation of the provincial departments' ability to deliver on important issues such as the agricultural colleges, extension services and the overall support to emerging farmers.
The lack of oversight and vision, as well as poor delivery by the department, can be blamed entirely on the Minister's lack of leadership and understanding of the sector, which seriously threatens the sustainability of the country's food security. I thank you, Chair. [Applause.]
Hon Chairperson, hon Minister, Deputy Minister, members and guests, the headline in one of South Africa's most widely read newspapers this weekend screamed: "It's a disgrace". The spotlight, once again, was being put on yet another ANC leader who had lost his moral compass.
The ANC government today is morally challenged. The government itself will have to own up to that. If anyone on that side of the House doesn't accept that, that would mean that they are also morally challenged.
I am raising the issue of moral conduct because the thinking that prevails in the upper echelons of the ANC is shocking millions of South Africans. We expected government to carry forward the remarkable legacy of Madiba. Clearly this is not happening.
Against the context I have sketched, it comes as yet another shock to me to read a letter from Konsortia Consultancy to businesspeople. According to Konsortia, for a so-called "platinum sponsor", writing out a cheque of R250 000 to the ANC for electioneering purposes in the Western Cape will guarantee "exclusive time with the Minister during a gala dinner". That is unacceptable to the only Congress of the People. If this is not influence- peddling, what is it?
Does this mean that the affected 3 000 cotton farmers from the Makhathini Flats need to pay a quarter of a million rand to get the attention of the Minister?
Redistribution of farms in democratic South Africa is a worthy goal. Transformation is an absolute necessity. Will the Minister, as a matter of priority, inform the House who the respective owners of the following farms in the North West are and whether they have, directly or indirectly, any links to governmental department staff: remainder of the farm Melville, 175 IP, purchased for R8,5 million; remainder of the farm Section 1, Block C 2, purchased for R18,25 million; and portions 1, 2, 3, 4 and 5 of the farm Quaggablatt?
In 1986 het Suid-Afrika ongeveer 70 000 kommersile boere gehad, wat 1,2 miljoen werkgeleenthede geskep het. In 1993 was daar 58 000 teenoor 1,1 miljoen werkgeleenthede. In 2007 het hierdie syfer drasties gedaal na ongeveer 40 000, met minder as 800 000 werkgeleenthede. Hierdie tuimeling gaan steeds voort met 50 miljoen monde wat van voedsel verskaf moet word.
Boere verlaat Suid-Afrika daagliks en die Minister se opsomming dat hierdie boere die land verlaat as gevolg van die feit dat hulle hul boerderye wil uitbrei, is 'n droom wat in 'n absolute nagmerrie gaan ontaard wanneer ons kyk na voedselsekerheid. Vyftig boere is reeds gevestig in die Kongo en gister alleen het ng 24 boere vertrek.
Cope voel dat die regering 'n billike omgewing en beleidsraamwerk moet skep. Die ho kostes van elektrisiteit en belasting, en die onsekerheid gaan daartoe lei dat ons daardie boere nooit weer sal sien nie, en dan sal jy self ook nie voedsel op die tafel h nie. (Translation of Afrikaans paragraphs follows.)
[In 1986 there were about 70 000 commercial farmers in South Africa who created 1,2 million job opportunities. In 1993 there were about 58 000, as opposed to 1,1 million job opportunities. In 2007 this number dropped drastically to about 40 000, with fewer than 800 000 job opportunities. This collapse continues while 50 million mouths need to be supplied with food.
Farmers are leaving South Africa on a daily basis and the Minister's summary that these farmers are leaving because they wish to expand their farms is a dream that is going to degenerate into an absolute nightmare when we consider food security. Fifty farmers have already settled in the Congo and yesterday alone another 24 departed.
Cope feels that the government should be creating a fair environment and policy framework. The high costs of electricity and taxation and the uncertainty will lead to us never seeing those farmers again, and then you won't have food on the table for yourself either.]
On Discovery Channel work on an oil rig was rated the most dangerous job in the world, followed by farming in South Africa, due to the high rate of farm murders that not only affects the deceased, but also every worker working on that farm.
Veediefstal in Suid-Afrika kos die boer en die ekonomie ongeveer R390 miljoen per jaar. 'n Groter splinter in die oog van voedselsekerheid is wel roofdiere, wat die ekonomie en die boer oor 'n miljard rand per jaar kos. Die departement van omgewingsake in die Noord-Kaap het byvoorbeeld sewe amptenare in diens, met geen begroting om roofdiere te bekamp of te bestry nie. Cope voel dat die Departement van Landbou, Bosbou en Visserye 'n senior amptenaar moet aanstel en 'n begroting beskikbaar moet maak vir die effektiewe bestryding van roofdiere soos die jakkels en rooikat.
Teen die pas waarteen ons nou aangaan, gaan daar geen kleinvee of kleinveeboere in Suid-Afrika oor wees nie. (Translation of Afrikaans paragraphs follows.)
[Stock theft in South Africa is costing farmers and the economy around R390 million per year. Beasts of prey represent a larger mote in the eye of food security, costing the economy and farmers more than a billion rand per year. The department of environmental affairs the Northern Cape, for instance, has seven officials in its employ in without a budget for combating beasts of prey. Cope feels that the Department of Agriculture, Foresrty and Fisheries should appoint a senior official and make available a budget for the effective combating of beasts of prey such as the jackal and the caracal.
If we continue at the current rate, there will be no small livestock or small livestock farmers left in South Africa.]
Cope believes in the need to encourage small-scale farmers to become commercial in their own right. They need to form co-operatives in order to become competitive. Government also has to educate the nation's farmers about the use of mycorrhizae. These fungi reduce water consumption and decrease fertiliser use. Is this being done, hon Minister? I would be shocked if it wasn't.
Cope would also like to see more bilateral agreements being implemented. Food security needs to become a regional strategy. Chairperson, according to the hon Minister, the aim of the Department of Agriculture, Forestry and Fisheries is to create 300 000 jobs in smallholding schemes by 2015 and 145 000 jobs in agro-processing by 2020. How attainable are these targets? What happened to the 10 000 new farmers that would have been established on 5 million hectares of land nearly three years ago?
What happened to Makhathini Cotton Gin that was purchased by the department from the liquidators, an action taken by the Land Bank? The only ones who benefited - and this really needs investigation - were the administrators. The farming project involved 1 300 hectares of irrigated cotton, providing jobs and livelihoods to some 21 000 people. At the height of operations, 3 000 tons of cotton lint were produced annually. This figure has dropped to a mere 104 tons a year, the smallest crop since 1960, recorded in the 2010-11 period.
Cotton production, especially in Makhathini, has the potential to create roughly five jobs per hectare, with a strong multiplying effect: For every one job in the primary production of cotton, 10 jobs are sustained down the stream.
It is disturbing that the hon Minister requested a cost estimate to revitalise the project almost a year ago and to date absolutely nothing has happened. The department needs workable, realistic and implementable targets. The NGP envisions 500 000 jobs to be created from agriculture. This includes 145 000 jobs in agro-processing. How will the department achieve this target? Which skills are being targeted? What life span for these jobs are we looking at?
Chairperson, in 2011 we have experienced and witnessed the power of natural disasters, the effect of which will impact on the world's ability to produce. Back home, floods have caused damage and droughts have threatened the livelihood of so many. [Time expired.] [Applause.]
Chairperson, hon Minister, hon Deputy Minister and hon members, South Africa has a dual agricultural economy. One part concentrates on commercial farming and exports and another part on subsistence farming for citizens and families in rural areas.
South Africa is also one of the few countries capable of exporting food on a regular basis. This is largely due to our summer season coinciding with winter in a number of wealthy countries in the developed world. For us to be competitive and take advantage of these seasonal boons, we need a department that ensures that our foodstuffs, produce and animal products are of a globally acceptable standard.
The department has a duty to ensure that our land and animals remain disease-free. On 14 April this year we had to suspend the export of ostrich meat to the European Union after a strain of avian flu had been detected in the Western Cape.
All our cloven-hoof exports are still suspended. This last outbreak of foot- and-mouth disease has had a crippling effect on meat exports and has thus been a hurdle to our economic recovery, with countries such as China suspending all meat imports from South Africa.
The situation could have been avoided if simple heed had been given by the department to the call for the re-establishment of the red-line fence, which would have adequately controlled the movement of livestock within areas regarded as high-risk areas. In 2008 the sum of R25 million was allocated for the repair of the red-line fence, and one can only wonder what happened to those funds as no repairs were effected.
The localised effects of this outbreak of foot-and-mouth disease on the local livestock farming community in northern KwaZulu-Natal have been devastating. Subsistence farmers who usually slaughter and sell meat and livestock at pension pay points, auctions and areas along the road have all been prevented from exercising their trade and only means of generating income for their families. This is unacceptable and could easily have been prevented.
Chairperson, the Ministry provided an allocation for the purchase of tractors and other farming tools and hardware to subsistence farmers, in order to promote successful farming practices within the areas in order to promote food security. These initiatives were highly welcomed by the communities and should have assisted greatly with the success of communal land use.
One of the challenges, however, was that the tractor operators were employees who worked from 08:00 to 16:00. These employees needed first to be transported to the areas where they were working, the result being that the tractors were only running a couple of hours per day and hence very little ploughing was actually taking place.
We have one of the largest man-made forestry resources on the planet. Thirteen percent of our surface area can be used for crop farming and production. We are the world's 10th largest sunflower seed and sugar producer. Our wine industry is world-class. We have an abundance of arable land and there is no reason for us to experience shortages of any kind of foodstuffs.
Our rural farmers require assistance with regard to knowledge of farming methods, easy access to finance and farming implements, etc, and both sectors require a disease-free environment in which to farm. The IFP hopes to see the department taking a far more proactive approach in this regard. The IFP supports the Budget Vote.
The DEPUTY MINISTER OF AGRICULTURE, FORESTRY AND FISHERIES: Hon Chairperson, hon Minister, hon members, the question that confronts us all on a global scale is: How do we increase agricultural production without vastly increasing the problems of air pollution, ecological disturbances, soil erosion, the pollution of streams and waterways, and destroying what is left of the world's natural habitat?
I believe that increasing food production sustainably is the central overriding and defining issue of agriculture today. I would like to repeat it: Increasing food production sustainably is the central overriding and defining issue of agriculture today.
But we are forced by nature to learn some harsh lessons about the terrain upon which we must produce food and fibre for improved food security and sustainable livelihoods. The greatest challenge the world over is climate change.
According to a report by the International Food Policy Research Institute it is predicted that 25 million more children will be malnourished in 2050 due to the effects of climate change.
Irrigation water supply reliability - the ratio of water consumption to requirements - is expected to worsen in sub-Saharan Africa due to climate change. Without climate change, calorie availability is expected to increase in sub-Saharan Africa between 2010 and 2050. With climate change, however, it is predicted that food availability in the region will average 500 calories less per person in 2050 - that is a 20% decline.
Untimely droughts, floods and severe cold have already had a huge socioeconomic impact on South Africa, and especially on agriculturalists and the rural community.
We are also aware of the fact that due to the increase in the global population and climate change the prevalence of certain pestilence and diseases has increased. Climate change also impacts the distribution patterns of certain pests, such as the Mediterranean fruit fly, which can impact the fruit production industry tremendously.
The floods that ravaged the southern hemisphere at the beginning of the year and the apparent upward trend of natural disasters remind us that when it comes to matters of nature we are not in charge. Of essence, we must accept the changes that are taking place, and adjust and respond as rapidly as possible. Only in this way do we stand any chance of succeeding in nature-dependent activities such as agriculture, forestry and fisheries. Conditions and new weather patterns have an impact on our production systems.
Furthermore, the outbreaks of animal diseases and pests require of us to strengthen our early-warning systems and to develop new adaptation and mitigation strategies. Taking advantage of the benefits of technology which will enable us to plan well ahead, we can thus plan around these new weather phenomena.
The integrated growth and development strategy of the department takes a sober look at our past performance. It considers the implications of bringing these three sectors, namely fisheries, forestry and agriculture, under one roof; it examines the changing context in which we find ourselves; and formulates our overarching response to existing and emerging challenges, not least the urgent priority of job creation.
One of the vehicles identified in the process of developing the integrated growth and development strategy is the specification of key commodity strategies that will help identify what we hope to achieve and the roles of different stakeholders, both up and down the value chain. In this regard the department has decided that by 2014 four key commodity strategies will be designed and implemented.
As part of this process the department will focus on investment in production infrastructure, skills development and targeted research, in part focusing on staple grains such as wheat and maize that feed our country, but also on high-value products that feed our trade balance, including fish and certain livestock products, as well as forestry products such as timber and pulp. Through these programmes we aim to create opportunities for sustainable rural incomes and employment, as well as contribute to the sustained growth of our sectors and the nation's economy.
The department has three strategic objectives that are directly linked to the Medium-Term Strategic Framework priority of rural development and food security, namely to promote efficient production, handling and processing of food, fibre and timber; to co-ordinate government food security initiatives; and to deliver comprehensive support towards rural development.
The role of the department with regard to land reform is to ensure that agricultural and forestry land transferred is utilised productively and sustainably. This is the area in which government has failed in the past. It is of the utmost importance that all stakeholders now come to the realisation that land does not automatically bring about wealth. Agriculture is a complicated discipline and without the necessary technology and knowledge any farmer will fail.
Voorsitter, ek het verlede jaar in hierdie debat verwys na die fout om vereenvoudigde persepsies oor landbou in plaas van koue feite te gebruik om belangrike besluite te neem. Dit is altyd verkeerd om besluite so te neem.
Van hierdie verkeerde stellings, wat maklik in die media en deur almal as feite gemaak word, is, onder andere, die volgende: eerstens, dat alle swart opkomende boere misluk. Dit is net nie waar nie. Daar is baie boere wat misluk; daar is ook suksesvolle boere, party vandag hier.
'n Tweede stelling wat gemaak word, is dat alle kommersile boere ryk is. Dit is ook nie waar nie. Ek weet nie of die armes ook hier is nie. Ek dink nie hulle kan die vliegtuigkaartjie bekostig nie.
Derdens, die stelling word gemaak dat Suid-Afrikaanse boere, en veral graanboere, nie beskerming teen onregverdige buitelandse mededinging en subsidies nodig het nie.
Laastens is daar 'n valse gerustheid wat ek by sommige mense raakloop dat goedkoop graaninvoere vanaf die buiteland kos se pryse in Suid-Afrika by kiesers sal laag hou, sonder om te besef wat die langtermyngevare daarvan vir Suid-Afrika, en dan ook vir alle kiesers in Suid-Afrika, kan wees.
Waarna eintlik in Suid-Afrika gestrewe moet word, is voedselsekerheid, verkieslik uit eie bronne. Hoekom? Omdat die afhanklikheid van buitelandse invoere, veral van stapelvoedsel, noodlottige risiko's op die lang termyn vir ons kan inhou. Wat gebeur, byvoorbeeld, as die buitelandse pryse skielik buitensporig styg en daar intussen, vanwe die invoere van graan, nie meer Suid-Afrikaanse graanboere oor is om binnelands relatief goedkoop te produseer nie?
Daarom moet ons eenvoudig sorg dat kommersile landbou mededingend bly en wins kan maak. Hoekom is dit belangrik? Omdat ons daardeur ook vir die nuwe opkomende boere die voorbeeld gee van wat moontlik is as mens kommersieel sou begin boer. Maar, as kommersile landbou nie meer winsgewend is nie, watter kans of moontlikheid is daar dan dat opkomende kleinboere suksesvol tot kommersile boere sal kan ontwikkel? Ek glo die toekoms l daarin om meer sulke swart kommersile boere te ontwikkel.
Teen hierdie agtergrond wil ek iets oor bio-brandstof s. (Translation of Afrikaans paragraphs follows.)
[Chairperson, in this debate last year, I referred to the mistake of using simplified perceptions instead of cold facts when major decisions are taken with regard to agriculture. It is always a mistake to make decisions in this way.
Among these inaccurate assertions, which are easily proffered as facts in the media and by everybody, are, among others, the following: firstly, that all black emerging farmers are unsuccessful. This is simply not true. There are many farmers who are unsuccessful; there are also successful farmers, some of whom are here today.
A second assertion that is made is that all commercial farmers are wealthy. This is also not true. I don't know whether the poor ones are here as well. I don't think they can afford the aeroplane ticket.
Thirdly, the assertion is made that South African farmers, and in particular grain farmers, don't need protection against unfair foreign competition and don't need subsidies.
Finally, I encounter a false sense of security among certain people that cheap grain imports from abroad will keep food prices low in South Africa for the voters, without realising what the long-term risks of this could be for South Africa, and, as a consequence, for all voters in South Africa as well.
What we should aspire to in South Africa is food security, preferably from our own sources. Why? Because our dependence on foreign imports, especially for staple food, could, in the long term, have detrimental consequences for us. What would happen, for example, if the foreign prices suddenly increased exorbitantly and, in the meanwhile, because of the importation of grain, there weren't any grain farmers left in South Africa to produce it locally relatively cheaply?
That's why we simply have to ensure that commercial farming remains competitive and is able to make a profit. Why is this important? Because, by doing this, we also offer an example to new emerging farmers as to what is possible should one opt to farm commercially. But, if commercial farming isn't profitable anymore, what chance or possibility would there be that emerging smallholders would successfully develop into commercial farmers? I believe that the future lies in developing more such black commercial farmers.
Against this background, I would like to say something about biofuels.]
The South African countryside has the potential to increase the supply of renewable energy through the recycling of waste materials, harvesting solar energy, as well as producing biofuels.
The latter case will be considered against the backdrop that South Africa has been able to produce surpluses of maize over the past three years and that the sugar industry annually produces exportable surpluses of sugar. This is of course an emotional subject, with some observers expressing the concern that biofuel production will come at the expense of the poor going hungry. While in some countries there may indeed be such a trade-off, I believe that would not be the case for South Africa.
The fact is that even while maize meal prices were increasing in 2008, South Africa was exporting maize. These are the realities of living in a global village - it is such a struggle for farmers to make a living from growing grain crops that they would have been foolish not to have taken advantage of rising world prices.
Generally speaking, the better our farmers are - large and small - at growing maize and other crops, the larger our surpluses, the lower the prices and the harder it is for farmers to survive.
Chair, we are an oil importing country. That is putting it mildly: We are oil-dependent! Crude oil is our single greatest import item, and by a wide margin. At the moment the price of crude oil is increasing daily. Transport costs are hurting our poor just as much as food prices and do influence food prices directly.
Let us start growing some of our own fuel, thus affording our grain farmers a bit of breathing space, thereby creating job opportunities and at the same time creating a significant new market for our smallholders. Recent research by the National Agricultural Marketing Council shows that although the net income of the wine grape producers has increased, enormous cost increases have caused the net farming income to decrease by 70% between 2004 and 2010. Let me give you just one example: The wine grape producers' total production cost increased from 2009 to 2010 by 7,5%, exceeding inflation for the same period of time.
Elke jaar tydens die Minister van Finansies se begrotingsrede, word daar gelag en gekgeskeer as die Minister sy jaarlikse verhoging van die sogenaamde sondebelasting op, onder andere, wyn aankondig. Ek was ook al deel daarvan. As daar egter na die verhogings die afgelope tyd in die produksiekoste van die wynbedryf gekyk word, is dit nie meer snaaks nie. Ons is besig om op 'n krisis af te stuur.
Ek het al informele gesprekke met die Minister van Finansies hieroor gevoer, maar ek glo dit is tyd dat die erns van die saak deur die departement, asook deur die produsente, onder die aandag van die Minister van Finansies gebring word.
Die belangrikheid van navorsing word deur die departement besef. Dit is egter nie genoeg nie. Ons moet navorsing as 'n belangriker prioriteit beskou en moet daarom die effektiwiteit van ons navorsingsinstellings verhoog. Deur genoegsame navorsing kan ons die verspreiding van siektes en peste wat die landbousektor laml, verhoed en bestry. Dit sluit ook die siektes en peste in wat gevolge van aardverwarming kan wees. Ons moet vinniger en meer effektief optree om hierdie uitbrake te verhoed.
Dit is van kardinale belang dat ons nou leer uit die onlangse gebeure: dat die Departement van Landbou, Bosbou en Visserye en ander betrokke departemente leer uit die onlangse vloedskade - ek het die Noord-Kaap gaan besoek en gekyk hoe dit daar lyk - en nou reeds planne formuleer om dit in die toekoms te voorkom; en dat ons leer uit die bek-en-klouseeruitbraak en ook leer uit die uitbraak van die H5N2-virusstam onder die volstruise by Oudtshoorn. Alleenlik so kan ons die betrokke stelsels verbeter en in die toekoms beter hanteer.
Daar is baie uitdagings in die landbou-, bosbou- en visseryesektore, maar ons kan uiters suksesvol wees indien ons produktief saam met die georganiseerde landbou en die privaatsektor werk. Daarom is dit ook belangrik dat alle besluite wat geneem word in the beste belang van Suid- Afrika as 'n geheel is.
Ons het vir baie lank deur middel van navorsing en tegnologie van Suid- Afrika 'n uiters suksesvolle landbouproduserende land gemaak. Soos ek reeds aangetoon het, word die landbouprobleme steeds groter op pad na 2050. Ons durf nie toelaat dat Suid-Afrika vanwe ons kortsigtigheid of vanwe 'n gebrek aan fondse vir navorsing en tegnologie-ontwikkeling agterraak nie. Ek glo ons het steeds die nodige kundigheid. Ons moet dit net reg aanwend.
Ek het 'n minuut oor. Die agb voorsitter van die portefeuljekomitee het na Jan van Riebeeck verwys. Ek is nie van Jan van Riebeeck se mense nie. Jan van Riebeeck was 'n kolonialis wat gekom het en gegaan het. Hy het sy tred gegaan. Hy is dood in 'n ander land.
Ek is wel van die vryburgers wat in 1657 ges het, "Ons bly in Afrika agter." Dit is hoekom ek hier staan en s dat as dit met Suid-Afrika goed gaan, as dit met die landbou goed gaan, dan gaan dit met ons almal goed. En as die skip sink, sink ons almal saam aan die einde. (Translation of Afrikaans paragraphs follows.)
[Every year, during the Minister of Finance's Budget Speech, there is laughter and banter when the Minister announces his annual increase in the so-called sin taxes on, among other things, wine. I have also been a part of that. However, if one looks at the recent increases in the production costs of the wine industry, then it isn't funny anymore. We are heading for a crisis.
I have had informal discussions with the Minister of Finance about this, but I believe that the time has come that the gravity of the situation be brought to the attention of the Minister by the department as well as by the producers.
The importance of research is realised by the department. However, this is not enough. We should regard research as a more important priority and, consequently, have to improve the effectiveness of our research institutions. Through sufficient research we can prevent and combat the spread of diseases and plagues, that are paralysing the agricultural sector. This includes the diseases and plagues that might be caused by global warming. We have to act more swiftly and more effectively to prevent these outbreaks.
It is of the utmost importance that we start learning from recent events: that the Department of Agriculture, Forestry and Fisheries and other involved departments learn from the recent floods - I visited the Northern Cape and saw what it looks like - and start formulating plans already to prevent this from happening in the future; and that we learn from the foot- and-mouth disease outbreak and also learn from the outbreak of a strain of the H5N2 virus among ostriches in Oudtshoorn. It is only in this way that we can improve the relevant systems and manage them better in the future.
There are many challenges in the agricultural, forestry and fisheries sectors, but we can be very successful if we productively collaborate with organised agricultural and the private sector. For this reason it is also important that all decisions are taken in the best interests of South Africa as a whole.
For a very long time we were able, through research and technology, to develop South Africa into a very successful agriculturally productive country. As I have already indicated, the agricultural problems are becoming more extensive as we move towards 2050. We dare not allow South Africa to fall behind because of our short-sightedness or because of a lack of funds for research and technological development. I believe that we still have the necessary expertise. We just have to apply it correctly.
I have a minute left. The hon chairperson of the portfolio committee referred to Jan van Riebeeck. I am not a descendant of Jan van Riebeeck's. Jan van Riebeeck was a colonialist who came and left. He went his own way. He died in another country.
I am, however, a descendant of the free burghers who, in 1657, said, "We will stay behind here in Africa." This is why I am standing here and I can say that if all is well with South Africa, if all is well with agriculture, then everything is well with us all. And if the ship goes down, we will all go down in the end.]
Chairperson, the Minister spoke at length about job creation in the sector, outlined the zero hunger campaign, and touched on opportunities for future growth as well as safety and security in the sector. If you summarise all of these, clearly Agriculture, Forestry and Fisheries has a mammoth task ahead.
It also shows that when the world is facing socioeconomic challenges such as food security, this department has a crucial role to play. The 2011-12 budget allocation will be prioritised accordingly, to respond to issues of food security, job creation, as well as creating opportunities for sustainable livelihoods.
Mr Chairman, from my side I thank the hon Minister, I thank the department, organised agriculture and the industry for their co-operation. Surely on your own you cannot do this job. We do not have an option but to make agriculture, forestry and fisheries succeed in the best interests of South Africa. I thank you. [Applause.]
Hon Chairperson, hon Minister of Agriculture, Forestry and Fisheries, all stakeholders of Agriculture, Forestry and Fisheries and all members gathered here, in the 2010 Budget Vote debate the Minister announced that a number of community-based, socially empowering strategies would be implemented for the fisheries sector to achieve the developmental objectives and growth path of the state.
Amongst other things, she announced that these strategies would include a thorough review of all fishing rights allocation policies and allocations, all harbour-related leases and developments, and all legislation related to fisheries, aquaculture and coastal management.
This was intended to ensure that the patient aspirations of the thousands of fisherfolk from our coastal fishing communities, who remain trapped in abject poverty, would be appropriately considered and accommodated within the mainstream economy of our multibillion-rand-per-annum fishing industry.
In her 2010 Budget Vote speech, our Minister, Ms Tina Joemat-Pettersson, expressly indicated, and I quote: