NATIONAL AGRICULTURAL MARKETING COUNCIL

Presentation at Public Hearings on the
Role of Parastatals in Agricultural Developments.
Good Hope Chamber, Parliament,
9-10 June 2003

The NAMC came into existence in January 1997.

The role and function of the NAMC is to provide strategic advice the Minister of Agriculture on the application and co-ordination of agricultural marketing policy in relation to national economic goals, social and development policies and international trade trends and developments

For the first two years the NAMC was involved in transforming the agricultural marketing environment. Agricultural marketing changed from highly controlled single channel marketing to the present deregulated and free marketing. This was done in order to facilitate broader participation and to promote the viability of the sector.

The NAMC interacts with the various industries in agriculture and has so far conducted 16 investigations aimed at facilitating improved marketing of agricultural products. Investigations have already been conducted in the following areas and the amounts spent are also indicated :

Table 1: Area of investigation, numbers of investigation, year and amount spent.

No.

Area of investigation

Number of studies

Year
finalised

Amount
Committed

1.

Fresh Produce Marketing

1

1998

180 000

2.

Market Access

1

1998

180 000

3&4

Wheat /Fresh Produce

2

1999

450 000

5.

Dairy

1

2001

82 930

6.

Read Meat

1

2001

53 000

7 & 8

Deciduous Fruit

2

2001

89 200

9.

Flower

1

2002

90 000

10.

Maize

1

2002

33 000

11&12

Wine

2

2002

540 000

13.

Food Security

1

2002

500 000

14.

Citrus

1

2003

68 200

15.

Ostrich

1

2003

105 000

16.

Transformation

1

ongoing

240 000

Total

2,611 million



The NAMC facilitates the implementation of requested statutory measures aimed at improving developments in the agricultural industries. These include collection of levies, collection and dissemination of information and research. The industries in agriculture have collected up to R123,5 mill from role players between the years 1999 and 2001 to finance essential services.

The outreach programme of the NAMC is aimed at educating black farmers about the marketing environment in South Africa and internationally. This is done through holding workshops with farmers and distribution of a quarterly newsletter. So far 60 workshops have been conducted in various places in all provinces. A total of R936 000 has already been spent on this programme since the 2000/1 financial year.

The NDA is an overall overseer of the activities of the Council in terms approving strategic business plan and budgets. The NDA has a representative at Council meetings. Further interaction in terms of alignment of programmes happens during Intergovernmental Technical Committee on Agriculture (ITCA) and MinMec meetings. Moreover, the NAMC reports on its activities quarterly to the Executive Authority via the NDA. So far as the Department of Land Affairs is concerned, there is no formal relationship.