Report on Food Security Hearings, dated 27 May 2003:
The Portfolio Committee on Agriculture and Land Affairs, having conducted public hearings on food security on 11 and 12 March 2003, reports as follows:
Introduction To obtain viewpoints from various sectors and or stake holders on the issue of food security in South Africa so as to enable the Committee to make recommendations to Parliament for resolutions
To perform an oversight function in relation to section 27(1)(b) of the Constitution of the Republic of South Africa
The following document comprises an overview of the submissions to the committee
Submissions
ABALIMI
Abalimi (The Planters) is an NGO working with organic micro-farmers and environmental action initiatives in the Cape Flats townships
Overview
Abalimi works with over 3000 organic micro-farmers in over 100 community gardens and over 2500 home survival gardens throughout the Cape Flats townships. It costs Abalimi approximately R1 million or R333 per micro-farmer per annum to provide the support necessary to micro-farmers. The support includes subsidized production inputs, training and on-site follow-up.
Micro-farmers are most often unemployed persons who have turned to organic micro-farming as a way of supporting their families. Micro-farmers grow vegetables on very small areas of land – from as little as 10 square metres to 500 square metres, in backyards, under power lines, on school grounds and in the bush.
The initial phase of the project comprises Survival Gardens, where vegetables are planted for people’s basic needs. Thereafter, with technical support and skills, subsistence gardens emerge that produce excess food to sell.
Plans for the future with this venture entail the formation of a viable and sustainable association with the Cape Flats communities that in the long-term may develop into Market Gardens. These Market Gardens, after much experimentation and research is being launched this year and it may be possible to produce a baseline sustainable
Agricultural Research Council (ARC)
Overview
The ARC, in its submission on the role of the Council in engendering food security in South Africa, bases this role on the development and provision of technologies that improve agricultural productivity, ensure sustainability, reduce food costs, and improve quality and availability of food.
The ARC has developed the Agricultural Geo-referenced Information System (AGIS), an instrument for rating crop suitability in different parts of the country. The ARC employs the use of bio-technological techniques to increase crop varieties, and to improve the potential and productivity of food crops. An example of the ARC’s achievement with regard to the morogo plant, which is small and grows relatively slowly, was mentioned. The ARC has managed to speed up the plant’s growth, and to increase its size.
In addition, in noting a general Vitamin A and iron deficiency as a major cause for widespread visual impairment, the ARC has developed a yellow-flesh sweet potato, which has substantial amounts of Vitamins A and C and iron.
The ARC’s Sustainable Livelihood Programmes are aimed at developing people’s skills to enable them to start agricultural businesses. These include the appraisal of bacterial diseases in sustainable crop production in rural areas, beekeeping, sustainable land management practices in the Lusikisiki and Mlondolozi districts, and training farmers in irrigation technology in Limpopo, Kwazulu-Natal, and the Eastern Cape. African Health and Development Organisation
Overview
This submission was a brief input on the organisation’s report on nutrition and health and the linkages thereof. 1
The presentation focused on the R400 million that had been allocated by Government for biotechnology. The question raised by the presenter was that if such a large amount was allocated to biotechnology, then monies must definitely be set aside for research on alternative means of ensuring food security. With regard to the use of biotechnology and genetically modified foods to ensure food security, the presenter conceded that the most pressing need was to ensure an adequate food supply.
The organisation is working closely with Government bodies on the issue of alternative means of ensuring food security. The organisation’s report provides further details of the study.
AFRISTAR
Overview
Afristar Foundation is a partnership of Southern African Non Governmental Organisations (NGOs) working toward the implementation of sustainable development models that address problems through:
Co-ordinating national and provincial strategies for urban renewal and rural economic development.
Innovative empowerment solutions.
Introducing new skills and approaches to sustainable livelihoods.
Addressing the key issue of land redistribution, land use management and land use design.
The presentation outlined the need for the implementation of an integrated food security strategy that incorporates Permaculture 2 as the primary means of community based natural resource management. Permaculture involves the harmonious integration of landscape and people; providing their food, water, energy, shelter and other needs in a sustainable manner.
Critique of Current Food Security Initiatives
Governments National Vision for SA Agriculture and the Integrated Food Security Plan
In their critique of Government’s National Vision for SA Agriculture and the Integrated Food Security Plan, Afristar stressed the failure of Government to mention the definite need for home food security legislation that encourages all South Africans with access to residential land to grow a minimum amount of food. This, Afristar maintained, could assist with the following:
Alleviating pressure on always earning a wage to purchase food.
Encouraging South Africans to understand the link between food production and the land.
Will developing and nurturing a culture of self-reliance, which is implied in the notion of an African Renaissance.
Biotechnology and the Illusion of Food Security
Biotechnology, the submission maintained, is directly opposed to the ideals of the African Renaissance where direct contradictions exist in the present thrust towards utilising biotechnology generally and genetically engineered (GE) specifically as a tool for increased yield.
Most institutions involved in promoting GE technology in the region have a strong interest in promoting dependence on their systems, not on creating independence. Food independence implies regional food security on a village level, where the community is responsible for producing their own food wherever possible and developing local economies of scale to import that which they cannot produce.
The emphasis on major commodity crops that are supported by massive subsidisation (from the Organisation for Economic Cooperation and Development (OECD) states) and are subject to artificial market prices, is equally, if not more, risky to diversification. Furthermore, these crops, (cotton, soy and maize) are not major traditional food crops in the region, except for maize. The introduction and encouragement of mono-crop agricultural models will also further erode food security. Further Organic Research
The Soil Association Organic Farming, Food Quality and Human Health Report in the USA showed that the nutritional content of organic foods was higher than non-organic foods. The review looked at the entire picture of nutritional food quality and looked specifically at the comparative vitamin and mineral contents, reviewing a similar collection of scientific studies. The research confirms findings that, on average, organic produce contains significantly higher levels of vitamin C, iron, magnesium and phosphorous.
There is also a dire need to network interdepartmentally at national and provincial government level to ensure a unified approach to community food security.
The New Partnership for Africa’s Development (NEPAD)
The South African government has adopted a very proactive approach to biotechnology and is seeking to promote this into the NEPAD process. The short term benefits of a biotechnology programme are significant due to the huge amount of money that biotech companies and the United States are willing to put in to set up the dependency on their seeds and agricultural inputs. This will however, leave Southern Africa dependent on the North rather than creating and steering our own direction that serves the people and restores the soil condition of our continent.
Recommendations
Food Security in Africa
There needs to be an ongoing extension programme to pass the latest technology advances to existing and new ly established farmers.
There needs to be a sufficient variety of crops that can fulfil the dietary requirements on a regional/local basis.
In order to be self-sufficient, it is counter-productive to build reliance on high-input systems. This encourages dependence on agricultural inputs rather than independence through utilising resources that are available locally, such as manure and biomass.
Investigation of multiple crops and supportive intercropping needs to be undertaken.
A shift in emphasis from high to low-external input in research and extension needs to be investigated. This embodies a bottom up approach to the land rather than constant capital-intensive inputs and foreign technologies.
Concerns have been widely voiced about the increasing influence of input suppliers who emphasise the value of externally bought produce. These are often licensed abroad and the benefits of profit are seen in the North, whilst impoverishing the South.
NGO research needs to be supported as it is more oriented toward sustainability, but is limited and often lacks a systemic and long-term perspective.
Biowatch South Africa
Overview
Food security is a national responsibility but also an international one, as a country can have the best national policies on food security and development, but international trade regimes will prevent that country from implementing this successfully. The challenges in achieving food security are many and the aim should be to achieve it at three levels:
The Right to Food
Appropriate Agricultural Systems
Food Sovereignty
The submission focused on intellectual property rights and the fact that the Diversity Act in South Africa fails to mention agriculture or anything related to it. This was a serious oversight because there should be opportunities for those farmers in unfavourable conditions.
Furthermore, the submission noted that large companies and multi-national corporations often placed macro-economic growth above local producers, often overriding natural and human rights. A further issue raised in this submission was the threat of patents to the agricultural system, as individual farmer’s input is not recognized when companies hold patent rights.
The presenter, pointed out that even though more trade may result in less poverty, some people were so poor that they were unable to participate in such a market and so should have access to means of producing their own food. The presenter pointed out that even some national policies contributed to poverty on farms and local economies suffered as a result. Another critique levelled at work around food security in South Africa was the increasing privatization of research, which ultimately increased the interests of larger companies.
Recommendations
Alternatives to Food Production
Call on the Department of Agriculture to put in place policies and support systems that will promote alternative and sustainable systems of food production.
Use of Genetic Resources
Call on the South African government to sign and implement The International Undertaking on Plant Genetic Resources (IUPGR).
Intellectual Property Rights and Patents
Support the recognition of the Organisation of African Unity (OAU) Model Legislation on Community Rights as an alternative to the Trade Related Aspect of Intellectual Property Rights (TRIPS) agreement. Recent African proposals tabled at a meeting of the TRIPS Council, together with the OAU African Model Law support a prohibition on the patenting of all biological and living organisms, including micro-organisms and microbiological processes.
Genetically Modified Organisms and Biosafety
South Africa should ratify the Cartagena Protocol on as a matter of urgency. South Africa participated in the negotiations for the Cartagena Protocol, but has not ratified the Protocol.
Call for a moratorium on the commercial release of GMOs as well as field trials until there is conclusive evidence on how GMOs function, what the impact is on the environment, health and social systems. The precautionary principle should be strictly applied.
Food Sovereignty
South Africa should consider taking a position at the World Trade Organisation (WTO) negotiations that does not compromise its options for sustainable production, local food security and diversity. This means that the WTO Agreement on Agriculture should not allow for further liberalization. In fact, South African can join the call by many to take agriculture and food out of the WTO completely.
Corporate Control and Funding for Agricultural Development
South Africa should increase support for public interest research in agriculture, and should be much more vigilant of the ownership, investment in and activities of the multinational life sciences industry to prevent their domination of agricultural research, genetic resources and agricultural practices.
Congress of Traditional Leaders of South Africa (CONTRALESA)
Overview
The presenter, pointed out that up to 80% of the population lived on 13% of the land. Big companies exploited natural resources and local people did not benefit.
He maintained that the underlying principle of the Reconstruction and Development Programme (RDP) was biased toward rural development but results from this had yet to be seen. He argued that on the issue of food security and other governmental programmes and policies, CONTRALESA should be consulted as subsistence farming was the livelihood of many rural inhabitants. In addition, the presenter called for arable allotments, livestock and self-help schemes to promote development.
Recommendations
More advocacy work was needed for the shift from urban bias in favour of rural development.
Promoting of self-help schemes, that is, projects to promote rural areas. The Government through local economic development programmes specifically designed for these areas can assist these emergent farmers.
More initiative from government to promote agriculture.
Provision of tractors and other farm implements, with appropriate seed and fertiliser, irrigation systems, support services from institutions such as the Agricultural Research Council (ARC), the National Agricultural Marketing Council (NAMC). Additional extension officers in rural areas. Funds for these tools can be made available by the conversion of housing subsidies to be used for the promotion of agriculture, as housing is not a priority in communal areas.
CSIR (Bio/Chemtek)
Overview
The submission outlined and focused on the work undertaken by the CSIR toward improving food security in South Africa.
The presenter highlighted the following programmes undertaken by the CSIR:
Technology Solutions for Industry
Concept to commercialisation
Cereal Biotechnology
The Imbiza Multi-Purpose Plant
Speciality and Fine Chemicals Programme
Bioprospecting
Technology for Development
Process Biotechnology
Molecular Biotechnology
Programme for Organic, Biochemical and Environmental Analysis (PROBE)
Food Science and Technology Programme
In focusing on the Food Science and Technology Programme, the presenter listed the research undertaken by this section of CSIR. The Research and Development component of this programme focuses on scientific and technological research primarily in the food and fishing industries, but also in the catering, cosmetics, fine chemicals, retail and agricultural industries.
Food safety within the above programme was promoted with the analytical programme, which tested fish, cereals and other foods for safety, and by local and international regulations. On the issue of the nutritional food value, the presenter noted that the Innovation Fund Project had contributed with a process to fortify food using fish heads.
According to the presenter, alternative technologies could be developed to improve food quality. For example, products for immuno-deficient people could be developed whereby genetic modification of crops allowed the addition of amino acids missing from indigenous foods. The presenter cited the licence given to the CSIR to transfer the vitamin A fortification in ‘golden rice’ to maize.
The presenter pointed out that some of the factors mentioned below and used by the CSIR, could boost income and improve food security for a large number of people in South Africa:
Lowering the cost of producing food could enhance economic access.
Measures to attain the above could include: reducing post-harvest loss, waste beneficiation, developing new processes and packaging, and developing drought resistant crops.
Job creation measures such as the essential oils project and the commercialisation of indigenous products boost income and improve food security.
COSATU
Overview The submission noted that there was general agreement that, for a middle-income developing country, food security in South Africa was entirely inadequate. According to the UNDP (2002) study, one in four South African children is under the normal height for their age. The figures suggest that South Africa, which is in the top 25% of developing countries in terms of GDP, ranks among the worst 25% when it comes to food security.
The submission first looked at the trends in maize prices and the economic and social impact thereof on households. It thereafter demonstrated that the soaring prices arise not out of economic necessity, but from the abuse of market power along the maize chain. By extension, solutions to cushion the poor by improving their incomes and access to food are necessary but not sufficient. Rather, the presenters argued, government must intervene to prevent hoarding and profiteering in maize.
One of the presenters added that there were problems with the concentration of ownership of the maize industry. The initial suggestion with the increase in maize price implied a shortage of maize in South Africa. However, other factors such as parity and reasons for no decline in retail prices should also be investigated. Recommendations The establishment of a regulatory framework to track prices, ownership, control, profits and storage of staple foods.
Food price stability and household security require substantial improvements in national and regional maize production, with much broader structures of ownership and control throughout the value chain.
A critical step to food security is agrarian reform, increasing the access of the rural poor to land as well as other inputs, including water.
Co-operatives provide an important way to support smallholders and enhance their access to capital and markets.
In order to review key strategies on food and agriculture and to ensure broad public support, NEDLAC agreed in 2002 to prioritise a Food Security and Jobs Summit. This process should be initiated as soon as possible. Department of Agriculture
Overview The Deputy Director-General, Mr M Mbongwa, focused on the Integrated Food Security and Nutrition Programme for South Africa
Mr Mbongwa mentioned the following challenges facing the nation and the Department in particular:
The large amount of food being imported, whereas the rural black population should largely be exporters of food products.
Uneven food supply chain systems.
Unstable household food production.
Lack of food purchasing power.
Low income and job opportunities.
Poor household nutrition and food safety.
Weak community infrastructure.
Lack of information and communication systems; and
Weak food crisis management system.
Those groups categorised as the most vulnerable were infants and lactating mothers, children, child-headed households, female-headed households, people infected and affected by HIV and AIDS and disaster victims. These cover a total of 2.2 million households or over 12 million people. They are found in former homelands, on commercial farms, in informal settlements, black townships, and more increasingly, in the inner cities. The income of vulnerable people was less than R600 per month. The Department’s approach to alleviate the problem is to identify and tackle the worst problems, improve short-term problems and provide basic food baskets consistent with household sizes.
The strategic objective of the Department was to improve safety nets and food emergency management systems and this would necessitate the R400 million packages announced by Government. Their goal was to reduce the number of hungry and malnourished households by half by 2015. Those targeted beneficiaries were – thirteen rural development nodes, eight urban renewal pockets, and poverty pockets outside the nodes.
The Food Security Strategy of the Department comprises four sub-units: Food Production and Trading, Community Development, Nutrition and Food Safety and Social Safety Nets and Food Emergency.
Under the list of the expected outputs, the DDG mentioned a supply chain management system for basic foods, school nutrition scheme, school garden schemes, and community food centres.
The Implementation Plan of the Integrated Food and Nutrition Programme for South Africa hopes to establish the following:
A national food and nutrition task team.
Provincial food and nutrition task teams.
District food and nutrition task teams.
Local food and nutrition task teams.
Community-based food and nutrition organisations; and
Food and Nutrition Agency (FANA).
The implementation plan also intends to:
Audit existing food and nutrition security schemes.
Design food coupon schemes.
Set key performance indicators.
Set service delivery standards.
Consult on food security legislation; and
Convene a food and nutrition summit.
Establish management and administrative structures.
Design information and communication systems.
Design monitoring and evaluation systems. Department of Social Development
Overview Ms Thembi Nwedamutswu, the Deputy Director General: Integrated Development presented the Department’s Food Emergency Scheme. The goal of this programme is to eradicate hunger, malnutrition and food insecurity by half by 2015.
R400 million had been allocated on 29 October 2002. Of this, R230 million was used for local food parcels and R170 million for food obtained through the world food programme.
The model is one of immediate food relief in the form of food parcels, access to social security support, starter packs for household food production, and to link households to community production centres. The programme utilises existing structures and systems and tender exemptions to fast track relief. Priority was given to households according to expenditure. The programme started with households that spent less than R200 per month.
A pilot project for twelve thousand households highlighted the importance of stakeholder mobilisation, time limits, institutional capacity and identifying beneficiaries. The programme focuses on children, child-headed households, female-headed households; HIV and AIDS affected households and the elderly.
The programme faced challenges of sustainability and limited time with funds having to be committed by the end of March 2003. Environmental Monitoring Group (EMG)
Overview EMG is an independent NGO based in Cape Town. Formed in 1992, the organisation has programmes in rural livelihoods, trade and water justice. The NGO serves as the NGO Focal Point for the United Nations Convention to Combat Desertification and for the past 3 years has been supporting the efforts of a community of small-scale rooibos tea producers in the Northern Cape to enhance their food security and improve their quality of life.
The perspectives and interests of the small-scale rooibos tea producers, known as the Heiveld Cooperative, in the Northern Cape, dominated this submission.
The community was historically disadvantaged, and as late as 1997, received only R2.00 per kilogram of rooibos tea. In 2001, the Heiveld Cooperative was formed, and its members registered as organic producers. This led to trade with the European Union, where members now earn R16.50 per kilogram for their tea. The presenter maintained that Europe is a fairly well developed sector in fair market practices, and that organic produce is a large industry in Europe.
On the issue of biodiversity, food security and GMOs, the presenter pointed out that:
Rooibos tea is a fine example of the gift to the world from the heritage of biodiversity.
Genetic modification of rooibos would damage the reputation of rooibos as a health product. Recommendations Legislation should ensure that potential risks to the natural environment should be assessed before any genetic modification of organisms takes place.
No GMO should be released into the environment before a full Environmental Impact Assessment has been carried out.
Legislators should ensure food security and biodiversity by keeping the GMOs out of natural products. Earthlife Africa eThekwini (Durban) Branch
Overview This submission aimed to demonstrate that the way in which biotechnology companies applied genetic engineering threatens food security in developing countries and could increase poverty and hunger. Genetic Engineering and the Implications for Food Security The critique offered in this submission against the use of biotechnology encompassed the following:
There is growing evidence to show that genetically engineered seeds do not increase crop yield.
The application of genetic engineering ignores the fact that in most developing countries small-scale farmers are the primary producers of staple foods, accounting for a large percentage of national production. When small-scale farmers demonstrate lagging productivity, it is not because they need a ‘genetically engineered pesticide resistant seed’, but because they face macro-economic policies that are increasingly unfavourable to food production.
Trade liberalisation and export oriented production not only undermines local production through cheap and heavily subsidized imports, it re-orients food production away from meeting local food needs to cash crops for export.
A technological approach to food security ignores the critical factors to ensure food security, such as access to land, infrastructure, agricultural resources, rural development and addressing international trade policies.
There is increasing concern over the potential health and environmental hazards posed by genetically engineered seeds and their large-scale release without adequate testing and regulatory control.
Agrochemical companies are consolidating themselves into gene giants. The development of genetically engineered crops that are herbicide and pesticide resistant has been motivated by the need of the seed and chemical companies to gain a greater share of the herbicide/insecticide market. Recommendations The group made the following recommendations:
Opposition to ‘patents on life or living organisms’.
Protection of the rights of resource-poor farmers and facilitation of the voice of these farmers.
A ban on the introduction of ‘Terminator or Technology’, the controversial genetic engineering that deliberately sterilises crops and could jeopardise small farmers’ ability to use their own seed.
A ban on the release of GMOs into the environment until sufficient research has been undertaken in accordance with the precautionary principle.
The corporation who develops the GE technology to assume full responsibility for the impact of the general release and spread of genetically engineered organisms.
Sustainable agricultural projects to be set up and more research into non-corporate sustainable agriculture to be encouraged.
Independent enquiries into the future of agriculture and food security to be initiated.
Opposition to the current WTO framework that moves us away from a path of sustainable development.
Strengthening the role of the precautionary principle embodied in the Rio Declaration and ensuring that biosafety legislation takes precedence over WTO/NEPAD/African Growth and Opportunity Act (AGOA)/North American Free Trade Agreement (NAFTA) and other trade based rules and agreements. Grain SA
Overview Grain SA is an organisation of commercial grains and oilseeds producers in South Africa. Its members are commercial producers and its focus is on the improvement of the economic environment for the commercial production of grains and oilseeds in South Africa.
The United States of America (USA), the European Union (EU), Argentina and Brazil dominate the world market for grains and oilseeds. The presenter noted that the gain producers in the USA and the E U are highly subsidized and have favourable soil and climate. South African producers had neither advantage, so had to compete on efficiency with farmers from other countries.
The submission highlighted the following themes for detailed discussion: Macro environment for commercial oilseeds production in South Africa The submission noted that the macro-environment in which grains and oilseeds are produced in South Africa has deteriorated during the past 10 years, and impeded the continued development of production efficiency. Some of the factors contributing to this deterioration are the following:
The deteriorating farm security situation increases the cost of production, dissuades new entrants into production, and diverts valuable managerial time away from production issues.
The extremely high crime rate, relative to that in the USA, EU and MERCOSUR countries (comprising Uruguay, Brazil and Argentina), escalates the cost of production and, in some areas, makes it virtually impossible to produce.
The deterioration in the country’s roads is a serious cost factor.
The deterioration of Spoornet’s capacity is debilitating export opportunities and depressing domestic prices.
The deterioration of government’s administrative capacity. For example, tensions between the Ministry of Agriculture and the Agricultural Research Council is debilitating agricultural research, while inefficiencies in the National Development Agency (NDA) and the Department of Trade and Industry (DTI) prevent timeous tariff adjustments and grading standards.
Government’s increasing focus on developing agriculture and neglect of commercial agriculture has increased the burden on commercial commodity organisations but have, at the same time, decreased these organisations’ access to funds. Input environment for commercial grains and oilseeds production The development of new production inputs is increasingly technology driven and requires much more investment in research. Due to the cost of research, the development of inputs is increasing concentrated in the hands of a few multinational companies. This makes the South African producers of grains and oilseeds far more dependent on imported inputs, which carry the risk that such inputs are developed for efficiencies in other countries, rather than in South Africa. Therefore, it is vitally important that such inputs are properly evaluated in South Africa for their efficiencies under local conditions.
The imported inputs fully expose domestic agricultural producers to the deterioration of the exchange rate and negate the beneficial effect of the devaluation of the Rand on the value of South African grains and oilseeds in the world market. Recommendations Endeavours to improve the competitiveness of South African grains and oilseeds producers from production input perspective must include:
A proper evaluation of imported inputs for efficiency under local conditions.
An expansion of the capacity of the Competition Commission to investigate suppliers of inputs that transgress the stipulations of the Competitions Act.
The establishment of specific sets of parameters for each type of input, as well as measures to ensure that the suppliers adhere to the parameters once registered.
The development of an effective arbitration mechanism to adjudicate input related disputes.
The training of producers in input management; and
The development of an information system that will supply producers with relevant information on inputs on a continuous basis. Production environment for commercial grains and oilseeds production In the production environment, the road to increased efficiencies are constantly challenged by externalities, such as rapid technological advances, high inflation, droughts, the extension of labour legislation to agriculture, the deregulation of the grain and oilseed market and the escalation of crime. The above factors distort the equilibrium for many grain and oilseed farmers and constantly require new adjustments that affect production capacity.
From a production perspective, therefore, endeavours to improve the efficiency of grains and oilseeds production must include ways to:
Guide and assist producers to adjust their production structures to new equilibriums.
Develop managerial techniques to optimally employ labour (including the selection and skills development of farm workers).
Streamline production research; and
Encourage producers to employ the latest technology. Create market environment for commercial grains and oilseeds production The deregulation of the domestic market for grains and oilseeds in 1997 burdened the producers with a new set of production risks, namely that of fluctuating prices and imported competition. Recommendations From a marketing perspective, endeavours to improve the efficiency of grains and oilseeds production must include programmes to:
Enable producers to be more responsive to good market information and therefore not produce with price as the sole objective.
It is imperative that information about import and export contracts be officially posted in order that supply and demand schedules are more relevant. This practice is legislated in the United States and other markets and allows a further optimisation of the free market.
Improve the transparency of local markets.
Improve the production and dissemination of market information.
Protect producers in the interim against disruptive imported competition.
Exclude grains and oilseeds from the MERCOSUR free trade agreement, and postpone the scaling down of tariffs for Category Four products in terms of the EU agreement.
Improve government’s administration of trade agreements (specifically Southern African Development Community (SADC) and Southern African Customs Union (SACU), border controls and tariff adjustments; and
Improve the accuracy and credibility of crop estimates. Emerging small producers into the commercial environment Small producers of grains and oilseeds that are emerging into the commercial environment have distinct disadvantages in the input, production and market arenas.
In the input arena, small producers are faced with the following problems:
At times, unscrupulous suppliers sell small producers sub-standard inputs.
Small producers lack equity to finance capital goods.
Small producers have insufficient scale to optimally utilise capital inputs.
Small producers do not have security of land tenure.
In the production arena, the emerging producers face with the following problems:
They have a serious lack of expertise.
In the marketing arena, the free market discriminates against producers that offer small quantities, and in addition the small producers are mostly illiterate, do not understand forward contracting.
They do not have access to storage facilities or access to relevant market information. Recommendations Endeavours to assist small producers of grain and oilseeds to emerge successfully into the commercial environment must therefore include programmes to:
Promote security of tenure.
Monitor the quality and prices of inputs supplied.
Supply finance at favourable rates.
Extend technology.
Guide the producers on product pricing and marketing.
Develop co-operative marketing and storage.
Develop road and communications infrastructure; and
Co-ordinate all development efforts by the public and private sectors. Perspectives on Food Security During his budget speech in 2002, Minister of Finance, Mr. Trevor Manuel, announced his investigation into the rapid increase in food prices in South Africa. Professors Nick Vink and Johann Kirsten were commissioned to undertake this investigation and in June 2002, a report entitled, ‘Pricing behaviour in the South African food and agricultural food sector’ was released,
Grain SA supports certain recommendations made by the Committee appointed to investigate the ‘Pricing Behaviour’ in the South African food and agricultural sector. These include the recommendations that::
Greater consideration to be given to successful land reform and farmer support programmes that result in the creation of successful livelihoods for the millions of current (and potential) farmers from disadvantaged communities.
Government to take an in-principle decision not to meet short-term emergencies such as the current rise in consumer prices for basic foods with short-term reactions.
The relevant authorities initiate full investigations into the degree of competitiveness in the supply chain for the strategically important commodities that constitute the basic food needs of the poor in South Africa, under the auspices of the Competition Act. Maximill Rollermill Manufacturers
Overview This submission was a response to amendments to the regulations applicable under the Foodstuffs, Cosmetics and Disinfectants Act, 1972 (Act No. 54 of 1972), as announced by the Minister of Health on 18 October 2002.
The regulations for the fortification of foodstuffs announced by the Minister of Health have been designed for the operations of large millers and food manufacturers. However, these regulations will also apply, and have devastating consequences for, small rural millers, including owners of hand-operated mills who grind maize for their neighbours.
According to the new regulations, millers are required to fortify maize meal, since their nutritional value was depleted because of removing the kernel from the maize. However, this submission contended that small millers, did not remove the kernel from the maize, and this dramatically increased the nutritional value. It is highly likely, this submission pointed out, that fortification is intended to replace the nutritional value, at least largely, lost in the process of removing the kernel.
The consequence of the imposition of the regulations for fortification of maize meal would be to make the small rural millers illegal. The small millers would find it impossible to cover the cost or deal with the complexity of complying with the regulations. They would be put out of business and the communities would suffer. Recommendations A possible solution to the maize problem would be to exempt small millers that:
Grind whole maize without removing the kernels, or
Grind less than a specified volume of maize per annum. National African Farmers Union of South Africa (NAFU)
Overview The submission from NAFU focuses on the role of Black farmers and points out that while sophisticated interventions at macro-economic level are critical to sustainable maintenance of food security in South Africa, the broadening of food production skills at the lowest levels is the foundation of the entire process.
In focusing on the Integrated Food Security Strategy, devised by the Department of Agriculture, NAFU maintains that the objectives and challenges outlined in this document cannot be achieved or maintained while the majority of the South African farming community is unable to make a valuable contribution to food production.
While NAFU supports the Strategic Plan for South African Agriculture, certain problems were highlighted:
The Plan is not comprehensive enough with regard to promoting food security at grassroots level.
There is a common misconception that the promotion of commercial agriculture represents achieving food security. Food security is achieved when the appropriate portion of effort, land and other resources are aimed at producing affordable food for local consumption. The Sector Plan does not spell out how this balance between high-end agricultural activity/produce and basic foodstuffs will be achieved. Recommendations Black farmers need facilitated access to land, agricultural skills, food Production opportunities and consumer markets.
Appropriate infrastructure will enable the emerging Black farmers to deliver foodstuffs more efficiently to consumer areas most affected by shortages – this entails enabling farming activities closer to the poor communities.
Increased access to water for emerging Black farmers is crucial if viable and sustainable food production is to be achieved.
Black farmers will be set to fail if the transfer of land and access to farming opportunities is not strongly supported by a constructive and sustainable transfer of agricultural production and management skills.
The mechanisms that allow farmers access to markets must be reviewed with the objective of making it possible for emerging farmers to compete (or collaborate) with commercial operations. Incentives aimed at promoting collaboration between emerging and existing food producers needs further investigation.
Emerging commercial agricultural development must enjoy increasing priority in broader development strategies.
The Land Redistribution and Agricultural Development (LRAD) integrated programme and the implementation of the Communal Land Bill as well as increased access to development funding will alleviate the lack of access to land currently being experienced by the Black farming community.
Preferential treatment for emerging farmers must be linked to food production and performance criteria appropriate to their specific environment.
Assisted rehabilitation of the debt of emerging Black farmers should be given high priority. This programme must be underpinned by a mechanism to ensure sustainable commercial viability of those affected.
A definite need for strong institutional support for Black subsistence farmers to attain commercially viable food producers status.
Land tax is an input cost that should be deferred for a specified period to assist emerging Black farmers.
Creation of reliable and affordable pre-production support and supply chain mechanisms for Black farmers must be regarded as high priority enablers. National Agricultural Marketing Council (NAMC)
Overview The submission maintained that for food security to be realised, the following should happen:
Price affordability
Physical availability at the right place
Must be nutritious
The NAMC supports food security through the promotion of the objectives of the Marketing of Agricultural Produces Act.3 As part of the process of meeting and promoting the objectives of the Act, NAMC conducted investigations and a survey into the impact of market deregulation on food security between April and July 2001. The findings of the NAMC study on the impact of market deregulation for food security in South Africa revealed the following:
During May 2002, with the increase in food prices, the NAMC began monitoring food prices and this resulted in the establishment of the Food Pricing Monitoring Committee (FPMC). As of December 2002, the survey has been expanded to all nine provinces. Food price monitors were appointed in all provinces and are in the process of monitoring and supplying NAMC with data on a monthly basis.
The presenter stated that for food security to be achieved, there must be total farmer support for market and product services, and on market distribution. Food security will be achieved if there is adequate protection of black farmers against subsidised products coming into the country. Displacement of black production would endanger job creation.
The presenter pointed out that infrastructure is the foundation of any market economy, as infrastructure does affect food costs. The presented added that rural development is a major issue and there was a need for the appointment of a national co-ordinator to ensure such development. Recommendations Total farmer support services:
Marketing services.
Production services.
Protection of farmers against dumping and subsidised products.
Regular revealing of stock levels of grain including imports and exports of grain.
Appoint a national co-ordinator to co-ordinate and drive food rural development in general. National Association of Maize Millers/Chamber of Milling (Wheat)
Overview The two organisations mentioned above conducted a joint presentation on the maize and wheat industry. The National Association of Maize Millers represents 85% of white maize milled in South Africa and the Chamber of Milling represents 97% of wheat flour milled in South Africa.
The submission pointed out that the South African production exceeds consumption levels for white and yellow maize and almost met consumption levels for wheat. It is therefore unnecessary and expensive, the presenters maintained, for the Government to build a strategic stock of grain, as there was no chance that South African would run out of stock. Worldwide, the trend was away from strategic stockpiling of wheat and maize.
According to a study by Professors Vink and Kirsten, commissioned by the Government Commission on Food Prices (June 2002), the following was highlighted:
Liberalisation generated more successes than generally recognised.
Consumer vulnerability to price instability under liberalisation has not been as severe as often portrayed.
The NAMC Report highlighted the following:
Most of the evidence in favour of deregulation can be found in the direct measurement of the food security status of the rural poor of South Africa.
Everyone in South Africa has, on average, access to better basic services than 10 years ago.
There was good access to food, in both quantity and variety, throughout the areas that were surveyed by the study team. This access is a fundamental aspect of food security.
Care must be taken in the future with respect to the households headed by pension earners as their death will likely have a critical impact on the households’ ability to purchase food, thereby affecting food security for that group.
The implication from the household level survey is that deregulation of agricultural markets in South Africa has been beneficial for food security at household level.
The more serious issues to be addressed are the sources and levels of income for the households to be able to purchase food, as these were ultimately the determining factors behind food security at the household level.
Using the studies undertaken by Professors Vink and Kirsten as well as the NAMC survey on food security, the presenters concluded by maintaining that government had a major role to play in ensuring food security. Some of the factors that could contribute to increased food security for South Africans was improving transport infrastructure, promoting trade, providing a market information system, developing market oriented mechanisms (such as the South African Futures Exchanges (SAFEX)), and improving access to foreign exchange for goods with a market price in US dollars. Pick and Pay
Overview This submission addressed the concerns of Pick and Pay about food security, social investment and food prices. The presenter maintained that there was a responsibility of big business to take formalised retailing to poor areas where the cheapest food is usually found in the largest stores.
The presenter pointed out that existing structures have efficient and competent distribution mechanisms for targeted food assistance. It was therefore also important for other groups involved in the food sector, for example, manufacturers and producers that increased prices, which affected consumers, not to take advantage of the service.
On the issue of social investment, the presenter argued that Pick and Pay was the largest single employer in South Africa and this resulted in redistribution and wealth creation. Of the profits made by Pick and Pay, 8% of pre-tax profit was dedicated to social investment. Concerning food prices, the presenter said that primary producers needed to commit to keeping basic food prices down and that this was achievable.
The presenter welcomed the appointment of the Food Price Commission, but maintained that the sensationalism over food prices in the media distorted reality.
In conclusion, he pointed out that the South African retail sector is as competent and sophisticated as any other in the world. The responsibility of Pick and Pay to consumers was absolute and any initiative requiring their assistance was welcome at any time should the need arise. Programme for Land and Agrarian Studies (PLAAS), School of Government, University of the Western Cape – Chronic Poverty and Food Security
Overview A survey of 540 households in the poor communities of Ceres, an export fruit-growing centre in the Western Cape, showed that hunger increased in winter months when jobs outside the peak seasonal harvest times became scarce. Only 9% of residents had access to land for food production and less than 1% could graze livestock, according to research by the Programme for Land and Agrarian Studies (Plaas) at the University of the Western Cape.
Researchers called for urgent measures to ease access to land and water, and for support for household food production. In the longer term, therefore, efforts aimed at improving food security at the household level has to pay attention to the spatial patterns of settlement, and encouraging settlement patterns that, even in urban and peri-urban areas, would allow for sustainable food production. Red Meat Producers’ Organisation (RMPO)
Overview The Red Meat Producers’ Organisation (RMPO) noted the value of meat production and the role of emergent meat producers in South Africa. Measures taken to assist emergent producers were outlined.
Animal production contributes an average 42% to the gross value of agricultural production in South Africa, the highest of all the agricultural sub-sectors of which the red meat industry is the most relevant. Furthermore, approximately 70% of South Africa’s total area of 1.2 million square kilometers is only suitable for livestock/game production. Hence, the livestock industry in South Africa is crucial for creating livelihood and increased levels of welfare for the total population. Challenges to Assist the Emerging Sector Traditionally, the emerging sector only keeps cattle as a so-called ‘bank’ and did not use it for income generation purposes. The average annual off-take rate of the commercial sector in South Africa is approximately 25 – 30% while it is only approximately 2 – 5% in the communal/emergent sector.
The emergent sector has huge potential. It was calculated that a fully commercialised off-take would yield in excess of R2 billion to the emerging producers in South Africa. A survey done on emergent red meat producers indicated that 40% of respondents did not have access to technical services, while 78% never credit facilities. Recommendations A strategy should be implemented to commercialise the emerging sector by increasing the off-take rate and cattle calving percentage.
A strategy should be implemented to provide technical services and credit services to emergent red meat producers. Importation of Red Meat from Outside the Customs Union Red meat producers, especially the emergent red meat producers need to be protected against subsidised import because it is a fact that imports have a direct negative influence on producer prices.
Irregularities in terms of paying the correct import levy are still carrying on and it is a fact that the cheap imports are not being passed on to consumers. Recommendations Protect local producers from unscrupulous importers.
Provide moral support toward Agri-Inspec. Value Added Tax The RPO regards VAT on red meat as unfair because gross tax evasions in the informal sector undermine the ability of the formal structures in the red meat industry. If red meat was zero-rated, the cost of red meat to consumers could be 14% cheaper. Recommendations Zero rate VAT on red meat. Export of Red Meat The red meat industry stands to gain from the globalised environment by means of export opportunities. The RMPO has the perception that in South Africa, there is an over production of high quality red meat that can be exported at a premium. Recommendations Ensuring that export protocols are negotiated.
Ensure that the Department of Agriculture has the capacity to certify red meat destined for exports. Classification/AB Class The RMPO is of the opinion that the South African classification system does not conform to international standards. In South Africa, beef carcasses can only be classified in the A class if it has no permanent teeth. The system is out of line with international standards where carcasses having up to four permanent teeth qualify for the best classification class. Recommendations Change the South African classification system in order to allow cattle with one and two permanent teeth to qualify for the A-grade. Stock Theft Stock theft is currently the single biggest problem of livestock producers in South Africa. This makes the South African producer uncompetitive. Recommendations Finalise regulations of the Animal Identification Act (Act No. 6 of 2002) as soon as possible.
Finalise the Pounds Act as soon as possible. Trade Agreements A free trade agreement with MERCOSUR will have a devastating effect on the red meat industry due to the MERCOSUR countries input costs that are much lower than in South Africa. Recommendations Implement a special protocol for beef under the MERCOSUR agreement in order to apply the normal import tariff. Red Meat Quality Standards It is vitally important that red meat quality and standards are guaranteed to the consumer. Recommendations A single assignee is appointed to deliver an independent meat inspection service in the red meat industry. Further Recommendations Malignant Catarrhal Fever should be declared a controlled disease and the relocation of wildebeest should be regulated. Every effort should be made to develop a vaccine against this livestock disease. South African Poultry Association
Overview The submission focused on the major challenges and problems encountered in accessing maize to sustain the egg, broiler and chick industry. The industry consumes 30% of all the maize produced in the country. However, as the poultry industry does not own the feed industry, as is the case in many other countries, large profits are lost within this sector. Another added burden to the flailing industry is that though maize is a vital component to the industry, maize production is not functioning well. This was attributed to the increase in tariffs implemented on the product. South African NGO Coalition (SANGOCO) – National Food and Land Security
Overview A member of the Western Cape Steering Committee for the South African Freeze Alliance on Genetic Engineering (SAFeAGE) presented the submission. SAFeAGE is a member of the Environmental Justice Network Forum (EJNF), a broad national network of NGOs and CBOs committed to environmental and social justice. Both SAFeAGE and the ENJF are members of SANGOGO, an umbrella organisation representing the voice of civil society.
This submission provided SANGOCO’s views on how food security in South Africa can be reached. Some of the preconditions identified to attain food security wer e:
Adequately addressing the historical injustices of the past.
The achievement of proper gender equality with special regard to land tenure and rights.
Sufficient water supply to all to enable people to grow their own food.
The dismantling of absolute reliance on food aid, which destroys local markets and leads to ongoing cycles of poverty.
The attainment of environmentally sustainable production methods.
The stopping of OECD subsidies. There must be stronger protection of the agricultural sector. Protections must be put in place to avoid dumping and the distortion of local markets.
The patenting of food through the mechanism of Genetic Engineering is counter-productive as far as the aims of true food security and sovereignty are concerned. Recommendations Food security can only be achieved when all citizens are able to feed themselves, free of market distortions, subsidy distortions and free of the deprivations of the so-called free market.
A definite need for environmentally sustainable methods of production to become commonplace.
The use of proven agricultural methods coupled with exciting and emerging restitution and redistribution programmes is one of means that present themselves for this great nation to achieve food security and sovereignty. Conclusion
The pursuit of food security objectives in a specific country does not necessarily imply a need for food aid. South Africa, in its objectives to achieve food security, as most of the submissions at these public hearings testified, focuses on the four distinct variables central to the attainment of food security: affordability, availability, access and resource availability and utilisation. In any specific situation in the country, the problems may be one or many, and approaches to improving food security may vary among and within South Africa communities. The lessons learned from these public hearings All though section 27(b) of the Constitution of the country says that everyone has the right to access to sufficient food and water, and direct the state to take reasonable legislative and other measures within its available resources to achieve the progressive realisation of these rights, but the majority of our people still do not have sufficient nor access to food as they should;
Cognisance of both chapter 3 and schedule 4 of the constitution there seems to be a lack of coordination and communication first between and amongst the three sphere of government and departments in relation to policy implementation and programmes impacting on food security, secondly same communication seem to be problem between private sector, community based organisation and non government organization and government.
On the high and unacceptable food prices in the country, the question of government intervention at this stage in particular on staple food availability to the majority of the country is undisputable, the question is how and at what stage must the government intervene
Agriculture is one sector that government can use and that has and can play very important role to create employment and stimulate the economy through agricultural development;
It seems there are tracts of an unused agricultural land as well as the irrigation schemes (infrastructure) in the country that is not utilized effectively or is under utilized;
There seems to be sufficient food in the South Africa both to feed the nation and for export;
For the country to achieve the Food and Agriculture Organisation and government’s target of reducing poverty by half by 2015, there is a need and responsibility on all role players to encourage the utilization of all production options in farming.
All forms of farming be it commercial, small-scale and subsistence farming need to be assisted amongst other things by land acquisition, research, markets and extension services at all levels because one sector that should play leading role in reducing poverty by half or more by 2015 is agriculture and land affaires.
Food parcels programme while its is a good thing to be done,
The programme alone will not alleviate poverty.
The programme itself was not properly coordinated and communicated to communities,
Some of the intended beneficiaries did not receive the food.
Inappropriate agricultural knowledge, technologies, and practices, including pricing, marketing, tax and tariff policies as well as inadequate agricultural inputs contribute to lack of food security.
The role played by private companies in the promotion of food security is very little and uncoordinated
The increase in population is not matched with need for an increase in food production; marketing and transportation systems, which inhibit the cost-effective movement of food from source to need;
Inability to predict, assess and cope with emergency situations that interrupt food supplies; natural resource, climatic, and (especially in Africa) disease constraints; donor disinterest or fatigue; and political choice on the part of the host government at any level.
Inadequate training and/or no job skills.
Lack of credit or other means to exchange assets or income streams; and
Food losses associated with ineffective and inefficient harvesting, storage, processing and handling.
Nutrient losses associated with food preparation; inadequate knowledge and practice of health techniques, including those related to nutrition, child care and sanitation; and
It is obvious, as many of the submission showed, that many potential factors contribute to food insecurity. There is general agreement, however, that nutrition and food security programmes cannot be effective if they address only the symptoms, and if they are implemented in an isolated manner.
Committee therefore recommends That government should speedily finalize the research it is conducting around food security legislation and ensure that it is tabled before house in the next term of Parliament
Committee appreciates attempts by the government of ensuring that citizens have access to food, however, government should develop mechanisms that will enable people to access food at reasonable prices. Creation of the strategic food reserves and consider releasing food from the reserves when the country is in the dire need for a particular period e.g. when the price is very high and or during the year of scarcity.
Food parcels are a short-term intervention, medium and long-term strategy should be developed coupled with agriculture starter-packs for people who have land and those who deserve and are or wish to be in subsistence farming;
The agricultural start-up packs should be allocated money from the R400 million alleviation fund and or from other government sources before the end of term so as to enable those who are able to plough, to do so etc.
Government departments in collaboration and or in cooperation with private sector should ensure that where needed, all utilized and under utilized irrigation schemes are fully utilized;
Government should ensure that it improves agricultural infrastructure for development at all levels in the country, for example, fencing, dipping areas, etc;
The government should investigate means of ensuring that all perishable foods are marked with expiry dates;
Parliament and or government should convene different stakeholders especially private sector in the country to financially and programmatically discuss and pledge their support to reduce food insecurity.
The government should ensure that whiles ARC is correctly researching for well- established commercial farmers, it should also intensify its research capacity on indigen ous crops more especially for subsistence and small scale and the emerging farmers.
Parliament should amend the relevant sections of the Constitution in order to facilitate the implementation of policy directives of the Minister of Agriculture and Land Affairs in provincial areas of competencies of the Department of Agriculture.
The Department of Land Affairs should investigate the land utilization
patterns to enable needy persons to access both unused and under utilised
land;
Government should work very closely with community based organizations (CBOs) and non-governmental organizations (NGOs) working on food security programme;
All forms of farming should be assisted, among other things by land acquisition, research, markets and extension services at all levels because agriculture is one sector that should play leading role in reducing poverty by half or more by 2015 in the country.
Report to be considered.