Home of Agriculture

For an observer at a rugby match,
it is easier to spot the strategy and
tactics of opponents than it is for
those involved in the game. This
also applies to policy-making in
agriculture. To retain objectivity one
must now and then try to move an
arm’s length away from one’s daily
routine. For me December is such an
opportunity if circumstances allow.
Except for the opportunity to relax
and recharge one’s batteries for what
lies ahead, a breakaway time creates
the distance that is needed to think
back realistically to the past year and
to take the best from it. The year
2012 was certainly a year filled with
challenges for agriculture.
The question is: Have Agri SA and its
affiliates summed up the problems
correctly and have they dealt with
them with a long-term vision in mind?
This is for the outsider or observer to
decide, and for this purpose I wish to refresh
your memories by referring to a few highlights.
Labour
Agri SA participated in Nedlac negotiations on
the review of labour legislation. It remains a
frustration that government, despite inputs
from its consultation structures, continues to
make unilateral decisions. Stricter labour
legislation will probably result from this, with
negative implications for job creation in
agriculture. Agri SA nevertheless decided on
action programmes whereby farmers’ social
contributions to the upliftment of workers could
be enhanced. In the year ahead, in-depth
attention will have to be given to this matter at
national and farm level, bearing in mind those
social problems that were partly the reason for
the recent labour unrest in the Western Cape.
Amid demands for higher wages, Agri SA and
its affiliates had to make a critical choice as to
their approach, namely whether to give in to
anarchistic demands by compromising, or
whether to suffice with the legal principles and
Time to reflect
processes whereby minimum wages can be
reviewed, albeit with empathy. Our point of
departure was that the latter approach was the
only option, unless we were prepared to allow
a disorderly modus operandi to become the
rule in future. The strike nevertheless served as
a watershed moment for farmers in terms of
labour matters, which will probably give rise to
structural adjustments within the industry.
Agricultural economics
Agriculture makes no sense unless productive
farmers can earn a living from it. At macro level
it seems that net farming income moves at a
high level, which certainly offers opportunities
for enterprising farmers. Unfortunately there are
always regions and commodity branches where
things are not going so well. Despite their best
efforts, agriculture remains exposed to risks and
circumstances that undermine sustainability.
Progress has been made, with stops and starts,
to negotiate outstanding disaster relief for the
Langkloof and flood damage relief for the
Orange River area as to apply it in a meaningful
manner. There has also been a concerted
effort to resolve problems relating to the fuel
refund system and to establish a basis that
would ensure the retention thereof in future.
Sharp increases in administered prices remain
a problem. And yet Agri SA has been
reasonably successful in negotiating a limit on
water tariff increases and to get a policy
dispensation in place that would ensure
affordability. Negotiations are currently
underway for a similar dispensation in respect
of electricity provision in agriculture.
Safety and security
An unacceptable risk with which South African
farmers must contend is the high level of
criminality which results in costs and loss of
income. The most abhorrent element of this
culture of violence is the unnecessary loss of
life. For this reason, law and order and the
maintenance of safety and security remain a
priority for Agri SA and the Agri Securitas Trust
Fund via which farming communities are
empowered to reduce their vulnerability. During
the past year, inputs were made towards the
agri Viewpoint
review of the rural
safety strategy as well
as the reservist policy,
which had been
subject to various
implementation
problems. Indications
are that an amended
and more appropriate
policy dispensation will
soon be in place.
Communication
It is not possible to ensure a safer environment
merely through law and order. Therefore,
Agri SA has undertaken various actions to
positively influence the broader community’s
perceptions of agriculture. This includes communication
of its development actions, especially
in the media which can reach a broader target
group. In addition, Agri SA uses its communication
opportunities to expose opinion-formers
and policy-makers to information on the
challenges faced by agriculture so that solutions
can be sought amid greater understanding.
Part of this is Agri SA’s participation in liaison
opportunities during policy discussions with the
ruling party, inputs at portfolio committees and
regular media releases. Focused policy
conferences were hosted, among others on the
new challenges facing agriculture and shalegas
development, to which politicians and
other stakeholders were invited.
Agricultural development in Africa
Various African governments have approached
Agri SA requesting its co-operation in
establishing South African farmers, which in
turn would boost their own agricultural
development. At this stage Agri SA focuses
largely on its project in the Republic of Congo
and on facilitating large-scale interest in
development projects in Mozambique.
Discussions with the government are under way
to give attention to the formalisation of bilateral
investment agreements so that a safer
investment environment can be created for
South Africans in other African countries.
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Hans van der Merwe
Home of the South African farmer • I k haya lomlimi waseN ingizimu Afrik a • Tuiste van die Suid-Afrik aanse boer • Lehae la balimi ba Afrik a Bor wa
Kersgroete/Season’s Greetings
Beste wense vir ‘n Geseënde Kersfees
en ‘n Voorspoedige Nuwe Jaar.
Best wishes for a Merry Christmas
and a Prosperous New Year.
agri DES/DEC ‘12/JAN ‘13 bladsy/page