AGRI SA POLICY COMMITTEE MEETINGS, 14 - 17 MARCH 2011

RURAL SAFETY POLICY COMMITTEE - 14 March 2011: Chairperson: Mr André Botha

At its meeting on Monday the Committee expressed its frustration over the brutal crime to which the farming community had been recently exposed, of which murder is the most gruesome. Such crime has a depressing effect on agriculture and is one of the burning issues with which Agri SA deals at the highest level, especially since it hampers quality of life, job creation, growth and development in rural areas. The government has identified agriculture as one of the sectors for job creation and growth and, if rural crime is not effectively curbed, the government will not succeed in achieving these objectives.

Accusing the farming community of poor working relations and making unfounded allegations regarding human rights abuses on farms present a very negative picture of commercial agriculture. Politicians and government representatives should refrain from such utterances unless they have the necessary evidence. As in the past, Agri SA will approach the Human Rights Commission (HRC) to investigate such cases and even intends to seek legal advice regarding further action.

The Rural Protection Strategy was recently approved by the Minister of Police and will be one of the instruments used to create a safe rural environment. The strategy must promote policing, which includes a drastic improvement in crime prevention and crime investigation, as well as communication with the farming community. Rural safety along the country's borders will also be strengthened through the strategy by co-ordinating operations to combat the illegal movement of goods and people. Agri SA also supported this strategy at the Border Control Conference held last week. At the conference it also supported the defence force's return to our national borders. Reference was made to the respective structures, such as sector policing, local joints, reservists, farmer associations, etc. and to what was available to the farming community along the border whereby they could improve their own safety. The Minister of Police was urged to implement this strategy without delay.

The Committee is concerned about the revised reservist policy which has not yet been finalised, but which according to our information would be different from the previous policy. Should the policy make it impossible for farmers to become involved as reservists, it would amount to a breach of the government's undertaking in 2003 to the effect that a vacuum would not be created in rural safety after the commando system is phased out.

Discussions are under way with the Ministry of Police regarding further follow-up visits by the Minister to KwaZulu-Natal, the Free State and Limpopo. These visits follow after an undertaking given by the Minister to Agri SA last year to join the organisation on such visits to the provinces in order to discuss policing aspects with the farming community. Such discussions are also being conducted at present with the Ministry of Defence for a follow-up meeting regarding the return of the defence force to the country's borders and for a visit to the Lesotho border. Agri SA also intends to meet with the Minister and National Commissioner of Police to discuss the policy and strategies that are in place to promote rural safety. The Committee is of the view that the police have a good policy and strategies which are supported by the political will to promote rural safety, but believes this does not have the desired effect at grassroots level because of deficient implementation.

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NATURAL RESOURCES POLICY COMMITTEE - 14 March 2011: Chairperson: Mr Johannes Möller

1. SHELL - Gas exploration

The Committee resolved that:

1) Agri SA's actions at the request of Agri Eastern Cape, Agri Northern Cape and Agri Western Cape to co-ordinate natural gas exploration in the Karoo on a united front, be supported;

2) Participation by Agri SA's affiliates in the respective meetings of Golder Associates, which acts on behalf of Shell (15 - 25 March) for the purpose of explaining the Draft EMP process, is imperative;

3) Agri SA's objections and questions, as set out in the document sent to Golder Associates with regard to registration as an Interested and Affected Party, be approved and be scrutinised in the EMP, bearing in mind that there would also be an opportunity to address Agri SA's objections during the environmental impact studies per identified area for exploration;

4) Agri SA should facilitate liaison with the Rupert group to consider the possibilities of joint action, including the closing date for commentary on the EMP by 5 April;

5) Expert persons/ organisations be identified to advise Agri SA on the technical processes of natural gas mining; and

6) The status of ‘gas' as a possible mineral within the MPRDA be clarified.

2. Water tariffs: 2011/2012

The Committee resolved that:

1) Agri SA's affiliates and the Water User Associations/ irrigation boards be requested to take into account last year's tariff plus the inflation adjustment when making tariff adjustments for 2011/2012, since no response had been received regarding Agri SA's representations to the Department of Water Affairs (DWA) for a moratorium on the proposed increase in water tariffs for 2011/2012;

2) The DWA be informed of this decision; and

3) The South African Association for Water User Associations (SAAFWUA) be requested to propagate the decision amongst their members.

3. Transfer of water rights

The Committee discussed the negative impact of the DWA's refusal to transfer water use rights on government initiatives such as economic growth and job creation, and approved that legal action in this regard may go ahead.

4. Mineral rights

The Committee resolved that:

1) Affiliates be reminded that notification of claims for damages (full quantification is currently not necessary) relating to the loss of ‘old order' mineral rights as a result of the implementation of MPRDA should be submitted to the Department of Mineral Resources' relevant regional offices before 30 April 2011.

2) The ruling of the High Court (currently in session) as to whether the implementation of MPRDA amounts to expropriation of ‘old order' mineral rights, be awaited; and

3) The question of tantième vs. the "quantification' of damages be investigated.

5. Locust control

The Committee resolved that the problems experienced between Agri SA's affiliates and NAFU at grassroots level with regard to the appointment of locust control officers should once again be raised with the Department of Agriculture. Locust control, especially in the Northern Cape, is currently not satisfactory due to uncoordinated responsibility areas between NAFU and Agri SA, with a real danger that the problem could spill over to provinces such as the Free State.

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AFRICA POLICY COMMITTEE - 15 March 2011: Chairperson: Dr Theo de Jager

1. Agri SA's Africa policy document: It is recommended that the document be revisited as the environment had changed after the Africa Committee started functioning. Aspects such as rules for association, interaction with SACAU as well as marketing and financing opportunities must be evaluated in policy context and possibly incorporated.

2. Financing models: Discussions were held with various organisations, with positive results. A financing model must be investigated. A workshop with financing institutions is recommended to consider the approach to financing and how to deal specifically with the different situations in the respective countries.

3. The Internet platform, SharePoint, is suggested for use by the Africa Committee. Costs amount to R12 000, which includes an annual fee of R4 500 as well as the set-up and training costs, and a further R240 or R280 per hour, depending on the option selected, for monthly maintenance. The Committee recommends that wider use thereof to include interaction with associations should also be investigated.

4. A need on the part of CFU and Namibia to join the Africa initiative: It is recommended that this be approved with a view to a bigger political base. It could also help with valuation for land expropriation purposes. .

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TRANSFORMATION COMMITTEE POLICY COMMITTEE - 15 March 2011: Chairperson: Dr Theo de Jager

1. Black farmers forum

The meeting supported the establishment of a black farmers forum, the intention would be to discuss / debate specific generic issues.

It was further agreed that the representatives must come through the formal structures ie. Provincial unions, commodities. Costs are for own account and no more than 3 persons per affiliate.

2. Land Tenure Security Bill

It was noted and agreed that:

• a substantial amount of work had been done by the subcommittee the legal committee and affiliates.
• The submission of comments by Agri SA (draft 3) had been circulated to all affiliates.
• A few minor amendments would still be made.
• The committee approved of the methodology undertaken and was in agreement with the outcome and submission prepared.
• The final submission would be submitted on Friday.
• A press statement would be issued
• A position document should be prepared for use in discussions

3. Agri SA Rural Development and Land Transformation Plan - A comprehensive and integrated revitalisation strategy

It was agreed that the plan must be finalised with inclusions of additional information to be supplied by no later than Friday.

It will be circulated to the committee for additional comment.

The Agri SA Plan must be included and submitted to the Minister at the next discussion with him.

4. Legal assistance

It was agreed that the two cases be pursued:

• ESTA case (Eastern Cape): it was recommended that this case be supported Agri EC to provide an indication of costs
• Restitution case (KZN): it was recommended that the next consultation session takes place in order to provide direction wrt the matter

5. Restitution & Labour tenancy

Frustration was expressed at the total lack of progress.

It was recommended that the option of a class action be revisited on restitution and labour tenancy.

6. HRC

The HRC will be reported to cabinet and the opportunity to pursue the matter of under compensation brought to them and their failure to respond will be pursued further with SADEC tribunal.

7. Agri BEE

It was agreed that the threshold level should be adjusted accordingly (upwards).

8. Farmer Development

ESFIM project would be reviewed by J Pienaar and D Maree and a decision then be made on the outcome of the review.

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LABOUR AND SOCIAL UPLIFTMENT POLICY COMMITTEE - 16 March 2011: Chairperson: Mr Anton Rabe

1. Commentary on labour legislation, which Agri SA had submitted to the Department of Labour. Agri SA will also, as part of the business environment, introduce these comments within Nedlac.

2. Lack of feedback from various departments: 

a. Agri SA has addressed various requests to the Department of Labour in order to raise some issues with them.

b. Frustrations over PAYE registration of workers. 

c. Assessments regarding the Compensation Commission as well as the payment of service providers, etc.

d. Unsatisfactory process for documenting Zimbabwean workers at the Department of Home Affairs.

3. Agricultural colleges and agricultural science as a subject.

a. The state of agricultural colleges is a matter for concern.

b. There are also concerns over the content of agricultural science as school subject and the fact that universities do not accept this subject for admission purposes.

4. Agri SA is working on models for housing for farm workers, which must set out the "on-farm" and the "off-farm" options.

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COMMERCIAL POLICY COMMITTEE - 16 March 2011: Presented by Dawie Maree, Agri SA Economist

1. This committee of Agri SA dealt with various issues that affect farmers on economic and financial level. The farming community was recently plagued with a number of disasters ranging from droughts, floods, animal diseases whilst issues related to legislation and government regulations, such as the Competition Act require continuous attention.

2. The recent outbreak of Foot-and-Mouth disease (FMD) in KwaZulu-Natal and the outbreak of Rift Valley Fever (RVF) raised concerns about the readiness of government to address these economic damaging diseases. The state of veterinary services where discussed and Agri SA, together with the livestock industry organisations, will do a full assessment of the state of veterinary services and develop a national contingency plan for the outbreak of diseases of this nature. The outbreak of these diseases does not only affect farmers in the specific areas, but the total agricultural industry, due to export bans and other sanitary and phytosanitary issues. These kinds of disease outbreaks can't be afforded, since it can lead to more farmers forced to leave the industry resulting in job shedding and further decline in rural economies. It also affects food security negatively.

3. Agri SA and its commodity organisations however, wish to ensure the public that everything is done to produce food of a good and safe quality.

4. With regards to the recent flood disaster in eight provinces, Agri SA is working continuously with government, both on national and provincial level. Assessment and verification of affected areas are under way and Agri SA's structures will be assisting in this process. The Land Bank and IDC recently announced a loan scheme to assist farmers affected by the recent floods. The details of this scheme are still awaited, but Agri SA will also inform its members in this regard.

5. Information collection and dissemination is very important for the agricultural industry. Farmers need reliable up to date market indicators for production planning and marketing of products. In the area of one-channel marketing dispensation, marketing boards fulfilled this requirement. Industry organisations took on this service after the deregulation of the market. Unfortunately, with the current Competition Act certain problems came to the fore with regards to the sharing of information. Industry organisations are directly affected by this legislation and this lead to the situation that certain important market information could not be disseminated to farmers. Agri SA and its commodity affiliates awaits the NAMC report on market information and will then engage with government on this issue in order to find solutions and ensure that the much needed information can reach farmers to enable them to make informed decisions.

6. The committee also took note of the Department of Trade and Industry's initiative to promote the cooperative structure as vehicle for job creation and rural development. Agri SA will engage with government with regards to certain issues in the current Cooperative Act that limits the use of this kind of organizational structure in agriculture. We are however positive that the sector can contribute to the initiatives of government with regards to job creation and rural development.

7. Following on the conference that was held in February, Agri SA is also pursuing agricultural related matters contained in IPAP2 and the New Growth Path.

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Issued by Agri-SA, March 17 2011

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