strategy plan 2008/9 – 2010/11 select committee on land and environment 06 may 2008 by dr kgabi...

STRATEGY PLAN STRATEGY PLAN 2008/9 – 2010/112008/9 – 2010/11

SELECT COMMITTEE ON LAND AND ENVIRONMENTSELECT COMMITTEE ON LAND AND ENVIRONMENT

06 May 200806 May 2008

By Dr Kgabi Mogajane By Dr Kgabi Mogajane Acting Director General Acting Director General

Department of AgricultureDepartment of Agriculture

STRATEGY PLAN STRATEGY PLAN 2008/9 – 2010/112008/9 – 2010/11

SELECT COMMITTEE ON LAND AND ENVIRONMENTSELECT COMMITTEE ON LAND AND ENVIRONMENT

06 May 200806 May 2008

By Dr Kgabi Mogajane By Dr Kgabi Mogajane Acting Director General Acting Director General

Department of AgricultureDepartment of Agriculture

22

PRESENTATION OUTLINEPRESENTATION OUTLINEPRESENTATION OUTLINEPRESENTATION OUTLINE

Overview

Programme 1

Programme 2

Programme 3

Programme 4

Programme 5

Vote 23: Estimate of National Expenditure 2008/09

Conclusion

33

The Strategic Plan 2008/09 - 2010/11 addresses intergovernmental coordination as raised by this Committee last year

It outlines our implementation plans with specific emphasis leadership alignment with the DLA and all sector stakeholders in Apex Project 7; the Land and Agrarian Reform Project (LARP)

Land Bank, CASP and MAFISA were extensively addressed recently

Other issues raised last year e.g. drought relief, will be addressed by the relevant line function.

The sector will be operating in an environment of low commodity stocks and high demand and food and agricultural prices globally

The Strategic Plan outlines our businesses philosophy and approach for the coming five years aligned to our Strategic Objectives

It outlines funding and work priorities for all programmes for the MTEF cycle

Lastly, it contains annual performance plans with specific deliverables per quarter

1. 1. OverviewOverview1. 1. OverviewOverview

44

OVERVIEWOVERVIEWOVERVIEWOVERVIEW

Escalating food prices

The low availability of grains world wide Unfavourable climatic conditions –Climate change in major grain

producing Trade restrictions in major grain exporting countries - Argentina The increased demand for animal feed Increasing energy and fuel costs making road transport of grains

more expensive Misuse of the market power Bio-Fuel – USA Electricity – Currently not much because challenges started late for

summer crops, Winter crops pose a challenge.

55


Agri-business

Cost and availability of electricity;

Overall cost of doing business in SA.

Cost of transport (emphasizing on both fuel prices, inaccessible railway, terrible status of roads)

Cost of quality technology;

Cost and availability ofwater;

Cost of finance (high interest rates)

Cost of crime

66

Overview Overview Overview Overview

Argentina controlled exports early last season by closing registration for new exports

Zambia – export ban on grains

Australia – drought . In June 2007 Australia changed the wheat marketing Act – right to veto bulk wheat exports

China – introduced value added Tax

India, Kazakhstan, Pakistan, Russia and Ukraine –Exports

Brazil and the USA –livestock producers –export taxes

77


Morocco, Nigeria and turkey – reduced the grain export tariffs

Saudi Arabia – import subsidy for specific grains

Bangladesh, Turkey and Yemen – grain import trade in competition with private sector to depress private margins

Mexico –Cash transfers to the poor.

Kenya, Mexico and the USA –school lunch programmes

88

OVERVIEW -INTERVENTIONOVERVIEW -INTERVENTIONOVERVIEW -INTERVENTIONOVERVIEW -INTERVENTION

Food parcels

• Strengthen food parcels (Challenges) or Vauchers or Cash for the next 3 months

• Inputs supply – starter packs – Family and Community gardens

School feeding programme

• Need to be strengthened

• “Apple a day and an Orange a day” Partnership with industry.

Social relief for the distressed - vulnerable children

Small holder production systems

• Vegetable gardens and Milk production

Increase the number of VAT exempt /Zero rating food items

Private –public partnership.

99

OVERVIEW -INTERVENTIONOVERVIEW -INTERVENTIONOVERVIEW -INTERVENTIONOVERVIEW -INTERVENTION

Increase Agricultural production

• Incentives for farmers –rebates on certain agricultural goods

• Transport – rail

• Removing barriers to entry –across the value chain –Agro-processing -thedti incentive programme should also include SMME in the food processing

• Fast track LARP – LETSEMA-ILIMA

• Capital intensive projects

Agricultural tariffs – review

1010

Apex Project 7 on land and agrarian reform (LARP)

Concentrate on focus areas (farm dwellers, corridors, commodities and others)

Aligned comprehensive support

Cooperative government (joint planning, budgeting, approval and implementation)

Full use of partnerships for delivery

Decentralised decisions and implementation to lowest practical level

Success and sustainability of individual settlement projects will be the measure of success of LARP

1. 1. LARP LARP 1. 1. LARP LARP

1111

Apex Priority 7 (LARP)

Redistribute 5 million hectares of white-owned agricultural land to 10 000 new agricultural producers

Increase Black entrepreneurs in the agribusiness industry by 10 %

Provide universal access to agricultural support services to the target groups

Increase agricultural production by 10-15% for the target groups, under the LETSEMA-ILIMA Campaign

Increase agricultural trade by 10-15% for the target groups

In addition, together with provincial departments of Agriculture we further added the following to our joint Land and Agriculture Programme of Action:

Biosecurity

Governance

1. 1. OverviewOverview1. 1. OverviewOverview

1212

The Departmental Strategic Objectives are:

Ensure availability and access to sufficient safe and nutritious food

Eliminate skewed participation and inequity in the sector

Increase growth, income and remunerative job opportunities in agriculture

Enhance the sustainable management and efficient use of natural agricultural resources and production inputs

Ensure efficient and effective governance and partnerships

Ensure knowledge and information management

Ensure national biosecurity and effective risk management

1. 1. Overview (continued)Overview (continued)1. 1. Overview (continued)Overview (continued)

1313

PURPOSE

The programme provides the DoA with strategic leadership and management, as well as overall administrative and performance oversight, including managing returns on resource investments.

COMPONENTS of the PROGRAMME

Director – General’s OfficeChief Operating OfficeChief Financial OfficeChief Programmes OfficeChief Communications OfficeInternal Audit Office

In addition, these offices give support to the four budgetary programmes namely; Livelihoods, economics and Business Development; Biosecurity and Disaster Management; Production and Resource Management; and Sector Services and Partnerships

Programme 1: Administration Programme 1: Administration Programme 1: Administration Programme 1: Administration

1414

Programme 2:Programme 2:

Livelihoods, Economics and Business Livelihoods, Economics and Business Development (LEBD)Development (LEBD)

by Mr Sam Malatjiby Mr Sam Malatji


Livelihoods, Economics and Business Livelihoods, Economics and Business Development (LEBD)Development (LEBD)

by Mr Sam Malatjiby Mr Sam Malatji

1515

Programme 2: LEBDProgramme 2: LEBDProgramme 2: LEBDProgramme 2: LEBD

PURPOSE

Develop and facilitate the implementation of appropriate policies and targeted programmes aimed at promoting equitable access to the agricultural sector,

Promote shared growth and the commercial viability of emerging farmers and ensure household food security.

Facilitate market access for South African agricultural products nationally and internationally, promote BEE in the agricultural sector, provide economic and statistical services to support economic growth and development and monitor the economic performance of the sector.

1616



Livelihoods Development Support facilitates the provision of post-settlement support to emerging farmers, agricultural development finance, promotion of farmer co-operatives and village banks as well as food security through policies, norms, legislation, programmes and information.

Trade (Marketing) and Business Development facilitates international and domestic market access for South African agricultural products and promotes BEE in the sector. It also interacts with the NAMC.

Economic and Statistical Services provides for the collection and analysis of agricultural statistics, monitors and evaluates the economic performance of the sector and produces quarterly reports on sector trends. It also interacts with Statistics South Africa.

1717


Key Result Area and Measurable Objective:

To improve emerging farmers’ access to, and

Sustained participation in agriculture, and to

Improve food security in the medium term, by providing improved opportunities and more equitable access, in order to maximise growth and employment in the sector.

1818

Sub

programme

Output Measure/Indicator Target

Livelihoods

Development

Support

Improved

livelihoods of

emerging

farmers/

households/

entrepreneurs

Number of farmers and/or

entrepreneurs gaining

access to financial services;

and number of member-

based financial Institutions

linked to financial markets

Increased number of

sustainable land and

agrarian reform

projects/beneficiaries

Number of vulnerable

households and emerging

farmer groups supported by

means of agricultural starter

packs.

7 000 farmers and/ or

entrepreneurs gaining

access to financial

services

80 000 land and

agrarian reform

beneficiaries.

70 000 households


1919

Sub

programme

Output Measure/Indicator Target

Trade and Business

Development

Equitable

participation in

trade, marketing and

business

development

Number of farmers and

entrepreneurs

Sector specific strategies

incorporating broad-based BEE

Number of interventions and

support frameworks established

1100 farmers trained

100 entrepreneurs

facilitated

3 commodity

8

Economic and

Statistical Services

Report on the

economic

performance of the

sector

Number and range of reports

published

Publish 16 economic

reviews, 8 topical

reports and 6 statistical

reports by March 2009


2020

Planned Expenditure : LEBDPlanned Expenditure : LEBDPlanned Expenditure : LEBDPlanned Expenditure : LEBD

Livelihood Development Support:

• R744 783 000

Trade and Business development:

• R110 341 000

Economic and Statistical Services

• R 22 187 000

National Agriculture Marketing

• R 22 459 000

2121


Biosecurity and Disaster Management Biosecurity and Disaster Management (BDM) (BDM)

by Dr Kgabi Mogajaneby Dr Kgabi Mogajane


Biosecurity and Disaster Management Biosecurity and Disaster Management (BDM) (BDM)

by Dr Kgabi Mogajaneby Dr Kgabi Mogajane

2222

Programme 3: BDMProgramme 3: BDMProgramme 3: BDMProgramme 3: BDM

PURPOSE

To manage the risks associated with animal diseases, plant pests, genetically modified organisms (GMOs) and registration of products used in the agricultural field. This is done to ensure food safety and security and safeguard human health. It also develops the agricultural risk and disaster management plans to reduce risks associated with natural disasters.


Plant Health and Inspection Services develops policies and systems to manage risks associated with plant pests and diseases, genetically modified organisms, promote trade of products of plant origin and the movement of regulated articles and products. It also ensures good quality control of regulated products.

Food, Animal Health and Disaster Management manages and reduces risks associated with animal diseases, promotes trade of products of animal origin, ensures food safety and developing agricultural risk and disaster management strategies.

2323


KEY RESULT AREA and MEASURABLE OBJECTIVE

Reduce the incidence of animal and plant diseases and pests and ensure food safety,

Compliance with international and national norms and standards, and

Disaster management measures through improved risk management systems.

2424


SUB

PROGRAMME

OUTPUT MEASURE/INDICATOR TARGET

Plant Health and

Inspection

Services

Biosafety

regulatory

guidelines

Approved guidelines for the appeal

process in terms of GMOs Act

March 2009

Border control

inspection training

manual

SAQA accredited border control

inspection training manual

March 2009

Plant Protection Bill Approved plant health policy March 2009

2525


SUB

PROGRAMME

OUTPUT MEASURE/INDICATOR TARGET

Food, Animal Health

and Disaster

Management

Food Safety/

Control Strategy

Approved strategy for the food

safety system for South Africa

March 2009

Agricultural climate

change sector plan

Approved agricultural climate

change sector plan

March 2009

Primary Animal

Health Care

Programme

Approved Primary Animal Health

Care Programme

March 2009

2626

Planned Expenditure : BDMPlanned Expenditure : BDMPlanned Expenditure : BDMPlanned Expenditure : BDM

Plant Health and Inspection Services:

• R169 737 000

Food, Animal Health an Disaster Management:

• R139 957 000

2727


Production and Resources Management Production and Resources Management (PRM)(PRM)

by Dr Motseki Hlatshwayoby Dr Motseki Hlatshwayo


Production and Resources Management Production and Resources Management (PRM)(PRM)

by Dr Motseki Hlatshwayoby Dr Motseki Hlatshwayo

2828

Programme 4: PRMProgramme 4: PRMProgramme 4: PRMProgramme 4: PRM

PURPOSE

Identify opportunities and develop strategies in order to optimise agricultural productivity and profitability within the agricultural sector through sustainable use and protection of land and water resources.


Agricultural Production facilitates improvements in agricultural productivity with the emphasis on sustainable animal, aquaculture and plant production systems and administers the Plant Improvement Act, 1976; Plant Breeders’ Rights Act, 1976; and the Animal Improvement Act, 1998

Engineering Services and Resources Management facilitates the development of agricultural infrastructure and use of agricultural resources. This also includes auditing of natural resources, controlling migratory pests, rehabilitation and protection of agricultural land and promotion of the community-based LandCare Programme.

2929


KEY RESULT AREAS and MEASURABLE OBJECTIVE

Improve the efficiency of agricultural production for livestock, fisheries and crops, area-wide planning, mechanisation, irrigation development and the enhancement, conservation and rehabilitation of degraded natural agricultural resources.

3030


Sub

programme

Output Measure/

Indicator

Target

Agricultural

Production

Crop and livestock

massification

Community gene banks

Animal Breeding

Support Programme

Community seed

production scheme

2 gene banks established

500 breeding materials

distributed

3 schemes established

Engineering Services

and Resource

Management

Natural resources

management and

enhancement

Agricultural

Mechanisation

Programme

Land Use Planning and

Zoning Programme

Guidelines for irrigation

development

200 power hoes distributed

3 Local municipalities zoned

100 000 ha

established/rehabilitated

3131

Planned Expenditure : PRMPlanned Expenditure : PRMPlanned Expenditure : PRMPlanned Expenditure : PRM

Agricultural Production:

• R56 729 000

Engineering Services and Resources Management:

• R201 290 000

3232

Special Projects / Highlights: PRMSpecial Projects / Highlights: PRMSpecial Projects / Highlights: PRMSpecial Projects / Highlights: PRM

Agricultural Production:• - Animal Massification Programme• - Plant Massification Programme• - Biofuels Feedstock Production Programme

Engineering Services and Resources Management:- Rehabilitation of Degraded Lands- Revitalization of Irrigation Schemes- Area-wide Planning

3333


Sector Services and Partnerships Sector Services and Partnerships (SSP)(SSP)

by Ms Vangile Titiby Ms Vangile Titi


Sector Services and Partnerships Sector Services and Partnerships (SSP)(SSP)

by Ms Vangile Titiby Ms Vangile Titi

3434

PURPOSE

Manage and co-ordinate intergovernmental stakeholders and international relations, agricultural education and training, extension and advisory services as well as research and technology development.


Sector Services: Directs and supports agricultural education, training, extension, research and advisory services in support of targeted groups. It also manages the transfer of funds to the ARC.

International, Intergovernmental and Stakeholder Relations: Provides leadership and co-ordination in all facets of international relations within agriculture and creates an enabling environment for constructive relations among all stakeholders.

Programme 5: SSPProgramme 5: SSPProgramme 5: SSPProgramme 5: SSP

3535

KEY RESULT AREAS and MEASURABLE OBJECTIVE

Maximising growth in the sector by providing support services to emerging and established farmers including women, youth and the disabled through targeted skills development, extension and technology development programmes.


3636


SUB

PROGRAMME

OUTPUT MEASURE/

INDICATOR

TARGET

Sector Services Training, research

and extension

support

programmes

Number of black

entrepreneurs receiving

targeted training, research and

extension support

3 000 black

entrepreneurs

receiving targeted

training, research and

extension support by

March 2009

Norms and

standards for

agricultural training

institutions

Adoption of the norms and

standards by sector partners

By June 2008

National Research

Agenda

An approved agenda By March 2009

3737


SUB

PROGRAMME

OUTPUT MEASURE/

INDICATOR

TARGET

International,

Intergovernmental

and Stakeholder

Relations

Structured

partnerships with

local and

international

stakeholders in

support of black

entrepreneurs

Number of structured

partnerships approved and

implemented

By March 2009

Strategy on

engagement with

national and

international public

and private sector

stakeholders

Approved strategy document By June 2008

3838

Planned Expenditure : SSPPlanned Expenditure : SSPPlanned Expenditure : SSPPlanned Expenditure : SSP

Sector Services:

• R 188 264 000

International, Intergovernmental and Stakeholder Relations:

• R 55 730 000

Agriculture Research Council

• R 514 556 000

3939

ESTIMATE OF NATIONAL EXPENDITUREESTIMATE OF NATIONAL EXPENDITURE2008/09 2008/09

VOTE 23: AGRICULTUREVOTE 23: AGRICULTURE

by Mr Tommie Maraisby Mr Tommie Marais

ESTIMATE OF NATIONAL EXPENDITUREESTIMATE OF NATIONAL EXPENDITURE2008/09 2008/09

VOTE 23: AGRICULTUREVOTE 23: AGRICULTURE

by Mr Tommie Maraisby Mr Tommie Marais

4040

ENE ALLOCATION: 2008/09ENE ALLOCATION: 2008/09ENE ALLOCATION: 2008/09ENE ALLOCATION: 2008/09

R’000 R’000

MTEF allocation 1 901 069Plus: LandCare 48 969 CASP 434 918 2 384 956 Plus: Salary adjustments 13 023 Inflation 14 552 Accommodation charges 3 150 Import/export inspections 30 000

Extension/advisory services 100 000 160 7252 545 681

Less: Baseline efficiency saving 15 000Plus: Functional shift 3 990

TOTAL APPROPRIATION 2 534 671

4141

SUMMARY PER PROGRAMMESUMMARY PER PROGRAMMESUMMARY PER PROGRAMMESUMMARY PER PROGRAMME

2007/08 2008/09 % R’000 R’000

Administration 283 335 300 364 6,0

Livelihoods, economics andbusiness development 886 951 901 814 1,7

Bio-security and disastermanagement 243 611 311 721 28,0

Production and resources management 247 780 259 900 4,9

Sector services and part-nerships 619 489 760 872 22,8Total 2 281 166 2 534 671 11,1

4242

SUMMARY PER ECONOMIC CLASSIFICATIONSUMMARY PER ECONOMIC CLASSIFICATIONSUMMARY PER ECONOMIC CLASSIFICATIONSUMMARY PER ECONOMIC CLASSIFICATION

2007/08 2008/09 %

R’000 R’000

Compensation of employees 500 191 585 811 17,1

Goods and services 421 216 435 974 3,5

Transfers and subsidies 1 308 824 1 473 338 12,6

Payments of capital assets 50 935 39 548 (22,4)

Total 2 281 166 2 534 671 11,1

4343

VOTE 23: AGRICULTURE ALLOCATIONS SINCE 1994/95

0

500000

1000000

1500000

2000000

2500000

3000000

19

94

/95

19

95

/96

19

96

/97

19

97

/98

19

98

/99

19

99

/20

00

20

00

/01

20

01

/02

20

02

/03

20

03

/04

20

04

/05

20

05

/06

20

06

/07

20

07

/08

20

08

/09

R'0

00

4444

VOTE 23 AGRICULTURE

2008/09

12%

36%10%

30%

12%

Prg 1 Prg 2 Prg 3 Prg 4 Prg 5

4545

VOTE 23 AGRICULTURE 2008/09

23%

17%58%

2%

Compensation of employees Goods and services

Transfers and subsidies Payments for capital assets

4646

Thank You

strategy plan 2008/9 – 2010/11 select committee on land and environment 06 may 2008 by dr kgabi...

Documents

major grain

fuel prices

private sector

overviewthe strategic

yemen grain import trade

specific grainsbangladesh

specific deliverables

high demand