Table of contents for 28 February 2020 in Farmer's Weekly

While still considered by many foreign investors as the ‘gateway into Africa’, South Africa’s dismal economic performance has been a drag on the rest of the continent, which, in 2019, was home to six of the world’s 10 fastest-growing economies, namely Rwanda, Ethiopia, Côte d’Ivoire, Ghana, Tanzania and Benin. There are a number of positive signs in the recently released African Development Bank’s (AfDB) 2020 African Economic Outlook on the future growth of African economies. While the continent still has to grapple with deep inequality, high youth unemployment, and a disconnect between the skills required in the workplace and the type of education offered in schools and institutions of higher learning, signs of growth and reform are plentiful in many African countries, but not in South Africa. As the report…

The following letter was submitted by Farmer’s Weekly reader Grahame McLeod, and concerns the article ‘SA’s drought vulnerability will hamper agriculture in 2020’, which was published in the 24 January issue. McLeod is a senior lecturer of agriculture at the Tonota College of Education in Botswana. I would like to offer some comment on the aforementioned article. The article points to climate change as the cause of the ongoing bushfires in Australia. But is this true? All the articles and TV reports on these fires conveniently forget to mention two things: 1) the Eucalyptus tree, which makes up much of the forests in New South Wales and Victoria, is one of the most flammable trees on the planet, as the leaves of these trees contain a lot of oil; 2)…

Reactions to President Cyril Ramaphosa’s State of the Nation Address (SONA) were similar in one way: nobody was satisfied. The EFF came into the chamber dissatisfied and made a show of their lack of respect for democracy and our Constitution, at one point throwing bottles of water at other MPs. The DA said this SONA showed that Ramaphosa chose the ANC over saving South Africa from economic disaster. “This SONA speech was his moment. The perfect storm of a stalled economy, rampant unemployment, fast-disappearing investment, shrinking tax revenue and a failed state-owned power utility have meant that this decision could no longer be kicked down the road, as the president has been doing these past two years. We have reached the proverbial D-day for introducing the critical reforms needed to…

The recent announcement by Tongaat Hulett that it would mothball its Darnall Sugar Mill in KwaZulu-Natal was a manifestation of the “bleak baseline outlook” for South Africa’s sugar industry, as highlighted in the Bureau for Food and Agricultural Policy’s Agricultural Outlook 2019-2028 report. The country’s sugar industry was in “deep crisis”, due to the negative impact of factors such as tariff-free sugar imports from neighbouring eSwatini and the Health Promotion Levy, or sugar tax, which reduced the sugar industry’s annual revenue by approximately R1,5 billion, according to the report. The report added that the sugar industry had lost more than 70 000ha of sugar cane lands since 2009, with many farmers diversifying away from sugar cane into more profitable long-term crops such as macadamias, avocados and citrus. It was expected…

Boosting sustainable on-farm energy projects by more accurately predicting their profitability is the topic of a recent paper by researchers at North Carolina State University in the US. “Converting animal waste into electricity can be profitable for farmers, while also producing environmental benefits, such as reducing greenhouse gas emissions,” said Mahmoud Sharara, lead author of the paper and an assistant professor of biological and agricultural engineering at the university. “One way is to develop co-operative anaerobic digestion systems that make use of waste from multiple farms,” he said. The researchers developed a computational model that told users how to maximise the economic return on anaerobic digestion systems, including where a system needed to be located, what its capacity needed to be, and how large a geographic area it needed to…

The Department of Agriculture, Land Reform and Rural Development needed to set the example by donating some of its own land to test the processes of the new Draft Land Donations Policy to ensure there were no unintended consequences, DA MP Annette Steyn told Farmer’s Weekly recently. The Draft Land Donations Policy was published on 7 February, and members of the public could comment on the policy for 60 calendar days from the publication date. Prof Ruth Hall of the Institute for Poverty, Land and Agrarian Studies at the University of the Western Cape, and a member of the Presidential Advisory Panel on Land Reform and Agriculture, said the draft policy had emerged directly from the panel’s report. The policy would make provision for an expedited and clear mechanism for…

Sappi Limited’s (Sappi) South African operations were not immune to various challenges that undermined the parent company’s financial performance in its first quarter ended 31 December 2019. Sappi’s financial report for the period indicated that Sappi Southern Africa (SSA) had been affected by deteriorated market conditions across most of its product segments, especially dissolving wood pulp and domestic containerboard. “Market prices for [pulp] remained at historically low levels throughout the quarter and were US$272/t [about R4 047/t] below that of last year. This decline was mainly driven by weak global textile markets and excess [viscose staple fibre] capacity. The containerboard segment struggled with low demand driven by high levels of converter inventory, a weak South African economy, and ongoing drought in some citrus-producing regions,” the report said. The local business…

According to John Purchase, CEO of AgBiz, the total cost to farmers of the recent foot-and-mouth disease (FMD) outbreak could be as high as R10 billion. While the government ban on livestock sales saw higher weaner prices for those farmers able to sell to feedlots, many small-scale farmers who are largely dependent on stock sales could not sell their cattle. Koos van der Ryst, chairperson of the Red Meat Industry Forum (RMIF), says that, to date, only 17 animals have tested positive for FMD, but the entire red meat sector is being held to ransom. The FMD outbreak is not the first, nor will it be the last. A map of South Africa available on the Department of Agriculture, Rural Development and Land Reform’s website shows how the country is…

SAVOURY Chicken and blueberry salad Smoked chicken and feta add a savoury note to this salad, while the fresh blueberries give it a hint of sweetness. Makes four servings SALAD 250g (1 packet) lettuce Handful of fresh rocket Handful of fresh pea sprouts (optional) A small quantity of oil 2 onions, finely chopped 5ml (1 tsp) fresh garlic, chopped 1 stick of celery, finely chopped 4 smoked chicken breasts, cut into strips 15ml (1 Tbsp) fresh parsley, chopped 1 round of feta, crumbled Handful of pecans, roughly chopped 120g (1 punnet) fresh blueberries Black pepper to season SALAD DRESSING 30ml (2 Tbsp) lemon juice 45ml (3 Tbsp) olive oil 10ml (2 tsp) honey Pinch of salt and pepper to season SALAD 1. Place the lettuce, rocket and pea sprouts on…

Since news of the outbreak first started making headlines earlier this year, we have been inundated with messages about the dangers of the novel coronavirus (now officially renamed COVID-19). Researchers are still trying to develop a vaccine, but you can take certain steps to help prevent you from contracting it. These include eating certain antiviral foods and using your common sense. First, you need to focus on a healthy lifestyle, which is conducive to a strong immune system. This includes a nutritious diet, exercise and sleep. THE FILIPINOS’ SECRET In 2003, the SARS-coronavirus broke out in China, resulting in more than 600 recorded deaths. Yet in the Philippines, a country of islands in close proximity to China and with its own Chinese population of about 80 million, only 14 SARS…

More than 95% of the statutory levy on the past year’s soya bean harvest has been received from producers so far. The breeding and technology levy on soya bean, approved by the former Department of Agriculture, Forestry and Fisheries in June 2018 and administered by the South African Cultivar and Technology Agency, had been approved for two years with effect from 1 March 2019, and would be renewed at the end of February 2021. This was according to Corné Louw, economist at Grain SA. He said the levy was R65/t for the first year and R80/t for the second year. These values were calculated at 1,2% of the previous marketing year’s average soya bean price. The collected levies would be distributed to South African seed companies according to their market…

COLOMBIA Flower exports from Colombia could double to US$3 billion (about R45 billion) a year over the next decade through the introduction of new species and the expansion to markets in Asia and Latin America, Iván Duque, president of Colombia, said recently. Colombia was the world’s second-largest flower exporter after the Netherlands, with about 660 million flowers of approximately 1 500 varieties, including roses, carnations and chrysanthemums, exported to the US, the UK and Mexico for Valentine’s Day, according to the Colombian Association of Flower Exporters. THAILAND Thailand could lose its position as the world’s second-largest rice exporter, as the country’s rice export target was set at 7,5 million tons for 2020, the lowest in seven years. The Thai Rice Exporters’ Association blamed drought, a fluctuation in the local currency’s…

Poaching, coupled with the ongoing drought in many regions and the economic downturn, has seen private owners of key populations of rhino across South Africa facing bankruptcy, threatening an animal welfare crisis in coming months. This was according to Pelham Jones, chairperson of the Private Rhino Owners’ Association. Jones said that as a result of the poaching of more than 8 000 rhino over the past 10 years, about 28t of rhino horn worth R9,3 billion had been smuggled out of South Africa by transnational criminal syndicates. “Losses from the illegally killed rhino, including asset depreciation of live populations, total over R19 billion. [This figure] excludes annual protection and security costs for national, provincial and private reserves of some R2 billion a year, plus management, veterinary and feed costs,” he…

Timber poles are widely used to build on-farm infrastructure such as livestock handling pens and livestock shelters. They are also ideal for fencing, with the poles being planted as anchoring structures to keep the rest of the fence taut and upright. To ensure a sturdy, long-lasting structure, start off with quality materials. Cheap, substandard poles can end up rotting in the ground after a short time, while poorly galvanised corrugated iron and wire will rust in due course. The answer is to use SA Bureau of Standards-approved materials, even if these are slightly more expensive. The extra cost is well worth it. STRUCTURAL STRENGTH The next step is to ensure that the timber poles are long and thick enough to carry the weight of the structure. For fences and livestock-handling…

Research has found that there is no added benefit to the use of coloured nets rather than monochromatic nets on deciduous fruit trees, according to Wiehann Steyn, assistant general manager of the science division at Hortgro. He recommends the use of black nets on crops that are sensitive to sunburn, and grey, white or translucent nets when sunburn is not a factor, for example when the nets are used for protection against hail or bird damage. Owen Wet, technical adviser of Nulandis, says farmers should generally use black drape nets for sun protection on green fruit, such as Granny Smith apples, and white nets on bicoloured fruit to avoid colour formation problems. Steyn foresees that colour could become more important for aesthetic reasons. “Farmers may, in future, be required to…

Recognition of a job well done is immensely important in human relations as well as in the workplace. I don’t mean insincere or artificial recognition, but the real thing: recognition that comes from the heart and is genuine. A HALLMARK OF EXCELLENT LEADERS This ‘golden rule’ applies as much in the fresh produce trade as anywhere else. It is something that the best leaders, and many people in business, understand and use frequently. It applies to salespeople and their clients, as well as to retailers, large or small, when serving their customers. It applies no less to employers and employees, including farmers and their workers. In short, it applies wherever human beings interact. Psychologists and others have shown repeatedly that many people change jobs not for money but because of…

MAVERICK AFRICANS by Herman Giliomee (Tafelberg, R350) Giliomee’s subtitle, ‘The shaping of the Afrikaners’, might make you feel as if you have visited this place with him before. In fact, he is taking a fresh perspective on a subject that still has plenty to give. In Maverick Africans, he focuses much more within Afrikaner history, looking for the exceptional and the ‘maverick’ who shaped this diverse community that was forced into a single, overreaching identity. The media, women, the church and the financial world are all broken down into elements of conformity, non-conformity and pioneering in one way or another. An intriguing and thoughtful read. BLACK 13 by Adam Hamdy (Macmillan, R299) When a chic lawyer tracks Scott Pearce down to a remote beach in Thailand, he isn’t flattered; he’s…

The US Department of Agriculture (USDA) released the monthly update of its ‘World Agricultural Supply and Demand Estimates’ report in the second week of February. The commodities typically featured in this report are wheat, maize and soya bean. As South Africa is generally a net importer of wheat, it is vital for us to understand global wheat supplies and other market developments. THE FORECAST FOR SA’S COMMERCIAL MAIZE PRODUCTION IN 2020 IS 12,5 MILLION TONS In the 2019/2020 season, South Africa’s wheat imports could increase 33% year-on-year (y/y) to 1,8 million tons, which is 13% higher than the five-year average import volume. The wheat supply situation was exacerbated by the decline in domestic wheat production, on the back of unfavourable weather conditions in parts of the Western Cape late in…

If the Healthy Living Alliance (HEALA) has its way, the existing 11% Health Promotion Levy, or sugar tax, on South Africa’s sugar-sweetened beverages will be increased by government to 20% as recommended by the World Health Organization (WHO). Lawrence Mbalati, programme manager at HEALA, told Farmer’s Weekly that “the WHO says that a 20% tax is where more consumption decreases and more revenue increases are found”. “Our main call is for the unhealthy food and beverages industry to be held accountable for the products it produces, which contribute to South Africa’s high rates of obesity and non-communicable diseases such as diabetes, hypertension, heart disease and some cancers.” Mbalati added that HEALA was urging the South African public to lobby Minister of Health Dr Zweli Mkhize to increase the sugar tax…

The Competition Commission of South Africa has recommended to the Competition Tribunal that the proposed transaction in which Simba, a subsidiary of PepsiCo, intends to acquire Pioneer Foods Group Limited (Pioneer) be approved. According to the commission, the transaction would result in significant public interest benefit for South Africa, which included the transfer of at least R1,6 billion in equity to workers, and was unlikely to result in substantial lessening of competition. The commission recommended that the tribunal approve the merger subject to several public interest commitments, including a moratorium on merger-related retrenchments for a specified period, and the creation of additional jobs at the merged entity. Other recommendations were that significant investment be made into the operations of the merged entity and the agriculture sector; in the establishment of…

Following the recent global outcry about the amount of water used for avocado production, the World Avocado Organization (WAO) has hit back, saying that not only has water efficiency improved, but that the nutritional value of the fruit is proportional to its water consumption. Xavier Equihua, CEO of the WAO, said technical improvements in avocado production over the past few years had ensured a substantial reduction in its water footprint. “The amount of water necessary to produce 1kg of avocados varies between 600l and 700l. Technical improvements in irrigation, as well as careful plant growth control, have reduced this figure by between 300l and 400l over the past decade. “The current quantity of water may appear to be high, but compared with fruit such as bananas (790l) or apples (822l),…

The compulsory community service (CCS) year that all new veterinarians are required to complete after graduating is yielding positive results for government, communities, and even those new vets wanting to go into private practice. This was the view of the Free State coordinator of the provincial CCS veterinarian programme, Dr Jurgens Barnard. The Department of Agriculture and Rural Development in the province officially welcomed 12 new CCS vets for 2020 during a recent event at Glen College in Bloemfontein. The MEC for Agriculture and Rural Development, William Bulwane, told the group they were providing a vital service, especially in rural areas. “Access to veterinary services in this country remains limited to those who can afford it. This programme reduces the burden on our people,” he said. Barnard told Farmer’s Weekly…

Tiger Brands recently issued a trading update and statement indicating a strong possibility that its financial results for the six months ending 31 March 2020 would be more than 20% down from the corresponding period last year. The statement said that Tiger Brands had experienced a “challenging first quarter” ended 31 December 2019. This was attributed to generally lower sales volumes and an inability to recover input costs, adversely affecting profitability. In addition, the company’s performance had been “significantly impacted” in its first quarter by ongoing challenges in its grains portfolio. The export division had also been negatively affected by an almost total lack of sales in Nigeria due to Tiger Brands’ ongoing legal dispute with a former distributor there. “A continuation of the difficult trading conditions is anticipated in…

MyHeritage is an online genealogy platform created in Israel in 2003. In 2012, it bought out one of its primary competitors, geni.com, and has continually expanded its services and records. In the process, it has acquired access to various national census records, which are invaluable resources for the company and its clients. The platform has over 5,5 billion historical records, with more than 50 million added in January this year alone. VARIETY OF PACKAGES The basic MyHeritage plan, for up to 250 people, is free. Thereafter, you can choose from a number of packages and tailor this to your needs. The site is very easy to navigate and use. By clicking on the family tree, you can add a person along with his or her birth date and birth place,…

If you were given R30 million to invest in agriculture, either in new or existing farming activities or in the agriculture value chain, how would you spend it? I’d use some of the money to buy land, genetics and infrastructure to set up a Boer goat farm and export business. The rest I’d probably invest in agribusinesses listed on ZAR X. What is the best advice you have ever been given, and who gave it to you? One of my first jobs was as a ticket seller and later press administrator at the Edinburgh Festival. It’s a huge, international event and emotions ran high in the weeks leading up to it. Whenever things got heated, my boss would say, “Will this matter a year from now?” To this day, in…