Food security as driver of public awareness of the agricultural sector Rico Basson February 2017
R36 billion GDP incl R9 bn exports 290,000 jobs 12 tourists – 1 job People business
Bitter Grapes Documentary
Strengthen the core!
Established Multistakeholder Wine Industry Value Chain Round Table (WIVCRT) Social Compact Transformation Employment & Worker Welfare Local Market & Wine Tourism Global Trade Resources Research, Innovation & Innovation
Key industry goals What do we believe is possible? 2015 Reality Ideal future state 2025 Producer ROI – 2% Production driven - 80,000 ton surplus Black-owned land & water – 1.5% Local wine sales: 350 million l Bulk:Packaged export – 60:40 Ethical Accredited Volume – 20% Only 2 Free Trade Agreements Markets USA:China:Africa (3%:2%:5%) Wine Tourism R 6 bn Industry levies R80 m: Gov R11 m Job Creation – 275 000 Producer ROI – CPI + 5% Market and value-chain driven Black-owned land & water – 20% Local wine sales: 450 million l Bulk:Packaged export – 40:60 Ethical Accredited Volume – 100% Key markets, lead Africa Markets USA:China:Africa (7%:7%:10%) Wine Tourism R 15 bn Matched funding Job Creation – 375 000
Ethical certification 65% of Global Fairtrade wine from SA WIETA established 2002 Multistakeholder with voluntary membership Close collaboration with DoL, DoA, FruitSA Already 48% of total wine production: 1453 producers > 28,000 workers
Social Dialogue initiatives
Wine of origin scheme
Effect on Profitability
Partnerships
Taking on the world!?
Key aspects Strengthen core need partners! Ethical trade and ethical business (eg code of conduct?) Importance of enterprise development Strengthen the core and communicate! Strengthen social dialogue initiatives Closer collaboration between industry, labour & government Implement key actions from WIVCRT & Phakisa Skills transfer and Socio economic focus key Create careers
Questions?