KZN DARD 2017/18 REPORT AND 2018/19 PLANS PRESENTATION TO PORTFOLIO COMMITTEE ON AGRICULTURE, FORESTRY AND FISHERIES DATE 06 March 2018 VENUE COMMITTEE ROOM S35, FIRST FLOOR NCOP; CAPE TOWN

PRESENTATION OUTLINE Purpose Background Problem statement KZN – challenges and opportunities Progress report on the implementation of Fetsa Tlala targets for 2017/18 including budget implications Smallholder farmers supported Mechanisation programme Fetsa tlala plans for 2018/19 Impact of drought resistant seeds in KZN Commercialisation of black farmers in 2017/18 Recruitment of veterinarians and extension officers Management of animal diseases Progress on the rehabilitation of agricultural land in KZN Conclusion

PURPOSE The purpose of this presentation is to outline progress made by the KZN-DARD regarding: progress report on the implementation of Fetsa Tlala targets for 2017/18 including budget implications Smallholder farmers supported Mechanisation programme Fetsa Tlala plans for 2018/19 Impact of drought resistant seeds in KZN Commercialisation of black farmers in 2017/18 Recruitment of Veterinarians and Extension Officers Management of animal diseases Progress on the rehabilitation of agricultural land in KZN

PROBLEM STATEMENT Under-utilised agricultural potential, particularly in communal and land reform farms, which requires investments in order to unlock it. There is lack of fully using agricultural potential, Agricultural Sector facing severe constraints that led decline in agricultural production Job losses Insufficient business management skills, poor institutional arrangements and economies of scale. The drought situation in the province still prevailing.

PROBLEM STATEMENT CONT… The collapse of land reform farms due to, among other reasons, lack of skills, knowledge of agricultural production and a sound agricultural adapted decision making system; Lack of scale of economy to leverage lower prices for inputs and bargain for better prices for the produce, Agricultural land being allocated to non-agricultural activities.

Commodity Emphasis - APAP & Cabinet Lekgotla Identifies critical commodities that can address import substitution and exports : Maize and Beans Red Meat Fruit and Vegetables Dairy Sugarcane Layers and broilers Aquaculture / Fisheries

BACKGROUND Guided by the following legislative framework : National Development Plan, MTSF, APAP etc…. Focus on 9 point plan Revitalising agriculture and the agro-processing value chain Unlocking the potential of small, medium and micro enterprises (SMMEs), cooperatives, township and rural enterprises Operation Phakisa aimed growing the ocean economy and other sectors Provincial Growth and Development Plan with emphases on unleashing the agricultural potential.

BACKGROUND CONT… The Provincial Growth Development Plan (PGDP) identifies seven (7) strategic goals which are aligned to the MTSF outcomes. These have been translated into thirty (30) strategic objectives which have been assigned to eighteen (18) Action Working Groups. DARD is responsible for convening and leading Action Working Group 1; Unleashing the agricultural potential. One of the key strategic goals relates to job creation as unemployment has been identified as one of the major constraints. The agricultural sector is of key strategic importance given the comparative advantages that KwaZulu-Natal possesses with regard to its natural resources CASP and Lima/Letsema are contributing to national and provincial priorities.

KZN POTENTIAL

Status Quo : Agro-processing Market Linkages There are currently 32 registered beef abattoirs, 24 Poultry Abattoirs, 8 Sugar Mills, 26 Grain Mills, 10 Silos, 11 Feedlots, 22 Animal Feed Manufacturers and 2 Fresh Produce Markets in KZN including Cogta Infrastructure developments.

IDENTIFIED AGRI-PARKS IN KZN

AGRICULTURAL APPROACH Encourage a shift towards more labour-intensive agricultural subsectors; Promote the fuller use of land within communal areas and land reform farming areas, especially via conservation agriculture / climate smart agriculture and land redistribution; Strengthen the capacity of the smallholder farmers to participate effectively in the agricultural value chains and Promote food and nutrition security; Strengthening the smaller stratum of large-scale commercial farms, which account for a disproportionate share of farm jobs; Promote a better balance between large-scale commercial farms and smallholder farms via land reform and communal areas Promote the active participation and integration of youth, women and people living with disabilities in agriculture and rural development programmes and projects.

PRIORITY COMMODITIES & STRATEGIC LINKAGES NDP/ APAP Grain: Maize, Dry Beans, soybean Fetsa Tlala Integrated food Production Intervention. Increase demand of animal feed – linkages: Poultry/soybeans/maize integrated value chain. Vegetables: Tomatoes, Onions, Carrots, Butternut, Green beans, cabbages, Green beans, spinach. NDP, APAP: Strategic Commodities: High Growth potential and labour intensive. Prioritised under National School Nutrition Programme. Livestock: red meat( Beef, sheep and goat). NDP, APAP: strategic commodities: High growth potential and significant value-chain linkages. APAP: Red meat integrated value chain. Aquaculture and Poultry: white meat with high nutritional value NDP, APAP: Strategic Commodities: High Growth potential and significant value-chain linkages. Poultry integrated value chain.