1. UPDATED RESPONSE BY THE DEPARTMENT OF AGRICULTURE, FORESTRY AND FISHERIES TO THE 2016 BUDGETARY REVIEW AND RECOMMENDATION REPORT (BRRR)
13 JUNE 2017

2. TABLE OF CONTENTS
Integration of the Fisheries Branch functions to the Department of Agriculture, Forestry and Fisheries (DAFF)
Department of Agriculture, Forestry and Fisheries Organogram
Legislative and Policy Review Programmes
Preferential Procurement Policy - (to be sourced from Small, Medium and Micro Enterprises (SMMEs))
Sector Transformation
Collaboration with Stakeholders addressing challenges facing Farm Workers
Recommendations from the 2016 Budget Vote Report
Acronyms

3. INTEGRATION OF THE FISHERIES BRANCH FUNCTIONS INTO DEPARTMENT OF AGRICULTURE, FORESTRY AND FISHERIES
7.3. Ensure that a progress report on the full integration of the Fisheries Branch’s duplicate functions to the Department is submitted to Parliament. It was previously reported that the integration will be finalised once an Accounting Officer (Director-General) is appointed. The progress report should be submitted to the Committee by the end of February 2017.
Response by the Department of Agriculture, Forestry and Fisheries is attached.
A study was done on the integration.
The Department is in the middle of consultations with the Principals on the matter and the Department will provide a report to the Portfolio Committee on Agriculture, Forestry and Fisheries once the discussions have been finalised.

4. DEPARTMENT OF AGRICULTURE, FORESTRY AND FISHERIES ORGANOGRAM
7.4. Submit to Parliament a full Organogram of the Department inclusive of all levels not just the SMS level to show alignment with the Department’s mandate and strategic goals, by the end of November 2016.
Response by the Department of Agriculture, Forestry and Fisheries
The organogram of the Department of Agriculture, Forestry and Fisheries is attached as Annexure B.

5. LEGISLATIVE AND POLICY REVIEW PROGRAMMES
7.5. Fast-track legislative and policy review programmes to ensure the achievement of the MTSF Outcomes and economic transformation in the Agriculture, Forestry and Fisheries sectors and increased contribution to job creation and poverty eradication. Submit a progress report on the processing of the Preservation and Development of Agricultural Land Bill (PDALB) and amendments to the Marketing of Agricultural Products Act (Act No. 47 of 1996) and the Perishable Products Export Control Act (Act No. 9 of 1983); and also submit a Legislative Review Programme to Parliament by the end of February 2017.
Response from the Department of Agriculture, Forestry and Fisheries
The Department of Agriculture, Forestry and Fisheries Legislative Programme is for 2017 attached (Annexure A).
PDALB: This Bill is currently with NEDLAC. The State Law Adviser has provided an opinion on the Bill which highlights certain unconstitutional areas. The Bill needs to be amended accordingly. NEDLAC is assisting the Department in appointing a legal consultant to provide an opinion on the Bill and recommendations on possible amendments.

6. LEGISLATIVE AND POLICY REVIEW PROGRAMMES (continuation)
The Perishable Products Export Control Amendment Bill : This Bill served at NEDLAC on 8 May NEDLAC is convening a Task Team to consider the Bill and has set aside 6 months from the date of tabling at NEDLAC to do so.
Marketing of Agricultural Products Amendment Bill: This Bill is scheduled for the 2019/20 Legislative Programme. However, it was published in 2013, Workshops were held in 2014 with some stakeholders but the process was suspended.

7. PREFERENTIAL PROCUREMENT POLICY (TO BE SOURCED FROM SMALL, MEDIUM AND MICRO ENTERPRISES
 7.6. The Department should develop a Policy to ensure that 30% of its procurement and that of its Entities is sourced from small, medium and micro enterprises (SMMEs) as was highlighted by the President in the 2015 State of the Nation Address. Report on progress to Parliament by the end of February 2017.
Response from the Department of Agriculture, Forestry and Fisheries
The Department has implemented the Preferential Procurement Regulations, as issued by the National Treasury with effect from 1 April  
The National Treasury also issued an implementation guide for the Preferential Procurement Regulations, 2017.
The Department will implement the Preferential Procurement Regulations in line with the Implementation Guidelines as issued by National Treasury.

8. SECTOR TRANSFORMATION
7.7. Ensure that the Department develops a deliberate transformation Policy that is aimed at fast-tracking the growth of young black scientists/researchers in the sector to replace aging specialist researchers, most of whom are close to retirement. The Policy should ensure that shadowing and mentoring of specialist researchers by young researchers constitute a critical element of their key performance indicators; and should be effectively enforced and monitored. The Department should report on progress in this regard by the end of March 2017.
Response by the Department of Agriculture, Forestry and Fisheries
The Department of Agriculture, Forestry and Fisheries recognises the need for advanced technologies and innovation and the recognition in the shortage of scientific and high level skills in the agricultural sector, hence the development of the National Agricultural Research and Development Strategy in 2008 which highlights human capital as a key focus area.

9. SECTOR TRANSFORMATION (continuation)
 The Human Capacity Development areas of the Strategy includes the need for bursaries, fellowships and research chairs within specific priority/scarce areas, career pathing, incentives and adequate funding.
Within the Research and Development strategy 4 main funding pillars are identified viz. Competitive and matching funds, Centres of Excellence in Agriculture, ATHRP (Agricultural Technology and Human Resources Programme) and AESTTAR (Agricultural Extension Services, Technology Transfer and Adaptive Research). Capacity development is entrenched in all of these pillars..
Currently the Department is contributing towards Human Capital Development through the Research and Technology Fund (RTF) and the collaboration with University Consortium.
The RTF is administered by the NRF and is currently funding the Competitive and Matching fund pillar of the Strategy.
Through the RTF programme 136 students have been supported, which include 27 Honours, 75 Masters, 29 PhDs and 5 post- doctoral candidates to the value of R12 million over a period of 3 years.

10. SECTOR TRANSFORMATION (continuation)
Regarding the University consortium, 23 post graduate students (5 Honours, 15 Masters and 3 PhDs) have been supported.
The University Consortium participants are 4 previously black institutions i.e. Universities of Limpopo, North West, KwaZulu-Natal and Fort Hare.
For both these programmes human capacity development is one of main funding criteria. The candidates of these programmes are intended to be the new generation of scientists that will take agricultural science and technology development forward. The Department developed the guidelines for implementation of all the pillars of the strategy but due to lack of funding only 1 pillar i.e. the Competitive and Matching Fund pillar is being implemented.
The Department has developed the Norms and Standards for prioritising the Vulnerable Groups which includes Youth.

11. COLLABORATION WITH STAKEHOLDERS ADDRESSING CHALLENGES FACING FARM WORKERS
7.8. Facilitate collaboration with the Departments of Rural Development and Land Reform, Labour, Health and Cooperative Governance and Traditional Affairs; as well as relevant Sector Education and Training Authorities (SETAs) to address the challenges facing farm workers, which include tenure security and evictions; working conditions; food security and skills. A report in this regard should be submitted in Parliament by the end of March 2017.
Response by the Department of Agriculture, Forestry and Fisheries
The report on the consolidated stakeholders report on interventions aimed at addressing the plight of farm workers is attached (Annexure C).
The report recommends that the coordination work initiated by the Presidency where all government departments implementing the commitments towards addressing the plight of farm workers should continue and be strengthened.

12. RECOMMENDATIONS FROM THE 2016 BUDGET VOTE REPORT
   Ensure that DAFF develops a strong business case that will be presented to the National Treasury for additional funding, highlighting the impact of the budget cuts to the sector (including role of entities), which has been identified in the National Development Plan (NDP) and the New Growth Path as one of the key sectors through which increased employment and poverty alleviation can be achieved. However, the budget allocation to Vote 24: Agriculture, Forestry and Fisheries is disproportionate to what national policies expect from the sector and its challenges, notwithstanding the drought that has hit the country from 2015; the rising food costs and unfunded mandates such as Strategic Infrastructure Project (SIP)11 and Operation Phakisa for Agriculture that is under development. DAFF should report on the submission to Parliament by the end of October 2016.
Response by the Department of Agriculture, Forestry and Fisheries
In the 2017 Medium Term Expenditure Framework (MTEF) Budget submission, the MTEF Budget limitations were highlighted to National Treasury. The following bids for additional funding was submitted to National Treasury for the 2016 MTEF:-

13. RECOMMENDATIONS FROM THE 2016 BUDGET VOTE REPORT (continuation)
Agricultural Information Management (Farmer Survey, Import/Export System)
Strengthening the Biosecurity systems (Inspections Services and Meat Inspections)
Trade and Market Access Support Capacity (Value Chains)
Aquaculture and Small Fisheries Development
Forestry (Rehabilitation, Woodlands and Indigenous Forests, Support small forestry growers)
Agricultural Research Council
Technology and Innovation (Research Projects in Crop, livestock, Biosecurity and climate change)
Onderstepoort Biological Products
Support smallholder producers (public good vaccines)
In the 2017 Estimates of National Expenditure, additional funding was allocated for the Import Export system and the Agricultural Census.

14. RECOMMENDATIONS FROM THE 2016 BUDGET VOTE REPORT (continuation)
Ensures that DAFF submits a motivation to National Treasury for additional funding for the ARC to ensure timeous completion of the Foot and Mouth Disease (FMD) Facility and other research activities that are responsive to climate change and climate change-related disasters such as the development of drought-tolerant crop varieties, early-warning systems and new vaccines. DAFF should report on the submission to Parliament by the end of October 2016.
Response by the Department of Agriculture, Forestry and Fisheries
On inputs received from the ARC, DAFF submitted, through the augmentation window, a submission for additional funding needed for the upgrade of the FMD facility to National Treasury for consideration. In the 2016 MTEF submission, a request for additional funding for research projects in crops, livestock, biosecurity and climate change.

15. RECOMMENDATIONS FROM THE 2016 BUDGET VOTE REPORT (continuation)
  Ensures that DAFF submits a funding motivation to National Treasury for Onderstepoort Biological Products (OBP) for the establishment of a Vaccine Reserve/Bank to ensure the availability of vaccines in sufficient quantities at all times to effectively address animal disease outbreaks and for manufacturing public good vaccines (orphan vaccines). DAFF should report on the submission to Parliament by the end of October 2016.
Response by the Department of Agriculture, Forestry and Fisheries
Based on inputs received from OBP, a request for additional funding was submitted in the 2016 MTEF to National Treasury to enable OBP to provide a vaccine reserve, public good vaccines and support smallholder farmer training on disease management.

16. ACRONYMS
Agri-Bee - Agricultural Broad-Based Black Economic Empowerment APAP - Agricultural Policy Action Plan AFFSF - Agriculture, Forestry and Fisheries Strategic Framework ARC - Agricultural Research Council ATHRP - Agricultural Technology and Human Resources Programme AESTTAR - Agricultural Extension Services, Technology Transfer and Adaptive Research BRRR - Budgetary Review and Recommendation Report DAFF - Department of Agriculture, Forestry and Fisheries DG - Director General EXCO - Executive Committee IPAP - Industrial Policy Action Plan FMD - Foot and Mouth Disease MOU - Memorandum of Understanding MTEF - Medium Term Expenditure Framework MTSF - Medium Term Strategic Framework NDP - National Development Plan

17. ACRONYMS (continuation)
NRF - National Research Foundation OBP - Onderstepoort Biological Products PDALB - Preservation and Development of Agricultural Land Bill RTF - Research and Technology Fund SETA - Sector Education and Training Authorities SIP - Strategic Infrastructure Project SMS - Senior Management Service SMME - Small, Medium and Micro enterprises