1. The role of Agricultural Extension in the National Development Plan : BONGA MSOMI : CHIEF DIRECTOR NATIONAL EXTENSION SUPPORT SERVICES DEPARTMENT OF AGRICULTURE, FORESTRY AND FISHERIES, PRETORIA,REPUBBLIC OF SOUTH AFRICA

2. Presentation Outline 1. National Policy and Strategy Instruments 2. National Development Plan (NDP) Targets 3. Agricultural Policy Action Plan (APAP) 4. Revitalising the Agriculture and Agro-processing value-chain 5. Integrated Poultry value chain 6. Wheat Value Chain 7. Conclusion 2

3. 3 NATIONAL POLICY AND STRATEGY INSTRUMENTS  National Development Plan  New Growth Path  Industrial Policy Action Plan  Medium Term Strategic Framework ENABLING ENVIRONMENT  National Policy on Food and Nutrition Security  Agricultural Policy Action Plan (APAP)  Fetsa Tlala Integrated Food Production Initiative  Small-scale Fisheries Policy NATIONAL POLICY AND STRATEGY INSTRUMENTS WITH DIRECT CORRELATION TO AGRICULTURE, FORESTRY AND FISHERIES

4. Where will the jobs come from (NDP) 4 TARGET GROUP PRIMARY JOBS CREATED SECONDARY JOBS CREATED Subsistence farmers with <0.5 hectares83 00041 500 Small-scale farmers with between 0.5 and 5 hectares of land 165 00082 500 Small-scale farmers with >5 hectares of land75 00037 500 Better use of redistributed land70 00035 000 Labour intensive winners200 000100 000 Labour-extensive field crops10 0005 000 Labour extensive livestock40 00025 000 TOTAL643 000326 500 GRAND TOTAL969 500 jobs COMMUNAL AREAS589 500 jobs COMMERCIAL AGRICULTURE380 000 jobs BFAP, 2011

5. NDP targets 643 000 direct jobs and 326 000 indirect jobs in the agriculture, agro processing and related sectors by 2030 Rural economies will be activated through improved infrastructure and service delivery Improved communications infrastructure to inform agricultural role-players about buying and selling prices and supply-and-demand trends Improved road and rail infrastructure to usher farm products to and through the value chain and to markets 5

6. NDP targets cont… Investigate different forms of financing to land reform beneficiaries to avoid high debt burden Infrastructure for processing and value addition Identify the main elements of a comprehensive food security and nutrition strategy and launch a campaign Introduce spatial development framework and norms, to ensure the location of jobs and people. 6

7. NDP targets cont… Quality basic services, particularly education, health care and public transport In areas with greater economic potential, industries such as agro-processing, tourism, fisheries (in coastal areas) and small enterprise development should be developed with market support. Cold-chain infrastructure if producers are to access markets for high-value produce and rural consumers 7

8. NDP targets cont… Linking farmers to existing markets and new forms of intermediaries, such as cooperatives, to help small producers achieve economies of scale in processing. Preferential procurement mechanisms should be put in place to ensure that new entrants into agriculture can access these markets while still supporting existing farmers Expand irrigated agriculture and dry-land production, with emphasis on smallholder farmers where possible. 8

9. NDP targets cont… Training a new cadre of extension officers to respond to the needs of smallholding farmers and contribute to their integration into the food value chain. Farmer-to-farmer skills transfer must be encouraged to help develop a new generation of farmers 9

10. NDP targets cont… Improve and extend skills development in the agricultural sector, including entrepreneurship training. Special focus to enhance the skills and capabilities of rural women entrepreneurs with access to land and finance. Recognise the wide range of opportunities present in rural areas and develop strategies tailored to local conditions. 10

11. Agricultural Growth and Development Potential 11 Source: BFAP, NDP, APAP

12. 12 AGRICULTURE POLICY ACTION PLAN (APAP)  Training of Extension Practitioners on various commodities (e.g. poultry, livestock production, wheat etc. ) to efficiently support smallholder farmers  Establish training programmes (various) to be delivered through extension services Training & Capacity Building of Extension  Develop CSA capacity building programme for extension officers, for large-scale commercial farmers, including establishing on-farm demonstrations in all 9 provinces Climate Smart Agriculture

13. 13 APAP cont…  Public/Private Extension support programme: collaborative agreements with selected commodity organizations and the RC for up- skilling extension officers  Commodity-Based Extension Support Extension Partnerships

14. APAP Structure  APAP:  Modelled around Industrial Policy Action Plan (IPAP) - DTI  Sectoral Key Action Programmes (commodities) and Transversal Key Action Programmes (e.g. research and innovation)  Value chain for each KAP - comprehensive analysis and intervention  Introduces an export-led and import substitution agriculture strategy  Key Action Programme  Problem Statement  Aspirations - to set targets against the set problem statement per commodity i.e. targets which we strive towards  Policy Levers - state support or intervene in the interest of Government’s set goals / outcomes  Nature of Interventions  Key Outputs (actions) 14

15. Sectoral KAPs Transversal KAPs 15 CRITERIA: contribution to food security; job creation; growth potential; and potential contribution to trade balance  Red Meat  Poultry  Fruit and Vegetables  Wine  Wheat  Forestry  Fisheries: aquaculture and small-scale fisheries schemes  Biofuels (sorghum; sugar beet and sugar cane etc.)  Sugar cane PURPOSE : address growing concentration within the market; seek to localise food networks through infrastructure development; incentivising support for SMMEs and small-scale producers across AFF value chains  Fetsa Tlala  Climate Smart Agriculture  Trade, Agri-business Development and Support  Biosecurity  SIP11  Research and Innovation

16. ProgrammeOutcomeTime- frame Speeding up Land Reform Institutionalise legislative and policy review 50:50 Policy Framework piloted with 50 properties (DRDLR). Four-tier Land Tenure System reviewed (DRDLR). Immediate Market AccessEstablish Agriparks (Co-ops/Clusters) in each of the 27 poorest District Municipalities plus 17 = 44 (DRDLR ‘One District, One Agripark’ by September 2015) Perishable Products Export Control Board (PPECB): to expand the no. of smallholders with SA GAP Certification Implementation of 75% local procurement (e.g., fresh produce for School Nutrition Schemes); and the provision of set-asides for strategic agricultural commodities ( the dti; NT & DAFF) Develop a robust import replacement strategy ( the dti) ST MT 16 Revitalising the Agriculture and Agro-processing value-chain (1)

17. Revitalising the Agriculture and Agro-processing value-chain (2) ProgrammeOutcomeTime- frame Producer Support Budgets Existing budgets directed to APAP (CASP: DAFF, Provincial Departments of Agriculture; ReCap: DRDLR) Existing incentive schemes for agro-processing accessible to smallholder coops/clusters chain New large incentive schemes for primary production by smallholders introduced ST MT Technical Support Existing programmes target APAP initiatives/beneficiaries (DAFF: Animal Improvement Schemes; Mobile Veterinary Clinics) New (unemployed) graduates from agricultural colleges, universities appointed to APAP farms, plants, depots (DAFF; DHET) Well-trained and well-equipped staff of extension support practitioners, appropriately placed (DAFF) ST Production Bring 1 million hectares of under-utilised land in communal areas and land reform projects into production e.g 238,000 hectares for soyabean production for crushing (14,000 jobs) 61,000 hectares for wheat (8,000 jobs) MT 17

18. Problem Statement on the Integrated Poultry value chain: Globally poultry is expected to account for more than half of meat consumption - SA’s consumption of white meat has increased far more rapidly than that of red meat, and this pattern is expected to expand by 34%by 2023 = 2.6 million tons = 50kg per capita. However production is only expected to expand by 2 million tons by 2023., meaning we will have to import 680 000 tons by 2023. Poultry production systems has a high dependency on imported feed grains for animal feed; more particular imported soya oil cake and yellow maize which in turn led to an increase of 130% in animal feed prices - and about 63% of soya oilcake imported 18

19. Detailed Actions to be Taken (incl. by Other Depts/Agencies National Production Programme Land allocation-Spatial planning SIP11: Economic infrastructure development programme – Integrated Poultry value chain National Poultry Training Programme: Develop and implement a national management plan for pest and disease management: National Poultry Research and Development Programme: 19

20. National Poultry Training Programme: "Capacity building of rural youth engaged in poultry production and processing; Training of the extension officers and state veterinarians and para-veterinarians on poultry production to support the small-holder farmers, including extension support and mentoring to newly established small poultry producers Refine and expand smallholder training programmes on primary production and post-harvest practices for soybean and yellow maize." 20

21. Impact in terms of Jobs, economic growth, investment etc " 1. 14 481 jobs in both smallholder and commercial farming through increased tonnage of 663 500 by 2019 2. 14 173 jobs through expansion of 238,500 hectares – Soya production 3. 6 293 jobs from expansion of 376 200 hectares – Yellow maize production 4. Increased contribution to Agriculture GDP from 21.8% to 25% by 2019 5. Increasing current levels of smallholder and subsistence producers from 10% to 16% in 2019" 21

22. Problem Statement on Wheat Value Chain: Presently about 50% of what is consumed domestically is imported. However the area planted has declined by about 60% to 70%, to some extent in favour of grazing, soya beans and maize. There is potential to return some areas to wheat. The major challenge is unfavourable weather conditions, and lower profitability of wheat production compared to other crops such as soya beans and maize. How to improve profitability of wheat production must be investigated further. 22

23. Detailed Actions to be Taken (incl. by Other Depts/Agencies National Wheat Training Programme: National Wheat Production Programme: SIP11: Economic infrastructure development programme – Wheat value chain Land allocation - spatial planning National Wheat Research and Development Programme: 23

24. National Wheat Training Programme: " Capacity building of rural youth engaged in wheat production and processing Develop a training and communication system to support extension staff with technical and advisory support services for wheat production Refine and expand smallholder training programmes on primary production and post-harvest practices for wheat" 24

25. Impact in terms of Jobs, economic growth, investment etc " 1. To increase production from 1,2 mil tons by an additional 200 000 tons by 2019. 2. To create an additional 8,000 new jobs to the existing 28,000 by 2019 3. To expand areas planted by an additional 61,000 hectares 4. To reduce the levels of imports by 10%, from the current 50 % 5. To increase the gross value of production by 2%, currently at 3%. 6. To increase gross income, currently at R3 bil, by R 180 mil (from smallholder" 25

26. Conclusion NDP=>APAP=>MTSF=>SP&APP Bonga Msomi Chief Director National Extension Support Services Department of Agriculture, Forestry and Fisheries Pretoria, Republic of South Africa BongaM@daff.gov.za Tel: 012-3196521 Fax: 012-3196071 26