Programme Director
Leadership of the National Wool Growers’ Association,
Distinguished guests
Ladies and gentlemen
The National Development Plan (NDP) highlights the central role of agriculture in terms of job creation, rural development and food security. Key outcomes expected include the creation of 1 million jobs by 2030, food security as well as prosperous rural areas. The NDP calls for better integration of the country's rural areas, achieved through successful land reform, infrastructure development, job creation and poverty alleviation.
In my engagements with the wool industry leadership, I have heard wool production being championed as a game changer for the rural areas of the Eastern Cape, Free State and KwaZulu-Natal. I hope that this annual congress will assist us in developing an effective strategy to contribute to the radical transformation of our rural economies through wool production.
Programme Director, my assertion stems from the fact that wool sheep breeds and lately, their crosses have been part of the livestock farming sector in South Africa (SA) since the first Spanish Merinos were brought into the country in 1789 followed by the first serious commercial farming with the breed in the early 1800s and the early introduction of wool sheep breeds from other countries.
From this humble start, the industry has grown into one of the most important agricultural sectors, particularly in areas where the vegetation is only really suitable for small ruminants. It is an industry that supports a wide range of activities-from breeders and producers to processors of a wide range of products that are in high demand, both locally and internationally.
Programme Director, the South African Merino makes up the biggest portion of the national flock as it is registered as a locally developed or landrace breed in the Animal Improvement Act, 1998 (Act No. 62 of 1998), recognising the fact that the breed has been evaluated and improved over many years and is currently unique to South Africa. This signifies our ability as a country to select and breed animals suited to our climatic and other conditions.
The South African Merino has also been used to develop another landrace breed, the Dohne Merino-adding versatility to the wool sheep gene pool and broadening the potential impact and range of the sector in South Africa. It has also added a centre of excellence -the Dohne Research Station, which we all need to preserve to continue and expand much needed work within the research field.
The industry employs over 35 000 farm workers in addition to the people employed as shearers, sorters and classers and those employed in downstream activities within the textile, wool support services and supply sectors, all of whom make meaningful contributions to this noble industry. It is my assertion that intensifying production in quality wool breeds and supporting infrastructure development in rural areas will greatly increase the contribution of wool production to employment in the sector.
Over the years, the South African wool industry has developed a reputation for a top quality fibre that meets the needs of the textile industry, both locally and abroad. On- farm classing and clip preparation for greasy wool is of a high standard and the National Wool Growers’ Association’s Code of Best Practice has also provided assurance on the welfare of the sheep.
However, these improvements in animal welfare have not spared the industry the concern of animal welfare organisations. I was informed of the conflict that the National Wool Growers’ Association (NWGA) had with the National Council of the Society for the Prevention of Cruelty to Animals (NSPCA). We need to find mechanisms to avoid such conflict through better understanding of roles and responsibilities within the sector.
The largest part of the South African wool clip is marketed overseas and wool is therefore an important generator of foreign exchange for South Africa. More than 90% of the total production is exported—either as greasy wool or in a semi processed form as scoured and wool top. This raises the issue of ensuring value addition to our products before exporting. I challenge you to craft business plans which will ensure that we export fully processed wool products.
I am acutely aware of factors such as local labour and other operational and overhead costs that have a negative impact on local processing plants, which
currently run at 30% of capacity. This poser should be treated as a challenge to us to find a way to revive local processing to recreate jobs that have been lost through reduction in our processing capacity, while still ensuring that the primary producer gets a competitive price for his/her clip.
The National Wool Growers’ Association collectively represents the majority wool farmers in the country. What makes this association attractive is its diversity. I am reliably informed that there are currently 8 000 commercial and about 24 000 communal producers and this is most encouraging. However, numbers alone are not sufficient, we need to have concerted efforts to achieve full circle transformation within the sector, including the involvement of the previously excluded participants in the entire value chain. Once we craft clear transformation targets, we can begin to gauge the rate of transformation within the sector.
I am aware of the challenges relating to mentorship within the sector and I challenge all attending to embrace mentorship and share their experiences in breeding, management and marketing with those within the small-scale and subsistence sectors. I am convinced that the draft Memorandum of Understanding between the department and the National Wool Growers’ Association will address mentorship once funded.
Programme Director, there is a lot of potential to increase wool production in South Africa and the improvement of basic management skills, shearing, sorting and marketing, as well as the introduction of improved rams into the communal areas has been a monumental step one that we acknowledge with grateful thanks on behalf of all those who have benefited from these initiatives.
The quantum leap in the earnings of communal farmers in the 2013/14 season epitomises change. Communal farmers earned R138 million during the 2013/2014 season from wool marketed through the formal auction sector. However, there are sizeable earnings which still reside in the informal market, which when brought into the formal sector, can double the earnings of communal farmers. It is our task to fortify our capacities in rallying communal farmers into the formal market.
However, I acknowledge that before our current interventions, farmers, owners and keepers on communal grazing in the traditional areas of the country had limited access to facilities such as shearing sheds, classing and baling services and rams to improve wool quality. Admittedly, part of the change can be attributed to partnerships between government departments and industry, however, you will have to agree with me—we can do more.
The wool industry is not without its challenges and the issue of stock theft and predation, along with bio security, must rate as the biggest threats to the industry. Dealing with such threats calls for collaborative efforts and it is always encouraging to take note of the active involvement of the National Wool Growers’ Association in the national and provincial forums, including the livestock forums, stock theft forums and the Predator Management Forum.
We recognise that producers inherently strive to protect their produce and will utilise tried and tested methods to mitigate any risk posed by damage-causing animals. In the execution of these risk mitigating strategies, preference is always towards non-lethal methods of control. Lethal methods are always the last resort. To this effect, I hope that all members of the National Wool Growers’ Association apply the Code for Predator Management. In spite of this code, we still need to ensure that research in the field of predator management takes place to ensure that our measures are science based.
When I addressed the Red Meat Abattoir Association, I reiterated our concerns regarding the plague of stock theft. It is important that all parties work together to control this problem as effectively as possible. As an association, you have to play a meaningful part in the traceability and policing aspects of livestock. I urge you to cooperate with the authorities in enforcing positive proof of ownership. I will later on touch on strategies I believe we need to address traceability.
On biosecurity, the wool industry is facing threats relating to animal diseases and pests. The recent upheaval regarding the shortages in certain vaccines bears testimony to the importance of disease control in the sector. Diseases like bluetongue and Rift Valley fever are of economic importance and have an impact on both production and trade. You will recall that South Africa had international markets closed owing to disease outbreaks. The control of these and other diseases is therefore very important.
Programme Director, government is willing to listen and hold hands with the industry. I am happy that Dr B.M. Modisane, the Chief State Veterinary Officer of South Africa is here. Dr Modisane, I am proud to announce, was, last week, elected as the President of the Council of the World Organisation for Animal Health, the OIE. I wish Dr Modisane well in his new position and I know you will also lend him your unwavering support.
We also have Dr S. Cornelius among us today. Dr Cornelius is the CEO of the Onderstepoort Biological Products, a state-owned enterprise that produces world class vaccines.
Your inclusion of Drs Modisane and Cornelius in your biosecurity related panel discussion signifies the importance on building relationships with strategic partners within the sector. Having perused through the rest of the programme, I am further emboldened by other topics which you will engage in, including:
- The position of the wool industry in South Africa
- Land reform (including opportunities for small-scale farmers)
- Labour issues (including new legislation and its impact on employers and employees), and
- Marketing
I consider your programme to be well thought out. I sincerely trust that the engagements and determinations from this congress will help allay some of the major concerns that have been brought to my attention during the past 12 months. This would include the availability of vaccines and predator management in South Africa. I harbour no doubt that through cooperation, we will be able to gain ground like we did in maintaining our foot-and-mouth disease (FMD)-free zone status.
The maintenance of the FMD-free zone status was the result of a lot of hard work that included the tagging of all cattle in the FMD control and surveillance areas and I would encourage the NWGA to seriously consider moving towards a system of individual animal identification in addition to a legal owner mark because this will guarantee full value chain traceability, as well as provide much needed information on flock composition, fertility and health.
While some may feel that individual animal identification is an expensive nice to have, it is a positive step towards reliable information and the ability to provide guarantees on a wide range of issues, including health, animal welfare and even environmentally sustainable farming systems.
I have great faith in the South African wool industry and even more faith in all those who farm or own wool sheep in our magnificent country. Your contribution to food security, job creation and economic growth is immense. I challenge you to respond to the President’s call which he made during his 2015 State of the Nation Address. The President pronounced on a “Nine-Point Plan” which included the Revitalisation of Agriculture and Agro-processing Value Chain. You happen to be a major role player in this area and your participation is important.
I look forward to receiving resounding feedback on your congress.
Baie dankie vir die geleentheid, ek waardeer dit.
Thank you.
