W Jacobs on behalf of C Dowry: Opening of Philippi Fresh Market

9 November 2006

On 1 December last year we had the launch of the market and I said that this
market was a good example of the type of partnership that we need in this
province if we want to make sure that Ikapa Elihlumayo is alive and a reality
for every citizen in this province. In this project we are demonstrating the
strength of partnerships between different levels of government and the private
sector in our efforts to stimulate the economic growth in the province.

This development of the Philippi Fruit and Vegetable Market is funded by the
City of Cape Town and the provincial administration of the Western Cape at a
total cost of R34 million.

I believe that the initial input from the private sector including several
Black-Economic Empowerment (BEE) companies is collectively in the region of R8
million plus for packing, processing, cold storage and ripening equipment.

We decided to develop here because it ties in with the Metropolitan Spatial
Development Framework as it is strategically located in terms of air, road and
rail links. It also has a ready supply of local labour.

The planning, design and buildings comply with international food safety
standards which are becoming more and more relevant every day, if we want to be
player in the international marketplace. It is much more than just a fresh
produce market as it boasts some of the most modern on-site processing
facilities, thus creating a unique value adding food production chain which is
the answer to the creation of jobs for people from this area.

Today we are officially opening this complex and we have to make sure that
this market serves the purpose for which it was planned. As was indicated
originally the market is supposed to create the "suction force" for the
establishment of more than 2 500 emerging farmers and the development of more
than 5 000 hectares of farmland over a five-year period in the Philippi and
Cape Flats area.

For us in the Department of Agriculture in the Western Cape the challenge
will lie in the empowerment of the people in this area through urban
agricultural projects. We believe that we can fight poverty in this home for
all through well-planned food security projects. The prerequisite for food
security projects to succeed in the urban areas is a much more co-ordinated
process by the same role players that were involved in the development of this
market. I want to make use of this platform today to extend an invitation to
both the private sector and local government to engage with us on all projects
related to food gardens and food security, in order for us to tackle this
challenge in a well co-ordinated and structured manner.

South Africa as a country is largely self-sufficient in food, yet some of
our people are faced with hunger and malnutrition. There are also a number of
South Africans who are vulnerable to food insecurity. Among these are women,
children and the elderly. It is true that many people are still going hungry
every day in South Africa and in the Western Cape. It is sad that this often
occurs within walking distance from full granaries and packing sheds. Or in
other words, the food is available but people do not have the money to buy
food. Thus a food security strategy that is based on two legs need to be
followed. The first is to enable people to have the financial measures to buy
food and the second is to help people to produce food within their limited
means.

Within in the Integrated Food Security and Nutrition Programme (IFSNP),
designed at national level, agriculture is seen as a major contributor to food
security. The role of agriculture is defined as providing food for the insecure
and to use farming as a means for growing food. Our figures indicate that for
example, the number of persons (households) that received food parcels in 2003
was estimated at 20 000 beneficiaries and the Department estimated that about
15 percent of this group could still become clients of agriculture through
mainly food garden initiatives.

The mandate of the Farmer Support and Development (FSD) programme of the
Department of Agriculture in this province includes food security, farmer
settlement, farmer support services and farm worker development. The
sub-programme food security co-ordinates and implements various food production
projects as highlighted and adopted by the Integrated Food Security Strategy
(IFSS) of South Africa. It also provides information and facilitates training
of community garden and animal production beneficiaries.

Within our provincial budget funds have been allocated for community gardens
within the urban context. What must be stressed is the greater need for
partnerships between the Department and non-governmental organisations (NGOs)
for the successful implementation of food security projects. A memorandum of
understanding (MoU) was signed between the Rotary Club and the Department to
roll out various food production projects in 2006/07.

The challenge is to reduce the number of food insecure households by half by
2015, by increasing domestic production, improving food safety, sustaining
safety nets and emergency food management.

We have the means in this province to address food security on various
levels. Where there is water and land available my Department can assist and
support food gardens not only for subsistence farming but also for communities
and for markets.

It is further said that in many cases people have land but poverty and food
insecurity is still high. The Accelerated and Shared Growth Initiative for
South Africa (AsgiSA) has termed this challenge "dead assets in the hands of
the poor". We need to activate these assets and make them work for the people.
The national Minister for Agriculture, Ms Lulu Xingwana, requested us to use
November as the month to go back to the fields to plough.

On Saturday at a meeting with the national Minister we agreed on the
"Ilima/Letsema" campaign.

We will through this campaign build on and leverage programmes already
existing in the provinces programmes that offer support to small scale farming
in the form of fencing, seeds, fertilisers, extension support and irrigation as
an example. We will have Ilima/Letsema in all nine provinces during November.
We have adopted the idea the idea of Siyagijima, which 'means let us run' or
differently put 'let's hurry up'. We cannot allow 'land to lie fallow'. We need
to utilise the land and unleash this productive asset to feed our families and
communities, create employment and contribute towards economic growth and
development of local and rural economies.

We need to involve our young people who are jobless to roll up their sleeves
and go to the fields. We want to say to them agriculture is cool!

Through this market we want to cater for the needs of this sector and
contract farming will play an important role from supplying the necessary seed,
fertilisers and mentoring up to the final collection and marketing of the
produce.

My Department is proud to be associated with the Philippi Market as we are
increasingly settling and supporting emerging farmers and this market will
create the necessary tool and place for these farmers to sell and promote their
produce. The market will create the ideal opportunity to enter the mainstream
activities of agriculture.

Commercial farmers especially those wishing to incorporate empowerment in
their production units will be encouraged to send produce to the Philippi
Market and to interact directly with the various value adding and trading
groups at the market.

However, it is among emerging farmers where significant job creation
opportunities will be developed through the Philippi Market Supply Base project
which is a five-year programme funded by the Western Cape Department of
Agriculture.

One of the unique qualities of the market is its processing including
sourcing, sorting and pre-preparation facilities which could handle large
portions of the processing cycle and contract for outside food processors. The
Department of Agriculture in the Western Cape is making R4 million available to
assist in this venture as part of the implementation of Black-Economic
Empowerment in Agriculture (AgriBEE).

This market has the potential to become a leading distribution centre of
agricultural produce in the Cape Peninsula and we trust that it will be the hub
where produce is received in bulk without neglecting the smaller producers in
any way.

On behalf of the Department of Agriculture and the government of the Western
Cape I want to wish you every success with this venture. I trust that it will
grow from strength to strength, thereby helping us to empower our people
economically and to create a better life for all in the home for all in the
Western Cape.

Issued by: Department of Agriculture, Western Cape Provincial
Government
9 November 2006