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THE
GRAIN AND OILSEED INDUSTRY
OF SOUTH AFRICA – A JOURNEY THROUGH TIME
ႈ
INTERNATIONAL MARKET
ACCESS AND EXPORTS WERE
AT THE TOP OF GRAIN SA’S
AGENDA DURING 2012 AND
THIS DRIVE EVENTUALLY
BORE FRUIT. DURING THE 2012
MARKETING YEAR, RUNNING
FROM 1 APRIL 2011 TO 31 MAY
2012, KOREA IMPORTED 45 234
TONS OF WHITE MAIZE AND
302 259 TONS OF YELLOW
MAIZE FROM SOUTH AFRICA;
TAIWAN IMPORTED 161 550
TONS OF YELLOW MAIZE AND
MEXICO 1 091 501 TONS OF
WHITE MAIZE.
AT THEIR 2012 CONGRESS
GRAIN SA PRESENTED
AWARDS TO THE
AMBASSADORS OF EACH
OF THE COUNTRIES THAT
BOUGHT SOUTH AFRICAN
GRAIN, NAMELY MEXICO, THE
REPUBLIC OF CHINA (TAIWAN)
AND SOUTH KOREA (IN THEIR
ABSENCE), TO SHOW THEIR
APPRECIATION.
Grain SA was also involved in the establishment of a protocol agreement with
Venezuela, in collaboration with the state departments concerned.
The high quality of South African grain plays an important role in the success
achieved with the development of foreign markets. Part of Grain SA’s strategy re-
garding exports is precisely to emphasise the quality norms of South African grain
and to make sure that good quality products are exported at all times in order to
support the establishment of long-term relationships.
Grain SA is closely involved when any amendment of rating regulations or as-
pects regarding food safety with a view to exports is involved. In this connection
good co-operation is obtained with the Department of Agriculture, which enables
Grain SA to look after the interests of producers in this field as well.
In order to further develop export markets for maize, possibilities for adding value
to maize in collaboration with the Department of Trade and Industry are being in-
vestigated. It seems that there is indeed an export market for products like maize
flour. For example, it was found that South Korea buys South African maize, which
they process into maize flour and then sell to Malaysia. The intention is to do the
value adding locally and then export the processed product.
Grain SA plays only a facilitating role in this process and is of the opinion that
producers and exporters must take the initiative themselves to make use of op-
portunities and carry them out in practice. New concepts are referred to the maize
specialist working group, which then takes it further.
Grain SA also investigates possible markets for other grains, because even if they
do not deliver such large volumes as maize does, surpluses are produced from
time to time for which other markets have to be found. Although the volume of
wheat that is produced in South Africa cannot provide in the needs of a country
like China at all, its good quality provides the opportunity to develop niche markets
where good premiums can be earned.
The focus of Grain SA’s export policy is twofold: Firstly to make production sus-
tainable over the long term, and secondly to establish foreign markets for surplus
production – especially with regard to maize. The large markets for maize exports
are Japan (for yellow maize) and Mexico and Venezuela (for white maize).
PROVISION OF SEED
It goes without saying that the availability of good quality seed is of the utmost
importance for sustainable grain production and therefore also for food secu-
rity. This goes hand in hand with the need that the most recent technology has
Hector Valezzi (ambassador of Mexico) re-
ceives his award from Neels Ferreira (former
Chairperson of Grain SA), on the right.
Neels Ferreira thanked Michael (Pei-Yung)
Hsu (ambassador of the Republic of China
[Taiwan]) for the maize that the country
had imported.
Grain SA also honoured the agribusinesses
that had exported the most grain. Andrew
Martalas, Chairperson of the South African
Cereals and Oilseeds Trade Association (SA-
COTA), received the award on behalf of the as-
sociation’s management and their members.
With him is Neels Ferreira.