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Perspektief | Perspective Week 16

23 Apr 2021

 

 

ALTERNATIVE DIFFERENTIAL WORKSHOP
Dirk Strydom, Manager: Grain Economy & Marketing

Grain SA yesterday attended a workshop about the Alternative Differential with the JSE. With what seemed an open invitation, approximately 30 stakeholders attended. The workshop discussed the current calculation a lot since the JSE does not receive sufficient quotes anymore. Following plenty of discussion regarding the inclusion of rail rates in the differential due to inconsistencies, the JSE decided to keep the rates included and part of the system.

The workshop’s focus shifted towards Randfontein as reference point and multiple reference points with a lot of momentum and support for the Johann Strauss-model. It was suggested that the JSE conclude the Grain SA workshops together with Johann Strauss and then proceed to host an open market workshop. The general feeling was that supply and demand must determine prices of locations. In short, Grain SA did gain some ground towards an alternative differential, however a lot of work and motivation still needs to be done.

 

 

 

 


EXCITEMENT AT REGION 30'S FIRST MEETING
Toit Wessels, Ass Manager: NAMPO & Marketing

 

For the first time, Region 30 (the region in the Cape for our New Era Commercial members) met on their own. One meeting was held at Moorreesburg for the Swartland members and one at Bredasdorp for the Overberg and Southern Cape members. The above members have been involved in the meetings of Regions 26, 27 and 32 in the past. However, there was a request to meet separately as they certainly have questions and problems that the commercial producers do not struggle with.

Alfreda Mars, Executive Member of Region 30, chaired the two meetings. There were extensive discussion about, among others:

  • How membership fees and linked members work
  • Training courses to be offered
  • Mistakes made in the past and the way forward
  • The different levies that are collected
  • The duties and powers of an executive member

However, communication remains a big problem and was a point under discussion. It was decided to establish a WhatsApp group for the members of this region. A regional board of six members were elected, three of whom each represent the two areas.

The regional management for the Swartland is Andries van der Poll (Moorreesburg), Whernit Dirks (Sandveld), and Jackie van der Poll (Darling). The regional management for the Overberg/Southern Cape is Ralph Swart (SSK area), Riedewaan Marcus (Overberg), and Preline Swart (Elim, Bredasdorp).

This management team will facilitate the channel of communication from members in their area to Alfeda and the Grain SA office in Paarl.

At the end of these two meetings a nice cup of tea was chair with good conversation and it was pleasing to witness their attitude towards Grain SA and what is being done for them - or in some cases - trying to be done! Yes, there is definitely a need to host at least the two meetings of Region 30 annually.

Good luck to Alfreda and her management. We believe you are now on a winning path and our members will truly feel more part of the “Grain SA family”.

 

 

 

 


BARLEY UNDER THE MAGNIFYING GLASS
Dirk Strydom, Manager: Grain Economy & Marketing

The sustainability of the barley industry is currently under the magnifying glass. As previously reported, there are concerns regarding barley storage and the associated risk. This week there was a barley industry meeting where several storers, buyers and both the processors were present. The storers have indicated that the system is currently unsustainable and that they, together with Grain SA, are very concerned about the future and the risks. The industry agreed after the discussions that Agbiz and ABInbev would work together to find solutions. The storers require a standard protocol where they can measure and quantify risks.

In terms of the season, ABInbev has announced that African Grain Investments will manage the Swartland contract and the barley in Caledon will be stored by Overberg. This comes very late and the probabilities that producers will plant given the risks and the time, are low. In the north, ABInbev has also appointed African Grain Investments, which will soon be launched at the ABInbev Bushveld Farmers' Day. Purchase and storage contracts in some of the other irrigation areas have yet to be finalised.

Soufflet/Heineken were also present and indicated that they take note of the challenges. The company is still uncertain about investmenting in the country due to uncertainty about Covid regulations, but remain positive about entering the market. Cultivar trials with some producers have begun and look promising. The opportunities for barley exports remain limited and non-competitive in the international market. There are opportunities for malt exports, although malting capacity remains a challenge with no major appetite at present from ABInbev to expand malting capacity. The barley that is malted is self-sufficient and is absorbed by the local market.

 

 


PULA IMVULA MAY EDITION NOW ONLINE

 

The latest issues  of the 2021 April edition of Pula Imvula, Grain SA's magazine for emerging farmers, has been loaded on the website. Be sure to read any of the editions for the latest news and articles. Simply click on one of the links below.

 

Pula Imvula English Pula Imvula Sesotho Pula Imvula Tswana Pula Imvula Xhosa Pula Imvula Zulu

 

 


the GRAIN PULSE

A new edition to the Perspective newsletter, the Grain Pulse aim to keep members informed with short updates relevant to Grain SA and the grain production environment as a whole.

ROAD SAFETY DURING HARVEST TIME

  • Grain SA has issued a notice to all provincial and regional media partners requesting that the general public's attention are drawn to sharing the roads safely with large farming implements during harvest time. Motorists in rural areas and small towns are reminded that they can expect to encounter large farm implements on the roads. The public are advised to be mindful of implements and exercise caution when encountering them n the road. Motorists are encouraged to be patient and maintain a safe following distance and not try to overtake farm machinery unless it is both safe and legal to do so.

GLYPHOSATE APPLICATION

  • Grain SA is currently working tirelessly to legalise the spraying of glyphosate over maize from the air (urgent application). This practice is already common for weed control just before maize is harvested, but is not yet labeled as such.

MANAGEMENT COMMITTEE OF THE EXECUTIVE STRATEGIC SESSION

  • Grain SA's Management Committee of the Executive met last week from 13-15 April for their annual Strategic Planning session. They did strategic scenario planning and confirmed the organisation's focus areas for the next three years.

CULTIVAR TRAIL VISITS

  • Some visits to the cultivar trails as well as the new technology trails for soybeans took place and it was noted that the trails in the Western Cape on winter cereals look very promising. Cultivar trails are vital as research remains an important corner stone for increased productivity.

LEADERSHIP ACADEMY FOR AGRICULTURE

  • Congratulations to the last Group of the 2020 Leadership Academy who graduated on 26 March 2021. The Class of 2021 in the mean time, is already busy with their second session.

CULTIVAR POLLINATION

  • Independent experts have been appointed to assist with the disputes where some maize cultivars did not pollinate fully.

CONSERVATION AGRICULTURE FARMER'S DAY

  • In collaboration with the Mpumalanga Highveld Conservation Agriculture Study Group, various speakers will discuss local CA experiences, soil health and introduce the CA trials. For more information and to register CLICK HERE