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    TOWARDS A FOOD SECURE SOUTHERN AFRICA

    Perspectives from the Field

    A working document synthesizing interviews with key stakeholders in the food system

    12 March 2010

    Prepared by Reos with input from Ralph Hamann of UCT Graduate School of Business and

    Milla McLachlan Stellenbosch University.

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    Towards a Food Secure Southern Africa 2

    EXECUTIVE SUMMARY 3

    INTRODUCTION 5

    1. THE CURRENT FOOD SYSTEM 6

    1.1 .THE CURRENT FOOD SYSTEM: SYSTEM PLAYERS 6

    1.1.1POOR CONSUMERS

    1.1.2RETAILERS

    1.1.3MANUFACTURERS

    1.1.4FARMERS

    1.1.5FARM WORKERS

    1.1.6INPUT PROVIDERS

    1.1.7 THE ROLE OF GOVERNMENT

    1.1.8 ACADEMIA

    1.2 THE CURRENT FOOD SYSTEM:STRAINED AND STRETCHED 32

    1.3 THE CURRENT FOOD SYSTEM:SEEDS OF CHANGE 37

    2. THE WAY FORWARD 41

    2.1PLACES AND SPACES OF POSSIBILITY

    2.2THE PARADIGM SHIFT

    2.3THE VALUE CHAIN APPROACH

    3. WE MAKE THE PATH BY WALKING IT 51

    3.1FINDING PLACES TO LEVERAGE MEANINGFUL CHANGE3.2SEEING MORE OF THE SYSTEM

    3.3TAKING ACTION

    APPENDIX 1: LIST OF INTERVIEWEES SEPARATE

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    EXECUTIVE SUMMARY

    This synthesis report is a key outcome of phase 1 in a year-long change lab process

    focused on identifying opportunities for addressing food insecurity in South and southern

    Africa. It is a working document intended to highlight issues raised in 21 interviews with keyrole-players in government, business and civil society. (See appendix 1 for a list of

    interviewees.)

    The writers of this report have highlighted a range of issues, including those that representareas of agreement and convergence among interviewees, as well as those where there

    is some disagreement. Strongly emphasized opinions by one or just a few interviewees are

    also represented. The purpose of the report is therefore NOT to report on consensus about

    the most popular opinions, but instead to bring attention to issues the various players

    interviewed felt strongly about.

    This report aims to achieve a few things: firstly, to help all stakeholders in the food securitysystem see the issues as a whole the system that spans production through to

    consumption. Secondly, the report aims to identify the areas that need attention. And

    thirdly, the report highlights areas where players have energy to contribute collectively.

    This report only mirrors the views of the 21 interviewees. No additional information is

    included. Even though these interviewees represent a broad spectrum of the food security

    system, there are gaps. Also, most of the interviewees are from South Africa and while

    they considered and addressed regional issues, they view them from a South African

    perspective. To broaden the information available, we have added a press review on

    food security from January to December 2009, as well as a high-level desk review.

    An Overview of the Synthesis Report

    This report is divided into three main sections. The first section looks in some detail at what

    interviewees said about the current reality of the food system, the second section explores

    what was said about future options, and the third section looks into what choices need to

    be made and where to start.

    In the Current Reality section, all of the players who in some way influence food security

    are outlined, as identified by interviewees. The interviewees had much to say about the

    role players spanning the entire value chain: farmers and farm workers, input providers

    (seed, fertilizer, transport, water and land), manufacturers, retailers, and finally consumers.The role of the state came up frequently in different forms. Regulation issues were

    highlighted, both on the agricultural side (emerging farmers) and consumer side (food

    quality and safety). Related to this, competition policy was an emotive topic raised by

    many. The role of research was mentioned as a contributing factor to innovation and

    validation of better food security processes. Social partners such as the Food Bank and

    GAIN were referenced repeatedly as important umbrella organisations helping to reduce

    food insecurity. This section also includes a systems overview of food security what

    interviewees had to say about the overall strains and stretches of the existing system. It isinteresting to note that many of the interviewees suggest that the players at the two ends

    of the value chain (farmers/farm workers and consumers) are increasingly the most

    vulnerable to forces beyond their control that influence food security. Some intervieweesquestioned whether a more local/regional focus was necessary to address food insecurity,

    rather than the existent global, open market, approach. This was a contested issue. The

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    move into Africa by mostly retailers also provoked some comment about its implications

    for food security in southern Africa, positive or negative. To wrap up this section,

    interviewees highlighted a range of initiatives, which are already in progress and

    improving the situation.

    The second section of the report looks at future paths what respondents said about

    where we are heading, and would like to head. There were two main views emerging. The

    first supported a more incremental approach to better food security, which made use of

    existing systems and policies. The second advocated for the entire food system to be

    changed in some way, either through government policy and regulation, or for example,growing the idea of livelihood farming by connecting many more people to the

    possibilities of growing their own food and distributing excess through new channels such

    as cooperatives. Sometimes, the same person expressed aspects of both views.

    The final section of the synthesis report motivates for the approach of making the path

    while walking it. After reviewing the interviews and how they reveal the system of food

    security, the authors have observed that there are parts of the value chain that are

    becoming increasingly vulnerable farmers and consumers in particular. Creating a more

    sustainable food system one that works for everyone will require a better

    understanding of how consumers (particularly low income consumers) and farmers

    (including farm workers) experience the system. Only then can we work together to

    create the kind of system we want. Part of a collaborative exercise would need to look athow we can improve this reality. Firstly, by taking Learning Journeys to see this reality

    firsthand, and secondly by identifying where opportunities exist to change it. Participants

    will have the opportunity to share this experience with other players in different sectors of

    the value chain, thus expanding relationships and broadening peoples awareness of

    what it is like to see the food security reality from multiple perspectives. From these

    learning and sharing opportunities, participants will establish what particular issue or

    problem they would like to tackle together.

    The intention from here on is that the process follows the needs and interests of the

    participants involved, and the design of the project is therefore being kept as flexible as

    possible to enable you to have the impact in the system that you can and want to have.

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    1. THE CURRENT SYSTEM

    This section looks at the food system as it currently is, in three ways. Firstly, it considers the

    major players in the system, as described and viewed by interviewees, secondly it looks in

    overview at the big issues and trends that interviewees drew attention to, which were

    largely, although not exclusively, issues of concern. And finally, the section ends bylooking at the seeds of change: activities and initiatives already happening in the system

    that are sources of inspiration and focus for future action.

    1.1 THE CURRENT SYSTEM: SYSTEM PLAYERS

    Interviewees spoke in depth about most of the players in the food system. The views

    expressed are presented here beginning with consumers, moving through the system to

    producers, and finishing with government and academia who play a more diffused role

    across the system. NGOs were not discussed at any length, but their role emerges in a

    number of the issues, such as welfare responses and working with subsistence farmers,

    later in the document.

    1.1.1POOR CONSUMERS

    Several interviewees felt that in recent years in the sub-region of Southern Africa, poor

    consumers have become worse off, and this reality is unlikely to change. There are

    different opinions about direct support to alleviate immediate needs.

    ACCESS

    One researcher underlined that,

    relatively, food in South Africa is goodvalue.

    If you are looking at bread, we

    have the second cheapestbread in the world, compared toEgypt (the cheapest), theyre

    getting a lot of support. If you

    look at protein, poultry, especially

    broilers we used 16kg per

    capita in 1996 to 32kg today

    that tells you that distributionchannels and production are

    becoming more efficient.

    But a more consistent message emergedabout it remaining out of reach for the

    poor.

    Our food is relatively affordable.The problem is that most people

    cant afford it, as they dont earn

    enough.

    In SA and many other parts of

    southern Africa, the food issue is

    a price issue. Its not because it

    isnt available.

    If we produce enough food,

    there will be enough to eat, butthe problem for SA is where

    access to that food is a huge

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    problem

    And that creating jobs is key to improving

    peoples access to food.

    We shouldnt blame the food

    prices; we need to create jobs.

    Food security is an

    unemployment issue..

    When it comes to quality, one industry

    player mentioned that were relativelywell off

    We have good quality food for a

    developing country.

    But again theres concern about the

    quality of food the poor can afford.

    What comes up for me is the

    quality of food issue: people

    must know when they are eating

    junk. They are forced to buy

    cheap junk, which is essentially

    very value free and they land up

    very unhealthy. Theyre forced to

    increasingly give up old forms of

    good nutrition.

    How do we make sure that wehave quality food that is of

    value? South Africa is not a poor

    country, but we still have people

    who go hungry.

    A couple of retailers mentioned this as a

    significant concern

    The additives issue is based on

    work we do within the business.

    All of our permanent staff go

    through regular tests .. we

    realized that our staff were eating

    rubbish, and the nutritionists said

    that these foods could be

    replaced with more healthy

    ingredients.

    Retailers also spoke about the difficulties

    and knock on effects of their taking

    action on quality issues.

    The people at the bottom of the

    consumer market are suffering

    the most .(on) food qualityfor example, tartrazine inconcentrates is alive and well in

    LSM 2-4. You wont find these in

    LSM 7-10 you can (remove

    tartrazine) and have no impact

    on the cost but.as soon as

    we try to introduce food of a

    better quality, we lose customers

    to the independent wholesalers.

    How do we protect our market

    share and get these guys to dothe right thing? It needs sensible

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    legislation by government.

    Theres a particular

    supplier.a product the

    emerging market loves.. Our

    guys went into the factory

    ..(wanted to) close it down from

    a hygiene point of view. Its one of

    the biggest selling lines in (a

    competitors business). So nowwhat do we do? Do we say, well

    were not going to take that

    product..? So they got an

    opposition to (shutting it

    down)... its taken us a year to

    get him up to standard so that

    we can now start taking it.

    And one spoke about the potential

    downside of the Consumer Protection

    Act.

    The whole thing interacts in our

    lives in our lives its all about

    price and availability and price is

    a function of supply anddemand, and the food safety

    issue kills the small guy, which

    limits our options on supply.

    A lone voice mentioned the priorities

    implicit in producing for export and the

    impact of that on local childrens health.

    Weve been wanting to produce

    for export even though its not

    fetching a return.. at the

    expense of food crops, fisheries

    and livestock.. we produce

    mango, bananas etc. to conform

    to EuroGAP to supply

    European children and let ours

    eat the mycotoxins in lower

    standard foodkids in farm

    villages eat ground nuts with

    200ppm of mycotoxins per day.

    Its a big hurdle to cross.

    WELFARE RESPONSES

    Interviewees gave their views on three types of welfare response: the Food Bank, which

    distributes surplus food donated by manufacturers and retailers, Social Grants provided by

    the government, and donor funded food gardening projects.

    A few see subsidized support to food

    gardens offering a good alternative.

    ..its about making a little bit of

    land available, its teaching the

    skills, its merely giving them a

    little bit of a start in life whetherits the seeds whatever it is - get

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    them involved there. I have seen

    such passion in the food gardens

    that weve put up, its incredible.

    Home gardeners are using their

    own land, that can feed a

    family of 4 or 5, all year round

    with all their vegetable

    requirements.

    While some are skeptical about the

    sustainability and impact of food

    gardens.

    We see lots of little vegetable

    gardens but dont really know

    what contribution they make to

    food provisioning, how

    sustainable they are and whether

    skills are being transferred.

    Others frustrated that gardens arent

    enough.

    Food gardens are a part of it, but

    weve been relegated there by

    peoples mentalities in

    government, and international

    agencies.

    One commented on the problem of the

    poor spend their food money with large

    retailers and not local suppliers.

    Social grants they leak out of

    the communities whereas they

    could be a major source of

    support for local economies, I

    mean that transfer of income is

    massive and it adds to the

    demand for food.

    Another wanted them tied to behaviour

    change and productivity.

    Social grants should be used to

    reward positive behaviour and

    funds should be used to acquire

    resources for productivity.

    While the Food Bank was loved by one. Were very involved with the food

    bank and we just think its

    brilliant: they provided a real

    business solution. We give themall of our obsolete stock todistribute previously wed be

    donating good stock and just

    destroying all of the old stock. We

    can track it to make sure that

    were doing the right thing first.

    We decided to stop there

    because we wanted to move

    away from the mentality of hand

    out

    And not by another. Bringing waste food back into

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    feed people, if thats used as a

    tool to undermine family farming,

    thats a problem thats

    effectively what it is:

    unconsciously not consciously.

    1.1.2RETAILERS

    Although retailers have been criticised by a number of interviewees for making too muchprofit, and affecting local supply chains, they are also faced with a number of constraints

    highlighted below. The fact that most of South Africas big retailers have an increasing

    and major presence in neighbouring countries imply that these issues are also relevant for

    the sub-region.

    SECURING SUPPLY

    Retailers expressed repeated concern

    about their ability to secure supplies.

    We have been asking suppliers of

    dry groceries for assurances that

    they have ongoing supply. It is a

    consistent theme that these

    manufacturers are finding iteasier to import than procure

    locally.

    Its almost become a business

    requirement. The C.E.O. says,

    youve got to risk, were not sure

    we can actually secure supply.

    Weve already experienced

    problems in our business.

    (x retailer) wants to create viable

    black farmers and is pushing

    government at the highest level.

    This is a big concern for retailers.

    Will they maintain their supplies?

    If you start backing the big horses

    and the big horses havent got,staple food youve got aproblem. We obviously try to

    keep an open channel with the

    supply markets outside of South

    Africa ..to supply and meet

    consumer demand on basic

    foodstuffsby constantly looking

    at new markets and international

    pricing when it comes to staple

    foods.

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    COLLABORATION NEEDS AND INTERESTS

    Collaboration is a consistent theme that

    comes up for retailers when addressing

    food security.

    Problem number one is getting all

    the role players collaborating.

    It is easy to point fingers at the

    retailers, they would benefit from

    a forum where they can discuss

    the reality.

    We must reach agreement on

    where we can collaborate vs.

    compete. We are still, to a

    large extent, trying to go at it

    alone.

    And the current Competition Commission

    activity makes some hesitant

    Sadly one of the impacts of the

    competition investigations is that

    those retailers that worked

    together on issues of mutual

    interest, crime for example, or BEEcredentials, are a little reluctant

    to talk to each other.

    I attended an event last year

    .apparently most of the

    corporates that were intended to

    be there at the last minute

    declined because they felt that

    the Competition board would

    see it as collusion.

    Or they state their competitive

    boundaries clearly

    Operational efficiency is a clear

    place to work (to improve food

    prices). But there isnt a retailer in

    the country that will collaborate

    on this issue. Its our source of

    competitive advantage.

    And there are places where people feelit could happen to the benefit of

    allwaste

    parts of waste, like crates forbread. At the moment, no one

    pays deposit for crates, and they

    go missing all the time. There is an

    industry that steals these crates

    and makes hangers, which are

    sold on the street. This will surely

    impact the cost of bread.

    Logistics. In my view, the biggest effort

    needs to be on logistics.

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    Packaging. Were looking at the packaging

    issue: its non-competitive. If you

    go to Nestle and say your baby

    formula is hopelessly over-

    packaged .Its a benefit that

    will be experienced across the

    supply chain, and its to our

    benefit.

    And philanthropy. The other area where we thinkthere needs to be better

    collaboration is in hunger relief

    efforts. its a disparate focus.

    Some acknowledge that collaboration

    and self-regulation will only get you so far.

    We cant do the pretty stuff that

    adds cost to the supply chain.

    They can do that in North

    America, they can do that in

    Europe.when it is something

    that is so important, and it has to

    increase cost, then

    regulate.there are areas wherewe need to be promoting

    regulation this was a big aha for

    us.

    Beyond the industry, there is work to be

    done on building trust.

    As a whole, we are a shy

    organization, partly because

    were modest and partly

    because you get nailed. Were

    business people, and happy to

    engage in a constructive way.

    But quite frankly there are some

    civil society elements that are too

    radical, they hijack the process

    and use it for other agendas.

    Although others have appetite to get into

    the ring

    (We) want to meet with labour

    Cosatu and Solidarity, and the

    Department of Trade andIndustryin the same room, and(get their) views on food security.

    Lets agree on a study, and its

    scopewho should conduct this

    studysomeone we can all have

    confidence in. We will abide by

    the outcomes...we criticise each

    other on the basis of this

    document. Ill pay for that study.

    Who needs to be in that room?

    And another asked for focus. If its a single-issue initiative, then

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    we would be interested. If we

    start adding in a whole lot of

    stuff, then it becomes clumsy and

    not enough happens.

    1.1.2MANUFACTURERS

    Most comments about and from manufacturers centred on the power they wield in thesystem and how that is harnessed for good or ill.

    Collusion was a concern for some when

    considering the manufacturing sector.

    Processors thats still a highly

    concentrated marketfor

    example you have a few poultry

    firms that are breeding and

    some of them dont supply

    parent stock on the open market,

    some have started and you are

    restricted to buying day old

    chicks the allegation is that

    they are tying ..day old chicks tothe feedyou cant buy feed on

    the open market discounts

    disappear.

    It must lie in vertical integration (x

    manufacturer) produces, buys,

    got silos, got millers youve got

    this massive vertical integration

    chain, who knows what happens

    in that? I suspectas the price

    of your commodity falls, they are

    lagging the fall with the actual

    processed product.

    There is also a history in that

    industry of price collusion,

    bullying and so on. I would

    venture that perhaps noteverything that should havecome out has come out yet.

    But like the retailers, there is willingness to

    find the places where collaboration can

    work

    We need to partner with direct

    competitors for peasto say, lets

    do this together where we have

    an initiative to grow peas or

    whatever, or tomatoes where

    we have an off take agreement

    thats going to satisfy all of our

    involvements and have oneincredible impact.

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    I think you need to start with

    creating those links - that

    sense of knowing who is actually

    in the sector, knowing whos in

    the industry, whos up for the

    game, whos willing to partner,

    whos has the right set of tools

    and skills that compliment your

    needs.

    waar kan ons mekaar se hande

    vat om te voorkom dat elkeen sy

    eie potjie probeer kook (where

    can we join hands so we dont all

    just cook our own food)

    1.1.3FARMERS

    As with poor consumers, farmers are mostly also perceived to be more vulnerable nowthan in the past. The impression about farming amongst many is that it takes years of hard

    work for very little return, and relies on generations of knowledge and capital to make

    farming successful.

    HARD WORK AND NO MONEY LESS FARMING HAPPENING

    The declining numbers of farmers is a

    serious worry to some interviewees

    Commercial farmers have come

    down over the past 15 years from

    60 000 to 37 000 and 20%

    produce 80% of the food.

    At some point pre-1996 we had

    about 30,000 dairy farmers now

    there are 3000 because the price

    they get for their output is not

    right. Most have left the industry

    or substituted dairy for game

    farming. Land under cultivationhas gone down.

    In 1994 we had 60,000

    commercial farming units, now

    we have 45,000 driven by

    economies of scale and

    increasing capital

    intensity. Farmers are under

    significant pressure, so even if

    these well resourced producers

    cannot make it, how can weexpect small producers to make

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    it?

    Along with its implications for agricultures

    contribution to the economy

    In the past agriculture was 4% of

    GDP now its down to 2.9% and it

    will decline more.

    There is just maintenance

    investment. There has been no

    growth in 8 9 years. The trends

    are that we import more eachyear, even though we are still a

    net exporter. But exports are

    growing more slowly than

    imports. It is not a catastrophe -

    yet.

    Some noted how farmers were trying to

    respond

    Many farmers are export

    oriented, not making much profit,

    struggling because input costs

    are so high. Land is lying fallow,

    water is a problem, there is not

    enough planning were notproactive enough.

    Most farmers are now directly

    moving to trading with retailers.

    And one made a surprising suggestion If we could grow our own, the

    farmers would be under less

    pressure. One farmer said to me,

    if you ran a hug-a-farmer

    campaign, you would do more

    good than all these other efforts.

    Farmers feel unsupported,

    frightened, its a bad place to

    be. Farmers wouldnt then chase

    volume and prices, and farm

    properly.

    Meanwhile older patterns continue todrive a lack of interest in agricultureamong the younger black population

    who many are hoping will step in

    Youth dont have an interest inagriculture because theeducation system has projected

    agriculture as a career for

    people without ambition.

    The youngest people in our

    village who are farming are 40ish,

    if anyone younger is going to a

    farm theyve been pushed. A lot

    of people of my age are less

    interested. We need to addressthis.

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    THE MISSING MIDDLE THE NEED FOR MORE DIVERSITY IN PRODUCTION

    South Africans involved in food production often work at opposite ends of the agricultural

    scale: commercial farming at one end and subsistence farming at the other. Donor

    subsidized subsistence farming overlaps with the food gardening mentioned in the

    consumer section. The interviews reflected a number of comments and suggestions to

    encourage different scales of agriculture.

    Interviewees shared that there are

    opportunities to diversify the scale and

    type of agriculture and increase the

    proportion of South Africans involved in

    producing food.

    We must support subsistence

    farming AND commercial

    farming, as they both contribute

    to food security.

    Smaller-scale livelihood farming is an

    important area of innovation.

    My core issue, is that.. small scale

    micro farming in the rural and

    urban context is one of the

    fundamental cornerstones of a

    food security strategy, and ifthats not there its not a real

    Food Security strategy, its not

    human.

    A few (have) grown their

    subsistence farming into large

    enterprises if you go to

    Lichtenburg, you will see on the

    two sides of the road the two

    sides of South African agriculture:

    white green fields, etc. On

    the other side, youll see lots that

    under-utilised but also pockets of

    large farms that the villagers

    themselves decided to farm

    together.

    (Communities) think sendingproduce to the market is rocketscience, only when we talk to

    them, do they realize that its not.

    They dont understand how price

    changes work.

    Currently 50-60 out of 3000 that

    we work with are livelihood

    farmers, of 3000, we can

    generate a few hundred in the

    livelihood level, but thesubsistence level itself doesnt

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    have to be denigrated.

    More recently, significant effort by

    government and others has been

    invested in food gardening projects.

    Interviewees agree that they cannot

    compensate for declines in commercial

    agriculture.

    Since food security is an

    outcome, food gardens arent

    enough if a commercial farmer

    is not producing enough his

    workers arent earning enough, if

    the commercial farmer is not

    producing, there will be no food,

    period.

    Our work suggests that the policy

    response to focus on small

    production models or self-

    sufficiency doesnt work. The

    starter pack approach during

    the 2008 crisis is nonsense the

    most marginalized are not in a

    position to farm.

    Not enough is known about the spread of

    different scales of farming across rural,urban and peri-urban landscapes.

    In terms of policy .. we see a

    missing middle. The Departmentof Agriculture supports large

    commercial farmers and the

    Department of Land Affairs

    supports land claimants who

    struggle to farm but there are a

    large number of small farmers,

    about 120,000, especially in peri-

    urban areas that fall between

    these two groups and who dont

    receive support, especially since

    the collapse of extension services

    (particularly in former

    homelands).

    Farming ability is also a product of inter-

    generational knowledge, and making it a

    sustainable option is a lengthy process.

    A lot of small-scale farmers

    were left with the land, they

    dont know how to work with the

    finance side, or how to plant, butthey really want to becomefarmers You dont start farming

    from tomorrow theres a lot of

    stuff around it iIf you want to

    get land and get rich youre

    making a mistake.

    There are different understandings of

    smaller-scale farming, so there is a risk

    that focused effort could be difficult.

    People talk about it but confuse it

    with commercial. Its semi-

    commercial, but its based on

    the subsistence lifestyle, this is theversion of land based livelihood,

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    50% subsistence, 50%

    commercial, plenty of money

    and an abundance of food.

    The racial profile of commercial farmers

    remains skewed. Many interviewees

    expressed an opinion about issues of

    legacy and change, and they continue

    to evoke powerful emotions.

    If you understand..our.. story after

    the discovery of mining it was

    based on destroying black

    peoples independent economic

    survival and farming skills and

    when we are doing our landrestitution programmes we are

    not taking that into account it

    is equivalent to recreating a

    peasantry that was destroyed

    over a period of a hundred years.

    And we need more access to

    markets especially for small

    farmers because its very difficult

    for them, because we are sitting

    with very mature markets.

    As an emerging farmer, my level

    of farm management is low.., so I

    default on the loan I got to buy

    the land from the white farmer,

    so the land is repossessed and it

    ends up being sold back to the

    white farmer, and all thats

    happened is the government has

    spent some money.

    I think that the agricultural policy

    of the state has not resulted in

    the kind of change that was

    hoped for . bringing in new

    players along the value chain, its

    not that the state has not done

    anything but ..it leaves the

    individual players to negotiate ontheir own.

    NAFU and Agriculture SA are

    talking, but no one is representing

    small black farmers.

    There are mixed messages in agriculture

    about cooperatives as a form of

    increasing efficiencies of scale.

    The problem is that agriculture

    needs scale, which is why

    cooperatives work. But

    cooperatives are a form of

    collusion. There is a provision..that collusion is ok if it benefits

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    the industry as a whole.

    THE ENTERPRISE DEVELOPMENT CHALLENGE

    Enterprise Development is a business

    imperative for some. In the food security

    domain, enterprise development was

    most mentioned in the form of emerging

    farmers (supply side).

    Where is the supply is coming

    from? Growing the emerging

    farmer base is important. No one

    has figured this out. Due to lack

    of incentives, resources, skills etc.

    One retailer made a particular point

    about growing the emerging farmer-

    base.

    Your psyche in the emerging

    market community is youve got

    to be part of that community,

    you need to support that

    community: so its employment.

    We often buy off local farmers.

    And others see it as an opportunity to

    give back.

    So enterprise development has

    been another very interesting

    space and thats been about

    where as a business can we

    impact on small enterprises that isaligned to our business and

    benefits our businesses at the

    same time can benefit

    communities.

    But theres a sense that money is not

    being well spent.

    Theres lots of capital flying

    around but it is all not being

    pulled together efficiently at the

    moment, were really wracking

    our brains trying very hard to look

    at a substantial program to work

    with emerging farmers.

    Some interviewees felt strongly that it was

    not the way to go to address food

    security.

    Enterprise development is

    incompatible with the notion of

    low-cost production. We need to

    be careful that we dont put

    too much into one initiative andovercomplicate things. Thisnormally creates a

    middlemanthey frequently

    dont pay suppliers on time...

    they add a mark up. A micro

    miller cant produce in the same

    way as a Tiger Brands can.

    A few business players mentioned the

    need to partner, including with public

    sector agencies and to have the latterfocus on this issue.

    Just think of the potential if we

    partnered with other

    organizations. The critical thing inthat space is the Development

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    Bank or other partner work with

    you.. they provide .. funds that

    we dont havefor setup and

    startupaccess to the

    community, local municipalities,

    local NGOs who can actually

    make these things happen on

    the ground and then .. the

    resource to actually put

    somebody in place to make ithappen.

    Getting emerging farmers going

    needs to be on the scorecard for

    Provincial Premiers, how many

    there are, what value they

    create at the moment there is

    no accountability for results.

    A retailer highlights the limitations of

    supporting small-scale farmers.

    Many of us have found in

    enterprise development, we

    dont have the skills to helppeople. Were retailers, and are

    not farmers or manufacturers.

    There are many lessons to be learned

    when engaging in enterprise

    development from a community

    engagement point of view.

    The other thing is actually

    understanding how communities

    work. because there are so

    many cooks... There are the

    community councilors, the local

    municipalities, a local

    Department of Agriculture or who

    have a vested interest ..thats got

    to clash.

    One of the biggest lessons is

    social mobilisation you cannot

    move into a big community and

    go and do things and walk away,

    theres a process involved mobilise them, get theirperspective, know their culture

    and rituals.

    A number of interviewees spoke about

    the failure of land reform and the lack of

    post-settlement plans, and how this

    failure has destroyed new agricultural

    enterprises.

    .A poor community moves in

    with no skills, or knowledge ..

    dont invest in making the land

    more productive and you find

    them squabbling because their

    expectations are not met,

    disagreeing about what to do(for example some of them

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    harvesting mangos and selling

    them direct to the public). The

    land has gone to a community

    and not a family: there are

    different agendas.

    A focus on farming alone is not enough,

    there also needs to be a focus on

    enterprise development up the supply

    chain.

    To make it work you need to not

    only think about making the

    farmers farm, but also about

    distribution and support measuresbecause if they dont have that

    they will farm but they wont

    have the income.

    One of the things weve seen is

    were trying to treat the

    emerging farmers as if they are

    businesses rather than farmers or

    growerswere find theyre not

    business people, theyre farmers

    and sometimes their farming skills

    are also quite inadequate.

    A retailer spoke of what it will take to

    support local suppliers.

    That local supply hasnt got the

    volume and they are not

    sophisticated enough to supply

    our supply chain anyway.

    Theres such a high standard to

    enter into that market that the

    hurdle is quite high. So I want to

    ..make it easier for them to get

    into (us).

    It will take time to change

    agriculture. We need to build

    skills. Its a combination of small

    margins, hard work and science.

    And there are still no guarantees. We think we can take people like

    me from the urban areas, turnthem quickly into farmingentrepreneurs and theyll make it.

    That story for me, has not worked.

    1.1.3FARM WORKERS

    Farm workers are seen as those with least

    opportunities and prospects.

    On the farms people are earning

    income but there is no skills

    transfer going on generations ofpeople are growing up without

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    skills.

    When I see a farm worker being

    a farm worker is unlucky, you

    couldnt be anything else.

    And while some try to make a difference,

    their efforts dont reap much reward.

    We have a commitment,

    fundamentally to what we

    believe we owe the country, to

    support the development of atransformed food supply chain

    but were getting stuck with all

    the issues in that sector.

    We found that this (initiative) was

    being driven by retailers seeking

    to launder their supply chain, but

    the costs and risks of these

    private regulations were borne

    by the producers and in the end

    the farm workers didnt benefit

    much due to a resulting increasein casualisation. The trade

    unionists werent able to

    understand these complexities.

    And significant immigration issues linger in

    the background.

    Illegal labour is a big problem. 4-7

    million people are here illegally,

    and farmers employ them. We

    need to take a regional

    approach to this. Its especially

    happening with seasonal fruit

    picking.

    1.1.6INPUT PROVIDERS

    There was reference to a lot of key inputs as factors, which influence food security.

    Although accessibility of some inputs was mentioned, the major issue was rising costs. We

    didnt speak to suppliers, so the views expressed here come from people further up thechain who feel the impact of its use, one way or another.

    FERTILISER

    Where it was mentioned, fertilizer was

    seen as a significant problem from a

    price perspective across the region.

    We cant have inexpensive

    fertiliser here, despite the fact we

    make it here.

    Fertiliser we realized that there

    was a cartel for maize farmers:fertilisers are a major input cost

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    per hectare around 60 70%.

    Or from a use perspective We actually make enough

    fertilizer in this country but were

    importing 60% of demand -

    people are using massive

    amounts

    There is a huge risk of over

    fertilising and ruining our soil.

    Or from a logistical perspective Half of all fertiliser in Africa is for

    free and the large majority of

    farmers are basically organic

    because they are not accessing

    that fertilizer because to get a

    bag of fertilizer to a farmer in

    Africa is harder than anywhere

    else.

    And one lone voice raised a concern

    about rock phosphate,that no one is

    paying attention to

    There is a rock phosphate

    shortage in the world and no

    agriculture without it. Its anotherhidden resource only China is

    concerned about rock

    phosphate it is hanging on to its

    own and mining it elsewhere.

    Africa is running the deposits

    down.. the only people who

    have studied it and know why it is

    the key to Food Security are the

    Chinese. And Africa just exports it.

    They dont think it has a value its

    just given away.

    SEED

    None of the seed companies were

    interviewed, yet the issue of seed, and

    the impact of GMOs came up

    One of the issues which we dont

    deal with but I think is major, is

    supply of seed.GM is a reality South Africa produces about 60%

    GM maize, which is not an issue;

    you wont grow horns from it.

    And some see benefits In South Africa GM has helped,

    we produce 3 tons per hector

    compared to Zimbabwe which

    has the potential to produce 10

    tons per hector or Tanzania

    which is the most fertile place in

    the world.

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    (re. GM seed) Older people are

    interested in the quality they see

    from buying the new seed, in

    terms of the size of the product

    and the resistance to a number

    of diseases.

    But others dont think it offers any

    improvements

    if you want Food Security among

    the peasant farming movement,

    they cant be reliant ongenetically modified or

    hybridised seeds, which

    degenerate, cant be safe,

    theres plenty of open pollinated

    seed that does the same job,

    produces maybe a bit less but

    the quality is so superior.

    While there are concerns about who is in

    control of seed

    If I havent got my seed I cant

    sow ask the farmer if he doesnt

    want to pay that price for the

    seed, what are his options?

    In the 80s and 90s, there were

    many new hybrids locally

    researched. Not anymore, now it

    is the big multinationals like

    Monsanto, which is risky as we

    only account for 1% of their

    business globally.

    TRANSPORT

    The price of transport was an issue for a

    few players across the chain, citing the

    shift from rail to road as a factor.

    Transporting stuff out of the silos

    has also got very expensive 90%

    of grain was moved by rails in

    early 1990s, and now its mostly

    road which is 30% more

    expensive and it destroys theroads.

    But some see problems with a return to

    rail

    Rail has the pilferage problem

    its the cheapest mode of

    transport but we cant use it

    because not a lot of your

    produce will see the other side.

    Breakagethey steal from our

    own trucks while theyre traveling

    up. Its not big.

    Rail will never work, people want

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    to own part of it, they can do

    that with trucks, not rail. We

    wont go for that.

    While acknowledging the difficulties and

    costs of using roads

    Road infrastructure were not

    only talking Africa (also in South

    Africa). If you just take the road

    between Bloemfontein and

    Gaborone, a truck can break an

    axle on it.

    And calling on the government to

    reconsider its policy on fuel.

    If you are only looking at the fuel

    levies transport is making a

    huge part 90% of the consumers

    basket, the government is taking

    a lot of money from this sector via

    levies. That is adding up to an

    inefficiency in terms of the sector.

    WATER

    For some the water issue is becoming

    urgent and is part of the impetus for

    moving into new parts of Africa

    In Mpumalanga, the coal-mines

    are contaminating major

    agricultural land and rivers. ..Its

    going into the food. Quality of

    water is a problem more than

    quantity. Agriculture uses 60% of

    water.The South East and

    Western Cape are running out of

    water and with climate change

    will become even drier. Weve

    been saved by the Lesotho

    Highlands Water Scheme. How

    can we bring the Zambezi south?

    Time is critical.

    We are going to have a massive

    water supply problem in this

    country in the next three to fiveyears time... So we have tounlock that potential in Sub-

    Saharan Africa.

    Others see different actions required. If you are going to label

    anything, label water. This is far

    more of a crisis. There are wine

    farmers planting bamboo for

    carbon labeling, when these

    plants attract rats, suck up water.

    Waste for example, is a massive

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    problem (in polluting). Packaging

    needs to reduce for water supply.

    LAND

    Some expressed an overall sense that

    there is less to go around.

    Im making people aware of the

    statistics about loss of productive

    land.

    A set of drivers contributes to land risk. If we are at risk of our land 1. In

    bad soil management 2.

    Increasingly in foreign hands, and

    3. That land reform processes are

    not supporting emerging farmers,

    then we really are creating a

    crisis. The writing is on the wall.

    Government is clearly trying to do

    something, but with unintended

    consequences.

    There are huge problems. The

    government has spent R30 billion,

    and they paid overinflated prices

    for land and now cant afford todeliver.

    And a lack of clarity about the situation. We need to do a land reform

    audit who owns what.

    Some are taking clear action so that their

    needs are met.

    Youve got to keep them

    (government) on side because

    there are a lot of farms and there

    are a lot of claims on land. I think

    if you come to them and make

    them look good. They perhaps

    make the land available, you

    cant do it without land. I think

    thats the critical part.

    Although others dont see it as being a

    problem

    No: school land, municipal land,

    marginal land, it (small scale

    farming) doesnt need land youneed to own yourself.

    ENERGY

    The demands of the modern cold chain

    have brought the cost of energy usage

    into sharp relief

    Energy is going to be a huge

    issue for cold storage dependent

    businesses.

    The cost is becoming prohibitive,

    in the old days farmers didnt usea lot of electricity planted

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    cabbage, put in a truck, take to

    market now weve got cold

    chain and its got to be washed

    and chilled all of a sudden

    these extra costs in the chain.

    But some dont see it as a place with

    collaboration potential because of

    competitiveness issues.

    Just look at energy efficiencies.

    Clearly our retailers need to

    manage energy better with

    increasing costs. However, we willnever collaborate there.

    1.1.7 GOVERNMENT

    What is the role of government in securing food? This role is changing, Moreover, many

    civil society and corporate players express ambivalence about governments role.

    Should it, for example, provide more regulation to the food industry or less? This confusion

    and ambivalence tends to harden the polarity for example, between commercial and

    small farming.

    There is a sense among some

    interviewees that the state has let go

    of its responsibility. The introduction of

    the Rural Development Department has

    increased, rather than addressed,

    confusion about roles and about the

    connection between those roles

    I dont think we have a common

    voice/purpose/mission as the

    government institutions whether it

    be govt funding institutions or the

    government regulatory institutions

    and ourselves, we do talk but

    theres nothing that has forced us

    to see each others impact.

    No one is taking decisions in the

    Department of Agriculture.

    Everyone is scared with the new

    restructuring and the dynamics in

    the ANC. Certain systems are

    working, and others arent.

    And the government needs to balance

    different imperatives.

    Theres always a tension between

    industrial policy and competitionpolicy from an IP perspectivewell want to support the entrance

    of (emerging farmers/agents etc)

    going forward for them to have

    sufficient economies of scale we

    may have to allow them to act

    anti-competitively.

    A retailer highlighted that there are

    some positive and mutually beneficial

    relationships.

    Government in various forms: DTI,

    BEE commission are continuously

    working with us .trying to assist usin any way to really improve our

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    ability to make a difference in

    terms of transformation.

    Next month weve got an exciting

    meeting with senior officials of

    government around what their

    idea of a well-managed farm

    would look like.

    At the same time, some intervieweesreport real frustration about accessing

    their partners in government

    departments.

    We dont get to the rightstakeholders in government, we

    dont know who they are, we

    dont have the resources to invest

    in building those relationships.

    The new government departments

    of rural development and land

    reform are not coming to the

    party. When are we going to get

    an audience?

    Maize forum has summits,government does not pitch or they

    send a junior guy who cant make

    any decisions.

    We are part of a ministerial task

    team that developed a strategic

    plan for agriculture together with

    NAFU and business. There is still

    a ministerial task team but we

    havent met, and how are we

    going to engage on this plan?

    The quality of communication matters

    to many players in the field.

    There is a lack of trust between

    agriculture and the government.

    Farmers decide its better to focus

    on the export market than to focus

    on the local market.

    There is also a view that its moreeffective to create a conducive

    environment to talk and work together.

    We need a more engagingenvironment. If government wants

    to ensure citizens dont get a raw

    deal, then government needs to

    engage with the industry players.

    You are not going to achieve

    anything by investigation and

    talking about it in the press.

    The Competition Commission has

    created a lot of fear. People arereluctant to talk to each other. Its

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    a costly exercise for us, we need

    lawyers present at all of our

    meetings. This stifles creativity and

    innovation.

    While there are complaints about

    declining investment in infrastructure or

    a lack of extension services there is

    also a plea for a better funded, more

    integrated and aligned governmentapproach.

    The Department of Agriculture

    (food security) is trans-disciplinary

    but other politicians dont see that,

    so we are relegated to doing food

    gardens.

    Government is not investing

    adequately in agriculture in

    general big or small.

    Including a return to subsidies We are concerned that there

    doesnt seem to be as much

    support for agriculture as there

    once was. There used to be more

    generalist subsidies.

    A lot of white farmers wereestablished by subsidies that were

    provided by the Nationalist

    government, thats what the

    government needs to do.

    I would like to see lots more money

    flowing from government to

    farmers in form of subsidies. Some

    kind of revolving funding for

    conversion. More extension

    services for farmers, and

    enforcement. A ton of green

    scorpions making sure the

    practices are changing.

    There were a few comments about the

    need for a more systemic overview to

    be held by government.

    We didnt have an agency that

    was about having a systemic view

    about this economy, the PlanningCommission, the EconomicDevelopment ministry are new

    opportunities.

    The National Planning Commission

    needs to manage this problem

    from the top, as there are so many

    interconnected issues to address.

    There are strong opinions about what

    government should do, especially onthe subject of regulation.

    Government needs to create an

    enabling environment, regulatethe sector and provide

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    infrastructure.

    Until you raise the benchmark with

    better regulatory standards, you

    are going to continue to get

    people who distribute food, which

    they shouldnt be distributing.

    Either regulate everything or

    nothing; you cant regulate halfthe distribution chain and not the

    other half.

    There is cause for judicious state

    regulation. Private regulation isnt

    really working the effective

    implementation of existing

    national legislation would

    probably go further.

    There is a need to investigate collusion

    across the supply chain, and not onlywithin sectors.

    I think the inquiries of the

    Competition Commission are illadvised, because they need to

    .look at a particular product in

    whole supply chain.

    New legislation is positive, but capacity

    to implement is a problem.

    The Consumer Protection Act is an

    act which is advancing consumer

    rights... I think its a beautiful piece

    of legislation.... The government

    would prefer the industry to self-

    regulate on this issue. They will form

    a consumer commission where

    consumers can complain.

    But..would not have the capacity

    to take care of this.

    We have some of the best food

    laws in the world, but our capacity

    to regulate is limited.

    For one, this comes down to

    Government leaving the sector to it

    Government sees us as a sector

    that looks after itself.

    1.1.8 ACADEMIA

    Voices from different parts of the system

    wanted a reversal of the trend of

    declining investment in research related

    to food, and agriculture in particular.

    Food is a sensitive issue and is

    often political, it needs to be

    driven more by academic

    research.If I were minister of agriculture I

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    would put more focus on

    research.

    Im worried about (the lack of)

    science and research and

    bringing in new technology.

    Some acknowledged that deregulation

    has led to under- or skewed investment.

    Theres been an accumulation of

    skill and knowledge through the

    years, and then the researchsupport through the infrastructure

    but that has been curtailed

    because you thought that with

    deregulation that things like R and

    D would be done by the firms and

    thats not happening.

    Although one or two noted that

    academics and business dont always

    communicate enough

    the rift between agricultural

    people and NGOs

    /academics.the gulf that exists is

    not because there isnt

    transparency, but there isntcommunication Academics like to

    do the research and dont

    engage with business.

    And that research has been used in

    unhelpful ways at times.

    Everyone uses his or her own

    backyard researchers. You are not

    entitled to your own facts, but you

    are entitled to your own opinion.

    Others focused more on their own

    organizational needs for research

    support

    Wed need a good academic-

    oriented R and D teams to

    document everything (about this

    process), like put it into a full

    curriculum. We need to have

    academic and scientific peer

    review then people will start to

    take it (this project) seriously.

    We should use university studentsmore, to do research on questions

    around Food Security we

    (business) are not geared to (or

    rewarded by shareholders for)

    doing research.

    Its clear that, with such a broad range of players who contribute in some way to food

    security, collaboration and collective action will require significant effort. The interests

    vary, and the perspectives are often at opposite ends of the spectrum. The positiveimpulse is that everyone without fail has recognized that food insecurity is on the rise in

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    Southern Africa, and that each player has a role to play in reversing this trend.

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    1.2. THE CURRENT FOOD SYSTEM, STRAINED AND STRETCHED

    Those who considered the system as a whole, noticed significant imbalances. They

    commented on the consumers and farmers sitting towards the ends of the chain, were

    least powerful overall and price takers relative to the concentrated business sectors in

    the system. There were also concerns about the social, economic and environmental

    implications of deregulation and current patterns of economic activity and planning.

    The system that works well is designed to

    meet middle class needs.

    When you work with big

    businesses, they have growing

    plans of 3 to 5 years. that feeds the

    average Mrs. Constantia, Mrs.

    Benmore and thats whathappens.

    The dynamic we havent grasped

    is the divide between the formal

    and the informal.

    A few felt that the process of

    deregulation undertaken a decade ago

    was not well thought through and we are

    paying the price for that now.

    I think for the first 10 years of this

    economy we were obsessed with

    following global rules. (about

    deregulation/subsidies etc.)

    Of course, in the last 10 years, the

    food market has undergonetremendous change and most of it

    was market led the government

    just said, leave it to the markets.

    But I think there have been certainthings that could have been

    handled better.

    The take away for me in food (and

    telecoms) is that unless you have a

    strong regulator the outcomes that

    you are looking for, may not

    necessarily emerge. Weve

    replaced a government monopoly

    with an oligopoly as have with

    telecoms. Im feeling that we hadblind faith and we didnt do our

    homework and understand the

    nature of the agricultural markets

    before we deregulated. But after

    deregulation there was not

    enough supervision, regulation,

    enough facilitative role of the state

    to improve food security and to

    create a fairly egalitarian society.

    Deregulation went ahead in an adhoc manner without food security

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    considerations.

    Since deregulation, more power has

    concentrated with large players in the

    chain.

    The bigger players have replaced

    government as the regulator in the

    way that they utilise their power.

    And there is insufficient competition to

    make that work well.

    The concept of competition is not

    working. We need to create more

    competition.

    On the consumption end Because there are 4 retailers,

    people dont have much of a

    choice.

    For a population of 45m people

    we only have one (dedicated)

    national fruit and vegetable

    retailer that only happens in this

    country, we must have more

    retailers we need more

    competent businessmen, there is

    no competition at all.

    On the distribution, some of

    retailers are making a huge

    amount of money.

    (In Khayelitsha) The philosophy (of

    a retailer) was to hoover the

    money out of the townships.

    And the production end We know on the input side that the

    market is highly concentrated,

    whether youre talking about seed

    or about fertiliser Monsanto and

    a few others control seed.

    This leaves the farmers in a relatively

    weak position.

    A lot of the big farms, big volume

    market. Its all controlled by big

    business. Theyve got their bigfarmers that are farming for them.Fruit and Veg City maybe buy off

    the market. The farmers have got

    to go and plan that works to their

    needs.

    Without a strong facilitator local

    government or some state agent,

    an individual farmer doesnt have

    negotiating power vis a vis a

    Woolworths for example, and foodis going through those chains.

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    weak relative to retailers.

    We are sitting on a time bomb

    where 4-5m people are subsidizing

    all the rest, we are creating a

    community that is living off social

    grants because there are no

    opportunities. People want jobs

    but theres nowhere to look.

    The consumer is quiet. Research

    shows that the label came first

    (when retailers think about

    improving standards) and the

    consumer came after.

    And the dependency on big business

    value chains impacts poor communities.

    The people who are living in

    townships or who live in the more

    rural (areas). Im not sure that

    theres a self-sufficiency culture

    there. I think they are too

    dependent on the value chains ofbig business.

    Rural. If you dont have a supply chain of

    food that is locally driven it leaks

    out of the communities back to

    the formal sector or to formal retail

    theyve moved big time to the

    townships and rural communities

    are worse off because they have

    to use that money to travel to

    town and buy food but if you

    were to promote local production

    they could use that money there.

    The retailers contributed to the de-

    agrarianisation of these areas as

    they were able to provide

    products for cheap without the riskassociated with production, due toeconomies of scale, etcThey

    also generally did not source many

    products locally. This process had

    pros and cons. It was beneficial for

    pensioners, due to access to

    cheaper products, but bad for the

    local economy, due to demise of

    local production and rents being

    exported.

    and urban Ironically the rural market eats

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    more sustainably. Its much more in

    the urban environment.

    Theres going to be all kinds of

    threats .oil peak, rising oil prices,

    water resources, nutrient flows,

    food supplies, basic materials etc,

    and so their argument is this is

    becoming a really major issue is

    the kind of resource flows intocities..I cant really see a future

    for cities if they are dependent on

    long distance value chains the

    future of cities is going to be more

    and more dependent on urban

    agriculture.

    While government policy and focus

    reflect the divides.

    Most often rural areas are not seen

    as a site of development in and of

    itself but as a supplier of food to

    the urban areas, so ..were just

    extracting the rents from the ruralareas to support very big urban

    populations and we dont have a

    model of developing the rural

    areas.

    Theyre (Department of Rural

    Development) still seeing

    development as agriculturally

    based why not set up processing

    plants, why not look at the

    economy around it if they can

    grasp that concept it will take off. I

    dont think they do right now.

    The country consists of

    Johannesburg and the ports: that

    [perception is] the problem and if

    you are looking at the DTI theyvesunk a lot of money basicallyreinforcing that pattern.

    The Department of Agricultures

    role with the commercial sector

    its about permits, collecting

    information, creating reports,

    transport etc. Subsistence and

    smallholder farmers are at the

    forefront for Department of

    Agriculture that reflects thedualistic nature of the sector.

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    1.3 THE CURRENT FOOD SYSTEM, SEEDS OF CHANGE

    Within the food security system in Southern Africa, interviewees highlighted a number of

    innovative solutions already up and running to help reduce food insecurity outside of their

    normal business practice. There is a sense from many that if some of these ideas were

    shared or brought to scale, the problem could be more significantly addressed.

    Economic Development Initiative

    successes linking farmers to supply chains

    Weve had some success in the

    KZN area, with supporting a co-opof women farmers, amadumbies

    in the Beaufort West areas

    hydroponics growing of herbs and

    spinach, getting emerging farmers

    into our supply chain.

    Post-settlement support project in

    the Brits area is working... Theyhave started giving loans to 12-15

    farmers of R400 000, and that

    amount has moved to R90million,

    involving thousands of farmers.

    Wool farmers are doing well to

    establish black commercial

    farmers.

    There are attempts, for example in

    the Eastern Cape ASGISA EC,trying to support local farmers,

    even vineyards in the Western

    Cape, there are some successes.

    And so Ive seen some of those in

    maize farming, sunflower..theres

    also some success with

    Motswenyane) whos supplying

    Pick n Pay with oranges for their

    juice ..

    Would I consider the Paprika storya success story? Yes, its surviveda year, it has successfully

    produced 68 days of paprika for

    us. Its provided employment for

    218 people in a community that

    didnt have much employment at

    all.

    Commercial farmers willing to help In the areas where weve got

    involved there is huge willingness

    to help (from commercial farmers)but its uncoordinated. ..we had

    a wonderful experience in

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    Limpopo expecting farmers to be

    locked in their ways and them

    really coming forward. Farmers

    want to help, but want to know

    how.

    Knowledge bases for market linkages We have the market economic

    research centre we have a

    specific focus area on linking

    farmers to markets, theres a lot ofresearch done.

    And for improving soil Soil quality is not a problem

    weve got the technical solutions

    I can turn a wasteland into a lush

    little garden weve got

    technology, knowledge, doing it

    cheaply, its all there.

    Some places where interviewees felt

    work with small farmers was paying off.

    Muyexe, Limpopo. We are seeing

    communities planting. In the

    Eastern Cape they haveSiyazondla household garden

    programme... Jacobsdaal in the

    Free State has veggie tunnels. Its

    small but its happening. A lot

    has happened in the last 2 years.

    The farmers themselves also with

    some professional support run the

    pack shed, run the whole

    operation. We employ some of

    the farmers as field workers and

    trainers to run the system, so in

    effect were a voluntary co-

    operative, weve created our own

    market at mostly school

    communities.

    There are already pockets aroundPort St Johns where people arerunning livelihood level farms, and

    cash, because they are smart

    enough to have taken on the

    discipline of commercial mixed in

    with subsistence, you dont need

    new land for that.

    People and places where more

    environmentally sustainable possibilities

    are being explored successfully.

    ZZ2 is a good example of a

    company that has the intellectual

    and financial resources to gobeyond retarded collapse to

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    restoration restoring the means

    to sustain their own business but

    an ecosystem when you restore it,

    it goes beyond the boundaries.

    ETH Swiss university is already

    manufacturing fertilizer from

    sewage exporting it

    transforming urine thats where

    the nutrients are not in the feces.

    Weve got potato project in the

    Sandveld. Its funded by Potatoes

    SA, they are trying to implement

    better farming practices, so now

    they are having first crop

    sustainable potatoes farmers

    have voluntarily done. The

    irrigation of potatoes is enormous,

    and influenced the fresh water

    supply in local communities.

    Retailers are already working in some of

    the areas they identified as having

    potential food safety, quality and

    packaging.

    We have a food safety initiative.

    We collaborate around how to

    make things easier for all our

    members to benefit. For example,

    we are starting a project where

    we create a big database to

    audit/test the food.

    We now have a new strategy

    called market of the future

    following industry trends globally

    to improve food quality and safety

    and to improve the environment

    at our premises.

    For our packaging we have a

    partnership with NAMPAK

    recyclers are formally employedto collect and take it to theirfacility on the premises where they

    collect each day. ..1% of our

    produce goes to waste.

    And some businesses are picking

    up on the international trend

    towards local food.

    We have a strong focus in the

    foods area to do more regional

    sourcing. The model with one

    supplier, and distribute all around

    the country, were beginning to

    say thats not the most efficient,but thats in its infancy, the

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    regionalization of supply.

    We are driving a local sustainable

    sourcing thing, probably more

    from a B.E.E. perspective than

    from a food security perspective.

    And finally some innovation at the

    distribution end

    We are trying to develop a project

    to deliver hampers to corporate

    employees to support a healthy

    lifestyle 5 a day.

    Warwick Junction amazing

    creating initiative, under threat, by

    the Durban city, to build an

    infrastructure in middle of the city

    to sell food to people next to

    the station now they want to puta mall up yet where it is whatmakes it interesting the city and

    local operators who have

    collaborated to make it happen

    sourcing food on daily basis to

    feed the working class! Where is

    that food coming from?

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    2. THE WAY FORWARD

    When looking into the future, interviewees expressed different approaches to changing

    the system of food security. There were proposals that involvede changing paradigms

    radically rethinking how the system could and should operate and others that tinkered

    with the existing reality to a greater or lesser extent. Some people tended more to onecamp or the other, and some spoke of both.

    The purpose of highlighting these two paths is not to choose either/or when deciding what

    to focus on, but rather to recognize that they exist strongly as possibilities for people in the

    food security system, and need to be worked with at the same time across the initiatives

    participants of the future change lab would want to pioneer.

    2.1 PLACES AND SPACES OF POSSIBILITY

    Many interviewees talked about places that they thought were interesting to consider forfuture action to support better food security.

    Some interviewees wanted to see a

    more deliberative and interactive

    relationship between research and

    practice.

    Maybe we need to commission

    some masters and PhD students to

    put together great big operations

    research, modeling of alternatives

    triple bottom line.

    What we can do is to aggregate

    the knowledge were getting

    back to the relevant departmentsfor example, what happened with

    the fisheries policy.

    .. including academics and

    private sectors, people who run

    the wholesale markets, who have

    a sense of procurement and flows,

    and also have in the room the

    ecologists, people who have a

    sense of soils and ecosystem

    services and environment andstitch together understanding of

    existing flows, what are

    alternatives, what are the

    intervention points.

    Including spreading models through

    academic institutions.

    It (model of livelihood farming)

    could almost be franchised, it

    needs a bit more academic level

    support to break it into bits and set

    it up so it can be like a tick box

    system do that, that will happen,so it could be picked up like that

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    and replicated in cities all around

    SA, from an urban point of view,

    wherever there are people with

    money to buy fresh natural grown

    vegetables, therell be the

    potential to set up the whole

    system including the marketing

    end in the urban areas.

    Improved collaboration is necessary anddesirable and some feel strongly that this

    needs to be defined carefully in terms of

    specific issue areas and opportunities.

    Not long ago, government waslooking at opening government

    shops. Rather lets do something

    jointly and utilize existing

    infrastructure, its a better use or

    resources.

    We know what a basket looks like

    for poor people. Lets take some

    stuff out, and put it to a tender

    process. What is government

    maize? Im not sure what the

    mechanism is. All the retailershave it, and in areas where there

    is maximum food insecurity, lets

    price these together. We need to

    achieve scale by giving one or 2

    manufacturers an opportunity to

    reach massive scale. We need a

    3rdparty like government to

    allocate the tender.

    Improving payment conditions for

    enterprise development

    There are other ways we can help

    in transformation. The easiest way

    for retailers is better terms for black

    suppliers. They battle with cash

    flow. So pay them on invoice,

    which is not a difficult thing to do.

    Its far more helpful in terms of

    transforming the economy.

    Packaging came up a few times, andthere are clear ideas which reduce price

    of packaging, and ultimately the food.

    This is a lever in the supply chainwhere we can cut costs. There are

    cheaper alternatives. That is in

    everyones interests. Its in the

    environmentalists interests, its in

    the retailers interests better

    logistics, its in the consumers

    interests because they are getting

    a cheaper price.

    A drive to improve nutrition and labeling. We want to improve healthbenefits. Move away from cheap

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    and nasty additives.This is a

    place we could make an impact.

    This will be an impact on private

    labels we create which have less

    packaging, are healthier, and

    where thats evident to people

    because of labeling.

    New food baskets focusing on a

    particular group of foods in a particulararea.

    The whole idea is that you cant

    eat pap alone you need toidentify within the locale what can

    be eaten with it so that pap

    consumption can keep going up.

    We need to think about what

    could be the selling point for them

    (industry players), the most

    interesting areas.

    In coastal areas there could be a

    project around snoek engage

    the wheat people they need to

    eat fish and bread together butthey also need fruit and greens

    there can be some way of adding

    things for a nutritious food basket

    and to increase understanding.

    Bringing urban agriculture and rural

    processing solutions more to the fore for

    regionally based food systems.

    The model of the last 200 years is

    under strain based on

    centralised production in certain

    areas moving goods over long

    distances I think we need to

    experiment with urban food

    gardens, and thats not something

    I think is on anyones agenda.

    We need to elevate urban

    agriculture to a higher status

    shorten the supply chain. The

    status is that urban people dontwant to eat out of their garden.We need to get to a point where

    your status is not defined by car in

    the driveway, but NO car in the

    driveway.

    Creating economic development in rural

    areas.

    How can we develop the rural

    areas as viable economic entities

    and not just as suppliers of raw

    materials and putting some low

    scale processing there as well?

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    A couple of suggestions focused on the

    need to reconsider co-operative

    approaches to increase the bargaining

    power of farmers.

    They are looking at other

    agricultural initiatives in the Eastern

    Cape as well so that they would

    be part of many, theyre looking

    at co-operative parties theyre

    very reliant on corporates to help

    them with this. They very much on

    the mindset that you cant just go

    and grow paprika, you actually

    need your market first.

    Farmers can sell together and buy

    some inputs together.

    As well as creating alternative supply

    chains to support them

    The Food Bank could help create

    some co-ordination for example,

    take 5 farms, and look at what

    could be done to collaborate to

    make things happen on a larger

    scale.

    Theres a way of supporting localfarmers. You buy the product

    upfront, and for the rest of the

    season, you get that farmers

    crop. This system is not going to

    supply the retailers. We are trying

    to encourage people to shorten

    the supply chain. Get to know the

    farmer. You are investing directly

    and reaping the rewards.

    Ideas to make farming more

    environmentally sustainably

    So ZZ2 should own all the sewage

    plants Theres an added income

    we cant run it (sewage systems)

    from the tax base anymore. They

    (should go) into the water and

    energy business nutrients out, sell

    water back to municipality

    closing the loop.

    developing sustainable farming

    manuals. .Now the food industry

    wants to do this. They are to house

    all regulation in one sustainable

    farm manual. Now we are starting

    the same process with the diary

    industry.

    Finally a few suggestions thought

    education was needed, to raiseemerging business awareness of the

    To demonstrate that people eat

    every day and that this sector iswhere the money is: last year

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    opportunities in the sector. people talked about a recession

    but we didnt see it here, we had

    record sales. We are trying to

    make the youth more aware so

    that theyll be interested and the

    information will trickle down.

    To get more people back into farming Where we used to produce food,

    we arent any more that goes

    back to education, if you putthose people back on those farms

    to start producing then thats the

    one king pin.

    And to doing it well. The technical solutions are not the

    problem .actually it comes

    down to basic good husbandry its

    just reconnecting to that with a

    new consciousness.

    2.2PARADIGM SHIFT -FOOD ECONOMY/FOOD COMMUNITY

    For some, a fundamental change in the way we interact with food seems necessary. For

    them we have become too disconnected from how it gets produced and from

    understanding the earths resources that enable us to eat. They want to see us eating

    different foods, buying food in different ways and going back to basics to produce.

    A few interviewees talked about

    change needed at the cultural level to

    make more significant shifts that they

    saw were needed for the food system to

    get back on track although they knew

    these ideas were not the mainstream.

    Their thinking implied changes in the

    food economy too.

    I think companies embe