DALRRD, OBP, ARC, NAMC Q1 2024/25 Performance; with Minister

Meeting report

The Chairperson said that due to the large number of presentations, presenters should focus directly on key issues instead of reading through the slides to promote a more efficient discussion. This would provide ample opportunity for members to engage and raise questions. Members had already reviewed the presentation, making it even more important to concentrate on substantive matters.

Minister and Director General remarks
Minister John Steenhuizen acknowledged that the discussions on agriculture and land reform began before he took office but reaffirmed his commitment to addressing ongoing concerns and making progress on unresolved issues. He also shared positive outcomes from recent discussions with China, which he believes will significantly benefit South Africa's agricultural sector in the near future.

Mr Mooketsa Ramasodi, Director-General: Department of Agriculture (DALRRD), outlined the agenda, focusing on the G20 Ministers' meeting and the upcoming session South Africa will host. He noted that Deputy Minister Capa had been sent to Brazil for a related event, and efforts were being made to position South Africa as a global leader in agricultural development.

A key issue raised by the Director-General was the imbalance between the number of agricultural extension officers and the farmers they serve, with a current ratio of 1 officer to 1 404 farmers—far exceeding the ideal ratio of 1:250. In response, the Department launched the Agricultural Extension Practitioner (AEP) program to recruit more officers, but the program faces sustainability challenges due to financial constraints as efforts to secure additional funding from National Treasury have been unsuccessful. Consequently, many AEP contracts, initially set for three months and later extended on a month-to-month basis, have not been renewed.

The Minister reiterated the Department's commitment to improving the ratio of extension officers to farmers and addressing systemic challenges in the sector and acknowledged the Portfolio Committee's concerns about agricultural productivity and financial management, noting that these issues were being reviewed at multiple levels.

DALRRD 2024/25 Q1 Performance Report
The presentation highlighted achievements in agriculture, biosecurity and land reform, while also addressing the challenges, particularly in finance-related initiatives (see document). The Department achieved 78% of its Q1 targets, with 18 out of 23 targets met. 41% of the targets were related to Agriculture, while 59% were for Land Reform and Rural Development​

Key Programmes
Administration: Had a target of paying 100% of valid invoices within 30 days but achieved 92%​

Agricultural Production, Biosecurity, and Natural Resources Management (APB&NRM): Achieved 100% of its four targets, including pest and disease surveillance, bioenergy support, and delineation of Protected Agricultural Areas (PAAs)

Economic Development, Trade & Marketing (EDTM): Achieved 75% of its targets, including supporting 54 smallholder farmers with agricultural marketing​

Agricultural Performance
Livestock and Plant Health: Completed risk surveillance for exotic fruit flies, citrus greening, and Banana Bunchy Top Virus (BBTV), achieving all set targets

Bioenergy: Supported three subsistence producers with integrated bioenergy technology

Challenges
Food Security & Agrarian Reform (FSAR): The target of supporting 25 producers through the Blended Finance Scheme was not achieved due to delays in project approvals and negotiations with implementing agencies​

The performance of Land Restitution and Rural Development programs was strong, with 100% of targets achieved

DALRRD 2023/24 Q4 Performance Report
The Quarter 4 presentation noted key achievements, particularly in agricultural marketing, pest and disease monitoring, and international trade agreements. It acknowledged areas requiring further attention, such as land reform and support for Farmer Production Support Units (FPSUs).

The Department achieved 75% of its planned targets for Q4, with 27 out of 36 targets met. 54% of the targets were related to Agriculture, while 46% focused on Land Reform and Rural Development​.

Key Programmes
Agricultural Production, Biosecurity, and Natural Resources Management (APB&NRM): Achieved 80% of its targets, including successful surveillance of plant pests and animal diseases.

Economic Development, Trade & Marketing (EDTM): Achieved 92% of its targets, including training 99 smallholder farmers on agricultural marketing (exceeding the target of 50).

Food Security and Agrarian Reform (FSAR): Achieved all its targets, including enrolling 832 new students in agricultural training institutes, surpassing the target of 800.

Notable Achievements
Hemp Seed Certification Scheme: Progress was made in finalizing the submission of the Hemp Seed Certification Scheme to the minister.

Plant Pest Surveillance: Completed surveillance on exotic fruit flies, citrus greening, and Banana Bunchy Top Virus.

Animal Disease Surveillance: Conducted risk surveillance for Contagious Bovine Pleuropneumonia (CBPP), Peste des Petits Ruminants (PPR), and Foot-and-Mouth Disease (FMD)​.

Trade Agreements: Implemented and negotiated six trade agreements, as well as fulfilled six multilateral commitments.

Challenges
Land Redistribution and Tenure Reform (LRTR): None of the two planned targets were achieved in Q4.

Farmer Production Support Units (FPSUs): Only one of ten targeted FPSUs was supported during Q4.

Agricultural Research Council (ARC) 2023/24 Quarter 4 & 2024/25 Quarter 1 reports
Quarter 4 (2023/24) Performance
Overall success rate: 55% (27 out of 49 targets met).

Strong performance in crop technologies, animal improvement services and farmer support programs. For example, 1443 farmers participated in the Kaonafatso ya Dikgomo (KyD) program, exceeding the target of 1250. The number of laboratory services rendered was 97, surpassing the target of 40.

Areas needing improvement include field trials and blood vaccine quality control certificates.

Quarter 1 (2024/25) Performance
Overall success rate: 70% (28 out of 40 targets met).

Strong performance was noted in Outcomes 4 and 6, including support for KyD farmers and the publication of scientific reports.

Areas for improvement include crop cultivar evaluations and field trials due to capacity constraints.

Challenges
Foot and Mouth Disease (FMD) Vaccine Facility: A service provider was appointed for pre-development studies, with further stages like detailed design development scheduled for completion soon.

Land invasions: Urgent interim interdicts were obtained against land invaders at experimental farms.

Staff turnover: 35 employees left in Q1, with many resigning for better salaries or service conditions, affecting retention of skilled specialists.

Financial Performance
Revenue for Q1 amounted to R477 million, but expenses reached R424 million, resulting in a deficit. The ARC recorded a 44% decline in revenue from external income.

A forecasted operational surplus for the year was adjusted due to underperformance in certain areas like sales of farm products and diagnostic services​.

National Agricultural Marketing Council (NAMC) 2023/24 Q4 fiscal year Performance
NAMC operates under the Marketing of Agricultural Products Act with the objectives of increasing market access for agricultural sector participants, promoting marketing efficiency, optimizing export earnings and enhancing the viability of the agricultural sector​.

NAMC's 2023/2024 budget was R52.97 million with actual expenditure of R52.25 million that included expenditure in agribusiness development, agricultural trusts, markets and economic research​.

Challenges
NAMC faced challenges such as linking smallholder farmers to markets due to logistical constraints and staff attrition caused by financial limitations. The budget cuts impact service delivery. A resource mobilisation process has been initiated to raise additional funds. NAMC is pursuing partnerships and collaborations to raise additional funds, subject to the Minister’s approval​.

Onderstepoort Biological Products (OBP) 2024/25 Q1 & Q4 Performance
Quarter 1 (2024/25) Performance.
- Financial Sustainability: OBP aimed to increase sales revenue but fell short. The target was R50 million in sales, but only R24.6 million was achieved due to system downtime affecting invoicing. The sales of the top 20 vaccines decreased by 50%, primarily due to the inability to invoice clients.

- New product dossiers and international market submissions met some targets, but overall sales growth lagged.

Business Process Improvements
Production Efficiency: Exceeded the target with a 92% efficiency rate (target: 83%).

The implementation of the Enterprise Architecture plan (IT strategy) was delayed, and the completion of the GMP (Good Manufacturing Practice) certification project was not achieved.

Output for the top 20 products was also below target at 34.94%, due to supply chain issues with consumables for vaccine production.

Customer Service
OBP overachieved in establishing new distribution channels but struggled with customer complaint resolution, achieving 0% due to ongoing investigations.

507 farmers were trained, missing the target of 625, due to lower-than-expected attendance at events.

Governance and Leadership
Delays occurred in staff training initiatives, largely due to sourcing issues with service providers. However, some leadership development initiatives exceeded expectations.

Quarter 4 (2023/24) Performance
The sales target for Q4 was R70 million, but only R44 million was achieved. Challenges included product unavailability due to stocktaking at the end of March.

OBP fell short in submitting the targeted number of new product dossiers, mainly due to non-compliance in animal facilities.

Technological Improvements
OBP successfully developed one new technological process, in line with the target. It submitted more product dossiers to international markets than anticipated.

Challenges
Challenges include frequent equipment breakdowns, outdated IT systems, staff turnover, and the need for Good Manufacturing Practice (GMP) infrastructure upgrades. Mitigating strategies include improving maintenance, collaborating with the private sector for production, and investing in new products

Discussion
Mr A Trollip (Action SA) was frustrated by the ill-prepared implementation of the Agricultural Action Plan (AAP), which was initially funded through savings. Where are the agreements, correspondence and interdepartmental engagements for this plan?

Mr Trollip said the extension of contracts from three months to six months with no clear resolution raises concerns about accountability, possibly pointing towards Treasury's failure or someone not doing their work. He questioned the training, deployment and impact of participants in the Nasrec Youth Program.

He criticized the ARC performance, comparing their report and noted the delays in financial matters. These could cause further setbacks especially when it comes to vaccine availability. The audit improvement plan was not yielding results. ARC is only now addressing its asset register which has been a fundamental issue that should have been dealt with long ago.

Mr Trollip highlighted the historical matter involving OBP and the unaccounted-for R500 million funding. He expressed a strong desire for an oversight visit to get concrete answers. OBP has not been properly maintaining facilities or implementing a maintenance plan, which has led to underachievement in testing capabilities (GMP-related). He was alarmed that while there has been a significant increase in revenue from vaccine sales, 60% of the vaccines are sold abroad, despite local farmers struggling to access them. He emphasized the urgency of addressing the loss of market share, noting that once it is lost, regaining it is unlikely.

On board oversight and ministerial accountability, Mr Trollip noted the frequent meetings but stressed that that despite this, the outcomes remain poor. He challenged the Minister to reconsider interventions especially for OBP.

Lastly, he raised questions about NAMC linking farmers to markets and sought clarity on the sustainability of these linkages. He asked if farmers are actually delivering marketable, exportable products and what steps are being taken, if they are not.

Mr W Aucamp (DA) expressed deep dissatisfaction with the performance of OBP and ARC, describing the situation as "really, really bad." Drawing on his experience running a large business, if OBP and ARC were part of his business, he would have closed them down due to poor management, lack of record-keeping, and failure to deliver, which was costing money.

ARC's performance report with only 27 of 49 targets achieved, amounted to a 55% success rate wile ARC listed strong performance areas. ARC had failed to explain where they had fallen short, calling the overall report “dismal” and unacceptable. He emphasized the need for consequence management, not just in cases of corruption or theft, but also when targets were not met.

He raised concern over R65 million spent on an ARC facility with nothing to show for it and no clear timelines. He questioned what the money had been spent on, calling for transparency about the engineers and planning involved. He echoed concerns about the ARC asset register, for failing to keep it updated. He called for timelines on when it would be sorted.

Mr Aucamp found it troubling that while ARC and OBP were protecting their intellectual property, they were failing to deliver essential products, particularly vaccines, to South African farmers. How could they prioritize intellectual property over the needs of farmers, especially when African horse sickness was killing horses and exports were being impacted? He suggested they consider partnerships with the private sector to better utilize intellectual property while benefiting both the department and the farmers.

Mr Aucamp also highlighted that 35 ARC employees had been terminated, with 60% of them not leaving voluntarily and needed to know why they had been forced out. Additionally, he raised concerns about both ARC and OBP's lack of income due to invoices not being issued, calling this a fundamental failure in business management. He pointed out that even if systems failed, invoices could still be manually processed, as had been done before computers existed.

Mr Aucamp noted that R492 million had been allocated to an OBP project in 2014, but by 2021, only 36% had been spent, and the project was canceled, leaving nothing to show for it. If the project had been managed properly, all the funds would have been used and the facility completed. He called for an investigation into what went wrong and urged a review on whether OBP should continue to be entrusted with such responsibilities, given its poor track record.

Mr Aucamp expressed deep concern about the future of OBP and its viability, given the current figures and its inability to execute its responsibilities effectively.

Mr Z Mthethwa (MK) pointed out his frustrations over the lack of reporting on a significant segment of the South African population, specifically the Amakhosi, who represent 22 million people out of the country’s 62 million. All the reports seem to focus on other parts of the economy, completely neglecting the Amakhosi, who are primarily black farmers. He pointed out that these farmers in Mooi River produce goods but struggle to access markets. This is a structural and systemic issue preventing their integration into the mainstream economy.

Mr Mthethwa spoke about the agricultural graduates who remain unemployed despite a reported shortage of agricultural practitioners. He had been asked to request if the department could allocate budget resources to absorb these graduates. However, Treasury may be the bottleneck. He speculated that even when Treasury does allocate funding, the department may prioritize other matters instead of addressing the need to employ these graduates.

Mr Mthethwa proposed that through the support of the Committee, there could be greater collaboration between the Amakhosi in South Africa and their counterparts in the Middle East, as they were planning a King's Investment Conference in November. This would be an opportunity to recruit investment for agricultural products and livestock that currently have no market in South Africa. He emphasized the importance of creating an enabling environment for the graduates, who come from the Amakhosi communities, so they can contribute to agriculture.

Finally, Mr Mthethwa urged the Minister, the Department and the Portfolio Committee to support this effort, stressing that it was unsustainable to ignore 22 million people and hope that the situation would resolve itself. He expressed his intention to work constructively with the government rather than criticize it internationally and reiterated the need to develop new market opportunities for the Amakhosi farmers.

Ms N Ndalane (ANC) expressed concerns about the department's failure to meet its targets and address the challenges it faced. She questioned what plan was in place to tackle these issues, emphasizing that it was problematic to manage a department without having clear solutions for its difficulties. She highlighted the invoices that had not been submitted, finding it perplexing that the government allowed this to happen. Action needed to be taken to resolve this unacceptable situation.

Ms Ndalane asked the Department to clarify how many graduates had been employed or received in 2020 and inquired about their current status. Were these graduates receiving their allowances and, if not, what steps had been taken to improve the situation?

Mr C Smit (ANC) acknowledged that enough had been said about OBP so he would refrain from adding more on that topic. He sought clarity on the ICT procurement challenges, asking for more details and how assistance could be provided to resolve them.

Mr Smit raised concerns about land invasions such as in Umtiza in the Eastern Cape and asked for the department’s overall strategy and plans to address this widespread problem. He inquired about the Minister's engagement with other ministers on this issue, suggesting a broader government response might be needed.

Mr Smit agreed with Mr Mthethwa about farmers producing products that do not get sold and the key problem being the lack of market access. He emphasized the need to work backwards from securing markets before focusing on production. NAMC should play a more prominent role in addressing this. He suggested the development of a virtual or digital market and believed such a platform could help link small-scale and commercial farmers to local and international markets. He expressed concern over the lack of coordination among smaller, upcoming black farmers, leading to disorganized production that often does not meet market demands in terms of quality or specific product needs. He also acknowledged the challenges with cooperatives which often lead to conflict. Instead he advocated drawing on the existing culture of societies in communal areas. These societies already have cooperation, coordination and mutual support structures in place, which could enable them to pool resources and become self-sustainable. He suggested that farmers work together to fund expensive infrastructure and equipment collectively, which could help them achieve independence.

Lastly, Mr Smit asked for an update on engagements with Treasury on the status of extension officers, expressing concern about the financial constraints the country is facing. Was the situation improving or worsening for the upcoming financial year? He noted the problem of an unfunded mandate that was imposed, which created additional burdens on the department. How can this be avoided in future? There had been insufficient engagement on the matter when it was implemented.

Mr R Cebekhulu (IFP) raised food security and land restitution and stated that the government had bought farms and restored them to certain groups. However, he believes the department should have emphasized to Treasury the critical importance of prioritizing food security for the nation, suggesting that this could be a missed opportunity in feeding the population.

Secondly, he pointed out that hemp farming has mostly benefited successful commercial farmers, leaving behind those who were previously marginalized or harassed for engaging in hemp-related activities. He urged the department to actively guide and assist these people, helping them transition into the legal hemp business. Investors from other countries are showing interest, but the department should play a stronger role in helping local businesses, particularly those previously disadvantaged, to access opportunities in this new sector.

Mr Cebekhulu raised concerns about cases where the department had misused or misappropriated funds. What was it doing to recover the lost money and ensure accountability? He suggested that individuals responsible for financial mismanagement should be blacklisted, preventing them from moving on to new jobs in provincial governments or other areas after leaving their positions at the national level. This would help stop repeated misconduct by the same individuals.

He acknowledged that it was good to hear that the department is providing training to small and emerging farmers. He requested more detailed information about where this training is happening — specifically, which provinces and districts are benefiting. Then Members of Parliament, when conducting their oversight visits, can check on the progress and impact of this training independently.

Ms S Lucas (ANC) highlighted the growing concern on the status of IT in departments, particularly in addressing ICT challenges. She suggested that the Committee should consider making a general recommendation that departments and entities be better supported to resolve these IT-related challenges. This reflects the broader importance of IT infrastructure in government operations.

Ms Lucas emphasized the difficulties that rural farmers face in accessing services, especially in light of the rising costs associated with agricultural production. While she did not offer a specific recommendation or solution, she expressed the need for a unified approach to address these, calling for collaboration to find practical solutions to help farmers, particularly in rural areas.

Her other concern was fraud and corruption. She acknowledged that many members had already spoken on the matter. It was important to address these unethical practices.

Ms S Davids (ANC) emphasized the need for a turnaround strategy from the department, asking what specific actions are being taken to address the points repeatedly pointed out by other members on the negative aspects of the department's operations. How does the department plan to improve the situation? She questioned the decision to extend certain contracts on only a month-to-month basis, particularly when it was known that the Minister of Finance was not providing necessary support. She wants clarity on why the department extended these contracts despite the financial uncertainty. She expressed concern that emerging farmers, particularly in her province and others, are not receiving adequate support from the department. She specifically pointed out the lack of market access for small farmers, using the example of blueberry farmers who struggle to find proper markets despite blueberries being an export product. What is the department doing to address this lack of market access for emerging farmers?

The Chairperson mentioned that during a previous meeting, the Committee was informed of the appointment of a new OBP CEO; however, the Committee has not yet met the new CEO. She asked if the appointment has been finalized.

She expressed concern about ongoing litigation related to the intellectual property (IP) on the virus in question, particularly with the ARC and OBP. Relying on litigation could be very costly for these entities and urged them to have clear policies in place to protect their intellectual property, so they do not end up in court over such issues.

The Chairperson further focused on the need for clear consequence management within the department, noting that many members had already spoken about this. What is the department’s action plan is for dealing with people who "jump ship" after being involved in irregular, fruitless and wasteful expenditure. This practice is costly for the department and she wanted to understand the implications for management when staff leave under such circumstances.

The Chairperson expressed concern about the failure to meet certain targets and questioned if this was a result of poor planning. The department should not only focus on consequence management for people commit wrongdoing but also when they fail to meet long-established targets. She urged the department to "close the gap" on these ongoing issues. She requested clarity about the freeze dryer at OBP and the delayed procurement of the equipment.

Director-General response
Mr Ramasodi clarified that after the Minister of Finance made his Medium Term Budget Policy Statement that included the hiring of 10 000 extension officers, the legislative process followed, culminating in the Appropriations Act passed by Parliament. However, despite this MTBPS announcement, no funds were made available at the provincial level for hiring extension officers. This resulted in a shortage of 800 positions due to budget constraints. The DG emphasized that while the department requested R2.4 billion for 10 000 extension officers, no funds were allocated.

He noted that some have suggested reprioritizing the department’s existing baseline budget of R16.7 billion. However, he stressed that there simply is not enough money available to fund the extension officers without cutting crucial programs like the Comprehensive Agricultural Support Programm (CASP), which would severely impact farmers' production.

To address the extension officer shortage, the DG mentioned three areas they are exploring: collaborating with employment and labor programs to assist in the hiring process, engage with National Treasury to determine if funds could be made available in the next fiscal year and advertising vacant positions in provinces to allow qualified individuals to apply.

He acknowledged concerns about the program but defended it as making an intervention in the lives of young people, particularly those who could not complete their schooling. He promised to provide a full report on the National Rural Youth Service Corps (NARYSEC) performance.

On the financial transgressions, The DG said that the department has now an acting CFO. He noted that while the department cannot prevent individuals from resigning before facing charges, they can block their pension until issues are resolved. The Hawks are involved in cases of corruption and the law enforcement agencies have been notified. He admitted that there were legacy issues of R234 million in funding that the department is still dealing with.

He agreed with the observation that market access should be secured before production begins, emphasizing its importance in agricultural planning. Overall, the DG highlighted the significant budgetary challenges the department faces, their attempts to resolve the extension officer crisis, and the ongoing efforts to address financial transgressions and legacy issues.

ARC response
Dr Litha Magingxa, ARC CEO, addressed the Committee's concerns. On delays in securing finance for the Foot and Mouth Disease (FMD) facility, ARC had been actively engaging with the department and other bodies as securing funding was crucial. There were significant risks if the financial support for the facility was not provided.

On the expenditure of R65 million on the FMD vaccine, Dr Magingxa clarified that South Africa had lost its capacity to produce this vaccine in 2005. Since then, ARC had worked to catch up, resulting in the development and registration of a new vaccine. The funds were used to upgrade facilities, acquire necessary equipment, and build capacity by training individuals who would be involved in vaccine production.

With the introduction of a new Enterprise Resource Planning (ERP) system, the asset register was progressing. With over 75 000 assets in the ARC register, the organization had initiated a process to re-tag assets to ensure accurate auditing. The project was a priority and was progressing at a rate of 10 000 assets tagged per week.

On intellectual property (IP) management, ARC had implemented a policy, developed in conjunction with the National Intellectual Property Management Office (NIPMO), to safeguard its intellectual property. This policy ensured that the products developed through ARC research were accessible to the relevant sectors, in compliance with legislation. Benefit sharing was important where creators of intellectual property were compensated for their contributions.

Dr Magingxa explained that 50% of the employee departures were voluntary, while the remaining 50% included retirements, medical issues, contract expirations and dismissals.

The introduction of the ERP system had posed some challenges for ARC, particularly for invoicing and other administrative processes. Despite careful planning, it was difficult to avoid some challenges during the initial implementation of the system. However, ARC had chosen to address these problems early in the year rather than facing potential difficulties during the audit period later on.

On land invasions and property management, ARC had recently approved a property management strategy to address these issues, appointing a specialist property management company to oversee the portfolio. This strategy aimed to secure vulnerable areas and identify opportunities for partnerships that would add value to the organization.

In closing, Dr Magingxa discussed the organization's approach to employee fraud. In one case, ARC had successfully pursued legal action against employees involved in fraudulent activities, securing funds through court proceedings by seizing pensions. This demonstrated that ARC could take action against former employees when fraudulent activities were uncovered, even after their departure from the organization.

NAMC response
NAMC responded to the Committee's questions on the challenge of linking smallholder and black farmers to markets and acknowledged that market access remained a significant issue, primarily due to insufficient coordination within the agricultural sector. NAMC’s role focused on market linkage, while provinces dealt with production and compliance, leading to gaps in the value chain.

NAMC had made efforts to improve coordination with entities like the Perishable Products Export Control Board (PPECB) and through the Agricultural Marketing Forum, which aimed to bring together provincial and national entities. Despite these steps, NAMC analysis indicated that sustainability beyond the initial market linkage was low, with fewer than half of the farmers continuing beyond the initial connection. This lack of continuity was attributed to the absence of proper coordination and compliance support from other key players.

Nevertheless, NAMC reported some improvement. Between 2019 and 2023, black farmer participation in markets increased from 10.9% to 13%, thanks to the Agricultural Marketing Platform (AMP), which fostered better coordination and private sector involvement. It would continue monitoring progress, emphasizing the need for greater collaboration across the value chain to improve market access.

Minister closing remarks
Minister Steenhuizen emphasized accountability, transparency, and collaboration across the Department, the ministry, and its entities, particularly the OBP and other agricultural bodies. He is committed to investigating what went wrong at OBP, holding those responsible accountable, and ensuring the institution’s future success. He had already had in-depth discussions with the OBP board, the Auditor General, and planned to follow up with the Special Investigating Unit (SIU) to resolve lingering issues. He stressed the need for a full understanding of the situation before setting deadlines.

The Minister agreed on the importance of accountability and consequence management, stating that there should be no escaping disciplinary action in government departments and he will therefore push for intergovernmental cooperation to prevent employees from avoiding accountability by shifting between departments.
The Minister acknowledged the financial challenges in providing agricultural extension services due to budget constraints. He therefore suggested innovative solutions such as public-private partnerships with industry bodies and trusts to deliver these essential services, especially to historically disadvantaged farmers.

On farmer-market linkages, government-funded agricultural projects must be sustainable, viable and profitable and that market access is key to the success of these projects. He urges linkages with local and international markets, government entities, and municipal markets. In terms of collaboration and provincial departments, there are ongoing efforts at the provincial level to support smallholder farmers with market access and certifications, which can open doors to international markets. He highlighted the potential for public-private partnerships to assist farmers in meeting global standards and accessing international markets.

The Minister requested a month to work on a detailed action plan for OBP, which will include responses to the Auditor General’s concerns and specific timelines for the GMP project. He is committed to coming back to the Committee with a comprehensive update. Overall, the Minister wanted to demonstrate a clear focus on resolving the issues at OBP, ensuring accountability, improving market access, and working towards sustainable solutions for the agricultural sector through partnerships and responsible governance.

The meeting was adjourned.