PRESENTATION TO THE SELECT COMMITTEE ON LAND AND MINERAL RESOURCES

(NATIONAL COUNCIL OF PROVINCES)

2014/15-2018/19 STRATEGIC AND ANNUAL PERFORMANCE PLAN PRESENTATION

DEPARTMENT OF AGRICULTURE, FORESTRY AND FISHERIES

11 July 2014

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Presentation Outline

1. Compliance Statement

2. Overview of the Minister

3. Strategic Overview

4. Strategic goals and objectives

5. Strategic outcomes oriented goals

6. Objective statements

7. Annual Performance Plans

8. Staff Establishment and Organogram

9. Budget

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Compliance Statement

• In terms of Section 55 (2) (b) and Section 56 of the Constitution, the National Assembly must provide mechanisms to maintain oversight of any organ of state and may summon/require any institution to report to it.

• In acknowledgement of the responsibility of the Parliamentary Committees, the Department of Agriculture, Forestry and Fisheries (DAFF) herewith:

• Presents its 2014/15-2018/19 Strategic Plan and 2014/15 Annual Performance Plan (APP) to enable the Portfolio Committee to exercise oversight and to recommend the same to Parliament.

• Reports that the Strategic Plan and APP was tabled in Parliament on 27 June 2014• This Strategic Plan is in line with the requirements of the Public Finance Management Act and

Treasury Regulations.

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Overview• The Strategic Plan is premised on key government medium-term priorities that are

informed by the National Development Plan (NDP) and the New Growth Path (NGP) which repositions food security and agrarian transformation high on the economic development agenda of the country.

• In his State of the Nation Address (SONA), on 17 June 2014, President Zuma stated that “ we have to embark on radical socio-economic transformation to push back the triple challenge . . . We have identified agriculture as a key job driver.” The President went on to say that Government will provide comprehensive support to smallholder farmers and support will be provided to communities as well to engage in food production and subsistence farming to promote food security, in line with the Fetsa Tlala food production programme.

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Organisational Environment

• DAFF in its current form was established in 2009.

• Forestry was formerly with the Department of Water Affairs and Forestry

• Fisheries was with the Department of Environmental Affairs and Tourism

• A significant part of the 2009/14 term was devoted to the integration and merging of these functions into a new department delivering a shared mandate.

• Agriculture is a concurrent function while Forestry and Fisheries are national functions.

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2014/15 – 2018/19 STRATEGIC PLAN

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Table of Contents: Strategic Plan

• Foreword, Statements and Sign-off• Strategic Overview• Programme and Sub-programme plans• Links to other plans• Annual Performance Plans• Technical Indicator Description• Service Delivery Improvement Plan• Budget

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Strategic OverviewVISION

United, prosperous and transformed agricultural sector that contributes to food

security for all

MISSION

Advancing food security and agrarian transformation in the agricultural sector through innovative, inclusive and sustainable policies and programmes

VALUES» Drive: driven to deliver excellent service through leadership and

professionalism» Attitude: being an ambitious, passionate, reliable and dedicated workforce» Fairness: acting with objectivity, empathy, integrity and transparency» Focus: focusing on people, economic and rural development

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• The Constitutional mandate of DAFF is derived from sections 24(b)(iii), 27(1)(b) of the Constitution.

• The Legislative mandate of DAFF is derived from 31 Acts of Parliament related to Agriculture, Forestry and Fisheries which are managed by the DAFF.

• The policy mandates includes:• National Development Plan• Medium Term Strategic Framework• Industrial Policy Action Plan

Integrated Growth and Development Plan• Agricultural Policy Action Plan

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Legislative and Policy Mandates

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Situational Analysis – Key Issues

• Thousands of hectares of underutilised arable land that can be put back into production,

especially with concerted support for input access, mechanisation services, technical support and linkages to local markets

• Increased movement of goods and people which, in turn, has led to increased risk to the country and the necessity for increased measures to anticipate and prevent possible introductions of animal diseases, plant pests, and other undesirable articles such as unsafe food and feed, including agricultural remedies

• The growing food insecurity not only in South Africa but in Southern Africa, climate change and inadequate investment in agricultural production

• Market access for developing producers has also been identified as one of the key challenges for the department.

• The challenge facing the sector is to diversify its export destinations, as well as to broaden the basket of commodities and value-added products that are destined for export markets.

• The challenge of growing the smallholder sector is closely tied up with the challenge of making smallholder agriculture more remunerative. Currently, more than half of all smallholder households live below the poverty line

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Situational Analysis – Key Issues

• One of the main limitations with fisheries is that catch volumes depend on fish stocks, which vary naturally and/or are subject to depletion owing to overexploitation.

• Inshore species, especially, tend to be in a state of stock depletion, increasing illegal fishing and poaching, and increasing demand for access to the finite marine resources.

• Promote transformation in the sector by modifying its licensing regime as per the Small-scale Fisheries Sector Policy in South Africa.

• Decline in both softwood and hardwood plantation area planted since the mid-1990s,and secondly, there has been a marked increase in the area for pulpwood purposes as compared to the area for saw logs and mining timber.

• Shortages of timber products; biased equity distributing in the value chain; slow afforestation uptake owing to cumbersome licensing processes and the impact of natural hazards which threaten food security.

• It is important to note that the competitiveness of agriculture is being eroded by high and rising input costs.

• Unsustainable land-use practices are intensifying and this has contributed to the deterioration of soils.

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Strategic Planning Process

Strategic Planning, and performance monitoring and reporting, is an institutionalised

business process.

It is a iterative annual process

May: The Department commences with the planning process by conducting environmental scan

June: Consolidate research, and identify high level priorities

July-August: The planning Quarterly Review meeting takes place to prepare the first draft strategic plan with APP

August: First draft strategic plan submitted to DPME and Treasury

October: Develop second draft strategic Plan , refine the indicators and align to government wide priorities

November- Submit second draft strategic plan submitted to DPME and Treasury

December, January-February: Refine the strategic plan, align the budget and all the requirements in preparation for tabling

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Strategic Goals and Objectives

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Strategic Goals Strategic Objectives1: Effective and efficient strategic leadership, governance and administration

1.1: Strengthen the culture of compliance with statutory requirements and good governance practice1.2: Strengthen the support, guidance and interaction with stakeholders in the sector1.3: Strengthen institutional mechanisms for integrated policy and planning in the sector

2: Enhanced production, employment and economic growth in the sector

2.1: Advance APAP through increased production and productivity in prioritised value chains2.2: Effective management of biosecurity and sector related risks2.3: Ensure support for market access and processing of agriculture, forestry and fisheries products

3: Enabling environment for food security and sector transformation

3.1: Lead and coordinate government food security initiatives3.2: Enhance skills capacity for efficient delivery in the sector3.3: Strengthen planning, implementation and monitoring of comprehensive support programmes

4: Sustainable use of natural resources in the sector

4.1: Ensure the conservation, protection, rehabilitation and recovery of depleted and degraded natural resources4.2: Ensure appropriate responses to climate change through the implementation of effective prescribed frameworks

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Strategic Outcome Oriented Goals

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Goals Statement/Purpose Goal:1 Provide leadership and administrative support to achieve sector

and organizational goals in accordance with prescribed frameworks

Goal:2 Ensure profitable and safe production that contributes to increased market access

Goal:3 Lead and create an enabling environment for effective implementation of government food security initiatives aimed at improving the availability of food

Goal:4 Ensure sustainable use of natural resources

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Objective Statements – Programme 1

• Maintain a sound system of internal control and risk management through the development of the Risk Management Plan and continuous updating of Risk Register and development of Internal Audit Plan and performance reports.

• Strengthen the skills and human resource base through implementation of the HR Plan and HRD Strategy.

• Improve financial management to obtain an unqualified audit opinion annually.

• Provide an enabling environment for the implementation of policies and Bills to Cabinet

• Integrated funding framework approved and implemented.

• Strengthen relations between national and provincial, local and international stakeholders through coordination of 38 stakeholder engagements and implementation of communication strategy per annum.

• Integrate the departmental planning processes and mechanisms to reflect the broad strategic outcomes of government with a focus to implement performance measures to improve decision making.

• Coordinate policy and research agenda to align with the department’s mandate and key strategic priorities.

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Objective Statements – Programme 2

• Promote animal, plant production and products for prioritised value-chain commodities through monitoring, implementation of animal improvement schemes and plant legislated certification and improvement schemes.

• Enforce regulatory framework to reduce level of disease outbreaks in production areas and interception at export channels.

• Ensure Integrated Animal Disease Management Plan is developed and implemented.• Enforce regulatory framework to reduce level of disease outbreaks in production areas and

interception at export channels to a minimum by implementing regulatory compliance and monitoring interventions to prevent plant and animal pest/disease outbreaks (quarantine inspections, surveillance and testing).

• Ensure access to primary health care services for 23 district municipalities by finalising Compulsory Community Services (CCS) regulations, delivering mobile units and deploying veterinary graduates to rural areas.

• Endangered Indigenous agricultural genetic resources conserved in situ and ex situ to prevent extinction of animal species and landrace crops per year.

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Objective Statements – Programme 3

• Institutionalise the national policy on food and nutrition security by facilitating the development and implementation of the Food and Nutrition Security Implementation Plan, coordinate establishment of food security committees and support to 80 000 smallholder producers.

• Improve delivery capacity in support of sustainable growth in the sector through the implementation of the AFF National Education and Training Strategy and National Extension and Advisory Policy/

• Provide strategic leadership to ensure effective and efficient utilisation of all farmer development support through the development and implementation of norms and standards on comprehensive support to different categories of producers.

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Objective Statements – Programme 4

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Objective Statements – Programme 5• Ensure sustainable irrigation by supporting the revitalisation and expansion of irrigation schemes through

developing an irrigation strategy that is approved by EXCO and revitalizing hectares on irrigation schemes.

• Replanting hectares in Temporary Unplanted Places areas caused by clear-felling operations and other factors such as fire damage.

• Restore hectares of agricultural land through rehabilitation.

• Restore hectares of land through rehabilitation of state indigenous forests and woodlands.

• Implement climate change programmes in order to improve the adaptability and productivity of livestock and plant species.

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Objective Statements – Programme 6

• Provision of technical and advisory support services to fish farms.• Aquaculture Bill developed to create an enabling environment for the sector growth.• Conduct aquaculture research projects to support sustainable development of the aquaculture sector.• Framework for allocation of fishing rights (access to harvest fish for a specific period of time) to

commercial fishing sectors to ensure sustainable utilisation, as well as equitable and orderly access to the marine living resources.

• Implement Small Scale Fishing Policy to alleviate poverty and promote food security through the cooperative development and support programme.

• Implement compliance through enforcement mechanisms (inspections, investigations on rights holders, partnerships with law-enforcement agencies, development of marine data monitoring system and capacity building in respect of the enforcement of Marine Living Resources Act (MLRA) of the Integrated Fisheries Security Strategy (IFSS) in order to combat illegal fishing activities.

• Measure the percentage of fish stock levels to rebuild threatened fish stock (hake, West Coast rock lobster and abalone).

• Implement efforts to recover prioritized fish stocks (hake, west coast rock lobster and abalone) to ensure resource and industry sustainability.

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Programme 1 - Administration

• Develop an efficient and effective internal controls to ensure that we maintain the status of an Unqualified audit report.

• Approve and implement Human Resource Plan and implemented.

• Develop a framework to Integrate Development Funding.

• Table 14 Bills to Cabinet.

• Establish and coordinate Institutional structures and ensure their functionality.

• Align the Strategic plan and APP to MTSF, while ensuring also reviewing all the DAFF policies for compliance and relevance to the needs of the sector.

• Research aligned to key strategic priorities and protocols.

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Programme 2 - Agricultural Production, Health and Food Safety

• Provide animal improvement schemes for prioritised value chain commodities and plant legislated certification Improvement schemes

• Conduct planned animal disease risk surveillance to detect, prevent and mitigate animal diseases and pests

• Implemented regulatory compliance and monitoring interventions in plant and animal to prevent pest and disease outbreaks

• Develop and implement Animal Disease Management Plan to ensure effective• Management of biosecurity and related sector risks • Compulsory Community Service Programme will be implemented• Primary Animal Health Care Programme will be implemented through the delivery of clinics to

provinces• Conserve indigenous/ Endangered agricultural Genetic resources in situ and ex situ

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Programme 3 - Food Security and Agrarian Reform• Lead and coordinate government food security initiatives by implementing Food Security and Nutrition Policy ,

continuously support smallholders producers.

• Cultivate hectares for food in communal areas and land reform projects.

• Enhance Skills capacity for efficient Service delivery in the sector by reviewing and implementing National Education and Training Strategy and the National Extension and Advisory Policy.

• Develop norms and standards for comprehensive producer development support to strengthen planning, implementation and monitoring of comprehensive support.

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Programme 4 - Economic Development, Trade and Marketing

• Ensure support for market access and processing of AFF products by :• Linking producers to markets and Institutionalise Value-chain networks• Establish commodity based cooperatives and continue to support existing with training• Report on implementation of the AgriBEE Sector Code and the implementation of the Forestry

Sector Code• Through Trade Strategy DAFF will monitor and implement trade Agreements and participate in

trade negotiations, facilitate capacity building on market Research and market Intelligence in partnership with ITC

• Facilitate SADC and AU engagements• Strategic engagement of partners within Africa and Africa multilateral agencies for

implementation of joint projects and action plans• Through International Relations Strategy implementation, CAADP compact will be signed• Strategic engagement of partners within South-South, North-South and multilateral

agencies/forums

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Forestry and Natural Resources Management

• Ensure the conservation, protection and rehabilitation of hectares of agricultural land, woodlands and Indigenous forests

• Ensure appropriate responses to climate change through the implementation of effective prescribed frameworks and including implementation of Climate change programme

• Increase production and productivity In prioritised value chains by planting of hectares in Temporary Unplanted Places

• Develop Irrigation Strategy in support of irrigated agriculture

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Programme 5 - Fisheries Management

• Increase production and productivity through supporting fish farms supported• Develop Aquaculture Bill and conduct aquaculture research projects • Develop and implement framework for Fishing Rights Allocation Process (FRAP) to address the

process in allocating Rights• Small-scale fisheries policy will be implemented • Regulations promulgated under MLRA amended to include the management of the Small-scale

fisheries Sector• DAFF will implement the Integrated Fisheries Security Strategy (IFSS) in response to the

protection of natural resources• Recovery of prioritized depleted fish stocks will be achieved through Recovery plans and a

research report will be produced to indicate the levels of stock

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Planned Policy and Programme Initiatives

• THE INTEGRATED GROWTH AND DEVELOPMENT PLAN (IGDP) for Agriculture, Forestry and Fisheries : developed in response to the policy requirements of Outcomes 4 and 7 that relate to job creation, rural development and food security.

• APAP: The high-level responses offered in the IGDP have been translated into the new APAP, serving as the implementation arm of the IGDP. The encompassing objectives of APAP are to promote labour absorption and broaden market participation, strategic interventions aimed at increasing value-chain efficiencies and competitiveness, focusing on selected subsectors/value chains.

• THE INTEGRATED FOOD AND NUTRITION SECURITY POLICY

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Staff Establishment

Personnel post status as at 1 January 2014Levels Number of posts

on approvedEstablishment

Number of fundedposts

Number of postsAdditional to theestablishment

Department 6 965 6 965 63

Salary levels1-6

4 135 4 135 40

Salary levels7-10

2 237 2 237 4

Salary levels11-12

465 465 11

Salary levels13-16

128 128 8

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QUARTERLY BREAKDOWN OF SMS APPOINTMENTS

QUARTER NUMBER OF EMPLOYEES APPOINTED

GENDER

Q1 of 2013 6 and 1 additional appointment

7 males

Q2 of 2013 1 and 1 additional appointment

1 female ; 1 male

Q3 of 2013 2 1 female ; 1 male

Q4 of 2013 5 3 female; 2 males

Q1 of 2014 4 2 females; 2 males

Q2 of 2014 6 4 females; 2 males

TOTAL 24 ( excluding additional appointments)

10 females; 14 males

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BUDGET

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Per ProgrammeProgramme 2014/15 2015/16 2016/17 2017/18

R’000 R’000 R’000 R’000

• Administration 694 570 725 558 763 904 807 409

• Agricultural production,

health & food safety 2 199 796 2 252 651 2 089 434 2 200 434

• Food security & agrarian

reform 1 711 095 1 718 832 1 768 669 1 857 469

• Economic development,

trade & marketing 294 223 247 491 309 945 274 219

• Forestry & natural

resources management 1 364 923 1 233 410 1 279 342 1 351 002

• Fisheries management 427 776 443 267 462 871 488 541

TOTAL 6 692 383 6 621 209 6 674 165 6 979 074

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Per Economic Classification

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2014/15 2015/16 2016/172017/18 R’000 R’000 R’000 R’000

• Compensation of

employees 1 695 265 1 833 428 1 934 616 2 056 497

• Goods and services 834 953 857 209 866 436 908

309

• Interest and rent on land 1 119 1 228 1 292 1 357

• Payments for financial

assets - - - -

• Transfers and subsidies 4 036 260 3 832 383 3 771 388 3 907 457

• Payments for capital

assets 124 786 96 961 100 433 105

454

TOTAL 6 692 383 6 621 209 6 674 165 6 979

074

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Programme 2 Allocation for Ilima/Letsema – 2014/15

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Programme 3 CASP Allocation -2014/15

PROVINCE InfrastructureR’000

CollegesR’000

ExtensionR’000

Total Amount R’000

Eastern Cape 132 694 11 742 81 392 225 828Free State 104 312 5 167 28 105 137 584Gauteng 38 524 0 17 818 56 342KwaZulu Natal 155 809 9 981 46 842 212 632Limpopo 113 826 11 155 75 668 200 649Mpumalanga 100 312 5 049 29 186 134 547Northern Cape 85 405 0 30 530 115 935North West 138 198 11 155 25 583 174 936Western Cape 80 511 4 462 23 421 108 394Total 949 591 58 711 358 545 1 366 847

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APAP/ FETSA TLALA

• All these allocations are geared towards the smallholder producers.

• The budget is to cover smallholder farmers support requirements for infrastructure, appropriate skills, marketing and technical advisory services. It must however be emphasised that 70% of the infrastructure allocation goes to Fetsa Tlala integrated food production.

• DAFF programmes have reprioritised funds although in a limited way to meet the 2014/15 targets of APAP.

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THANK YOU!