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Volume 7. Issue 4. July/August 2019

LED lighting the future for farm machinery Keeping the halogen lights on farm tractors, sprayers and harvesters.

Precision crop spraying technology utilising artificial intelligence P08

Expo for Sub-Saharan Africa

FARMERS

REVIEW AFRICA

Technology key to luring Africa’s youth into crucial farming sector P16

Supporting Smallholder Farming Operations P31

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F A R ME R S

R E V I E W

A F R I C A

I S S U E

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NEWS

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Volume 7. Issue 4. July/August 2019

CONTENTS

Volume 7. Issue 4. July/August 2019

Editor’s Note Adapting to change LED lighting the future for farm machinery

Drought devastates Namibia in first quarter of 2019......................................2

Keeping the halogen lights on farm tractors, sprayers and harvesters.

Precision crop spraying technology utilising artificial intelligence P08

Expo for Sub-Saharan Africa

FARMERS

REVIEW AFRICA

Technology key to luring Africa’s youth into crucial farming sector P16

Supporting Smallholder Farming Operations P31

Please visit the website om ewafrica.com iewafrica.c .farmersrevi

farmersrev

W

elcome to another edition of Africa’s favourite farming bi-monthly magazine as we fire-up the engines on another pulsating year. Farmers look up at the sky to try to determine what cards the weather is holding.They can’t control what is going to happen, but they can make decisions to prepare for the short-term effects or adjust their practices for what might happen in future growing seasons.

News

F A R ME R S

R E V I E W

A F R I C A

I S S U E

Global Food price index steady in June....................................................................3

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Japan grant funds to help Malawi fight against fall armyworms....................4

Executive Editor Nita Karume editor@farmersreviewafrica.com Writers Silimina Derick, Bertha M. Contributing Writers Nqobile Bhebhe Zimbabwe Oscar Nkala Botswana Bertha M South Africa Nita Karume Kenya East Africa Advertising Executives Ken Tobby, Paul Amimo, M. Cherono Project Manager Victor Ndlovu sales@farmersreviewafrica.com Graphic Design & Layout Faith Omudho Art Director Augustine Ombwa austin@arobia.co.ke Correspondents - Isabel Banda zambia@farmersreviewafrica.com Sales & Marketing Gladmore. N gladmoren@farmersreviewafrica.com Mandla M. mandlam@farmersreviewafrica.com Kholwani. D kholwanid@farmersreviewafrica.com Polite Mkhize politem@farmersreviewafrica.com leslien@farmersreviewafrica.com East African Liaison Arobia Creative Consultancy Tel: +254 772 187334, 790 153505 arobia@farmersreviewafrica.com eastafrica@farmersreviewafrica.com Published by : Mailing Times Media +27 11 044 8986 sales@farmersreviewafrica.com

Sugar mills opt for complete drive solutions for optimal efficiency...........5 Zamhatch comes top on day-old chick production...........................................6 Grassland Harrow to boost agricultural productivity.........................................7

Products Precision crop spraying technology utilising artificial intelligence................8 Pöttinger unveils SYNKRO stubble cultivators......................................................8

Feature Africa’s small-scale fisheries critical to food security..........................................9 LED lights on my farm tractors, sprayers and harvesters?...........................10 AGCO providing mechanization for a key Agri project................................12 Recovery of soil health crucial for agricultural sustainability........................14 Heat stress: A greater threat to agricultural workers......................................15 Technology key to luring Africa’s youth into crucial farming sector........16 State of the art technologies to address aflatoxins concerns...................18 Registration of Pest Control Products In Kenya.................................................22 Finlays Banking on deep rich loam soils to boost yields................................26 Key insights into Africa’s wheat market...................................................................30 Supporting Smallholder Farming Operations......................................................31

Mailing Times Media (Pty) Ltd makes every effort to ensure the accuracy of the contents of its publications, but no warranty is made as to such accuracy and no responsibility will be borne by the publisher for the consequences of actions based on information so published. Further, opinions expr essed are not necessarily shared by Mailing Times Media (Pty) Ltd

Rising temperatures are characteristic of the changing global climate and the warnings of the implications that this change could have on production and agriculture are no longer just hypothesises but a reality for many. A report by International Labour Organisation suggest that the long-term options for reducing the impact of heat stress on agriculture includes promoting mechanisation and skills development policies aimed at increasing the efficiency and sustainability of food production under new climatic conditions, complemented by monitoring and awareness campaigns. Our cover feature addresses the farmer’s question of why they should use LED lights on farm tractors, sprayers and harvesters? The answer is LED lights provide fantastic levels of illumination while emitting a light experience similar to daylight and using half the battery power of traditional halogen lights. The Fourth Industrial Revolution continues to steal the headlines too as, for example, farm robots are developed and rolled out that can pick and sort food. It is only a matter of time before we face a sink or swim scenario locally, with our labour-heavy workforce, especially in agriculture. Food security is an impossible dream without a sustainable and growing agriculture sector.This much is common knowledge .It has been found that the biggest key to learning is regret. For example, people who don’t regret poor decisions never learn, because they are unaware. By helping grow the emerging space, commercial farmers are helping secure the industry as a whole. At the same, enterprising new entrants must not hesitate to seek out mentorship and support from those whose roots in farming go back generations. Ultimately, it is a win-win situation. Young African agripreneurs (a shortened form of “agricultural entrepreneurs”) are trying to reverse the stigma by professionalizing farming and transforming it into a more lucrative and attractive employment option for the youth. A great big THANK YOU goes out to our advertisers.You allow us to continue to tell amazing stories. We couldn’t do it without you.

Nita Karume editor@farmersreviewafrica.com

FARMERS

REVIEW AFRICA

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NEWS

DE VA S TAT E S Namibia in first quaer of 2019

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he devastating effect of the drought in Namibia is clearly illustrated in the Namibia Agricultural Union’s (NAU) first quarter review for 2019. Bertha Ijambo, NAU economist, said that a challenging time awaited the country’s livestock producers, even if good rain was received during the next rainy season. She said livestock herds were reduced dramatically and it would take time and money for producers to restock their farms should it rain in the next season. “Production levels will drop because of the depleted livestock numbers. Because of the destruction of our rangelands it will take a

2 |July - August 2019

few seasons for the grazing to recuperate sufficiently,” Ijambo added. Livestock prices fell drastically, while the agri-inflation rate in the country increased 4,4% year-on-year during the first quarter of 2019. This was mainly driven by an 8,6% year-on year-increase in feed costs, a 6,1% year-on-year increase in capital expenditure, and a 6,5% year-on- year increase in fuel prices. “Compared with the first quarter of 2018, cattle prices dropped 10,3%. A decrease in the total weighted cattle prices, over the past 12 months was primarily caused by a 22,6% drop-in weaner prices, while slaughter prices increased 14,7%,” she explained.

For the first quarter of 2019, just over 63 000 live cattle were exported to South Africa, 219 were exported to Angola and 131 to other countries. Export abattoirs slaughtered almost 21 500 cattle. Sheep export abattoirs slaughtered almost 53 860 sheep, while about 104 200 live sheep were exported. Of the total live sheep exports, 40,3% were earmarked for slaughter. Ijambo said the drought had a dramatic impact on Namibia’s rangelands. More than 92% of the grazing in the country was below normal condition, while a staggering 64% of the grazing was below 20% of the norm.


NEWS

GLOBAL FOODJune

price index steady in

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he Food and Agriculture Organisation (FAO) Food Price Index, which tracks monthly changes in the international prices of commonly traded food commodities, averaged 173 points in June, down 0.3% from May. Global food prices declined marginally in June, as lower prices of dairy products and vegetable oils more than offset a significant jump in maize quotations, and are now very close to their level of a year ago.

month, with palm oil and soy oil prices both down on the back of sluggish global import demand and expectations of ample global supplies, respectively. The meat price index increased by 1.5% from its revised value for May, driven by strong import demand from East Asia for ovine, pig and poultry meats to offset domestic production shortfalls due to the spread of African Swine Fever.

The cereal price index rose 6.7% in June, as expectations of much tighter maize export suppliers from the United States of America pushed quotations up for maize and, as a spill over, also for wheat. Rice prices were broadly stable.

New cereals forecasts FAO also released the Cereal Supply and Demand Brief today, keeping its forecast for worldwide production in 2019 unchanged from June at 2 685 million tonnes. That would mark a 1.2% increase from 2018, with the bulk of this year’s growth expected to come from higher production of wheat.

The sugar price index in June was up 4.2% from the previous month, strongly influenced by the Brazilian Real’s appreciation against the U.S. dollar. By contrast, the dairy price index decreased by 11.9%, marking its first decline in five months, led by frail demand for cheese and butter. The vegetable price index declined 1.6% during the

Worldwide wheat production should rise by 5.6% in 2019 to reach nearly 771 million tonnes, buoyed by record output in India. By contrast, global production of coarse grains is expected to decline to 1 398 million tonnes this year, due

to weak prospects in parts of Africa, China, and especially the United States of America. World rice output is forecast at 516 million tonnes, close to the high level of 2018. World cereal utilisation in 2019/20 is expected to exceed 2,708 million tonnes, a 1.0% increase from the previous year, with wheat and rice utilisation growing faster than that of maize. FAO lowered its forecast for world cereal stocks at the close of the 2020 seasons to 828 million tonnes, some 3.2% below their opening level. The decline is driven by an expected 12.4% contraction in maize inventories, with most of the reduction concentrated in China and the United States. Global wheat stocks are set to expand by 4.5%. Overall, the stock-to-use ratio for cereals should remain at a relatively high level of 29.6 percent for the 2019/20 period. World trade in cereals is now expected to rise by 2.0% to 415 million tonnes, with wheat trade expanding at nearly twice the pace.

July - August 2019 | 3


NEWS

Japan grant funds to help Malawi fight against fall armyworms

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he Japanese government has contributed US$ 293,108 to support the fight against fall armyworms. They contributed through project called “Strengthening, monitoring and early warning system for migratory pests of major food crops�. Japanese Ambassador to Malawi, Kae Yanagisawa made the contribution last week during the launch of the project in Lilongwe. She said the intervention aims to strengthen the establishment and rolling out at national level of the fall armyworms early warning system and community based African armyworm surveillance system. According to the Ambassador, the Project will build the capacity of 1,200 extension workers

4 |July - August 2019

from Ministry of Agriculture and 600, 000 smallholder farmers to monitor, prepare for, and effectively respond to both armyworm outbreaks. She further added that the project would enhance integration of state-of the art surveillance and monitoring of both armyworms into national integrated pest management strategy. This, she said, is major tool for timely and effective management of these two major pests and for sustainably securing increased productivity.

Ntupanyama added that farmers are applying various pest control options with chemical control being widely used and dependency on pesticides is not a sustainable way of managing the problem.

The Ambassador also pointed out that the project goal is to reduce threats to food and nutrition security due to outbreaks of both armyworms. Chief Director for the Ministry, Dr. Yamira Ntupanyama said past three season’s farmers have been hard hit by outbreaks of both armyworms.

Food and Agriculture Organization (FAO) Representative in Malawi, Dr. Zhijun Chen said they have developed a mobile application system known as Fall Armyworm Monitoring and Early Warning System (FAMWES), which would be rolled out to all the districts through this project.

This, she pointed out, requires huge amount of resources for purchase of pesticides and if not well managed, it can be a hazard to the farmers and the environment.


NEWS

Sugar mills opt for complete drive solutions for optimal efficiency

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EW-EURODRIVE (Pty) Ltd will showcase the importance of the sugar industry at the 92nd congress of the South African Sugar Technologists’ Association (SASTA) from 20 to 22 August exhibition at the International Convention Centre in Durban. The Original Equipment Manufacturer (OEM) will use the 2019 SASTA Congress as a platform to showcase its robust drive engineering solutions, which are ideal for sugar production, according to KwaZulu-Natal Branch Manager Clive O’Reilly. Its geared motors are ideal for horizontal crystallizers, filters, clarifiers, conveyors, batch pans and mixers, and packaging. An extremely challenging production process is required to turn

the harvested product, sugar cane or sugar beets, into finely granulated sugar. The main component of any sugar factory, no matter where it is located globally, is the sugar mill. During the harvest period, these run 24/7 for several months. The only opportunity for any maintenance or upgrade that is required is during the off-crop season.

in this sector, especially as the sugar industry standardizes on tailored drive packages and complete system solutions to optimize efficiencies and reduce costs. Here we have the necessary application knowledge and experience to be able to assist sugar mills,” O’Reilly concludes.

Sugar mills in particular present a harsh environment that requires highly robust and reliable drive solutions that can easily generate a nominal torque of up to 1. 9 million Nm. Typical applications for these large gear units are rotary kilns and segmented girth gears, large agitators, extruders, and crane technology, among others. “There is a significant growth opportunity for us

The premier event for the sugar industry, the 2019 SASTA Congress will provide a platform for the latest sugar-cane research and innovations. An accompanying trade exhibition allows key suppliers such as SEW-EURODRIVE (Pty) Ltd. to engage with the sugar industry and present its full service and product offering.

July - August 2019 | 5


NEWS

Zamhatch comes top on day-old chick production Z

amhatch a subsidiary of Zambeef scooped the Cobb Champion award for best producer of Cobb500 day-old broiler chicks in Europe, Middle East and Africa region (EMEA) for the year 2018. The award was received by a delegation of Zamhatch representatives led by Zamhatch General Manager Basil Webber.

the best technology from around the world to Zambian customers through our retail network, is really gratifying.” “There have been many challenges in getting to this point but I’m proud to say that the team has really pulled through, and through the Cobb Champions award have demonstrated that we can take on anyone in the world.”

When presenting the award, CobbEurope Senior Manager for Africa Pieter Oosthuysen commended Zamhatch for consistently producing healthy flocks and growing its production levels. He said: “The Cobb Champions award targets companies and individual farmers with exceptional performance in chick numbers, hatchability and/or broiler performance within a particular region. Several of our customers have produced performances that have ranked them in the top three across the globe. Four of the last five Cobb champions have come from Africa, with this year’s award going to Zamhatch while the individual award went to Zamhatch Primary Production Manager Mr Canzius Le Roux. The goal is to recognise high standards of performance among Cobb customers while encouraging others to step up the quality and quantity of their flocks’ performance to benefit from the genetic potential. The Cobb500 is considered the world’s most efficient broiler, with a high feed-to-meat conversion ratio and low mortality. Zambia has recorded some of the fastest growth rates in the regional poultry sector owing in part to massive investment aimed at increasing operational capacity. Zambeef invested US$20 million into the Zamhatch hatchery in Mpongwe and a further US$10 million into setting up the Novatek feed mill operation in Mpongwe, creating additional capacity for its stockfeed operations – also a critical component for the sector. According to a Poultry Association of Zambia 2017 report, the country recorded a growth rate of 8 per cent in broiler production, from 77.3

6 |July - August 2019

He added that such accolades were just some highlights from which Zamhatch would grow their business for the future.

million-day-old chicks in 2016, to 83.4 million in 2017. This growth has been spurred by a growing population and increased disposable income. Speaking at the same event, Zambeef Deputy Managing Director Walter Roodt said that Zamhatch aimed to expand its production further to remain a reliable supplier of day-old-chicks. “We have plans to grow our production to a point where we can produce a million chicks a week at our Mpongwe farm alone. From there we are delivering to our commercial chicken rearing sites like Zamchick to service our consumers,” he said. “We are completing the first half of the expansion phase, which is getting to the 500,000 – 600,000 per week – which is something we are very proud of.” Almost half of Zamhatch chicks are sold into the small scale market, through the Zambeef Macro outlets as well as a network of Novatek agents countrywide. Th company serves in excess of 15,000 small-scale farmers countrywide. The remaining chicks are supplied into the group’s ZamChick broiler operations, where approximately two thirds of broilers are reared by out-growers and the rest reared at Zambeef’s Huntley operations in Chisamba. Mr Roodt noted that “The fact that we have branched out and are able to reach all corners of the country – bringing quality chickens bred with

Meanwhile, Mr Webber said that the small scale poultry sector, serving the live bird market, allows Zambeef to deliver on its slogan of “Feeding the Nation” and also to empower Zambians to become self-sufficient and to grow into profitable small and medium scale producers. He further stated that the increased availability of quality day-old chicks from Zamhatch coupled with easy access to top quality stockfeed from its Novatek sister company, offered a stable business model for Zamhatch as well as its wide client base of farmers. Zamhatch Hatchery Assistant manager Paulo Mweene said poultry farming had gained popularity as a profitable undertaking among existing and would-be entrepreneurs across Zambia, due to the readily available market, inputs, easily accessible information and policies and institutions working to create a sustainable and competitive sector. Zamhatch staff with their award for being the best producer of Cobb500 day-old broiler chicks in the Europe, Middle East and Africa region (EMEA). From left, Zambeef Deputy Managing Director Walter Roodt, Cobb-Europe Senior Manager for Africa Pieter Oosthuysen, Zamhatch Primary Production Manager – Breeding and Hatchery Canzius Le Roux, Hatchery Manager Paulo Mweene, General Manager Poultry Basil Webber, Breeder Manager Moses Tindi and Breeder Foreman Collins Sinyangwe.


NEWS

Grassland Harrow to boost agricultural productivity

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oubling agricultural productivity and eliminating hunger and malnutrition in Africa by 2025 will be no more than a mirage unless mechanization is accorded utmost importance. Remarkably more than three-fourths of farmers in sub-Saharan Africa prepare their lands using only hand tools, a practice that entails poor productivity, repels youth and is incompatible with the continent’s Zero Hunger goal. Farmers in Africa should be able to use modern agricultural technology, both digital and mechanical, to boost the agricultural sector in a sustainable way hence APV, agricultural technology provider, has unveiled Grassland Harrow to boost agricultural productivity. High-quality basic fodder is an important source of energy in the dairy industry. The Grassland Harrow GS 600 M1 Full Edition from APV pulls out unwanted dead grass, creates space for high-

quality seeds and aerates the soil. It aims to ensure the best conditions for seeding in combination with a Pneumatic Seeder PS 300 M1. The APV Grassland Harrow is mainly used in areas where intensive grassland cultivation is necessary. The two front tine rows tear out lawn thatch, tangles and grasses, while the two weaker back tine rows of thinner tines separate the soil from torn out weeds and work the applied grass seed into the ground. Additionally, the APV Grassland Harrow is equipped with four tine beds, each with two rows of 10 mm and two rows of eight mm cranked spring tines. The first two rows have a tine spacing of 7.5 cm and the last two rows have a

tine spacing of 5 cm. This combination of different tines is unique in agricultural technology and only offered by APV. The tine rows can be used in different modes of aggressiveness to each other. This achieves optimal soil adaptation. The Pneumatic Seeder is controlled by the Control Box 5.2, as well as the speed and linkage sensors. For the operation, tractors with 70 HP or more are required. The folding of the side arms requires a double-acting hydraulic connection. The APV Grassland Harrow GS 600 M1 is used to catch crop application in agriculture. Optionally, customers can go for the APV TOP training since last spring. This covers the preparation for the first use on the field. Furthermore

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July - August 2019 | 7


PRODUCT

Precision crop spraying technology utilising artificial intelligence

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ambridge Consultants has announced to bring artificial intelligence (AI) to the edge of the network, using low-cost, lowpower devices to perform complex machine learning tasks. ‘AI at the edge’ is set to enable AI to solve many of the real-world challenges, out in the field. The approach is demonstrated by Fafaza, a precision crop spraying technology that performs plant recognition and individual treatment in real time. Precision agriculture means harnessing technology to optimise production. It relies on precise granular data at the individual plant level, on the scale of large industrial farms, supporting everything from weed identification to crop health and

yield estimation. This understanding can inform real-time actions, for example, the application of herbicide to an individual weed. This is the challenge that Fafaza addresses: deploying AI ‘at the edge,’ on the back of a moving tractor and without able to achieve plant recognition for the need for connectivity. a number of years, the challenge has been in moving from powerful Fafaza is designed to spot specialist platforms with delayed broadleaved weeds amongst the processing of data, to processing grass and to treat individual target and acting in real time: this is ‘AI at leaves with herbicide. The system the edge’. identifies, classifies and applies treatment in real time while moving To be technically practical, a system at tractor speed. The Cambridge must be fast enough to distinguish Consultants team chose this tough and identify plants using ambient ‘green on green’ challenge to light and to apply treatment while demonstrate the potential of state- the plant is still in view. To be of-the-art machine vision and AI. commercially viable, a system must Although AI techniques have been be rugged and affordable.

Fafaza has been developed to run on off-the-shelf components, including a low-cost camera that can capture images at around 20 frames per second and an AI platform that costs less than US$100. Major processor vendors continue to invest heavily in devices that can run AI inference algorithms, bringing costs down further. These developments are opening up new areas for real-time AI processing in the field, without the need to rely on a communications infrastructure or the cloud.

Pöttinger unveils SYNKRO stubble cultivators and TERRADISC compact disc harrows for modern stubble cultivation

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n recent years, the aims of stubble cultivation have changed in many places. In the past, stubble cultivation was mainly employed to control weeds and loosen the soil, but most fields are nowadays largely free from weeds, with very few weeds still producing seeds in crops. Modern combine harvesters with extremely wide cutting units need to process very large volumes of straw, which harvesters are often unable to chop optimally and distribute across

the full working width. Farmers are recommended to carry out stubble cultivation right after the harvest. This saves precious water, which is necessary for weeds and volunteer seeds to germinate.

Water losses can reach 10 to 15 litres per sq m. By incorporating straw into the top layer of soil, the straw starts to degrade. In addition, the soil surface is protected against further drying out.

Shallow incorporation of the volunteer seeds (cereals, oilseed rape and weeds) into the upper soil layer (approximately five cm) with combined consolidation creates ideal conditions for rapid germination.

Mechanical weed control is also regaining importance. Multiple cultivation passes create several waves of germination so weeds can be controlled mechanically - a sustainable solution. TERRADISC compact disc harrows are low draft and ensure reliable cutting through of harvest residues without clogging. The ideal working depth starts at three to four cm and can be adjusted according to the volume of straw. Even on hard and dry soils, the TERRADISC can be used without any problems. Thanks to their solid construction and the aggressively set concave discs, Pöttinger compact disc harrows enter the soil perfectly.

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The two or three row SYNKRO stubble cultivators are an alternative to the compact disc harrow. SYNKRO stubble cultivators are designed for a superior mixing effect, regardless of whether you prefer very shallow or deeper cultivation. For stubble cultivation, Pöttinger recommends the knife ring or CONOROLL rear rollers, which optimally consolidate the mixture of soil and straw. Thanks to the standardized mountings, other rollers - rotopack, cage roller, double bar cage roller or pack ring roller can be added quickly and easily to the SYNKRO or TERRADISC. With the TEGOSEM catch crop sowing unit you can combine soil cultivation and sowing a catch crop in a single pass. That is how you can save time and costs. The TEGOSEM can be combined with PÖTTINGER TERRADISC disc harrows as well as with SYNKRO stubble cultivators.


FEATURE

Africa’s small-scale fisheries critical to food security

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ish accounts for more than one-fifth of the protein intake of African south of the Sahara and provides a livelihood to millions of people.International and African experts say small-scale fisheries play a critical role in global food security and must be supported with greater research and investment, Industry, NGO, government and academic representatives attended Murdoch University’s second Blue Economy Symposium in Tunis recently as part of the Africa Blue Economy Forum (ABEF) 2019 and Murdoch University’s Third Commission, a research investigation focusing on issues of public concern to Africa. Murdoch University Adjunct Professor, Dr. Jeremy Prince, who attended the symposium and is contributing to the work the Third Commission in this area, said the collective value of the small scale fisheries of Africa was too big to ignore. “It is critical that we stabilise and rebuild these fisheries to ensure both food security and the future of the blue economy,” Dr Prince said. “The time to act is now.” Discussions at the Tunis symposium provided useful insights and contributions to the finetuning of the focus and narrative of the Blue Economy chapter of the Third Commission’s report. A strong emphasis was placed on the need to highlight clear and innovative actions to effect lasting transformation of the blue economy in Africa.

Participants in the symposium called on all nations and international institutions to recognise the value and economic impact of small-scale fisheries in Africa. Their recommendations included: Increasing investment to allow fishing communities to be more involved in the comanagement of fisheries; and Directly engaging with fishing communities to collect and share relevant data regarding the state and economic value of small-scale coastal fisheries. About the Third Commission In keeping with Murdoch University’s commitment to quality research and teaching in public policy at both the national and international levels, Murdoch Commissions are exercises in applied public policy informed by rigorous scholarly research and analytical thinking. They bring together senior practitioners, international experts and thought leaders from Australia and around the world to work on pressing problems and issues of public concern. The first Murdoch Commission, “Western Australia and the evolving regional order: challenges and opportunities” published its final report in November 2013 and the second Murdoch Commission, “Food security, trade and partnerships: Towards resilient regional food systems in Asia” released its report in December 2015. Murdoch’s Third Commission commenced in June of 2018 and is focused on six themes firmly rooted in the agenda for action identified by the

Africa Progress Panel (APP) as being in need of more significant research attention, bolder policy innovation, faster implementation on the ground, enhanced political leadership and the conceptualisation and roll out of innovative research solutions. These themes are: Promoting Equity in the Extractive Industries: Managing the Extractives Industry in a more equitable, transformative and sustainable; Boosting the Blue Economy: Better Monitoring, Governing and Harnessing of the Blue Economy; Promoting Sustainable Agriculture and Food Production: Enhancing Sustainable Farming and Food Production and Nutritional Security; Increasing Power and Light: Creating greater and more innovative access to Modern Energy (Electricity and Light) Fast; and Cross-cutting themes of Women & Youth and Climate Change. An overarching focus of the Third Commission is identifying small scale policy interventions that have potential to make big impacts. Additionally, it seeks to enhance Murdoch University’s links with Africa in areas of the university’s comparative advantage, including research and innovation expertise, strategic interest and networking capabilities within Australia, in Africa and globally. The Third Commission report is due to be published in 2020.

July - August 2019 | 9


FEATURE

Why should I use LED lights on my farm tractors, sprayers and harvesters? Why shouldn’t I keep the halogen lights?

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hese are questions farmers often ask and the answer is LED lights provide fantastic levels of illumination while emitting a light experience similar to daylight and using half the battery power of traditional halogen lights. When using LED lighting you will find superior visibility is one benefit, you will have the ability to work seeing exactly what you are doing, safer and all with far less eye strain or tiredness. Your long days planting or harvesting will become far more productive. LED work lights draw almost half the current so make less demand on the machine alternator, switches and wiring circuit.

10 |July - August 2019

Manufacturers are starting to offer LED work lights as a factory option, but this sometimes comes as a very expensive option. Hence farmers are looking for alternative suppliers – which may be found in local 4x4 or agricultural dealers or possibly the internet. However, the saying ‘you only get what you pay for is very true’. Not all LED lights are the same, and here are some tips to help you buy value for your money:

1. Most LED’s are produced in China and can

be bought in a wide variety of qualities, performances, specification and price. Cheaply made lights are usually light in

weight and will usually have poor beam control which produces a lot of bleached white light shining everywhere but none clearly. 2. A well-designed light will generally be heavier in comparison and this due to better use of components. Extended life expectancy, clarity of performance and clearer detail of what is ahead all come from better components and design. 3. A well-designed light will include EMC – which is the prevention of electrical interference to radios/two-way radios. Ideally look for an EMC rating called CISPR25-CLASS4 or higher. 4. IP rating is a quality standard for how well


protected the light is against dust or water getting inside. IP67 is okay, but IP68 is perfect. Jargon you should understand before purchasing LED lights: Wattage: This is the size of the LED chip which produces the light and similar in purpose to a light bulb. Tractor work lights normally range from 27 through to 40 even 60 watts in size. Lumen: this is the measurement of light given out so at this stage lumens are the best indication of performance and a good rule by which to make your decision. However, there are two types of Lumen – one is ‘raw lumen’, the other is ‘effective lumen’. Raw is what the light should produce in theory, but effective is what it produces in reality and this is the most important. Lumen example: A normal 55-watt halogen work light emits 700 – 800 lumens. A 40-watt LED work light for a tractor or harvester emits around 3500 lumens so about 5 times extra light and for half the power draw. In addition to normal tractor white lights there are some blue LED lights such as those already offered by Hardi Crop Protection who have branches in both Jhb and Cape Town. These blue lights are proven to make spraying crops

at night much easier by highlighting the spray pattern and show if any nozzles are blocked or badly performing. Another use for blue LED lights is for machinery working in poultry houses because the colour does not frighten and scatter poultry. Following our six years’ experience

specialising in LED lights for agricultural tractors and machinery it is evident a small additional investment in quality well designed LED lights can bring a vast improvement and benefit to working in the dark whereas cheap poorly designed lights can bring absolute disappointment.

July - August 2019 | 11


FEATURE

providing mechanization for a key Agri project in Mozambique

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GCO, and AT Capital S.A have signed a memorandum of understanding to collaborate and work together towards the implementation of the Parque Agro-industrial de Moamba (PAM) Agri-Industry Park in Maputo, Mozambique. The announcement was made at the the 12th U.S. – Africa Business Summit “Advancing a Resilient and Sustainable U.S.Africa Partnership” in Maputo. The aim of the PAM agricultural project is to build reliable and resilient food production capacity in Mozambique, for domestic demand and export. Estimated at an investment of about US$52 million during its first phase, the project will span a site of over nine hundred hectares in the Mauvane area of Moamba district. The PAM project is an initiative of AT Capital S.A, a privately-owned company based in Maputo – Mozambique, promoting investment in strategic sectors of Mozambique such as agro-industry. AGCO, a global leader in the design, manufacture and distribution of agricultural machinery and solutions will serve as a technical partner to the project. The first phase comprises setting up a system for the production of agricultural products; poultry and animal husbandry as well as other services in the value chain such as abattoirs. It also includes the supply of water and electricity and the construction of auxiliary roads. “The PAM project is a priority for AGCO in Africa, as it falls within the concept of our AgriPark initiatives which are aimed at empowering African farmers through the integration of hightech solutions, agronomy and the community,” explained Nuradin Osman, AGCO Vice President and GM of Africa who was also in attendance as one of an exceptional line up of business and government leaders participating in panel discussions on industry-tested solutions to business challenges in Africa.

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Attended by over ten African heads of state and governments, the Summit is the flagship conference of The Corporate Council on Africa and brings together more than 1,000 U.S. and African private sector executives, international investors, senior government officials and multilateral stakeholders. The signing was witnessed by Deputy Assistant Secretary of the U.S. department of Commerce, Seward L. Jones Jr; Senior Commercial Officer at the US Embassy in Mozambique, Tamarind Murrieta; Overseas Private Investment Corporation (OPIC) MD, Africa, Worku Gachou as well as senior representatives from the U.S. Government Trade & Investment Initiative, Prosper Africa. “It’s significant that AGCO, as one of the sponsors of the 12th US-Africa Business Summit is committed to advance another Agri-Park styled

initiative in Africa on this platform that is promoting business and investment between the United States and the nations of Africa.” “The support of the delegation present here demonstrated that AGCO shares in the summit’s renewed pledge to developing business-friendly initiatives and policies that foster greater economic engagement and community inclusion on the continent.” On June 20, 2019 Mr. Nuradin Osman, AGCO Vice President and GM, Africa is to speak at the Agribusiness 2.0 plenary session of the U.S.Africa Business Summit in Maputo, Mozambique. The panel discussion looks at the impact of data, technology and strategic policies of both private companies and governments in order to develop a sustainable agriculture ecosystem that meets the challenges of 21st century Africa.


FOR AFRICAN AGRICULTURE THAT IS

NATURALLY FERTILE ! In the future, agricultural production should be intensified sustainably and with respect for the environment.

Who are FCA Fertilisants and Fertilux ?

Proven by the results of official experiments, the performances of FCA Fertilisants and Fertilux solutions provide an answer in the African context.

SUMMARY : Eco-friendly fertilisation has several advantages :

A

ll the continents, and especially Africa, should take on a challenge for the future :

To feed more and more populations under increasingly difficult soil and climatic conditions. Despite significant progress, productivity in the African continent is still below the other regions in the world and remains a primary concern. At present, one person in four on the continent still suffers from chronic malnutrition. The situation will get worse over the next decades, considering that demographic growth in Africa, forecast at 1.3 billion additional inhabitants by 2050, will further increase the challenge to the African food system. This is compounded by intensifying climatic changes which will put crops and animal rearing in peril and heighten food safety issues. Without adaptation strategies, the production of corn, which is a basic food in Africa, could fall by 40% between now and 2050. Although the extension of cultivated land has considerably increased agricultural production in the past, it has been to the detriment of the environment.

> An increase in yield Located in the middle of Europe, the geographic position of their production sites gives FCA Fertilisants and Fertilux direct access to natural raw materials for the agro-industry and microbiology. Through their patented know-how in soil life biostimulation technologies, FCA Fertilisants and Fertilux enable farmers to take the initiative towards a naturally fertile agriculture by following four principles : Enriching soil fertility Significantly reducing the carbon effect in comparison to standard fertilisers Increasing the effectiveness of inputs Decreasing the environmental impact

What are the solutions ? The solutions for eco-friendly fertilisation provided by FCA Fertilisants and Fertilux stabilise the soil by including nutrients and nourishing the microorganisms that are naturally present. Through a symbiotic relationship with plants, these microorganisms shape plant health in two ways : By helping to fight off diseases or pests By reinforcing the resistance to biotic and abiotic stress

> Sustainable strengthening of soil and plant health > Perpetuation of the biological, physical and chemical fertility of the soil FCA Fertilisants and Fertilux are dedicated to the preservation of relations with farmers and devotedly carry out tests each year directly on "pilot" farms in order to continuously evaluate the pertinence of their solutions and optimise their recommendations and fertilisation programmes. We invite you to follow the results of these tests and partnerships in the next issues of Farmers Review of Africa...

To contact us : Mr. SĂŠbastien DAVID sebastien.david@group-shfc.com +33.6.51.17.54.62 Mr. Christophe MONNOT christophe.monnot@fertilux.lu +33.6.74.23.68.27

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FEATURE

Recovery of soil health crucial for agricultural sustainability

T

he life of agricultural soil in South Africa is in a state of total imbalance after years of uninformed application of agricultural chemicals combined with practices that are, often unwittingly, detrimental to soil health. According to Johan Habig, senior researcher in microbiology at Microlife Research Centre. “Soil life plays a crucially important role in soil health due to the wide range of functions fulfilled by various organisms,” he explains. “These functions include the release, that is, the mineralisation and circulation of micro- and macro-elements from the organic material and root exudates, production of plants’ growth hormones, organic acids and even toxins that could keep disease-causing bacteria, fungi and nematodes away from plant roots.” Promoting soil health Habig points out that the imbalance could be exacerbated by increased application of chemical fertilisation, resulting in soil life not being able to fulfil its functions optimally, to the detriment of the plant and general soil health. “When we as people ‘rest’, we don’t do it without food and clothing. Similarly, agricultural land merely lying fallow does not promote soil health,” he says. “The most beneficial way to let soil ‘rest’, is to either keep a layer of organic material on the surface or to plant a cover crop. This will keep the soil life nourished and prepared for the next growing season.” Further benefits of permanent soil cover include the regulation of soil temperature, prevention of water loss and even the reduction of soil erosion. Preventing total dependence on chemical agents According to Habig, there could be various reasons why producers do not apply these practices, including high costs or even a lack of correct information. He warns that the most detrimental biological result of inadequate attention to soil health is plants’ and crops’ total dependence on chemical fertilisation and other chemical agents to survive. “Should this happen, increasing quantities of chemical fertilisation will have to be applied to ensure the same yields,” he says. There are also secondary functions that are compromised by a decrease in soil health, amongst other things, aggregate stability, the penetration capacity of water and the

14 |July - August 2019

suppression of soil-borne diseases. “Soil health deals with the chemical, physical and biological interactive processes and features of soil that are important for sustainable production. Laeveld Agrochem and its partners support the attempts of producers to improve their soil health and, accordingly, we make the technology available to take the necessary measurements of these interactive processes and features. “Our purpose is to assist farmers to ensure sustainable production and, ultimately, to make nutritious food available to consumers,” says Phillip Venter, marketing manager of plant nutrition at Laeveld Agrochem. A decrease in nutritional value There is no record of the biological facet of soil health in South Africa, but Willem Eigenhuis, chief agronomist of grain and pecan nuts at Agri Technovation, says international research indicates that the mineral content of the food that we take in, particularly fruits and vegetables, have decreased dramatically. “Data from the past 50 years indicates that the mineral content of food such as fruits and vegetables have decreased by between 20% and 50%,” says Eigenhuis. “It is alarming because it means that we are cultivating volumes of food without the necessary nutritional value, which could also be a reason for the growing incidence of obesity; people taking in large quantities of food depleted of essential minerals and nutritional value.”

Damage caused to the natural environment A WWF South Africa report, titled Agri-Food Systems: Facts and Futures, which was released earlier this year, points out that the way in which we put food on our tables could cause more damage to the natural environment than any other human enterprise. “Existing practices could lead to a loss in biodiversity, deforestation, poorer soil health, desertification, water scarcity and poorer water quality and also contribute to widespread damage to our marine ecosystem,” the report states. “This unfair and environmentally unfriendly food system means that South Africa will have to produce 50% more by the year 2050 to feed the local population, which is estimated to reach 73 million by that time.” Eigenhuis points out that the focus should not be exclusively on greater production, but also the cultivation of more nutritious food. “Corrective agricultural processes could help to produce food with improved mineral content on fewer hectares, which is critically important for South Africa as a water scarce country with only 13% arable agricultural land. More nutritious food will hold the additional benefit of consumers having to take in less to obtain the same, or the necessary nutritional value,” he concludes.


FEATURE

Heat stress: A greater

threat to agricultural workers

R

ising temperatures are characteristic of the changing global climate and the warnings of the implications that this change could have on production and agriculture are no longer just hypothesises but a reality for many.

be greatly affected by this.According to the report, more than 129 million workers on the continent were employed in agriculture in 1995, accounting for more than 55% of the total workforce of around 230 million workers.

are forced to leave rural areas in search of better prospects in cities or abroad.

Changes to regional and global temperature will continue to have damaging effects on agricultural systems at both national and global levels and by extension the bio-based economy.

“Although these [figures] are projected to decrease in all the sub-regions by 2030, the overall figure is expected to remain relatively high, with more than 290 million workers working in agriculture by 2030, or 48% of the total workforce, which is projected to be more than 610 million workers,” the report said.

The study also said that about 1,3% of the total number of working hours in Africa were lost due to heat stress in 1995, a productivity loss equivalent to more than three million full-time jobs. As heat stress intensified, up to 2,3% of total working hours would be lost by 2030, which was the equivalent of about 14 million full‑time jobs.

It noted, however, that given the physical nature of labour in agriculture, which was mostly undertaken outdoors and entailed direct exposure to heat, workers would be particularly affected by higher temperatures that were a result of climate change. It was estimated that global temperatures would increase approximately 1,5°C by 2025.

The impact of such productivity losses would impact food production and result in greater poverty and food insecurity.

Farmworkers across Africa will be increasingly adversely affected by rising temperatures due to climate change. The agriculture sector in Africa could lose up to 14 million jobs by 2030 due to heat stress. This was according to a new report by the International Labour Organisation titled, ‘Working on a warmer planet: The impact of heat stress on labour productivity and decent work’. While it was expected that the general labour force in Africa would increase by 2030, some jobs could be threatened as working hours were reduced due to heat stress. The agriculture sector was expected to be one of the sectors that would

These high temperatures would make some farming regions unproductive, leading to the displacement of large number of workers, as they

The report suggested that the long-term options for reducing the impact of heat stress on agriculture included promoting mechanisation and skills development policies aimed at increasing the efficiency and sustainability of food production under new climatic conditions, complemented by monitoring and awareness campaigns.

July - August 2019 | 15


FEATURE

Technology key to luring Africa’s youth into crucial farming sector

T

he ageing workforce in African agriculture will be one of the sector’s key challenges in the medium term, according to a new report by global research and consultancy firm Oxford Business Group (OBG). The OBG report, which analyses the state of the sector and its medium-term development prospects, highlights Africa’s significant untapped agricultural potential. While the continent accounts for 60% of the world’s arable land, it only contributes 4% of total output, and this could further decrease should governments fail to lure young people to the sector. The OBG report cites the UN Food and Agriculture Organisation (FAO), which states that the average age of African farmers is 60. In many cases farmers across the continent are struggling to convince their children to take over when they retire. Low incomes and the inherent

16 |July - August 2019

difficulties of farming are pushing many young people to move to urban centres to find jobs. However, unemployment is still prevalent among Africa’s youth. The African Development Bank estimates that only about 3.1-million new jobs are created each year — equivalent to about a quarter of the 12-million young people entering the workforce annually in Africa. The continent has the youngest population in the world, with an estimated 60% of people under the age of 25. Unemployment and underpaid jobs are driving millions of youth into poverty each year, pushing some to take significant risks to migrate to Europe. “In this context agriculture is increasingly seen as key to providing jobs for Africa’s youth and to convincing them to stay in their countries, and the rural areas in particular,” the OBG report states. Many African millennials perceive farm work

as a last resort, a shameful form of employment that is indicative of poverty. Young African agripreneurs (a shortened form of “agricultural entrepreneurs”) are trying to reverse the stigma by professionalizing farming and transforming it into a more lucrative and attractive employment option for the youth. The Current State of Agriculture Africa is home to 65 percent of the world’s uncultivated arable land. The continent has tremendous untapped crop potential that could drastically reduce food insecurity and produce surpluses that would increase exports. However, the average age of the African farmer is 60, and there are not enough young farmers to replace the aging ones. Instead, young Africans choose to flock to cities for urban jobs or alternative forms of employment. The continent imports more than $35 billion in food each year, meaning that farmers are not able to meet demands even at current levels of agricultural employment. Food insecurity will only increase if the youth do not replace aging farmers. African agripreneurs have taken it upon themselves to attract youth back into farming by implementing scientific approaches, data analysis and innovative apps that could drastically improve crop yield and transform farming into a profitable option. Farming is also threatened by forces other than a lack of youth interest. Changing climate patterns, unreliable rain-fed irrigation and desertification


The Youth and Agriculture Africans under 35 years of age constitute more than 60 percent of Africa’s population. While this could be considered an asset in terms of human resources, the rate of youth unemployment is also extremely high. An estimated eight to nine million Africans between the ages of 15-35 years are unemployed. Due to the stigma of farming, youth pour into the city in search of jobs in an already saturated job market. This leaves many of them unemployed or turning towards more illegitimate sources of income that can destabilize regions. The mission of African agripreneurs to destigmatize farming is an important one not only for food security but also for political stability. By developing and using apps like CowTribe or FarmDrive, agripreneurs could turn farming into a more profitable business. It could increase the number of unemployed youths who would give farming a chance and remove themselves from the risk of falling into informal employment.

put pressure on the agricultural sector. Current farmers are neither trained nor equipped to face these challenges. African Agripreneurs have worked to develop platforms and workshops where they can share useful techniques and tools to combat the forces of climate change.

Supportive Organizations Governments agencies and nonprofit organizations recognize the importance of what millennial African agripreneurs are doing. The African Development Bank (ADB) has committed $35 million to the Enable Youth Program, which aims to give African agripreneurs the resources and training they need to succeed. In addition, the ADB hosts a conference every June to allow these agricultural entrepreneurs to network with investors and development partners while sharing their ideas with like-minded colleagues.

The three-day conference exposes young agripreneurs to the entire process of business development, financing and marketing. In Kenya, the International Center for Tropical Agriculture signed a pledge with Climate Smart Agricultural Youth to support young agripreneurs with training and capacity building exercises. Additionally, the two organizations plan to improve access to digital tools and financial resources in order to create more opportunities for these youths to develop lucrative and sustainable businesses. In Ghana, the government sent out 27,000 agricultural officers to go to communities to educate farmers on the most effective farming practices or to pass out seedlings for hardy and high-yielding crops. Entrepreneurs who have profited from agriculture have taken it upon themselves to fund research to improve fertilizers, soils and irrigation systems and even dams. In fact, more than 570 irrigation dams have been built in Ghana since 2018. Celebrities use their platform to make farming cooler by singing about it or starring in farming reality television shows. African agripreneurs are the driving force behind the new farming revolution. More and more youths are looking towards farming as an attractive, profitable and honorable trade. This renewed interest in agriculture is very good news for the future of Africa.

July - August 2019 | 17


FEATURE

State of the art technologies to address aflatoxins concerns A

flatoxins in food and milk can seriously harm humans, animals, and corporate reputations. But Nestlé Group in China and the longest-serving peanut-shelling plant in the USA are both showing how laser sorting machines can eliminate the risk. Food contamination by aflatoxins, which can cause cancer, is worrying scientists and regulators. New concerns about these naturally-occurring poisons, voiced earlier this year by scientific advisors, have provided a stark reminder of the health risk to consumers and the commercial risk to food businesses. Aflatoxins are a problem most commonly encountered with plants grown or foods stored in parts of Asia, Africa, and the United States. This is because the toxins originate in two species of fungus which favour hot and humid climates. In February 2018, however, the European Food Safety Authority (EFSA) reported that there are also concerns about “the elevated aflatoxin levels observed by some food commodities originating from European countries.” Now there are calls for EFSA to make its first full risk assessment of aflatoxins in more than a decade.

18 |July - August 2019

These concerns are not surprising: aflatoxins are 68 times more lethal than arsenic and capable of seriously damaging human and animal livers. Aflatoxins can cause fever, malaise, and anorexia, followed by abdominal pain, vomiting, and hepatitis. Worse still, chronic toxicity from aflatoxins can reduce immune efficiency and trigger cancer, which is why they are classified by the World Health Organization as a Group 1 Carcinogen.

contaminated by aflatoxin B1. Pasteurisation of the milk does not protect against aflatoxin infection.

Exposure to aflatoxin-contaminated food is known to have caused hundreds of deaths in India and Kenya and many more fatalities have probably gone unreported. Even in Europe, where there are strict rules about food safety, in 2013 several nations reported widespread aflatoxin-contamination of milk.

In addition to the expensive disruption of a productrecall, there is the likelihood of costly and possibly fatal brand damage. All of these dangers are made worse by the fact that aflatoxins are invisible to the naked eye.

The most poisonous type of aflatoxin, B1, occurs naturally in a wide range of foods. This fungus infects cereal crops including wheat, plus walnut, corn, cotton, peanuts and tree nuts. Aflatoxin B1 also infects spices, crude vegetable oils, figs, other dried fruits, cocoa beans, and rice. Another type of aflatoxin, M1, can be present in milk taken from animals which have eaten feed

Aflatoxins are not harmful to humans or animals if consumed in small doses, but aflatoxin-intake from food and milk does have to be kept low. This is why, in many parts of the world, maximum permissible levels of aflatoxins in food are defined by law. If regulators find these levels exceeded, the business responsible pays a heavy price.

Why good samples can lead to bad news Some food businesses check for aflatoxins by testing samples of their products. This might seem like a responsible precaution, but unfortunately it is not dependable. Taking samples does not provide statistically-adequate proof that the product is wholly safe. To visualise why, imagine peanuts filling a huge silo. That’s a lot of peanuts. The problem is that dangerously high levels of aflatoxins can be


present in the silo but only in small clusters of nuts. This means there is a correspondingly small chance of those contaminated nuts being picked for a test-sample - and a very high chance they will reach a customer and would fail a regulator’s test. One alternative to taking samples is to blanch the peanuts, passing them through a low-temperature heat treatment to loosen and then remove the seed coat. But this process is unpopular with food producers because it can shorten the product’s shelf-life and adds considerably to costs. The other solution, and by far the safest, is to rely on detection by sorting machines. Sorting machines recognise and dispose of aflatoxins The best method for aflatoxin detection is to employ sensor-based sorting machines produced by TOMRA, the global pioneer in food safety assurance technology. TOMRA’s machines employ Near Infra-Red (NIR) spectroscopy, fluorescent lighting, and state-of-the-art lasers to analyse the surface structure and elemental composition of objects passing along a food production line. The special optical design of TOMRA’s Detox laser makes it possible to identify

the extremely low intensity of light reflected by aflatoxin mould and fungus in a variety of food types, enabling the detection of aflatoxin contamination. In addition to this extraordinary capability, TOMRA’s sorting machines also employ unique biometric signature identification (BSI) technology. BSI works by detecting the biometric characteristics of the food items it scans - for example, nuts and raisins - and compares these to features stored in the machine’s database to determine whether the items should be accepted or rejected. This detects and removes smaller defects than is possible with conventional spectral technology. Detection accuracy is so good that false-rejection rates are exceptionally low and yields exceptionally high. A good example of this technology can be seen in action at Nestlé Group’s processing line in Dongguan, China, run by sub-brand Hsufuchi Foods. Quality and safety are one of the ten corporate principles at Nestlé, which has chosen TOMRA as its strategic partner in fighting aflatoxin contamination in peanut products. Since September 2016 Hsufuchi Foods has operated two TOMRA Helius free-fall sorting machines to

achieve Nestlé’s global quality standards, which are more stringent than China’s domestic food safety regulations. More than supplying sorters to fight aflatoxins, TOMRA also provides comprehensive support in setting-up and optimising the machines. To validate Nestlé’s Helius sorters with Detox technology, TOMRA’s application support teams conducted a six-month test on the Dongguan processing line, adjusting sorting parameters with more than 500 tons of peanuts of different varieties. TOMRA also worked with Nestlé on quality inspection and invited a third-party inspection agency to define validation protocols, ensuring the validation process and results were sufficiently representative. Zhang Ahfung, deputy general manager in charge of production at Dongguan, said: “TOMRA’s technical support was very efficient and quick in response, both in the test phase and after machine installation. Through many tests we are now assured that TOMRA’s Helius sorter can effectively control the level of aflatoxin in peanuts. This puts my mind at ease, because I do not have to worry about our product quality any more. Now we will consider implementing

July - August 2019 | 19


FEATURE a Detox-technology-based sorter in all facilities where aflatoxin problems arise.” Leading US supplier “astounded” by the results Smaller, family-owned businesses also benefit from TOMRA’s technologies. As illustration of this, three examples of the company’s Nimbus free-fall sorting machine, each equipped with the laser module required to detect aflatoxin, are used by the Damascus Peanut Company in the USA. This specialist peanut-shelling business employs approximately 125 people and runs its factory in Arlington, Georgia, for 24 hours per day. This is the oldest operational peanut-shelling plant in the country but has stayed ahead of the game by employing state-of-the-art equipment and has relied on TOMRA machines since 2002. The result is high-quality peanuts, supplied to many well-known food brands in Europe and Japan as well as the USA. Damascus acquired the first TOMRA machine in 2002 with the intention of sorting foreign material from its line, with no expectation that the machine might also sort aflatoxin- contaminated nuts - but a pleasant surprise was on the way. TOMRA’s machine happened to be installed at Arlington during a year of unusually poor crop quality and highly-prevalent aflatoxin.

When the plant’s end-lots were tested for aflatoxin, the results were massively better than those at three other plants in the group. This lead Damascus to ask TOMRA if its machine also sorted aflatoxin. TOMRA shared that it had a peanut customer using a TOMRA sorter claiming that he had figured out how to remove aflatoxin with it. TOMRA requested Damascus to also check the reject of the TOMRA sorter. Soon after, the results of several chemical tests -coming back as ‘firecracker hot’- gave a first good indication of the machine detecting and removing aflatoxin tainted peanuts. At this point TOMRA sent laser-application engineers to Damascus to refine the machine’s aflatoxinidentifying capabilities, which became totally dependable. Bryan Willis, President of Damascus, explained: “Aflatoxin is an expensive problem for a peanut processor. Before we had TOMRA’s machines, the only way to really deal with aflatoxin was to blanch. But compared to blanching, using a laser is much, much less expensive. Because of this, our machines have paid for themselves many times over. And of course the machines also do a great job of detecting and removing foreign material, which is the reason we originally purchased them before discovering they can sort something humans cannot see.

“To begin with, we were sceptical about the machine detecting aflatoxin. But then we began to understand that the toxin is structurally different to the meat of the peanut. The laser sorter looks at the toxin no different than it would a piece of glass, metal, or any organic material that is not peanut. It was very hard for the industry to understand this at first, because it was such and advancement over existing technology. I’m still astounded, but the proof is in the results, and the aflatoxin problem has been solved!” Bjorn Thumas, Director Business Development Food at TOMRA Sorting Solutions, said: “What our machine does is equivalent to inspecting every single kernel, which is exactly what’s needed to ensure food safety. Of course the system also simultaneously performs other important sorting functions, taking out foreign material and removing allergens from the line. And when handling corn, the laser can also differentiate between GMO- and non-GMO seeds. “Our machines increase productivity and improve yields at the same time as providing protection against one of the biggest dangers facing the food industry. Aflatoxins are a potential killer - of humans and of businesses - but we can keep them under control.”

SPONSOR OR BOOK YOUR EXHIBITION SPACE This event is an excellent platform to promote your organization to influential players & investors in the industry. Talk to us for sponsorship packages or book your exhibition space now! Contact fiona@cmtsp.com.sg

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 

 Exhibitors  Speaker

Name Position Company Email Address

Comments from 2nd Biomass Trade & BioEnergy Africa, Oct 2018, Johannesburg

Tel

“Very informative. Has been demonstrated that Africa has lots of resources to offer” – Palmci

Fax

TO REGISTER

Online: www.cmtevents.com Email: huiyan@cmtsp.com.sg Fax:

(65) 6345 5928

Tel:

(65) 6346 9113

“The conference was well organized, provided a lot of industry specific knowledge and insights and offered a great networking platform” – LeJan Energy “Very informative and mind opening conference in regarding to Africa biomass potential and market update opportunity from the Asian countries” – Kenya Climate Innovation Center (KCIC) “Well organized, good location, good refreshments and good networking” – The New Forests Company “This is the only biomass/bioenergy focused forum in Africa providing opportunity to meet the right people” – ARUP

You Will Network with

Program details published herein are confirmed as at 15/07/2019. Please visit www.cmtevents.com/aboutevent.aspx?ev=190921& for latest information on speakers & topics.

20 |July - August 2019

Companies related to Wood Pellets, Wood Chips, Agricultural Biomass (covering PKS, EFB, sugar bagasse, straw, and others), Forestry, Plantations, Commodity Brokers/ Traders, Shipping & Logistics, Government Agencies, Regulators, Pulp & Paper, Power Plants, Equipment Manufacturers, Technology Providers, Project Financiers, CDM, and other groups involving in biomass power generation.

“Generating Energy, Electricity & Export Potential from Biomass in Africa!” • Opportunities to utilize biomass as alternative renewable energy source in Africa • Promoting & funding bioenergy projects in Africa – biomass power, biogas & biofuels • Case studies on industrial boilers & co-generation from biomass & agricultural waste - oil palm, cocoa, rice husks, etc • Matching biomass availability with energy demand hotspots • From plantation to markets – biomass pellets/briquettes production & economics • Export prospect for African biomass • Supply chain development for wood pellets, biomass briquettes, wood chips & PKS Confirmed Speakers to date from • Societe Des Energies Nouvelles (SODEN) • EDF • University of Nottingham • Proparco (Groupe AFD) • ECOWAS Centre for Renewable Energy and Energy Efficiency (ECREEE) • Rainforest Alliance • Egyptian Company for Solid Waste Recycling (ECARU) • Oracle Biofuels Ltd • LeJan Energy / Char Briq Solutions • Wood Pellet Services • Palmline Group


Explore. Connect. Learn.

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for the world’s biggest irrigation show.

IRRIGATION SHOW | Dec. 4-5 EDUCATION WEEK | Dec. 2-6 Las Vegas Convention Center Las Vegas, Nevada

Register online: www.irrigationshow.orgJuly - August 2019 | 21


FEATURE

Procedure of R Registration of Pest Control Products In Kenya

egulation of Pest Control Products commonly referred to as pesticides is an important legal requirement all over the world. The primary purpose of using pesticides is to control pests in crops in order to reduce yield losses. However, pesticides are potentially hazardous to human, animals and the environment. Their use can also impact negatively on food safety, a critical component of food security. These are key considerations in their regulation through the supply chain.

22 |July - August 2019

In Kenya, Pest Control Products are regulated by Pest Control Products Board (PCPB). PCPB is a statutory organization of Kenyan government established under an Act of parliament, the Pest Control Products Act, Cap 346, Laws of Kenya of 1983. It was established to regulate the importation and exportation, manufacture, distribution and use of pest control products. Under this law, a pest control product is defined as a product, device, organism, substance, or thing that


is manufactured, represented, sold, or used as a means for directly or indirectly controlling, preventing, destroying, attracting, or repelling any pest. This covers a wide range of products which include conventional chemical pesticides, botanicals, biochemical, microorganisms, natural enemies and adjuvants among others. The Board has a wide mandate which include assessing the safety, efficacy, quality, merit and economic value of pest control products, assessing suitability of premises used for manufacture/formulation, re-packing, storage and distribution of pest control products for purposes of licensing, creating awareness of the general public on all aspects of safety, storage, handling, disposal and use and monitoring and ensuring adherence of quality standards of pest control products from production to use. Sections 4 of the Pest Control Products act

prohibits importation into, or selling in Kenya any pest control product unless that pest control product has been registered, packaged and labeled in accordance with regulations made under the act. Registration is the process whereby the Pest Control Products Board approves the sale and use of a pest control product following the evaluation of comprehensive scientific data demonstrating that the product is effective for the intended purposes and does not pose an unacceptable risk to human or animal health or the environment. This data which is submitted by applicants include physicalchemical properties, toxicological profile, ecotoxicological data, behavior in environment and residue data. In addition, efficacy trials are conducted locally on these products to establish their effectiveness on the target pests and safety to the crops.

FLUKE AND OTHER WORMS DRENCH Features and Benefits · Effective against Nematodes( GIT, Respiratory etc) and all stages of the flukes. · Unique efficacy against fluke eggs, early immature, immature and adult liver flukes; one shot solution to fasciolosis. · High efficacy against Nematodes- gastrointestinal, lung worms and other round worms

Zero Flukes, More Milk More Meat

July - August 2019 | 23


FEATURE

Luna sensation: In a Class of Its Own Controls: • Powdery mildew • Early Blight • Leaf spot yellows • Aschochyta

bcs.ke@bayer.com www.east-africa.bayer.com

24 |July - August 2019

Registration procedure For a Pest Control Product to be registered in Kenya, an applicant is required to appoint a local agent who submits the scientific data of the product to PCPB in accordance with pest control products regulations. A completeness check of the data is conducted and where acceptable, a permit to conduct efficacy trials is issued upon payment of an introduction fee of Ksh. 10,000.

These data undergo various levels of evaluation i.e. expert review at PCPB, technical committee of the Board and then finally the Board of management which is the final decision-making organ.

These trials are conducted by public or private institutions which are accredited by PCPB.

If the board is satisfied, it grants registration of the product for three years which is renewable after every two years. Upon registration of a product a registration fee of Ksh. 30,000 is paid and thereafter a fee of Ksh. 20,000 is paid after every two years. Pest Control Products which are approved for use are published in the PCPB website (www.pcpb.go.ke) and they are freely available to the public.

For crops, three season’s efficacy trial data is required for proprietary and generic products. Where a product is already registered for use in Kenya, two season’s data is required for label extension. For products intended for use on edible crops, residue data has to be submitted for consideration.

The Board considers efficacy, quality, economic value and safety of the product to the public, animals and the environment before approving a product for use.


PRODUCT

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FEATURE

Banking on deep rich loam soils to boost yields Across 5,000 ha west of Kenya’s Great Rift Valley, Finlays plants, plucks and prepares millions of kilograms of fine high grown black, green and organic teas, to the great benefit of the 9,500 people it employs and the communities it supports.

I

n Kericho, which is 2,000m above sea level, Finlays produces 23 million kgs of made tea every year. The company benefits from the deep rich loam soils which are high in organic content and ideal climate giving the company the perfect environment for high yields of good quality tea. There are approximately 1,500 different varieties of tea in the world, all offering interesting and varied styles, taste and colour. The character of tea, like wine, is influenced by the elevation of the garden, the soil, wind conditions and temperature and, of course, the quality of the plucking. Finlays produce the following “marks” from the factories indicated below: Changana Factory Matuta Chemamul

• •

Chomogonday Factory • Tiluet

26 |July - August 2019

• • •

Masingi Chemase (organic) Kijani (green)

Kitumbe Factory (Fairtrade) • Kapsongoi • Chemase (organic) • Tenduet • Milima Kymulot Factory • Bondet • Sisiba The teas are very bright, colourful, with a reddish coppery tint and a pleasant brisk flavour. Kenya speciality tea is ideal as a drink for any time of day or night. At Kericho, we are striving for ways to reduce our impact on the environment. Our vision for energy supply is to be completely self-sufficient in electrical and thermal energy by 2030. Our aspiration is to generate all this energy in carbon neutral generating plants.

Today, on our estate, we benefit from having access to large areas of forestry, of which we fell around 30 hectares per annum of timber. This timber is used to provide carbon neutral, thermal energy by burning the wood. At Kericho we pioneer and are proud of our initiatives to provide self-generating natural power sources (50% hydro-electric). Our people are at the heart of our business in Kenya. We employ 9,500 people who live on our estates; we provide them, and their families, with housing, schooling and medical services. This amounts to more than 11,000 houses, 13 dispensaries, 14 primary schools, 49 nursery schools, 1 secondary school and 3,000 kitchen gardens. People used to know where their food and drink came from – it was local and natural. Then populations grew and spread out, and things changed. Supply chains became longer and more complex; the end product got further and further from where it started, in every sense. Soon the race was on to package and mass-produce products that would


keep the world hooked. But once again, people want to know the origin of their food and drink. That’s why we believe the future of our industry is to reconnect with its past. At Finlays, we have never lost touch with our own past. The lessons of two centuries feel more relevant today than ever. We are drawing on these long-held values to create a better future for beverages. That means harnessing new technologies in a responsible way – ensuring future innovations drive our industry to new heights, delivering healthy products to the world. It means continuing the tradition of fair dealing that has helped us build life-long relationships and thriving communities. It means using over a century of experience to make our crops sustainable and our supply chains transparent. Most of all, it means empowering our customers, large and small, to develop the natural, traceable and trusted products their consumers are asking for. With deep roots across the globe, no-one is better placed than Finlays to unleash the global potential of tea and other natural products to create tomorrow’s beverages. In 1893 the business began its journey investing within Sri Lanka, initially entering the shipping business in Ceylon by taking over an agency of steamers. In 1894 the company began operating in Insurance Services and that same year embarked on its journey into tea within Sri Lanka, which today puts Finlays as a major producer and supplier of Ceylon tea to the global markets. During the 1920s, the company expanded its tea business into Africa, establishing estates and production facilities which continue to form a major part of our business today. Finlays

pioneered instant tea research, development and production in the 1960s, when the industry was still in its infancy. Towards the end of the 20th century, our cotton interests were replaced by financial services, onshore and offshore oil services, and a wide range of other businesses. By the early 1990s, however, we had reverted to concentrating on tea and tea-related activities and we are today, an international company, principally focused on tea. As contemporary drinking patterns change and the enormous potential of tea as a healthy ingredient in other products is developed, we are at the forefront of producing and marketing tea extracts and aromas in addition to more traditional forms of processing. This is highlighted by significant recent investments in China, Kenya and the USA. Finlays have also expanded our various non-tea businesses, principally around coffee, which has included the purchase of Autocrat in 2014, a coffee extraction business in North America. Finlays has also made sizeable investments in state-of-the-art cold store facilities in Colombo. Finlays now has a unique and integrated global footprint in the beverage industry. We own and operate tea estates, extraction facilities for tea, coffee and plant extracts, packing facilities and R&D labs across four continents. As owners of tea estates, we also take a long view on our natural environment – with a deep understanding of how our business is intimately linked to the landscape where we are located. Take forests as an example. Tea cultivation is dependent on the forests that surround them.

Forests help mitigate climate changes by controlling the micro-climate, providing water and biodiversity (to help control pests and diseases), and they sustain agriculture in the area. Where we operate we undertake work to protect natural forests both inside our estates and outside. Finlays take a long view on developing best practice. For example, we try (where possible) to look beyond certification, not just compliance. In our estates we have empowerment programmes for people and for the communities who live on our estates.. Priorities As a producer with a large environmental and social footprint the variety and complexity of the challenges we face obligate us to look at our response with greater urgency and analysis. Finlays sustainability strategy commits us to: Business: We will address social, political and environmental issues by demonstrating that it is more financially rewarding to be sustainable. Environment: We aim to have ‘zero net impact’ as our minimum environmental standard. Overall we commit to making a positive contribution to environmental recovery and resilience. People: We strive to make Finlays an enjoyable and rewarding place to work, an organisation that nurtures and develops its people for the benefit of the individual, the company, and the community. Communities and Partners: We will take an active leadership role in dealing with sustainability issues, and share our knowledge for the benefit of our suppliers, communities and society in general.

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PROUD TO BE ASSOCIATED WITH JAMES FINLAY Head Office: 2nd Avenue, Parklands│P.O. Box 41896 - 00100 Nairobi, kenya Tel: 020 3744930-5│Fax: 020 3744988│Cell: 0733 410200, 0723 410200 Direct marketing: +254 790 003006, +254 780 003006│Email: sales@capet.co.ke

July - August 2019 | 27


FEATURE Products: We will develop and provide sustainable products and services that contribute positively to the health and wellbeing of society. Health and Safety As a business we are committed to provide a safe and healthy workplace for our employees, contractors and visitors. Health and safety commitments are enshrined in our group values. We operate in a number of different continents across both the developed and developing world which can be challenging when it comes to the continuous improvement of health and safety management. Not all accidents can be prevented but as a group we always aim to be best in class through great safety leadership, improving the competency of our employees and engaging communication. Working with others Finlays also participates in multi-stakeholder initiatives looking at developing best practice in key sustainability areas. Ethical Trading Initiative (ETI): The ETI is a leading alliance of companies, trade unions and NGOs that promotes respect for workers’ rights around the globe. The ETI’s vision is a world where all workers are free from exploitation, discrimination, and enjoy conditions of freedom, security and equity.

Tea2030: Finlays was a joint founder of the Tea2030 Initiative, which sought to identify systemic sustainability issues impacting on the tea industry from the growing through to the consumer interaction. Currently work is focused on landscapes in the growing regions, market mechanisms and the consumer proposition of tea. Certification Standards Fairtrade We are an active supporter of Fairtrade with registered producers in tea and flowers. Our trading, processing and packing businesses are registered licensees, giving our customers and consumers a complete Fairtrade supply chain. All producers who supply Fairtrade products are inspected and certified by FLO-cert. They receive a minimum price to cover the cost of sustainable production as well as an extra premium that is invested in social or economic development projects. Products traded under fair-trade conditions and standards are labelled with a Fairtrade Mark to guarantee that producers are getting a fair deal. Rainforest Alliance Certified™ Rainforest Alliance certification comprehensively addresses the environmental, social and economic challenges faced by farmers and their

communities. The programme is global in reach and committed to helping farmers manage their land sustainably, currently for more than 100 crops including our tea in Sri Lanka. The Rainforest Alliance Certified™ seal shows consumers that products, or ingredients, are produced on farms that help support the rights and well-being of farm workers, the conservation of natural resources and the protection of wildlife and the environment. We have the following certification and assurance: • ISO 22000 • Rainforest Alliance Certified™ • Ethical Tea Partnership • Fairtrade • Organic Certification by The Soil Association • National Environmental Management Authority (NEMA) • GAP • Kosher • Halal We continue to enhance our tea production by using latest technology in the market. Our entire supply chain is closely monitored by highly qualified individuals allowing us to churn out the best tea in the world.

Congratulations! Galaxy Paints is proud to partner with James Finlays Kenya and we applaud your achievements

PERFECT

28 |July - August 2019

COAT I N G S O LU T I O N S

© Arobia Creative Consultancy

galaxy@galaxypaints.co.ke


Sustainability is in Our Sights. KSB has been providing pumps and valves for more than 50 years to the farming community and other industries in South Africa. Our pumps and valves help farmers to get the water where it is needed. Whatever the agricultural application, KSB has the answer. Irragtion pumps are used to pump water from a lower to a higher level from which the water then flows through channels to the fields requiring irrigation (lift operation) or to raise it to the required pressure head so that it can be sprayed on the fields via piping systems (sprinkling). The heads involved range from approximately 1 m for normal lift operation to 40 m for sprinkling. In special cases, heads exceeding 100 m may be required. KSB Pumps and Valves (Pty) Ltd www.ksbpumps.co.za tel: +27-11-876-5600

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FEATURE

Key insights into Africa’s wheat market

A

ccording to a new report published by IndexBox, the revenue for Africa’s wheat market amounted to $15.5bn in 2017, rising by 11% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers’ margins, which will be included in the final consumer price). The wheat consumption continues to indicate a relatively flat trend pattern. The pace of growth was the most pronounced in 2011 when it surged by 49% year-to-year; here, the wheat market attained its peak level of $21.9bn. From 2012 to 2017, the growth of the wheat market remained at a somewhat lower figure. Production in Africa In 2017, approx. 27 million tonnes of wheat were produced in Africa; picking up by 16% against the previous year. The total output volume increased at an average annual rate of +3.8% over the period from 2007 to 2017; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. Wheat exports The exports stood at 218K tonnes in 2017, declining by -20.4% against the previous year. The wheat exports continue to indicate a relatively flat trend pattern. In value terms, wheat exports amounted to $63 million in 2017, estimates IndexBox. Exports by country South Africa was the major exporting country with a volume of exports totalling around 79K tonnes, which amounted to 36% of total exports. It was distantly followed by Tanzania (44K tonnes), Liberia (35K tonnes), Kenya (16K tonnes) and Mauritius (15K tonnes), together comprising 51% share of total exports. Zimbabwe (9.3K tonnes) and Mozambique (5.3K tonnes) followed a long way behind the leaders.

30 |July - August 2019

From 2007 to 2017, the most notable rate of growth in terms of exports, amongst the main exporting countries, was attained by Mauritius (+62.1% per year), while the other leaders experienced more modest paces of growth. In value terms, South Africa ($31m) remains the largest wheat supplier in Africa, comprising 49% of global exports. The second position in the ranking was occupied by Tanzania ($11m), with an 18% share of global exports. It was followed by Liberia, with a 8.6% share. Export prices by country In 2017, the wheat export price in Africa amounted to $288 per tonne, coming down by -8.2% against the previous year. The export price continues to indicate a relatively flat trend pattern. Export prices varied noticeably by the country of destination; the country with the highest export price was Zimbabwe ($401 per tonne), while Liberia ($154 per tonne) was amongst the lowest. From 2007 to 2017, the most notable rate of growth in terms of export prices was attained by Zimbabwe (+11.5% per year), while the other leaders experienced more modest paces of growth. Wheat Imports In 2017, the amount of wheat imported in Africa totalled 46 million tonnes, remaining stable against the previous year. The total import volume increased at an average annual rate of +1.9% from 2007 to 2017; the trend pattern remained consistent, with only minor fluctuations over the period under review. In value terms, wheat imports stood at $10.2bn in 2017, estimates IndexBox. The wheat imports continue to indicate a relatively flat trend pattern. In that year, wheat imports attained their peak of $13.6B. From 2012 to 2017, the growth of wheat imports remained at a lower figure.

Imports by country In 2017, Egypt (13M tonnes), distantly followed by Algeria (8.1 million tonnes), Nigeria (3.9M tonnes), Morocco (3.6 million tonnes) and Sudan (2.2 million tonnes) were the largest importers of wheat, together committing 66% of total imports. The following importers - Tunisia (1.9 million tonnes), Kenya (1.9 million tonnes), South Africa (1.7 million tonnes), Libya (1.2 million tonnes), Ghana (1.1 million tonnes), Mozambique (748K tonnes) and Ethiopia (730K tonnes) together made up 20% of total imports. From 2007 to 2017, the most notable rate of growth in terms of imports, amongst the main importing countries, was attained by Ghana (+12.6% per year), while the other leaders experienced more modest paces of growth. In value terms, Egypt ($2.3B), Algeria ($1.8B) and Nigeria ($1.3B) were the countries with the highest levels of imports in 2017, together accounting for 53% of total imports. Morocco, Sudan, Tunisia, Kenya, South Africa, Ghana, Libya, Ethiopia and Mozambique lagged somewhat behind, together accounting for a further 33%. Import prices by country In 2017, the wheat import price in Africa amounted to $221 per tonne, jumping by 5.6% against the previous year. The wheat import price continues to indicate a slight descent. Import prices varied noticeably by the country of destination; the country with the highest import price was Nigeria ($342 per tonne), while Mozambique ($177 per tonne) was amongst the lowest. From 2007 to 2017, the most notable rate of growth in terms of import prices was attained by Libya (+8.6% per year), while the other leaders experienced more modest paces of growth.


FEATURE

Supporting Smallholder Farming Operations Contributing to sustainable results in the context of South Africa’s land reform programme.

J

Deciduous Fruit Value Chain Financing Project Farmer

ob creation in the agricultural sector could be boosted by Smallholder Farmer (SHF) support programmes that focus on, and are built around, the needs of the farmer beneficiaries, says the Jobs Fund. “Through our experience in managing over 30 agriculture projects, the Jobs Fund has come to appreciate the complexity and technical requirements of these interventions”, says Najwah Allie-Edries, the Jobs Fund Head, “This has been further informed through a funding round which was devoted in its entirety to the support of agricultural initiatives aimed at developing smallholder and emerging farmers.” “A one-size-fits-all approach won’t work, given that the SHF group is not homogenous. Different interventions need to be designed depending on the type of farming operation targeted (producetype, production volumes, land available, etc.), the value chain in which the farming enterprise operates, the experience and expertise of the farmer(s), and the needs of the community in which the project is to be implemented,” urges Allie-Edries. Good practice shows that the intervention design should be largely influenced by where in the development pathway the target farmer is situated, for example:

Subsistence farmers: These Jobs Fund interventions were aimed at improving rural livelihoods and generally offer technical skills development to improve production and increase yields – this ensures better food security for the farmer and his/her family, income-generation through the selling of some of the produce in local community markets and in some cases through off-take agreements with organisations, and job creation (either within the family of the farmer or within the local community). Small-scale producers: These interventions were aimed at improving the farmer’s economies of scale and getting them to a point where they can secure regular offtake for their produce. In some instances, agroprocessing facilities are developed to include the farmers in secondary production. The projects result in sustainable farming operations, job creation and supply of local markets.

and export markets. These projects have the capacity to employ large numbers of people. Allie-Edries further explains, “Land lease models have been shown to be effective when SHFs are starting out in their farming careers; they have access to land, but not the expertise and inputs to begin farming and cultivation. A commercial farming enterprise partners with these SHFs in order to bring the land into production. The SHF benefits through skills-transfer, an income for leasing the property to the commercial farming enterprise and also profit from earning a wage.” These models are particularly helpful in capacitating first-time farmers with the knowledge and expertise required to graduate to running their own enterprises in the long term. They are also guaranteed an income while learning.

Emerging farmers: These are interventions for farmers who are potentially on the cusp of entering the small commercial space but require assistance to get there.

“Entrepreneurial models, on the other hand”, explains Allie-Edries, “are effective in supporting more experienced farmers, who already have some level of success, but require assistance to scale their operations to the point where they are able to compete commercially.”

This generally relates to securing affordable finance for expansion, integration into the specific value chain in which they operate, as well as meeting quality standards which open new local

Allie-Edries also explains the importance of suitable funding sources for SHFs, “The majority of funding products available in the market do not match the earning profile and income stream

July - August 2019 | 31


FEATURE

By making available an innovative finance product, this partnership provides comprehensive assistance that may significantly contribute to the transformation of the industry over time.

The creation of a sustainable fund • The R200 million Jobs Fund grant will be used to reduce the weighted average cost of capital of the established fund, enabling the interest rate margin to cover its operational costs.

Deciduous Fruit Value Chain Financing Project of the farmer. The lack of sufficient collateral is one of the key reasons why farmers are not able to secure funding. As a result, the Jobs Fund is introducing new models that ensure inclusion.” One of these projects emerged out of an existing partnership; Hortgro’s Deciduous Fruit Development Chamber (DFDC) intervention, which intervenes in the deciduous value chain. More than 20 black smallholder deciduous fruit producers will graduate to commercial status over a 4-year period, through improving productivity at farm level, facilitating market access, assisting with quality standards and production inputs, and the provision of required machinery and equipment. “Although the DFDC project has performed very well to date, one of the key learnings is that

a farmer’s full integration into the value chain is dependent on access to finance to further expand. An accessible funding product was unavailable to these farmers and so the Jobs Fund Hortfin project was developed to bridge this gap”, Allie-Edries confirms. This new project aims to scale the impact of the first project by establishing a new fund which will allow farmers to more readily scale their operations through access to further funding. The new project will involve: Reducing the cost of capital for emerging farmers • A sustainable R600 million industry-specific funding mechanism has been established that will significantly contribute to industry transformation.

Crowding in further partners (funding & expertise) • The grant has crowded in additional funding from the Land Bank, who will also be responsible for managing the loan book. • Participants in the broader fruit industry are expected to play an important role in identifying opportunities, forming joint ventures and generally providing support to the investee companies. “Regardless of the project model, interventions that hold the most promise for the expansion of agriculture and the creation of jobs, are those which provide support at each milestone along the development path that a SHF will follow in his/her business or career: from taking a decision to become a farmer and/or the initial step of land acquisition; through the crucial first season when the foundation must be laid; to subsequent career or farming business growth; and his/her eventual exit from farming (succession planning)”, concludes Allie-Edries.

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DOC.AP_AGRIHUB.GBa - NTN-SNR Copyright International 04/2019 - Photos : Pedro Studio Photo

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Farmers Review Africa July-August 2019  

Farmers Review Africa , A Pan African Agriculture magazine .

Farmers Review Africa July-August 2019  

Farmers Review Africa , A Pan African Agriculture magazine .

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