Wednesday 29 January 2020

I would like to do animal production

I would like to do animal production where should I go or do pls help

As mentioned in previous blogs, we receive numerous questions from visitors to the website every day. What follows is the reply to a question. 

Photo by Magda Ehlers from Pexels


Dear Nkutlwe
 
There are a lot of things to consider, the first being: (1) Do you have an affinity to a certain type of livestock? You may have a heart for poultry, for example, or goats. Success in life often comes with a type of inspiration when you feel drawn towards a certain path, career or, in this case, what you want to farm with. (2) Is there a market for the animals or animal product near you? Who will buy them?

Our website gives overviews on the different types of animals. See https://agribook.co.za/livestock/. Another page worth looking at is the marketing one, see https://agribook.co.za/marketing-finance/marketing/. The DAFF Agricultural Marketing Extension papers (there are 9) listed under the Websites & publications heading will be important reading. The papers give ideas of how to sustain your animal production business by making it profitable.

You will need training and/or a mentor, someone who already farms with livestock, or who has experience with them. The agricultural colleges/provincial departments of agriculture provide short courses on a number of topics, as does the ARC. There are many AgriSETA accredited courses too. You can browse the page at https://agribook.co.za/agricultural-training-and-careers/agricultural-education-and-training/. It is usually an idea to talk to farmers in the area about their experience. They may alert you to issues, challenges but also point the way to answers that you would not pick up in a book or website.
 
Best wishes.

Monday 27 January 2020

Agbiz comments on the compulsory installation of water metres and monthly reporting of water used for commercial irrigation


Photo by Süleyman Şahan from Pexels
On Friday the 17th of January, the Acting Director General of the Department of Human Settlements, Water and Sanitation published a notice in the Government Gazette requiring all irrigators to install water meters and report their monthly consumption. This notice specifically relates to those water users who do not form part of a Water User Association nor an Irrigation Board. Water users were given 30 working days to comply.

Section 22 (2), 26 (1) read with Item 4 of Schedule 3 to the National Water Act permits the authority, by declaration, to impose compulsory metering and reporting requirements on any lawful water user. Whilst other sectors have been required to measure and report on their consumption in the past, it is a relatively new requirement for water users in the primary agricultural sector who make use of water for commercial irrigation purposes. In 2017, a notice was published that required only those irrigators that formed part of a Water User Association or Irrigation Board to install meters and the obligation was imposed on the Association or Board itself to report the consumption of its members to the Department. Following Friday's publication however, this requirement will now extend to all commercial irrigators. These water users will be required to submit information directly to the Department using the email address applicable to the Water Management Area in which they operate.

The publication will certainly have a substantial impact on the sector. Aside from the administrative burden involved, water users are required to install the meters at their own cost and need to comply with the prescribed specifications. Those directly involved in irrigation will certainly be affected by this notice. Since the requirement is imposed on water users who are not part of an association, agribusinesses and financiers who finance clients that may be affected by the notice are encouraged to make the requirement known to their clients.

Since the notice was published in its final format and not as a draft for public comments, water users will be required to comply with the requirements within 30 working days calculated from the 17thof January. It has been mooted that the time frame may not be realistic for 30 days is not a great deal of time. The notice is aimed at water users who are not part of associations so there may be a delay in communicating the notice to all affected parties. Furthermore, it remains to be seen whether sufficient meters that meet the requirements are available in this short time. For these reasons, Agbiz will be raising the issue of the time frame with the Department through the various platforms available for engagement.

The original Agbiz statement can be read here.

Relevant pages on Agribook.Digital include "Irrigation" and the general "Water".

Friday 24 January 2020

Used oil on South African farms can pollute the environment

Press release

Commercial farming relies heavily on technology and mechanisation – which in turn relies on the use of motor lubricant oils. It is estimated that South Africa generates an average of 120 million litres of used lubricant oil in a year with about 10 million litres of this being generated by the Agricultural sector.

Considering that one litre of used oil can contaminate one million litres of water this is a potentially devastating amount of used oil that, if not collected and recycled responsibly, could make its way into our environment.

“Conversion to more sustainable agricultural practice is necessary, both to preserve South Africa's biodiversity and to ensure a future resource base,” says Bubele Nyiba, CEO of the ROSE Foundation (Recycling Oil Saves the Environment) - a national non-profit organization funded by the major producers of lubricants to promote and encourage the environmentally responsible collection and recycling of used oils and related waste in Southern Africa.

The ROSE Foundation provides some practical tips on used oil management:

    Proper collection of used oil for storage

  • Used oil must be drained into a clean container with a tight fitting lid, such as a re-usable combination drain pan/storage container. Used oil generators can also use a specially designed plastic ROSE Sumpy to collect used oil. Sumpy containers are available from most spares shops, garages and supermarkets.

    Proper storage of used oil

  • Ensure that used oil is stored in a container with a secure lid so that it cannot spill out. Empty oil containers and drums make effective makeshift storage vessels for used oil, however, containers that previously held chemicals, such as cleaners, solvents, fuels, paint or bleach CANNOT be used.
  • Containers must always be clearly labelled “Used Motor Oil” and kept in a place that can be accessed by a used oil collection vehicle. A bund wall should be built around bulk used oil storage tanks so that in the event of a spill or leak, the used oil will be contained.
  • Containers holding used oil should ideally be stored under cover and away from heat or sources of ignition and they must be tightly sealed to protect them from rain water.
  • It is important to not mix used oil with other fluids such as antifreeze, transmission fluid, petrol, diesel etc. Mixing them may make them non-recyclable as well as very hazardous and flammable.

    Proper removal of used oil

  • Contact a ROSE registered used oil collector who will come and take away your used oil for responsible recycling. Visit the ROSE Foundation website on www.rosefoundation.org.za, email info@rosefoundation.org.za or call 021 448 7492 to find out who your nearest collector is.

“Recycling used oil allows us to continue to enjoy what many of us take for granted every day – clean, potable water,” concludes Nyiba.

Relevant pages on Agribook.Digital include "Waste management" and "Fuels and lubricants".

Public Private Growth Initiative (PPGI) signals progress despite difficult conditions

Press release

Representatives from the private sector, corporate CEOs, leaders from over 20 economic sectors and from government met in Sandton this week to discuss the progress made on various Public Private Growth Initiative (PPGI) projects and action plans.

At the meeting, economic sectors as diverse as manufacturing, forestry, tourism, agriculture and chemical manufacturing reported a closer working relationship with the South African government. These improved relationships have led to shared projects and the resolution of several bottlenecks to doing better business.

Says Michael Peter, Executive Director of Forestry SA: “Water use licences are finally being sorted out, we have made progress with Transnet on freight and for the first time in six years we are seeing movement on the recapitalisation of state forestry.”

Representatives at the PPGI meeting discussed several areas of progress. The Business Process Services Sector reported that as a result of an agreement between the sector, the Department of Trade, Industry and Competition and the Harambee Youth Accelerator, over 20 000 net new jobs have been created since January 2018.

The sector has attracted investment and has grown revenue and employment year-on-year, with ambitious plans to grow the sector by 100 000 net new jobs by 2023. The Automotive Sector, in turn, reported on the establishment of the Automotive Industry Transformation Fund, which has already received R6bn in investment commitments to apply towards the development of an inclusive supply chain.

In the same vein, the representatives from the Agricultural Sector signalled that they would launch an Agricultural Development Agency on 18 February 2020. This Agency will manage a development fund of R12bn for the development and support of emerging black farmers.

Dr Johan van Zyl

“I am very pleased to hear from so many different sectors that they are making positive connections with various people in government,” says Dr Johan van Zyl, one of the founders of the PPGI. “These new connections will help unblock constraints and support economic
growth.”

A number of sectors reported that they were organising themselves in response to the PPGI’s approach. For instance, the Water Supply Sector is in the process of establishing the Water Chamber SA. In another, the Creative Industries Sector and the Information Communication Technologies (ICT) Sector indicated that they would be working closely together to create a strategy for South Africa in the Digital Age.

The meeting also highlighted a number of ongoing inhibitors, ranging from policy incoherence, congestion at the ports, rising crime and skills constraints.

In a specific example, Simphiwe Hamilton from the Defence Sector spoke about the potential growth in export revenue and employment if government improved its process for product certifications and contract approval.

In another example, representatives from the Construction Sector appealed for fit-forpurpose procurement frameworks within government, while the Tourism Sector indicated that while some progress had been made on visas, the proposed e-visa was a key requirement to enable tourism.

A number of sectors also pointed to the constrained state of the economy and its impact on sales and business growth. In closing the meeting, Roelf Meyer spoke about the importance of systematically addressing inhibitors and challenges.

“We will address ongoing challenges identified in certain sectors and assist where possible through our key points of contact with Minister Ebrahim Patel and his team, as well as with the Presidency.”

Meyer indicated that the PPGI would report on sector progress and new catalytic projects to the Presidency.

Tuesday 21 January 2020

Pollen Alert: Highly Allergenic Ragweed Invades South Africa

Press release
 
Ragweed pollen – a highly allergenic weed native to North America – was detected in South African pollen spore traps for the very first time. Eradicating this invasive weed is critical as its fine pollen is highly allergenic and it also poses a threat to crop health. If you find a ragweed bush near your home, pull it out as it is incredibly invasive. Due to the changing climate, ragweed will continue its migration southward putting more South Africans at risk of developing a sensitivity to its potent pollen.

 

This week scientists made a landmark discovery when ragweed – a highly allergenic weed native to North America – was detected in South African pollen spore traps for the very first time.

The discovery was made by Dr Dilys Berman, an aerobiologist at UCT and Prof Jonny Peter, who heads up the UCT Lung Institute’s Allergy Unit. Palynologist, Dr Frank Neumann, based at Wits University whose research focuses on the impact that climate change has on vegetation, also confirmed that the pollen grains indeed belong to the invasive Ambrosia species.

Prof Peter says while the threat of allergic plants, such as ragweed migrating southward, because of climate change, has always been a concern, little did they know it was going to show up so soon.

“Ragweed is incredibly invasive, and its potent pollen has been problematic in the US for many decades. In recent years, allergy sufferers in Europe and South America have also come under threat as ragweed started to invade these areas. 

“For now, KwaZulu-Natal residents are most at risk as ragweed pollen has recently been detected at the Durban monitoring site over the last few days. The counts are relatively low at this stage, but we are monitoring them daily to detect any sudden spikes. A small population of ragweed has also been found on the banks of the Vaal River near Heidelberg – about 50km away from Johannesburg, while the Eastern and Western Cape still remain ragweed-free.

“Based on historical data, ragweed thrives in hot, dry environments and produces more pollen when CO2 levels are high,” he says. 

UCT aerobiologist, Dilys Berman warns that ragweed poses a serious implication for human health.

“It’s been one of the most loathed weeds in the US, causing misery for 23 million Americans and it’s estimated that ragweed allergy rates in Europe will increase from 33 to 77 million in the next two decades. While we haven’t reported sensitisation in SA yet, it is a cause for concern.

“Increasing amounts of fine-powder ragweed in SA could exacerbate hay fever symptoms and asthma for the estimated 17 million South Africans who suffer from allergies.

“Given that its highly allergenic, people who normally don’t suffer from pollen allergies, may develop a sensitivity to it in the future as the weed proliferates.”

Common hay fever symptoms include red, itchy and watery eyes, a runny, itchy or congested nose, post-nasal drip etc, which could irritate and restrict the airways making it difficult to breathe.

Prof Peter points out that because of the world’s changing climate, ragweed is projected to decline in some areas as it may over time no longer be climatically suitable to grow there.

“Either way you look at it, ragweed is on the move. Once it sprouts, it can multiply and grow up to 2 metres in height in a matter of weeks.

“Weed control boards should add it to their invasive weeds list as soon as possible if they haven’t done so already and removal thereof should be a priority before it becomes impossible to control. Some studies also suggest that ragweed poses a threat to crop health. It drains the soil and oppresses plant growth, so is definitely a weed that should be kept an eye on and monitored carefully,” he says.

Pollen monitoring in SA is funded by Clicks, Twinsaver, Thermo Fischer, A.Vogel Echinaforce, Zeiss and Durand.

To expand pollen monitoring efforts, financial contributions can be made by logging on to www.pollencount.co.za. Pollen counts for SA can also be viewed on the same site. 

The relevant pages on Agribook.Digital are "Invasive alien species" and "Crop protection".

Friday 17 January 2020

Outsourcing builds a resilient operation


Press release

Abattoirs rank among the most utility-heavy operations in the agricultural industry, with electricity, water, cooling and heat being in high demand throughout the year to keep these facilities running. The sprawling operation belonging to Meyerton-based pork products supplier, Lynca Meats, is a notable case in point, where finding the most effective means of containing operational costs remains a top priority.

Running at full capacity, 24/7, Lynca Meats comprises 28 temperature-regulated rooms for the production of a host of processed pork products; an abattoir that markets carcasses, boxed meat and offal; and dedicated units that offer multi-principle cold storage warehousing and logistical solutions to clients.

This means that the basic utilities of electricity and heat represent some of the biggest running costs on Lynca’s balance sheet. As Manie de Waal, CEO of EP Solar explains, outsourcing these functions to a service provider has made all the difference in keeping this part of the business as economical as possible.

“Operating a massive refrigeration set-up like this at full capacity every single day of the year is hugely expensive in South Africa, where annual electricity tariff increases continue to exceed inflation. Luckily, this same production schedule makes Lynca Meats a prime candidate for affordable renewable energy.”

Lynca consulted with EP Solar on the issue, and the solution put forward was a 962kwp rooftop-mounted photovoltaic system. The size of the system was limited by the rooftop space that the client had available, but it would still be able to account for about 15% of the facility’s energy usage. According to De Waal, generating renewable energy on site in the form of solar power, would potentially save the operation around R350 000 in the first year alone. “We estimate that throughout the length of the contract, the client would save around R16 million in electricity costs.”

“In addition, the solution would be provided as part of a power purchase agreement, meaning that the client did not need to invest any upfront capital or be burdened with the daily operation of the system.”

De Waal notes that the system provides peak output during regular business hours, when grid-based electricity tariffs are at their highest. “Through software on the inverters, solar power is always prioritised during the day, while the site runs completely on electricity from the grid during off-peak hours. The advantage of an operation such as this, which runs 24/7, is that it ensures that 100% of the PV power is utilised every day of the year, strengthening the business case. The PV system is currently in the process of being commissioned and will soon be producing electricity for the site.”

Cutting down on electricity spend also required Lynca to review the most energy-intensive parts of its operation. “Of course, this was refrigeration. Again, outsourcing this was by far the most viable option, and EP Refrigeration was able to offer a state-of-the-art solution,” says Dawie Kriel, Director of EP Refrigeration.

With the temperature requirements for the facility ranging from -25⁰C to 5⁰C, Kriel explains that Lynca Meats’ existing 20+ year-old refrigeration system was fast becoming inefficient. “The old system had extremely high energy requirements, and system maintenance had become quite challenging and expensive.”

EP Refrigeration subsequently offered the upgrade under the EP Cooling Sales Model on a ten-year contract. The entire system would be installed at no capital cost to the client, and EP Refrigeration would maintain the system and sell refrigeration as a utility to Lynca Meats, who would reserve the right to buy the system on residual value at any point in time.

“We operate on a tariff structure that is similar to most other utilities. This includes an availability charge and a maintenance fee that makes up the set monthly cost for the service. Along with that, there is also the variable charge for refrigeration, which is measured in kilowatt-hours refrigeration (kWhR),” explains Kriel. 

To accurately quantify and measure refrigeration, and to bill the client correctly, EP Refrigeration pioneered a cost-effective refrigeration meter to ensure accurate readings. In effect, these meters primarily measure temperature and pressure, from which the used refrigeration measure is calculated. This data is also made available to Lynca Meats, to be used for operational or management decisions down the line.

Having started in January of 2019, work on the plant officially concluded in the first week of April, without any operational disruptions having been experienced by Lynca Meats over the working period. The newly installed system is performing as predicted and has achieved a 30% reduction in the cost of refrigeration for the client. In addition to this, with the client no longer having to be responsible for managing and maintaining the system under the outsourced contract, Lynca Meats is also saving countless man-hours.  

Lastly, there was one final crucial component requiring a more elegant solution – the boilers. With an average steam consumption of around 530tons per month, which gets used for cooking, sterilisation, cleaning and ablutions, Lynca’s boiler units were due for a major upgrade.

Jonathan Probert, CEO of EP Dryden Combustion – a wholly owned subsidiary of Energy Partners - says that a new 4ton per hour coal-fired boiler fitted with EP Steam’s proprietary control and monitoring system would do the trick. “Additionally, a small reverse osmosis plant was installed to provide the boiler with good quality feedwater, as the site water source is borehole water of poor quality. We took over operation of their two existing oil-fired boilers as well. These boilers are only used in the case of either planned or unplanned downtime of the coal boiler to ensure a continuous steam supply.”

Probert explains that with EP Steam taking over this part of the operation on an outsourced basis, Lynca was able to save another R110 000 per month. “Other benefits include improved uptime because we now have redundancy built into the design (standby boilers), and that the client no longer needs to pay any attention to the steam generation operation (including labour, maintenance and inspections).”

In closing, De Waal says that Lynca Meats currently stands out as a testament to what is possible when one takes a fully outsourced approach. “This general principle can apply to any abattoir, as well as any other operation that runs at full capacity for most of the year. We would go as far as to say that this is exactly what the agri and food production sectors will need to do to maintain their profit margins in the years to come,” De Waal concludes.

Relevant pages in Agribook.Digital include "Abattoirs and the meat industry" and "Renewable and alternative energy".

Thursday 16 January 2020

Opportunities in the South African market: A view for US exporters


Photo courtesy of Matthias Mullie on Unsplash


The USDA GAINS (Global Agricultural Information Network) report this week included an Exporter Guide with its overview of the South African market, and naturally curious, we opened it.

In 2018, South African imports of agricultural products were $6.6 billion, down 1 percent from the previous year. The EU accounted for 28 percent of total agricultural imports, Eswatini (Swaziland) 10% (well done!) while 5 percent was from the United States.

Goods from USA (worth $305 million) included chicken products ($69 million), food preparations ($24 million), enzymes ($18 million), wheat ($8 million), almonds ($14 million), corn (maize) seed ($16 million), animal (not fish) guts, bladders, stomach & parts ($12 million), food/drink ingredients ($11 million), sorghum ($4 million), edible frozen livers of bovine animals ($6 million), animal mixed feeds ($9 million), and protein concentrates ($4 million).

Overviews are given on the country, its economy and consumer behaviour, and market conditions.


  • Strengths: Advanced economy with well-developed infrastructure
  • Weakness: Limited technical capacity and weak political will by regulators contribute to trade barriers and delays in resolving access issues.
  • Opportunities: Sophisticated and growing middle class. A well-developed retail sector, and linkage to the rest of Sub-Saharan Africa.
  • Threats: FTA with EU. A political preference towards BRICS countries. 

(We were interested to read that the middle class makes up about 70 percent of the South African population and 55 percent of total income earnings. And that "in the past five years the percentage of the population earning less than R5,000 ($333) per month decreased from 56 percent to 40 percent, while the percentage of the population earning more than R5,000 ($333) per month increased from 44 to 60 percent").  

While the agro-food industry is correctly complimented, the report identified six opportunities for US exports to South Africa. The paragraphs below are excerpts from the report: 

Chicken Cuts and Edible Offal
Though South Africa is the region’s leading producer of chicken meat, imports are regularly required to supplement local production and meet domestic demand. In 2018, South Africa imported 520,000 tons of chicken meat, an increase of 2 percent from the previous year to augment local production. Post forecasts a marginal increase in chicken meat imports in 2020 to 555,000 tons, as local production is expected to bounce back. 

Find the poultry page at Agribook.Digital here



Almonds

South Africans are looking to various tree nuts to for more diverse protein and snacks. In 2018, South Africa imported $17.8 million of almonds. The United States dominates the market for almonds, with 83 percent of the total market share, valued at $14.8 million, with Australia in a distant second at 10 percent. While year to year the value has decreased, the quantity of almonds continues to rise steadily. South Africa is the largest importer of U.S. almonds in Sub-Saharan Africa.  

Almonds are included on our tree nut page.



Food Preparations

South Africa has a well-developed food processing sector and is a net exporter of food preparations. In 2018, imports of food preparations were valued at $185 million. The EU has the largest market share at 67 percent amounting to $124 million. The United States had 13 percent of the market share of South Africa’s food preparations imports, valued at $24.7 million. Products with good sales potential in this category include sugar confectionery, chocolate and other food preparations, malt extracts, pasta, cereals, cake mixes, syrups, and soup mixes.



Craft Beers and Spirits

South Africa is a net importer of beers, referred to as “beer made from malt.” In 2018, imports amounted to $160 million, and exports amounted to $77 million. Namibia has the largest market share at 48 percent. There are potential opportunities for U.S. exports in this category due to the huge increase in imports from the United States from $399,000 in 2017 to $1.6 million in 2018. Distilled spirits have increased from $15.4 million to $17.1 million.

Read our craft brewing page at https://agribook.co.za/adding-value/craft-brewing/.



Enzymes and Prepared Enzymes

South Africa is a net importer of enzyme and prepared enzymes. In 2018, imports amounted to $69 million, and exports amounted to $26 million. The United States had the second largest market share with 27 percent, valued at $18.5 million, after Denmark with 35 percent. Potential opportunities for U.S. exports are modified starch products such as whey.



Essential Oils for use in food/drink

South Africa is a net importer of essential oils used in food/drinks, mainly used in food processing. These products are also referred to as “mixtures of odoriferous substances.” In 2018, imports were $478 million, and exports amounted to $54 million. Swaziland was the market leader with 74 percent. There is a potential for growth for U.S. exports in this category due to the demand.

Relevant pages on Agribook.Digital are "Essential oils" and "Herbs and spices".  



Find FAS GAIN (Global Agricultural Information Network) reports at https://gain.fas.usda.gov/#/
 

Monday 6 January 2020

Four steps to weatherproofing your livestock farm



As an Eagles music fan, I knew the surname Meissner (the bass guitarist was a favourite musician!) When our team met livestock scientist Dr Heinz Meissner at the Agricultural Research Council (ARC)’s Irene campus years ago, it was a name I would remember.

The Red Meat Producers Organisation January 2020 newsletter includes an article by him titled “What lies ahead for livestock farming towards 2050?” A quick Google will find other material written by Meissner that touches on weather, changing climate patterns and the implications of these for livestock farmers.

He has previously made the point that although expected future deviations in temperature, like the 3°C forecast for east Namibia and the west of Botswana, may not sound “severe”, it is when one contemplates that these are overall average degree figures (day and night temperatures, summer and winter temperatures all included) the picture becomes more evident.

This month he traces how the tropical air coming southwards will tend to be dry more often; how warming in the Pacific and the Indian Ocean will result in more regular El Niño incidences. 

What steps can livestock farmers take to weatherproof their farms? 

All steps which save water and make more effective use of it; all steps which reduce soil erosion and increase soil fertility should be considered. Meissner looks at four:

  1. Look at greater use of wetlands. Open storage of water in dams is something which must be revisited. Because of evaporation, dams will be increasingly wasteful. Greater use of wetlands is part of the possible solutions. Wetlands have many environmental benefits (see our wetlands page here).
  2. Keep water in the soil by using grass cover, mulch and cover crops. Practices which retain water in soils and near plants should be encouraged. Looking after the veld by maximising grass cover, and using cover crops and other regenerative cultivation practices is the way to go. Well-covered soils retain up to three times more soil than bare soil.
  3. Prevent evaporation and algae in livestock drinking sources. Ideally these should be in closed structures with water released into narrow troughs.  
  4. Revisit veld burning. Cover material is removed, water retention decreased, and soil erosion are all likely results of repeated use of this practice. In addition to the loss of organic material, less carbon is stored in the soil. A better strategy is to allow livestock to feed on the mature grass (supplement this with the necessary nitrogen and phosphorus).

If farmers follow good management practices there will always be space for livestock products, even with the predicted drier conditions. Livestock foods “are nutrient dense containing most of the essential amino acids, minerals and vitamins” and are a mainstay for agriculture and food security.

Photo above by Matthias Zomer from Pexels.

Relevant pages on Agribook.Digital include "Weather & climate", "Climate change & global warming", "Soil", "Conservation agriculture" and "Water".