Page 7 - Lets talk pork - AGM 2017
P. 7

Chairman’s report
James Jenkinson
IT IS A PLEASURE to present my chairman’s report for 2016/17. Not giving away my age or stating my years that I have been involved in the pork indus- try, these two past years have been a challenge in more ways than one.
Firstly, as a result of the drought last year our producers saw one of the worst years in our in- dustry. This is in contrast to this year where we are experiencing the total opposite. We had the opportunity to visit the minister of agriculture and give inputs as to the e ect of the drought on our industry. The drought resulted in the consumer price rising while our farm gate price reducing. In addition, our industry experienced feed costs es- calating by roughly 80%. One thing I learned from this is that economics operate on supply and de- mand. Nobody should ever discuss the maize price with a pork producer when negotiating the pork price.
As stated in my chairman’s report of 2016, we saw the new statutory levy signed o  and imple- mented. Our new SAPPO structure was accept- ed by the members and our stalwart CEO, Simon Streicher, was replaced at the beginning of 2017. This, however, did not happen without its challeng- es. With the help of our agency, Talent Africa, we were able to appoint Mr Johann Kotzé. He has al- ready visited some of the members, attended pro- vincial area meetings and study groups. For those who have not yet met him, please take the time to do so. I am sure that he has taken the  rst few months to acquaint himself with the industry and shortly we will be seeing some interesting chang- es. It is also true that the work of the council this past year really never got going as it was planned to do.
This will be corrected in the coming year and my call is for all the members of SAPPO to acquaint themselves with their council members. Member inputs to council representatives are the only way that SAPPO can really perform for its members.
South African Pork Producers’ Organisation
There will be some reporting today, but I would like to highlight a few aspects.
The Board met four times since our last AGM. Only two of the meetings were with Johann present. Over and above the normal business, most of the time was spent on planning; considering the new way forward within the new structure of SAPPO for the years to come.
Simon gave us feedback and updated us on the Agoa case. We were unfortunately pulled into the American’s bullish business ways. Although this has taken up a huge amount of time, and cost us money and e ort, I trust that SAPPO will be able to say that we did achieve what we set out to do when we got involved with this case.
With regard to health matters, I am glad to report that all is well. Once again I would like all producers to evaluate the value of their business and decide whether they can a ord not farming in a bio-secure area.
If one considers what has happened in the chick- en industry and look at some outbreaks that we have lived through, I suggest that all producers take time and money to be compartmentalised and Pork 360 accredited.
Just travel to Kozi Bay and see the deterioration of the FMD fence that is supposed to assist in our security.
Our pork imports have been stable over the past few years. So far this year it does not seem to be any di erent with the total tonnage at 1,000 ton higher than last year (2016), but 4,000 ton lower than the previous year (2015).
The Pork 360 roll-out in the Western Cape as reported last year went very well and was widely welcomed by consumers. One comment that was heard more than once is that this roll-out translat- ed into tremendous sales. The roll-out has moved to other retailers and will soon be in other provinc- es as well.
On the  nancial side of SAPPO, things are all
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