The South African Seed Industry maintained its estimated turnover of more than R1,3 milliard (≈US$200 million).  This was made up primarily by winter and summer grain crops (69%), vegetables (20%), pasture and forage species (9%), with flowers accounting for less than 2%.  The local seed industry is currently in a phase of growth as was also reflected in the further increase of 4% in SANSOR membership during the period under review.  The contribution of major seed companies towards research and development also displayed a further increase of approximately 5% during this period and the SANSOR General Assembly endorsed a new initiative to promote the development, as well as empowerment of black seedsmen and -women. Although the further strengthening of the local currency had a negative effect on export markets in particularly the horticultural seed industry, the open market system continued to favour the seed trade and most seed companies had now become true global players on international markets.

Mr Walter A. Loubser General Manager of SANSOR

The forage and pasture seed industry also experienced a relatively tough year owing to, amongst others, shortages of pasture seed in particular.  Imports had to be conducted and service delivery to clients was occasionally problematic.  The maize price further contributed to an increase in the demand for forage and pasture seed and the need for farmers to diversify and increase livestock components contributed to even bigger shortages.  In the case of agronomy crops, constraints experienced during most of the period included effects of the drought in both summer and winter rainfall regions and low commodity prices.  The three divisions experienced a revival during the latter part, however, and SANSOR could again look forward to a prosperous season.

The International Seed Federation (ISF) was once more extremely productive, as well as focused during the interim and several issues were presented to the 2003 ISF Congress for adoption.  These included amendments to the Trade & Arbitration Rules, which had been adopted and entered into force on 1 July 2003.  The relevant amendments involved ISF rules and usages for the trade in seeds for sowing purposes that clarify and standardize contractual relations between buyers and sellers at the international level, the procedure rules for dispute settlement through mediation, conciliation or arbitration, as well as the management of intellectual property.

A special understanding on co-operation was further achieved between the ISF and the United Nation’s Food & Agriculture Organization (FAO).  This implied that ISF would be invited to participate in all FAO meetings on matters of mutual concern; on the other hand, FAO would be invited to all ISF meetings that might be of interest to the former organization; the two organizations would seek to develop further co-operation through informal consultations and contacts; FAO would send ISF its catalogue of available publications to enable the latter to request publications on FAO activities related to the work of ISF; and FAO and ISF would both implement the free exchange of documents on subjects of mutual interest.  This should be seen as a major achievement on the international front and hopefully a forerunner to reverse an increasingly alienation between national ministries of Agriculture and trade-orientated input suppliers to primary agriculture.

Other issues on international liaison included the South African ratification of the Biosafety Protocol in August 2003, despite the fact that national legislation had not been harmonized accordingly yet.  Due to the fact that the required number of countries adhering to the relevant Protocol had been reached during the period under review, the Protocol entered into force on 11 September 2003.

Other significant developments on the international front included the introduction of an amendment to the international certification scheme for cottonseed by the Organisation for Economic Co-operation & Development (OECD).  According to this amendment, it would now be possible to certify cotton hybrids and corresponding certification rules had been introduced for this purpose.  OECD Rules for the certification of grass seed mixtures for amenity purposes had also been approved during the relevant session of the OECD Seed Schemes under review.

The elimination of technical barriers to trade was again a key focus on the agenda of the Southern Africa Development Community’s (SADC) Seed Security Network (SSSN).  A regional variety testing, registration and release system for SADC was endorsed during the period under review.  According to this system a SADC Common Catalogue would be established among SADC countries.  A further proposal entertained by the SSSN comprised the establishment of a SADC Seed Certification & Quality Assurance System according to which seed of consistent high and known quality would be able to move freely across borders of the region.  Only varieties listed in the SADC Common Catalogue were to be certified for this purpose.  Participation in the System would be voluntary and SADC would establish a SADC Seed Committee to oversee the implementation, auditing and further development of such a system.  The envisaged system would be implemented in the participating countries under the responsibility of the relevant national seed certification authority and would run parallel with the national seed certification systems.  It was further envisaged that this system would be open to all qualified seed producers in SADC Member Countries.  This proposed system would still be subject to further deliberation during the next interim. 

Still on the regional front, the African Seed Trade Association (AFSTA) reported a membership of 60 during the period under review of whom 11 were from outside Africa.  Its acceptability as mouth piece for the African Seed Industry was evident by way of the active participation of all major international seed-orientated organizations.  Apart from this, AFSTA was also invited to participate in meetings of several other international and regional organizations during this period.  

During the 2003 AFSTA Congress harmonization of seed legislation continued to be the most contentious issue dealt with.  Africa is still in the process of regional trade development, which, of course, requires the harmonization of relevant legislation.  Improved availability of, as well as trade in improved seed could only be realized if national trade barriers were overcome through regional harmonization of appropriate legislation. 

The national scenario included several issues during the period under review.  These included, amongst others, a continuation on negotiations with the National Association of Maize Millers (NAMM) on the alleged undesirability for milling purposes of certain white maize cultivated varieties and/or hybrids; negotiations with Grain South Africa on seed lot homogeneity with regard to seed size; negotiations within the Groundnut Forum on a workable alternative to prevent the relevant seed scheme from total collapse; and extensive, industry-wide negotiations on an acceptable model for the acquisition of more reliable statistics on the South African seed industry.

Agri Inspec recorded several successful prosecutions during the period under review.  No less than five cases led to admission of guilt fines, while a further two were due for court appearances.  Other minor cases were concluded in an amicable manner and transgressors let off with stern warnings.

The South African Variety List was further streamlined as a handy spin off of the Agri Inspec contract.  This initiative has significantly decreased the workload of Variety Control under the auspices of the offices of the Registrars of Plant Improvement and Plant breeders’ Rights and subsequently facilitated the listing and/or registration of new varieties to the benefit of all concerned.

Other issues handled included continued support to the Executive Officer of Agricultural Pests in the national survey on the possible spread of the quarantine fungus, Karnal Bunt, on wheat seed; the investigation of revised minimum requirements for certain sub-tropical grass species in co-operation with the Registrar of Plant Improvement; the continuation of discussions with senior management of the Agricultural Research Council (ARC) on the revision of the current Memorandum of Understanding with the ARC on the collection of royalties on their behalf; the partial implementation of a new computerized database network for seed certification; and the implementation of a South African ISST (International Society of Seed Technologists) Chapter.

During the period under review, SANSOR membership peaked at 112 members comprising 68 full members, 32 associate members, six affiliate members and six honorary members.