SAOBC NOPSA AbattoirsTanneries SAVO N.E.W. Cape Northern Province. Structure: SA Ostrich Industry.
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Transcript of SAOBC NOPSA AbattoirsTanneries SAVO N.E.W. Cape Northern Province. Structure: SA Ostrich Industry.
Structure : SAOBCSAOBC:
Directors/CEO
NOPSA18
SAVOProducers
1 050
Abattoirs Tanneries N.E.W. Cape Northern Prov.
Ostrich databasesOstrich databasesGame DatabasesGame Databases
Private-Public-PartDept. Agric
Laboratories
Private-Public-PartDept. Agric
Laboratories
Bio-diversityBio-diversity
Mission
To promote a sustainable and economically viable ostrich industry in South Africa with the participation of stakeholders
Origins
1864 : Industry Established
1959 : One-channel marketing system
1964 : First abattoir
1970 : Tannery
1993 : Deregulation, new entrants
Realities of the industry
Amount of land required
Feeding cost
Time: 30 month cycle
Abattoirs and tanneries : Standards
Capital Intensive
Realities of the industry (continue)
High risk industry
Mortalities : chick raising
Chick born without immunity to diseases
Birds = sensitive to temp changes
Information on diseases = scarce
Production
Breeder birds
Hatching
Day old chicks
Chicks rearing to 3 months
Chicks rearing to 12 months
Quarantine birds
Slaughter birds
Processing
BEE-information
• Brochure
• Website
• Quantify value of projects : R12 m p.a.– Processors– Producers
KULA SIZWE Salem Agribusiness Development Project
Martin Fick
A Small Scale Farmer Development Project with a
proven track record for success.
Background
This project started off in Zimbabwe 13 years ago.
In the face of severe economic & political problems, the project has succeeded and continues to do so in that country.
Virtually the whole of the ostrich industry there is now in the hands of small-scale farmers.
In 2003, we established a similar project in the Eastern Cape.
Project Goals
Ultimate goal of project:To facilitate the rapid, successful, holistic
development of small scale black farmers in Southern Africa by integrating with existing large-scale commercial agricultural enterprise.
Project Goals
Create a Generic model that can be reproduced elsewhere in the country.
A model for further initiatives. Timing goals:
– End 2008 - project of 64 farmers.– 2008 - 10 - Project “Shop Window to Africa”.
Description
• For long term success we have to manage three critical success factors:
Market-Led: production must be market driven, and market justified.
Access to competitively priced inputs, including finance.
Training in all technical aspects of the business, as well as business training on a formal level, and social training on a personal level.
Description
Who are we targeting?
Mature persons, in good standing in the community in a suitable rural area. Who have access to a small piece of land around their home, and who have a desire to develop themselves.
A typical person for this project:
• Is semi-literate with an average schooling of Grade 3 or 4.
• Has little or no comprehension of business operations and commerce.
• Has few transactions with banks, etc.
• Operates at a very low level on a cash basis.
• Has no operating bank or account.
• Has no collateral for loans.
• Has no economic understanding.
• Has no business record or reputation.
Would be considered as “High Risk.”
• Strengths.– The Grow Out concept links small scale
to commercial in a mutually beneficial business relationship.
• Weaknesses.– Success requires willing partners, with a
genuine commitment to development; such partners are not easy to locate.
Critical strengths & weaknesses?
How do we reduce risks?Training
• Participants are trained in technical aspects of production and, through mentorship, gain skills and proficiency.
• Business and finance training enables all levels of participants to understand and manage their own financial affairs.
• Training takes in a holistic view of life, including happy marriage, parenting, health, investment and personal needs.
– Creates worthwhile employment at home, improving opportunities for family participation.
– Embodies individual private ownership, so responsibility and accountability issues are clear.
– Not gender specific. Both men and women can participate towards empowerment in the community.
Strengths of the project approach:How do we reduce risks?
Risks reduced?We We understandunderstand our weaknesses our weaknesses::
The project requires commitmentcommitment to guarantee success:
1.1. FinanciersFinanciers: Need to be development minded; not all of them are.
2.2. BeneficiariesBeneficiaries: require a Vision of the future; change is always threatening, even if for the good.
3.3. MentorsMentors: We need skilled and committed people, demand outstrips supply.
4.4. MarketsMarkets: Geared and secure, we have to continually move up the value chain.
Critical future outcomes
Successful participants will gain these benefits:
• A solid opportunity to build their own successful, sustainable and profitable business.
• The management systems, tools and understanding to control and plan their business dealings in an effective way.
• The recognition of their learning through a formal qualification.
Further Outcomes
Successful participants will also have:• Developed a track record, and collateral, to
allow them access to institutional loans.
• Reached a position where they can run their own business relatively successfully, without outside assistance or subsidy.
Resources for success
• For successful administration of the project we assume these issues are covered:
– The Participants.– Equipment and Infrastructure.– Locations. – Support– Sales
Participants
Participants are selected by the respective Community leaders within Rural areas, NOT by Salem Agribusiness.
Sales
– Sales are done through existing market networks which are secure and are geared for the product.
– Payments are made directly to relevant finance institutions where participants hold their accounts.
Support
Salem Agribusiness facilitates and supports by walking “alongside” participants, until they are proficient.
Mentorship is essential to success in life.
Sales
– Sales are done through existing market networks which are secure and are geared for the product.
– Payments are made directly to relevant finance institutions where participants hold their accounts.
Current Project Status
• Progress on schedule.– On-track in all areas.– Behind in no areas.
• Unexpected delays or issues:– These have mainly
been finance related.
Challenges to ostrich industry
• Retention of Export Status:
– DoA-level:• Capcity : Vet. Services
– Eastern Cape : Capacity• Staff : AHT’s, Vets.• Equipment• Operational funding : Travel
Conclusion
Unique Industry
SA is world leader
Experience
Expertise
Systems
Research
Well-organised industry : SAOBC
Contact details
• www.ostrichsa.co.za
• Tel: 044 272 3336
• Fax: 044 272 3337