19 / 73
ႃႋ
CHAPTER 1
BY 1923 THERE WERE
ALREADY 20 DIFFERENT
MAIZE CULTIVARS
AVAILABLE IN
SOUTH AFRICA.
by an enormous surplus of maize in 1982. In addition, the export prices in that year
were very low, and because of political sanctions against the country South Africa
could not readily export maize, despite the location advantage with respect to quite
a number of the large world markets. Exports were further hampered by inadequate
and uneconomic shipping facilities in South Africa. In many cases it was also not
possible to compete with countries like the USA on the basis of lower prices, as the
latter country sold its maize to potential South African markets on a subsidised basis.
Exchange transaction with Romania
Luckily the Maize Board could succeed in securing an exchange transaction for urea
with Romania, on the grounds that 204 880 tons of yellow maize were exchanged for
208 000 tons of urea. The Romanians enquired from the Chairperson of the Maize
Board, Mr Crawford von Abo, about the possibility that the Maize Board could supply
them with maize. Up to that stage Romania’s maize had been supplied by the USA,
but that ceased and the Romanians had to find alternative sources to feed their
approximately one million pigs.
The Romanians could not pay the Maize Board for the maize, but they were willing to
engage in an exchange transaction – be it for weapons, oil or fertiliser. The propos-
als were discussed with the government and it was decided that it would be urea,
especially because nitrogen prices were sky rocketing at that stage. Even though
the government – more specifically the Minister of Trade and Industry, Mr Dawie de
Villiers – was strongly opposed to the idea, he later agreed that the transaction could
proceed on the condition that it be channelled by the Fertilizer Society.
The final negotiations regarding the transaction, where the Maize Board was repre-
sented by Von Abo as well as Messrs Boetie Viljoen (Vice-chairperson of the Maize
Board) and Hendrik Nel and two lawyers, took place in Murten, Switzerland. It con-
tinued for a week before agreement was reached. One aspect that received a lot of
16 000
14 000
12 000
10 000
8 000
6 000
4 000
2 000
0
(Thousand)
1980/1981
1988/1989
1993/1994
2004/2005
2007/2008
2008/2009
2009/2010
2011/2012
2012/2013
2013/2014
Hectares
Yield (tons)
Graph 11: Ten biggest maize crops versus hectares planted since 1980
Mr Crawford von Abo, who, as Chairperson, handled the negotiations on
behalf of the Maize Board, recounted that he was not prepared to concede
that the transaction be carried out by the Fertilizer Society because he
wanted to retain the benefit of this for the maize producers. When the gov-
ernment did not want to give in, he threatened to ‘take them on in politics'.
A report then appeared in a Sunday paper implying that the producers were
doing business with the communists.
These events occurred at the time the South African defence force was in-
volved in a war in Angola and the Romanians fought for the enemy against
South Africa. The newspaper article therefore also caused considerable
embarrassment, but eventually the Maize Board was given the green light
and finalised the transaction.