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THE
GRAIN AND OILSEED INDUSTRY
OF SOUTH AFRICA – A JOURNEY THROUGH TIME
ႇႂ
On the recommendation of the provincial WPO Congresses, it was also decided
that the WPO should continue to exist.
In order for the WPO to take care of the interests of the winter cereal producers
properly, the organisation applied to the National Agricultural Marketing Council
(NAMC) to register as a directly affected group.
In terms of the winter cereal scheme that was in force with the commencement of
the new Marketing Act, all producers were prohibited from supplying their products
to any other buyer than the Wheat Board. This would mean that during the 1997/1998
season, all wheat had to be sold only to the Wheat Board until the termination of the
winter cereal scheme on 30 October 1997. Subsequently it would be freely traded,
which meant that a portion of the crop had to be sold in the controlled market environ-
ment and a portion could be sold in a free-market environment. In order to address
the difficulties that arose, the WPO’s Executive requested the Wheat Board to abolish
the prohibition from 1 September 1997. This request was approved by the Minister
of Agriculture.
Funding
Initially the WPO was funded through statutory levies, the so-called section
35 levies. However, this was stopped with the abolition of the control boards, after
which the national WPO called on the winter cereal producers to finance the WPO
through voluntary contributions. The intention was that the National WPO’s budget
should be allocated provincially on a production-volume basis.
Although the winter cereal producers contributed diligently to the voluntary levy
of the WPO, this meant additional costs for them. These additional costs played a
role in the eventual consideration of a merger with the producer organisations of
the other grain industries – which is discussed in the next chapter.
The WPO’s role in and involvement with the initiative to unite the different grain
industries’ producer organisations in 1999 are discussed in the next chapter. It is
sufficient to say here that the WPO definitely contributed to the establishment of
Grain SA.
After the establishment of Grain SA, the affairs of the WPO were handled by the
specialist working group for winter cereals. Subsequently this working group was
responsible for identifying relevant issues in the winter cereal industry, which were
then referred to the responsible department or managing body within Grain SA.
THE SORGHUM PRODUCER ORGANISATION (SPO)
Establishment
The interests of the sorghum producers in South Africa as a producer group were
traditionally handled by the provincial agricultural unions’ producer organisations
for grain sorghum.
However, this changed on 24 March 1994 with the establishment of the Sorghum
Producer Organisation (SPO) in Vanderbijlpark. Even though the SPO was a specialist
organisation, it was still affiliated with the SAAU – as was the case with NOPO.
Structure
The SPOwas not divided into provincial structures like in the previous dispensation,
but rather into specific areas that could represent sorghum producers across
the country. The organisation was organised into ten area managements that all
reported to the Executive and national Congress (as highest authorities).
In addition to the Congress and Executive, a management committee was formed
and a Secretariat appointed to administer the affairs of the SPO.
Objectives
The SPO’s main goal was to be a representative national organisation for the sorghum
industry and to look after the interests of the sorghum producers. The SPO would
On 9 June 1999, during their farewell Con-
gress, the WPO’s Executive signed this
commemorative certificate in support of
the establishment of the GPO.