
By: Francois Wilken, Farmer & President of Free State Agriculture
Which came first? The chicken or the egg?
Or in the case of agriculture, one might ask: The farmer or the value chain?
There is a misconception that the farmer is there because of the value chain and the input supplier. No! They are there because of the farmer!
Thousands of years ago, our ancestors lived off what they gathered in the fields. Later, farming – the oldest profession – emerged to produce food and provide for the hard times. Over time, barter trade emerged to provide food for those who did not farm.
John Deere did not come into being in 1837 for no reason. There was a farmer to whom they wanted to sell their implements. Over the years, agriculture has developed into an industry from which businesses have sprung up. It is therefore clear that almost all economic activities owe their origin to farmers.
Later, the farmers began to organize themselves into interest groups and appointed people from their own ranks to negotiate on their behalf and protect their interests. The government of the day began to provide certain services at the request of the farmers. We will remember agricultural technical services, cultivar trials, disease research, the creation of Onderstepoort and many others.
In the ‘new’ South Africa, however, this has changed and many of the services have ended up in private hands. It’s not necessarily bad, excellent work is being done. The difference, however, is that it is no longer independent and now comes from the farmer’s pocket.
What happened that the farmers lost their voice and influence?
A few years ago, things were going well for the producers. We were able to expand and move forward. It is important that we as farmers also take stock and admit that we have started to turn our backs on our structures and thereby allowed those who should speak on our behalf to not necessarily be the right leaders. We have allowed non-farmers and officials to speak on our behalf. Instead of holding leaders accountable, we let them be, and instead of making our voices heard and choosing the right people, we began to cast blame and divide.
The corporate world is harsh and focused on maximum profit, with little regard for long-term impact. Yes, farming is a business and must be run as such, but farming is also a calling and a way of life that few are willing to undertake.
Although farmers these days have to be content with a return of only 1-2% on capital (it could be even lower!), they still struggle – despite all the challenges – to produce food and we can no longer sit back and watch them being exploited.
I hear more and more that it is said in the value chain that smaller farmers no longer have a right to exist. The idea of ”economies of scale” is often mentioned, but first needs to be thoroughly investigated. Establishing buying groups to negotiate more discounts is recommended, that’s why we established cooperatives in the 70’s. What happened now?
Farmers, it is time to stand up and stand together!
Let’s open the conversation – honestly and with an open mind – between all role players in the agricultural value chain. It is necessary to build the industry to the benefit of everyone.
A conversation that will have to take place is agricultural financing, because the current system is not working. That is a conversation for another day.
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