portfolio committee on agriculture and land affairs: 5 april 2005 strategy and budget 2005/6

1. P P E C B creating confidence in southern african fresh produce portfolio committee on agriculture and land affairs: 5 april 2005 strategy and budget 2005/6

2. agenda“ppecb in transformation” • introduction • 2005/6 strategy • objectives/outcomes • strategic directions and business plan • alignment with DOA programmes • black economic empowerment • budget • questions

3. ppecb 2005-2006 “transforming for sustainability” creating confidence, closing the gap with stakeholder expectations, implementing risk based assessment, through an integrated food safety and quality management system, whilst transferring skills.

4. sa perishable products export industry transforming means … • organisation renewal and people diversity • legislative renewal • systemic risk assessment • systems and process redesign sustainability means … • growth in international market access • creating employment, equity and wealth • international competitiveness • long-term profitability confidence means … • sustained access to difficult markets by guaranteeing • people competency • process efficiency and • product safety and quality • capacity to deliver on requirements

5. ppecb’s role - legislative mandate • act 9 of 1983 – ppecb act (outdated) • provides for control and management of south african perishable products export processes • act 119 of 1990 – designated assignee i.t.o. agricultural products standards act • ensures export food safety and quality standards of agricultural products are complied with. • act 1 of 1999 – pfma act • regulates financial management and good governance in government and public entities

6. ppecb strategy : 2004-2006 (present board) …ppecb transforming, repositioning as sa food safety agency… “building with confidence” purpose statement ppecb instills confidence in food by impartially performing food safety & quality assurance services

7. ppecb outcomes:2004-2006 • confidence in impartial services • minimised risk in supply chain • custodian of industry information • customised services on demand • differentiated pricing of services • integrated sa food safety policy and legislation (“new food control authority”) • sa food safety agency (“transformed ppecb”) • international expansion (africa/trading countries)

8. contextual environmental issues environment condition industry drivers increasing international legislation harmonisation/integration of standards • reduced costs • revision of legislation • product quality • increased demand for information • integration of systems • food safety • efficiencies • skills demand • response times legislation call for integrated legislation in sa high cost of compliance to various standards overproduction global competitiveness economic higher consumer demands exchange rate pressure fragmented national food policy transformation political integration & delivery agricultural “best practices” challenges environment national drought conditions

9. operating model and value streams stakeholder requirement value stream deliverable • inspection/audit services • supply (cold) chain services • product category “partnerships” statutory standards • financial services • information/logistics services • communication services industry standards • specialised services (solutions) • training/development services • certification services customised standards

10. value streams - programmes value streams programmes • product quality inspection & food safety audit services • customised services • finance & information • support services inspections audits cold chain logistics product categories specialised solutions analytical development sa pip food safety certification conferencing finance & management accounting information services secretariat human resources

11. our strategic direction & positioning create confidence and ensure sustainability in the south african fresh produce markets by: • reducing risks in the supply chain • developing an internationally recognised integrated food safety and quality management system according to stakeholder requirements • implementing it through a risk analysis methodology • representative staff compliment of qualified technologists • improving speed and service delivery, reducing costs

12. ppecb strategic programmes • black economic empowerment • risk management system • food safety • stakeholder management • industry information • ISO 17020

13. alignment with DoA programme no 7: regulatory services • compliance with legislation: ppecb/aps/pfma acts/ eu1148 • food safety strategy: assignee for ofs/ development ifsqms • communication and national coordination: national forums • harmonising legislation, codes and guidelines: oecd/ un-ece • progressive service standards that enhance credibility: iso17020/ export protocols • resources for maximum effectiveness: restructured operations • technology to accelerate information flow: standardisation of codes/ edi/ electronic export certification • standard-setting: specialised industry programmes • partnerships with industry: sa-pip/ sa agri academy/ sa fip/ fsa • training and skills development: experiential training programme/ career pathway/ bursary programme

14. broad based black economic empowerment dimensions: management employment equity skills development enterprise development procurement capacity building strategies: analysis of potential redesign organisation to create opportunities programme managers succession planning leadership development people development forum employment equity stats organisation renewal recruitment focus legislative compliance internal training experiential learning programme bursary programme developing portfolio programmes: pip all programmes to reflect bee as priority procurement manager filtering suppliers reporting at executive level develop suppliers skills development

15. broad based black economic empowerment dimensions: management employment equity skills development enterprise development procurement capacity building • status: • 50 employees assessed (R100 000) • tender process for training • 2004-2005 • african -1% • asian +1% • coloured +3% • white -48% • YTD YTD • african +4% 95% black asian 0% technologist • coloured +4% appointed • white -7% • internal bursary 10: R52 000 • external bursary 2004: 20: R480 000 • 2005: 15: R432 000 • SDA-2004: 85% grants received • SA PIP programme • programme managers: developing sector portfolio • preferential procurement policy • HDI 42,11% • MOU: SAAA & SAMTRA

16. ppecb company profile 95% of new recruits to operational positions comply with employment equity plan

17. P P E C B creating confidence in southern african fresh produce ppecb budget 2005-06

18. objectives • development of a risk management system • building and retaining skills & capacity • building relationships with stakeholders

19. budget overview

20. activity overview

21. budget 2006

22. income variance

23. budget structure ppecb statutory PIP customised

24. expenditure

25. strategic programmes

26. benchmark: hourly rate note: excl travel & incidentals 1 pound = R12,0106 1 euro = R8,12374 1 $ aus = R4,79836

27. customised services

28. agency: SA PIP

29. budget achievements • build to support global confidence in SA produce • focus • systematically manage risk • build capacity • build relations • improve efficiencies • BEE: procurement & employment

30. ppecb 2005-2006 “transforming for sustainability” creating confidence, closing the gap with stakeholder expectations, implementing risk based assessment, through an integrated food safety and quality management system, whilst transferring skills

31. CERTIFIED TO ISO 9001