South Africa’s citrus producers, packers, and exporters have until Friday, 21 June 2024, to submit their comments or feedback on the proposed measures on the continuation of statutory measures on citrus fruit packed and passed for export.
On 9 May, the Citrus Growers Association of Southern Africa (CGA) asked the minister of agriculture, land reform and rural development to keep certain rules and fees for exporting citrus fruits in terms of the Marketing of Agricultural Products Act (MAP Act) 1996.
These rules include paying fees, keeping records, and registering with the CGA. The current rules will end on 31 December 2024, unless they are renewed.
Ensuring a competitive citrus industry
According to CGA CEO Justin Chadwick, the purpose and objective of the statutory measure relating to registration are to compel directly affected groups in the citrus industry to register with the CGA.
“By combining compulsory registration with the keeping of information and the rendering of returns on an individual basis, market information for the whole of the industry can be processed and disseminated and will form the basis for the collection of statutory levies.
“This is necessary to ensure that continuous, timeous and accurate information is available to all role players. The levies assist considerably in ensuring the smooth management and overall competitiveness of our industry,” Chadwick said.
The levy amounts proposed for citrus fruit produced, passed, and packed for export are as follows: in 2024 it stands at R1.79 per 15-kilogram carton; in 2025 it decreases to R1.65; in 2026 it slightly rises to R1.67; in 2027 it reaches R1.70; and by 2028, it increases to R1.76 per 15kg carton.
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Everyone has a say
The MAP Act stipulates that a statutory levy may not exceed 5% of the price realised for a specific agricultural product at the first point of sale.
The maximum of 5% must be based on a guideline price calculated as the average price at the first point of sale over a period not exceeding three years.
“The 2025 proposed average statutory levy level of R1.65 R/carton, is less than 1.1% of the calculated average guideline price for citrus fruit exported and is therefore well within the limit of 5%,” Chadwick said.
Furthermore, the NAMC believes that the measures requested are consistent with the objectives of the MAP Act. They are requesting input from directly affected groups.
Directly affected groups, which include producers, packers and exporters in the citrus industry, are requested to submit any comments regarding the proposed statutory measures in writing to the NAMC (e-mail to mathildavdw@namc.co.za) on or before 21 June 2024.
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