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NAMC Receives Request From Wheat Forum on Levies

May 12, 2020

Department of Agriculture, Land Reform and Rural Development

The National Agricultural Marketing Council (NAMC) has received a request from the Wheat Forum to continue the statutory measure on winter cereal commodities.

The call for comment on the application was published in Government Gazette 43288.

The statutory measure focuses on industry levies on wheat, barley and oats.

The proposed levies include wheat for the period 1/10/2020 to 30/09/2024 at R 14.50 per metric ton; barley for the period 1/10/2020 to 30/09/2024 at R 14.50 per metric ton and oats for the period 1/10/2020 to 30/09/2024 at R6,00 per metric ton.

The current statutory measure regarding levies on wheat and barley that currently amounts to R12/ton (excl VAT) on wheat and R5/ton (excl VAT) on barley expires on 30 September 2020.

The Wheat Forum also wants the statutory levies to be administered by a revised Winter Cereal Trust.

Three amendments to the Trust Deed are requested as a condition of the application.

“Should this condition not be accepted, the Forum will regard the application to be null and void and will explore alternative structures for the administration of the levies or other options for securing the funding required for vital industry functions.”

The NAMC pointed out that the Forum adopted a unanimous resolution on the proposed statutory measure on winter cereals thereby indicating support by the different categories of directly affected groups in the winter cereal industry.

Comments or objections are invited until 22 May 2020.