Agri SA urged to intervene at Joburg market
[{“type”:”text”,”content”:”As one of the largest fresh produce markets in South Africa, the Joburg Market hosts an average of 13 000 traders per day. The market share of around 48% results in a turnover of some R8,6 billion annually. About 16 million people depend on this market for daily fruit and vegetable purchases. nnThe market receives a fixed 5% commission for managing and maintaining a competitive marketing system and infrastructure that makes fresh produce trading possible, including a computerised sales system, cash collections, cleaning and security. Regardless, it still faces various challenges in electricity supply and general maintenance. nnAccording to their 2021 audited financial statements, the total turnover generated amounts to R8,614 billion in 2021, up from R8,104 billion in 2020, whilst the revenue recognised was R531,299 million in 2021, up from R508,008 million in 2020. An average of 80% (R435,274 million) is the commission paid over by market agents (see annual financial statements). nnThe dilapidated state of the market not only compromises the quality of perishable products that must be kept in cold storage and ripening facilities, but it also impacts thousands of traders who depend on the market for their livelihoods. According to an article in the *Daily Maverick* dated 29 November 2021, traders purchase as much as 60% of the fruit and vegetables sold at South Africau2019s municipal fresh produce markets. nnThe article also states the following: u201cIn Johannesburg alone, buyers for the informal sector account for at least R3,9 billion a year in produce sales u2013 half the turnover of the cityu2019s main fresh produce market u2013 according to new research. Officials should acknowledge the crucial role that informal food traders play in offering nutritious food to poorer residents at lower prices than the supermarkets, as well as the broadly unrecognised but huge contribution that South Africau2019s 750 000 street sellers make to the urban economy.u201d nnHygiene on the market is a crucial issue. Pest control is currently not in place as the incumbent contract lapsed, and a new service provider is yet to be appointed. Market floor cleaning machines are non-operational due to a failure in their maintenance. nnElectricity is a critical part of the functioning of the market; as for many businesses, the generator farm of the market is not functioning optimally. Even if it were fully functional, it would not be able to ensure the powering up of the marketu2019s cold rooms and ripening rooms during power interruptions. Requests over the years to get another power feed and have the market declared a national key point due to its role in food security remain unresolved. nnJoburg Market is a member of the World Union of Wholesale Markets (WUWM), **an international network of fresh food and products organisations that** share expertise, innovation and services while connecting new ideas with food actors worldwide to achieve food accessibility and security for all. It will be a tremendous setback for the countryu2019s international prestige should the market lose its status as a premium destination for fresh produce trade because farmers prefer privatised markets. nnIn its response, DALRRD undertook to look over the forwarded financials and schedule a discussion on this matter.”,”position”:0,”id”:”yyA7spv7xEEZprTR”}]