Game Meat Industry Strategy for South Africa - Workshop 1 - SA Hunters

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Game Meat Industry Strategy for South Africa - Workshop 1 - SA Hunters
Game Meat
Industry Strategy for South Africa

     Stakeholder Engagement
                  Workshop 1
                 4 / 5 May 2021
Game Meat Industry Strategy for South Africa - Workshop 1 - SA Hunters
AGENDA

Time    Activity                                                     Facilitator
08:30   Arrival / Covid Protocols / Attendance Register
09:00   Welcome and Introductions                                    DFFE
09:30   The Project in Context / Objectives                          Alsson Network
09:45   Present Key Findings of the Status Quo Report                Alsson Network
11:00   Tea / Coffee Break
11:15   Question and Answer Session                                  Project Team

12:00   Brainstorming Session 1: Enabling Legislation / Governance   Project Team

12:30   Brainstorming Session 2: Demand and Supply                   Project Team

13:00   Lunch
13:45   Brainstorming Session 3: Marketing and Branding              Project Team

14:15   Brainstorming Session 4: Risks                               Project Team
14:45   Brainstorming Session 5: Transforming the Industry           Project Team
15:15   Create a Shared Vision to Grow the Game Meat Industry        Project Team
15:45   Way Forward                                                  Project Team
16:00   Close                                                        DFFE
Game Meat Industry Strategy for South Africa - Workshop 1 - SA Hunters
WELCOME &
INTRODUCTIONS
Game Meat Industry Strategy for South Africa - Workshop 1 - SA Hunters
A WARM WORD OF
WELCOME FROM DFFE

         Mr Khorommbi Matibe
         Chief Director: Biodiversity Economy & Sustainable Use
Game Meat Industry Strategy for South Africa - Workshop 1 - SA Hunters
THE GMS PROJECT
IN CONTEXT
Game Meat Industry Strategy for South Africa - Workshop 1 - SA Hunters
PROJECT
OBJECTIVES

Growing the game meat market is an initiative of the Biodiversity Economy Phakisa - Wildlife Workstream
which is a Presidential Programme.

The objectives of the Game Meat Industry Strategy for SA are:
• To facilitate platforms where all stakeholders can play a role in addressing the challenges impeding on
  the game meat industry in South Africa.
• Provide mechanisms / interventions to unlock the full economic potential of the game meat industry
  domestically, regionally and internationally.
• Provide guidance on mechanisms that can postulate a platform on how SA can brand game meat and
  ensure that the issues of conservation, ethics and animal welfare are considered to allow the country to
  successfully compete internationally in the game meat market.
Game Meat Industry Strategy for South Africa - Workshop 1 - SA Hunters
PROJECT
    PLAN
1   Appointment,
    Contract, Mobilisation
    and Inception Phase

               Develop Status Quo                Stakeholder                     Strategy Development            Develop Implementation Plan
         2     Report
                                             3   Engagement                  5   Process                   6    Purpose: Develop a detailed
                                            Purpose: To vet information                                    Implementation Plan with RACI for
        Purpose: To detail and              contained in the Status Quo     Purpose: Based on outcomes     Strategic Objectives and Initiatives
        outline what the Game Meat          Report and obtain info on       of the Stakeholder             identified
        Industry looks like (from a size,   how to grow the game meat       Engagement Process and              Due Date: 13 July 2021
        scale and performance               market                          Stakeholder Workshop I:
        perspective):                       Timeline: 12 to 23 April 2021
        • Defining the Industry and                                         • Identify opportunities for
          Value Chain Actors                                                  growth                        7    Stakeholder Workshop II
        • Demand and Supply                                                 • Detail dependencies or
        • Governing Legislation             4    Stakeholder Workshop I       potential roadblocks
                                                                                                           Purpose: To share final strategy
                                                                                                           and procure buy-in from various
        • Barriers to Entry                                                 • Define relationships         stakeholders
                                            Purpose: To create a            • Define governance
        • Business Environment (STEEP)
                                            common understanding              structures                   Proposed Date: 20 July 2021
        • Stakeholder Engagement
                                            about key findings              • Create:
        SWOT Analysis:
                                            contained in the Status Quo       • Shared Vision for the
        • Primary production
                                            Report and Stakeholder              Game Meat Industry
        • Processing of meat
        • Commercialisation
                                            Engagement Process.               • Strategic Objectives        8     Update Strategy and
                                                                                                                  Implementation Plan
        Risks:                                                                • What should be done to
                                            To discuss potential                realise the Strategic
        • Reputational risks                                                                               Purpose: Update Strategy and
                                            strategies for growth and           Objectives and its
        • Climate change                                                                                   Implementation Plan post
                                            define mitigation /                 associated budget
        • SPS measures                                                                                     Stakeholder Workshop II. Submit
                                            interventions to overcome                                      final strategy to DEFF
        • Implications of FMD
                                            challenges
             Due Date: 12 April 2021        Proposed Date: 4 May 2021         Due Date: 30 June 2021         Due Date: 10 August 2021
                                                                                                                                                  9   Project Close-
                                                                                                                                                      Out Report
Game Meat Industry Strategy for South Africa - Workshop 1 - SA Hunters
WORKSHOP
EXPECTATIONS

                Its TIME! Let us face the
               challenges experienced
                    in the Game Meat
               Industry and not deploy
                 the Ostrich Approach
                 anymore since it stifles
                          growth!
Game Meat Industry Strategy for South Africa - Workshop 1 - SA Hunters
WORKSHOP
EXPECTATIONS

   If we get this
look – we will know
   ‘something’s
 cookin’. But that is
  all good, better
  safe than sorry,          Yes! Be vocal and
       they say                  share your
                            experience(s) since
                           your voice and inputs
                             are important to
                            devise a strategy fit
                                 for growth!

        We invite active
         participation
        throughout this
           workshop.
          Thus GAME
              ON
Game Meat Industry Strategy for South Africa - Workshop 1 - SA Hunters
WORKSHOP
EXPECTATIONS

    BUT AS LONG AS WE   ALL   MOVE IN   ONE DIRECTION
KEY LEARNINGS OF THE
STATUS QUO REPORT
CONTENT OF THE STATUS
QUO REPORT

  The Wildlife Industry   SA Wildlife Industry
          at a               Setting the
       Glance                   Scene
HARMONIZED SYSTEM CODES

               To determine the classification of game meat, the following codes were identified in
               collaboration with SARS and informed by UN Comtrade and FAOStat

               HS6 Code              Description
               '020850               Fresh, chilled or frozen meat and edible offal of reptiles e.g. snakes,
                                     turtles, crocodiles
               ‘020890               Fresh, chilled or frozen meat and edible offal of pigeons, game, reindeer
                                     and other animals                                                             Fresh game meat
               ‘021093               Meat and edible offal, salted, in brine, dried or smoked, and edible flours
                                     and meals of meat … of reptiles
               ‘021099               Meat and edible offal, salted, in brine, dried or smoked, and edible flours
                                     and meals of meat … of other animals
               ‘160290               Prepared or preserved meat, offal or blood excluding meat or offal of
                                                                                                                   Processed game meat
                                     poultry, swine and bovine

Source: SARS, UN Comtrade, FAOStat
GLOBAL
    PERSPECTIVE

                                    RSA Exports (2019)    Total     '020850   '020890   '021093   '021090   '160290
                                    Value (US$ million)     12
REGIONAL
     PERSPECTIVE

            SA accounts for
                                                                   Value        Regional rank   Global rank
            over 86% of the                   Exports in 2019
            regional game                                       (US$ million)    (Value/27)     (Value/98)
            meat market                       South Africa          12.43          1 (27)         28 (98)
                                              Zimbabwe              0.72           2 (27)         47 (98)
                                              Ghana                 0.43           3 (27)         53 (98)
                                              Namibia               0.28           4 (27)         59 (98)
                                              Other Countries       0.57
                                              Total Regional        14.43

Source: UN Comtrade (updated 20 March 2021)
ECONOMIC
SNAPSHOT
GAME STATISTICS

   Sourced from the StatsSA
    Census of Commercial
       Agriculture, 2017

     The entire census was
         performed over
40 122 farms in 2017, of which a
 subset is game ranches. Thus,
 the data is a sample set of the
  total game ranching industry
GAME MEAT PRODUCTION
     COMPARISON (HS ‘020890)

Source: The Food and Agricultural Organisation of the United Nations Statistics (FAOStat), Livestock Primary database (updated 19 February 2021)
GAME MEAT EXPORTS
    COMPARISON (PER HS CODE)

 Country                  Value in 2020               Volume in 2020
                                               %                        %
  HS code                (US$ thousand)                  (Tonnes)
 South Africa                12 769                        3 133
   '020850                     185            1.4%         33          1.0%
   '020890                    4 557           35.7%        392         12.5%
   '021093                      –               –           –            –
   '021099                     106            0.8%         43          1.4%
   '160290                    7 921           62.0%       2 665        85.1%
 Namibia                        39                         10
   '020890                      3             7.0%          2          15.3%
   '021099                      1             2.0%
GAME MEAT EXPORTS
    COMPARISON (PER HS CODE)

 Country                  Value in 2020               Volume in 2020
                                               %                        %
  HS code                (US$ thousand)                  (Tonnes)
 South Africa                12 769                        3 133
   '020850                     185            1.4%         33          1.0%
   '020890                    4 557           35.7%        392         12.5%
   '021093                      –               –           –            –
   '021099                     106            0.8%         43          1.4%
   '160290                    7 921           62.0%       2 665        85.1%
 Namibia                        39                         10
   '020890                      3             7.0%          2          15.3%
   '021099                      1             2.0%
GAME MEAT EXPORTS
   HS CODE COMPARISON

                        Processed game meat                    R/Tonne
                                              HS6 Code
                                                           2019       2020
                                              '160290     46 280     48 877
                                              '020890    117 827    189 878
                                              '020850    181 454     91 740
                                              '021099     80 738     81 623
                                              '021093       –         8 156
                          Fresh game meat
                                              Average     60 143     67 730

Source: SARS
GAME MEAT EXPORTS
   DESTINATION COMPARISON

                                   Value                  Volume
               Importer                     % of total              R/Tonne
                                  (R’000)                (Tonnes)

               Netherlands        62 928     30.7%         280      224 694

               Germany            37 494     18.3%         214      175 002

               Belgium            25 385     12.4%         234      108 649

               Lesotho            17 912      8.7%         696      25 741

               Eswatini           13 903      6.8%         923      15 063

               Namibia            11 220      5.5%         269      41 645

               Botswana            5 405      2.6%         90       60 093

               France              8 079      3.9%         48       166 964

               United Kingdom      5 509      2.7%         28       198 584

               Switzerland         4 369      2.1%         16       276 904

               Top 10 Sub-Total   192 204    93.8%        2 798     68 692

               Total Exports      204 839    100.0%       3 024     67 730

Source: SARS
GAME MEAT IMPORTS
   ORIGIN COMPARISON

                                  Value                  Volume
               Exporter                    % of total              R/Tonne
                                 (R’000)                (Tonnes)
               Namibia            1 581     59.9%         20       78 531
               Australia          821       31.1%         23       35 644
               Botswana           222        8.4%         35        6 302
               South Korea         12        0.5%
WILDLIFE
  VALUE CHAIN

  Commercial / Private                         ± 13,000 Wildlife
  Wildlife Ranches in SA                      Ranches of which >                          GDP Contribution
                                                                                                                                Game population                > 100,000 jobs
  cover ± 20,5 million                        5,061 are CAE Game                                                            ±   20 million heads of           exclusive of tourism
                                                                                           > R20 Billion                             game                        related jobs
              hectares of land                           Ranches

                            WILDLIFE RANCHING                               WILDLIFE ACTIVITIES                                            WILDLIFE PRODUCTS
                                                                                                                                                                       Other Value
PRIMARY                     Wildlife                                                     Trophy           Subsistence                   Game Meat     Skin / Hides
                                            Live Sales                 Eco-Tourism                                                                                     Added
ACTIVITIES                  Production                                                   Hunting          Hunting                       Processing    Tanning          Products

                        •   Fencing and Maintenance                •     Permitting and Licensing                                   •   Meat Processing Equipment and Maintenance
  SECONDARYACTIVITIES

                        •   Translocation Services                 •     Harvesters                                                 •   Packaging
                        •   Veterinary Services                    •     Accommodation                                              •   Transportation
                        •   Auctioneers                            •     Transport                                                  •   Tannery and Chemical Supplies
                        •   Marketers                              •     Equipment and Supplies (ammunition,                        •   Marketing
                                                                         mobile abattoirs / cooling facilities, salts and           •   Wholesalers
                                                                         spices etc.)                                               •   Retailers
                                                                   •     Taxidermy
                                                                   •     Marketing
GAME MEAT
VALUE CHAIN

                  ISIC Group 1: Animal           ISIC Manufacturing Section C,        ISIC Section G, Division 46: Wholesale.
                       Production                        Division 10                             Division 47: Retail

          Class 0149              Class 0170   Class 1010             Class 1075

                                                                                                        Export

              Production                                                           Distribute/
                                 Harvest        Abattoir          Processing                          Wholesale                 Class 4630
                System                                                              Market

                                                                                                         Retail                 Class 4721
GAME MEAT
VALUE ADDITION

                 The MEAT opportunity …
                      Wildlife                                                                     Retail
                                                         Processing of      Product
                      Production     Harvesting                                                    Sales
                                                         Carcass            Manufacturing
                      System                                                                       Local

                                   In Veld                                                      Retail
                   Rancher                               Abattoir / Processing Plant            Trade in
                                   Harvesting
                                                                                                Store

                 Price Paid (per
                 carcass) Kudu                  R2,080                             R12,406.07          R14,887.28
                 Cow (80 kg's)
                 Share of Value                 13.9%                                  69.4%                16.7%

                  Value Addition of Kudu (Cow) Yield 53kgs Game Meat Products: SA Retail Market
CLASSIFICATION &
CHARACTERISTICS OF GAME MEAT

   Sensory Characteristics
                               Availability
     Health Benefits

                                 Price
     Production Ethics

                               Preparation
      Animal Welfare

                               Promotion

     Meat Safety
THE AVERAGE SA MEAL

The average (daily) South African meal consists of 41% starch, mostly bread, and 26% meat, mostly chicken
across demographic groups.

                                 41% Starch (mostly bread)                                     26% Meat (mostly chicken)

 Per Capita Consumption:                           Per Capita Consumption:                           Per Capita Consumption:   Per Capita Consumption:
  Poultry 38.7 kg/annum                              Beef 11.9 kg/annum                                 Pork 4.1 kg/annum        Sheep 3.6 kg/annum

Source: https://www.businessinsider.co.za/typical-south-african-plates-are-starch-and-meat-heavy-everywhere-and-for-everyone
A GUESTIMATE OF THE
‘SIZE OF THE PIE’

                               Per capita consumption:          Per capita consumption:
 59 million people in SA
                              Poultry: 38.7 kgs / annum :     Red Meat: 19.6 kgs / annum :
                           Consumed 1 291 076 tons / annum   Consumed 653 878 tons / annum

                                                              Potential Consumption of Game
Assume 33,361,138 South                                           Meat: 0.7% of Red Meat:
Africans consume meat                                              4,577 tons / annum
                                                                 Source: FAOStat Food Balance Sheet
DETERMINING THE
‘SIZE OF THE PIE’

                                                                        Or is it a Cocktail
        What is the Size of this Pie?
                                                                         Sausage Roll?

   Challenging to quantify the size of the game meat market and to understand the meat flow from
                  ranch to retail as there are limited data and information available
BARRIERS
TO ENTRY
STEEP
ANALYSIS                                Positive                                  Negative                    Impact
                           • Game meat is seen as a protein           • Negative perceptions about game
                             with high nutritional value, which         meat in the market
                             is wholesome, fresh and lean             • Purchasing decisions are subjective
           Social          • Game meat has been used for
                             decades in traditional dishes
                                                                      • There are drives to reduce red meat
                                                                        consumption by various protesting
                           • Contribute to food security                (conservationist) groups

                           • Innovations introduced in                • High barriers to entry due to
                             harvesting techniques and                  capital intensive nature of the
                             equipment to enhance meat quality          industry
           Technology        are visible such as rural throughput
                             abattoirs, cold storage facilities and
                                                                      • Lack of traceability systems of
                                                                        game meat in most retail stores
                             mobile technology                          in SA

                                                                      • Lack of transformation in the
                           • International trade (foreign
                                                                        industry
                             exchange benefits) for export
                                                                      • Lack of sufficient skills to embark
           Economic        • Revenues created from industry for
                             Government through taxes
                                                                        on game farming for new entrants
                                                                      • Devastating effect of EU bans
                           • Contribute to GDP of the country
                                                                        and Covid-19 on the industry
                           • Job creation
                                                                      • Lack of consistent supply

                           • Environmentally friendly agricultural    • Impact of climate change on
                             practices exercised on game ranch          game ranching:
           Environmental   • Land available to increase game
                             meat supply
                                                                        • Impact on meat quality
                                                                        • Impact on meat safety
                           • Conserving the habitat                   • Diseases (FMD and others)

                                                                      • Regulatory framework not optimal
                           • Ownership rights of game
                                                                        for game meat industry
                             transferred
                                                                      • Governance is fragmented
           Political                                                    between government departments
                                                                        without integrated systems
                                                                      • Ownership of redistributed land
FRAGMENTED
INDUSTRY

                           ±28 Associations and Industry Representative Agencies

   WILDLIFE RANCHING                  WILDLIFE ACTIVITIES                  WILDLIFE PRODUCTS
     Wildlife                                                                                         Other Value
                                                  Trophy    Subsistence   Game Meat    Skin / Hides
                   Live Sales       Eco-Tourism                                                       Added
     Production                                   Hunting   Hunting       Processing   Tanning        Products

                  Will a Non-Integrated and Fragmented Governance- and Industry Model lead to
                                        SUSTAINABLE ECONOMIC GROWTH?
SWOT ANALYSIS:
PRODUCTION

   •   Marginal land use needed                                                Strengths                   •   Lack of transformation: Industry is not representative of the demographics of SA
   •   Hardy animals (adaptable) that need less management
                                                                                                           •   Governance of the industry is complex (various national, provincial and local government
   •   Adaptation to environment – lesser parasites (internal and external)
                                                                                                               departments involved) without an integrated approach
   •   Higher yield per hectare (browsers and grazers)
                                                                                                           •   Fragmented industry
   •   Less losses of game due to pilfering
                                                                                                           •   Lack of adequate data and statistics per species to determine the size of the industry
   •   Harvesting more favourable for quality meat production when correctly harvested
                                                                                                           •   Lack of a coherent Wildlife Policy to govern the industry
   •   Less drought sensitive
                                                                                                           •   Current regulatory framework inhibiting sectoral growth specifically permitting process
   •   Coordinated system of game meat production will enhance better veld management and less
                                                                                                           •   Species adaption when translocated and its effect on biodiversity
       losses due to drought (particularly in FMD infected areas)
                                                                                                           •   Lack of skills to adequately control diseases which may impact on exports
   •   Some species breed better when numbers are harvested frequently
                                                                                                           •   High capex needed for initial setup of game ranching
   •   Investment in tourism, accommodation, transport, hunting equipment etc. contributes positively to
                                                                                                           •   Seasonality of farming operations
       the game market in general
   •   South Africa has a variety of game species – serves a niche market
   •   Most game ranchers are also conservationists with a focus on sustainability
   •   Skilled game ranchers in breeding, conservation, translocation of
       animals etc. exists in SA                                                                                                                              Weaknesses

                 Opportunities                                                                                                                                                 Threats
   •   Wildlife Economy Certification Scheme could offer various benefits to incentivise
       producers and value chain actors to conform to Standards proposed and instituted in an              •   Smaller farm units may result in feeding systems threatening the organic, free range ethos of
       aid to contribute to biodiversity conservation                                                          game meat products
   •   Building a National Brand for the game meat industry and related products                           •   Unhealthy breeding systems may weaken the genetic pool of the species for example colour
   •   Growing demand for game meat products locally (as a healthy protein alternative)                        variants
   •   Training opportunities due to new jobs developing within the industry                               •   Intensive ranching systems may affect the hunting culture of South Africans
   •   Investment into game farming from a transformational perspective inclusive of mentorship            •   Pandemics linked to food create food safety concerns (such as Covid-19)
       programs could aid in increasing supply                                                             •   Climate change, specifically droughts with the effect that farmers will need to feed their animals
   •   Intraregional trade as a result of bilateral agreements                                                 instead of offering free range products
   •   Bring rural communities into mainstream wildlife economy                                            •   Disease outbreaks
   •   Job creation                                                                                        •   Increase in land claims
   •   Industry could contribute to eradicate food insecurity                                              •   Increase in stock losses (pilfering / poaching)
   •   Mixed production systems could lead to sustainable land management                                  •   Lack of consistent supply of electricity severely impacts on rural abattoir operations
   •   Variety of species (could become a competitive edge)                                                •   Corruption / Political lobbying
   •   Consider tax incentives for ranches that conform to all standards / compliance
SWOT ANALYSIS: HARVESTING
TO PROCESSING

       Strengths                                                                                         •
                                                                                                         •
                                                                                                             Lack of consistent supply
                                                                                                             High incidences of no meat inspections or hygienic slaughter techniques deployed
                                                                                                         •   Regulatory/legislative framework not in place resulting in illegal practices
   •    Less stress on animals when harvesting is done correctly                                         •   Permitting and licensing processes are not integrated (each province deploys own processes
   •    Leaner carcasses not as prone to bacterial contamination - carcasses dry off easier                  (9+1 system))
   •    Less slaughter contamination due to drier intestinal content in winter months                    •   More expensive processes to harvest game than livestock
   •    Less stress on the animals due to no transportation of live animals from ranch to abattoir       •   Poor harvesting and slaughtering practices result in poor quality products
   •    More options to supply the market directly from ranch reducing product input costs               •   Limited time to harvest i.e. night harvest / winter time / dark moon etc.
   •    Branding of product as free range opposed to farmed game - unique product against New            •   Poorer bleeding ability due to culling rather than stunning prior to bleeding
        Zealand and other farmed game to serve the needs of the global market
                                                                                                         •   Condemnation of carcasses by poor shots in the subsistence hunting segment
   •    Free range game ranching practices mostly deployed in SA
                                                                                                         •   Poor perception of quality of game meat by consumers due to hunting practices / slaughter /
   •    Industry creates vast numbers of jobs
                                                                                                             safety practices deployed
                                                                                                         •   Lack of consumer education that highlights the health advantages of game meat
                                                                                                         •   Limited control in rural areas and isolated environments when harvesting

                                                                                                                                                                        Weaknesses

       Opportunities
  •    Innovative product development opportunities to ensure sustainability:
       Processed / Canned Game Meat / Ready Made Meals
                                                                                                         •   Danger of introducing residues in farming practices that may harm the organic nature of game
  •    Innovative technology could create more cost-effective slaughtering and processing systems such
                                                                                                             meat products
       as mobile abattoirs or rural throughput abattoirs
                                                                                                         •   Smaller processing units are more difficult to manage from a food safety perspective as many
  •    Industry driven control and auditing systems would allow more effective assurance of a quality
                                                                                                             ‘garage’ meat processors surfaced
       product
                                                                                                         •   Danger of ranchers transgressing animal disease controls
  •    Ideal opportunity to introduce commodity based trade for harvesting of game in FMD infected
                                                                                                         •   Pandemics linked to food safety concerns
       areas
                                                                                                         •   Butcheries accepting ‘grey’ meat and then process and sell into retail market (need to police
  •    Skills development specifically in basic meat hygiene as well as in meat processing
                                                                                                             butcheries)
       could offer educational, entrepreneurial and career opportunities. An example is to add
       meat safety inspections to a PH’s curriculum
  •    Job creation
  •
  •
       Create enabling environment (specifically in relation to legislation)
       Develop minimum standards from ranching, to harvesting to market
                                                                                                                                                                               Threats
SWOT ANALYSIS:
COMMERCIALISATION

     •     Nutritional and health attributes of game meat                                                  •   Segmented industry with limited to no integration (every company and exporter for him/herself)
     •     Game meat is generally free from hormones and antibiotics (is thus organic)                     •   Lack of adequately established export markets (underdeveloped international markets)
     •     Industry creates jobs                                                                           •   Impact of FMD status on exports
     •     Forex earner for export game meat products                                                      •   Lack of knowledge / perceptions amongst consumers and non-game meat consumers
     •     Contributor to GDP (throughout the value chain)                                                 •   Poor marketing strategies, promotion and awareness campaigns
     •     Vast variety of game species offer various product related options                              •   Industry is vulnerable against EU regulations
     •     Selling and marketing of each part of the animal so that the whole animal is consumed and not   •   High cost of establishing a brand and international markets
           wasted (throughout the value chain)                                                             •   The availability of technology in the wildlife industry is limited e.g. poor traceability
     •     Demand for game meat products globally and within the local market                              •   Lack of consistent supply
                                                                                                           •   Terminology used in the market
                                                                                                           •   Lack of standards and rules of the game

          Strengths                                                                                                                                                      Weaknesses

           Opportunities                                                                                                                                                               Threats
 •       Innovative product development opportunities to ensure sustainability such as
         processed / tinned game meat products / ready made meals                                          •   EU bans due to FMD
 •       Industry wide meat grading system to conform to export related regulatory requirements            •   Pandemics linked to food safety concerns (Covid-19 and consequent lockdowns)
 •       Integrated branding and marketing efforts for game meat products (building a SA brand for game    •   Competition from neighbouring countries
         meat products)                                                                                    •   Misconceptions about game meat (bushmeat versus game meat)
 •       Growing demand for game meat products globally (as a healthy protein alternative)                 •   Other products – the growth in consumption of pork, chicken and vegetables
 •       Narrow link to tourism (which could create demand for game meat as a delicatessen)                •   Closure of international markets due to non-compliance of import regulations (imposed by
 •       Traceability to producer / conformance to foreign trade regulations will enhance brand                importing countries)
 •       Untapped domestic market                                                                          •   Anti-hunting groups
 •       Collaborate with government, communities, NGO’s and industries to create a sustainable game       •   Poor or restrictive regulatory framework
         meat management solution and focus – backed by empirical research
 •       Health conscious society makes game meat an ideal alternative for beef, lamb, pork, chicken
 •       Price differentiation of game meat vs other meat products
RISKS

•   Public perceptions linked to
    communications such as
    ethical hunting processes,       •   Shifts in weather patterns such
    animal welfare, breeding camp        as droughts / water scarcity
    sizes, canned hunting, trophy    •   Biodiversity loss
    hunting etc.                     •   Shifts in specie distribution may
•   Perceptions based on sensory         occur due to migration which
    characteristics of game meat         will in turn affect specie
•   Lack of accurate and adequate        abundance
    data and information             •   Spread of diseases
•   Lack of conforming to industry
    standards

•   Concerns about food safety,      •   Endemic in SA specifically
    animal and plant health              within the red line
    regulations                      •   Free movement of game (and
•   Disease outbreaks which could        livestock) where there is no
    lead to further export               game-proof fence to enclose
    embargoes                            and isolate infected animals is
•   Non conformance of VPNs              a risk for further disease spread
CHALLENGES
LOW HANGING
‘FRUIT’

  Game        Develop         Add a           Audit     SARS to    Need for    Promotion    Educate &         Host          Devise
   Meat          Rural         Meat        Butcheries    refine    National         of        Involve       cooking         market
Association   Through-        Safety      to decrease   their HS    Game        ‘hunting’      local     competitions,   penetration
   or a           put       Module to     the amount     code       Meat           as a    communities       shows,      strategy for
  Game        Abattoirs     training of     of ‘grey’   data to    Census     conservation    and the       in-store       PDI and
   Meat       linked to    Professional       meat      species                  interest    benefits      tastings to      women
 Business       direct        Hunters      processed      level                               derived        market         hunters
 Chamber      supply to                                                                         from        and sell
               retailers                                                                     hunting /    game meat
                                                                                            harvesting      products
WILDLIFE ECONOMY
CERTIFICATION SCHEME
ENABLING REGULATIONS /
GOVERNANCE
NEED FOR AN ENABLING
REGULATORY FRAMEWORK

• Lack of promulgated regulations governing the supply, hunting/harvesting and sale of game meat as the
  Meat Safety Act seems to focus more on livestock farming and is not custom made to serve the unique
  game harvesting and hunting processes
• Game Meat Industry is fragmented and divided into two systems: on the one hand, the strict regulatory
  system for game meat intended for export purposes (mostly to conform to EU standards) to ensure the
  safety and quality of meat and on the other, an uncontrolled system applicable to game meat servicing
  the local market
• Bureaucratic processes is a challenge due to lack of integration and efficiency: for example: 9+1 /
  permitting requirements for harvesting / hunting are costly and time consuming
• Absence of meat inspectors during hunting / harvesting or processing of meat is a cause of concern
• Traceability of meat back to the ranch – too much ‘grey’ meat in the retail market
• Unsupportive legislative regime creates inconsistencies and non-compliance in the Industry with regard
  to standards

THUS
• There is a need to create an enabling legislative framework that supports the game meat industry as
  opposed to a legislative framework that inhibits growth
• Meat safety should be everyone’s concern
NEED FOR INTEGRATED
GOVERNANCE STRUCTURES

• Governance in the Industry is complex
• In the game meat value chain there are three Government Departments (with their Provincial
  Departments) that govern the industry:
    • DFFE
    • DALRRD
    • DoH
  without much integration or coordination

• ±28 industry associations or organisations exercising their own agenda or mandate. There is a need to
  establish closer collaboration between these associations instead of working against each other

THUS

• Structures and processes should be devised to ensure good governance to create stability,
  accountability, transparency, inclusiveness, empowerment and broad-based participation on Government
  level and between industry representative associations
SUPPLY &
DEMAND
SUPPLY AND
DEMAND
•   Supply and Demand … the ‘size of the pie’ unknown in the SA market
•   Contribution to Food Security, the Fiscus and Job Creation
•   Economic and Trade Analysis
     • The HS6 Codes do not detail the specific game meat exported/imported (all fresh game meat exists over only four HS6 codes; all
        processed game meat exists in only one HS6 code)
     • The lack of data per specie and game meat classification makes analysis between countries difficult
            o Comparisons are distorted by different types of game meat
            o Difficult to determine price shifts as well as potentially guiding prioritisation of certain game meat products
            o Challenge when considering regional competition as well as international competition
            o To identify potential markets (both established and potential new markets) more difficult as trends around specific game meat
               imports cannot be observed through trade data
     •    The lack of economic data around game meat and the wildlife economy
            o Where such information exists, it is very limited (e.g. StatsSA Census of Commercial Agriculture)
            o GDP information for game meat is lacking, and in cases a number of years outdated (this extends to the larger wildlife economy)
               which creates challenges when analysing the economic impact of game meat
            o However, there is impetus to update this in the Tourism satellite account of StatsSA
     •    International data on game meat largely focuses on HS ‘020890
            o Provides a perspective on fresh game meat, but excludes other types of fresh game meat as well as processed game meat
            o This is pertinent for SA as it is a larger exporter of processed game meat
     •    SARS tariff-level data (HS8) does not distinguish between different game meat and species
            o Largely tied to the international HS classification (HS6)
            o SARS does provide a distinction for ostrich
            o There could be a drive for a further extension of classification at the tariff line
COMMUNICATIONS,
MARKETING & BRANDING
COMMUNICATIONS,
MARKETING AND BRANDING

• Perceptions / ‘stigmas’ about game meat:
   • Being referred to as ‘other meat’ or ‘exotic’ meat
   • Lack of implementing meat safety protocols by some ranchers
   • Linked to stigmas related to canned hunting practices or some association to bushmeat
• Consumer perceptions that game meat is inferior to chicken, mutton, pork or beef ─ despite the health
  benefits of game meat
• Misconceptions exist about taste and quality of game meat
• The lack of awareness / educational process of how to prepare game meat
• Protest groups want to reduce consumption of red meat as it is perceived as animal cruelty, non ethical
  and non-considerate of animal welfare
• Lack of awareness that hunting and harvesting of game not only generates revenue, but promotes
  conservation and sustainable land use management practices with lower carbon emissions than
  conventional livestock farming
• Not all meat can be traced back to a ranch
• Packaging states venison (thus no direct link to a specie)
• FMD status of SA
• No single brand for SA game meat
RISKS
RISKS

Apart from reputational risks, climate change, SPS and FMD the following should also be considered:

•   No centralised governance association for game meat
     • Potentially calls for a Game Meat Business Chamber or Game Meat Association (similar to the Red
        Meat Association)
     • Would also allow for easier collation and availability of statistics to ease decision making
•   Lack of economic statistics, other data and relevant information about the size and scale of the game
    meat industry increases difficulty to undertake risk assessments (it is difficult to risk plan when the game
    meat industry is fragmented with limited (to no) information available in one single depository)
•   Competition against other red meats and poultry on offer in SA
•   Consistent supply
•   Regulatory framework inhibits growth (inclusive of Labour related regulations)
•   Permits
•   Not all ranchers conform to guidelines and regulations
•   Butcheries procure carcasses without traceability or requisite permits and the meat then infiltrates the
    retail market
•   Market perceptions based on terminology used
•   Corruption
TRANSFORMING
THE INDUSTRY
TRANSFORMING
THE INDUSTRY
• Industry not representative of the demographics of our country
• There are many positive examples / success stories related to transformation however just as many
  unsuccessful transformational examples where new entrant ranchers are exploited by ‘mentors’
• Lack of women empowerment and upskilling
• CPA model – does the business model really work and to the benefit of all community members or only a
  select few?
• Land that is redistributed is leased back to the community by Government which means the community cannot
  use the land as collateral to e.g. obtain a loan from bank which leads to communities have to rely solely on the
  government for funding
• Lack of technical skills transfer program that will ensure that the land receiver are equipped to manage
  operations on the farm and ensure that it remains profitable and sustainable
• Transition to a low-carbon economy
• Lack of access to markets

BUT transformation is more than just demographic representation! Transformation today revolves around
the need to generate new value, to unlock new opportunities, to drive new growth and to deliver new
efficiencies which will require CHANGE throughout the value chain!
SHARED
VISION
TOWARDS A
SHARED VISION

• The vision is the attractive and desirable picture of the
  future
• Describes the ‘face / look’ of the industry and what it
  could look like
• Puts down specific “visionary” objectives
• Drives strategy

                                            • The value of a vision is that it:
                                                • challenges the comfortable or inadequate status quo
                                                • enhances collaboration in an industry through a common vision
                                                • guides planning and implementation of all initiatives
                                                • provides focus and aligns individuals
                                                • promotes belonging and the sharing of values and actions
                                                • overcomes some cultural ‘blocks’ to change
                                                • can be shared and developed through wide consultation.
TOWARDS A
SHARED VISION

Some examples of vision statements

•   Alzheimer’s Association:        A world without Alzheimer's disease.
•   Microsoft (at its founding):    A computer on every desk and in every home.
•   Habitat for Humanity:           A world where everyone has a decent place to live.
•   Human Rights Campaign:          Equality for everyone.

But closer to context:

The North American Meat Institute’s vision statement:

       Sustainably nourishing local and global communities with wholesome meat and poultry.

Wildlife Producers Association (WPA) Vision:

               A leading, dynamic, united, prosperous and people centered wildlife sector.
TOWARDS A
SHARED VISION

  What would you like to see in SA’s Game Meat Industry’s Vision Statement?

  How will the game meat
  industry strategy and
  implementation plan
  contribute towards the
  Wildlife Economy Lab
  aspiration and objectives
  1. Economic growth
  2. Transformation
  3. Sustainability
WAY
FORWARD
THE WAY
FORWARD

• Further Stakeholder Engagement until end of May 2021

• The team to devise a draft strategy with the outputs of this workshop

• Draft Strategy to be developed and submitted to the DFFE by 30 June 2021

• Workshop 2 is scheduled for 20 July 2021 to share the findings of the strategy and to procure buy-in
  before finalisation of the strategy and implementation plan
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