D-day for input on proposed citrus levy

With the current citrus levy due to expire at the end of December this year, the Citrus Growers’ Association (CGA) is now asking growers across South Africa to approve a new citrus levy for the years 2013 to 2016. Levies raised under the Marketing of Agricultural Products (MAP) Act are normally gazetted for a four-year period, Robert Miller of the CGA told FTW. “The present levy administered by CGA was for the period 2008 to 2012 – ending on December 31, 2012,” he added. “Growers were informed of the planned new levy by way of a circular sent to them all in December last year, while the subject was covered extensively at grower road shows during February this year. “The CGA board then considered feedback at the meeting held in March – culminating in the proposal that is now being sent to growers.” Like all businesses in SA, the CGA has been hit with rising costs over the past four years, according to Miller, and it feels that an increased levy is vital if the CGA intends to keep offering the same level of services to growers that it has been providing. Amongst the services the CGA supplies to growers are research, foreign and local market access information, consumer assurance, information to growers, transformation, transport and logistics. Approval for the new levy is currently being sought with a referendum sent to all growers. “Should sufficient support be obtained through the referendum,” said Miller, “CGA will make an application through the National Agricultural Marketing Council (NAMC) to the minister of the Department of Agriculture, Forestry and Fisheries (Daff). “This has to be finalised as soon as possible, because it takes anything up to 7-8 months for ministerial approval.” The proposal is that the present levy of 41 cents per 15-kilogram carton is increased to 47 cents in 2013; 50 cents in 2014; 53 cents in 2015 and 56 cents in 2016. “Swaziland and Zimbabwe growers fund their services from the CGA through a voluntary levy,” Miller told FTW. “Once the outcome of the levy referendum in South Africa is known, CGA will discuss the future level of these voluntary levies.”