Lizette Mellet

Nelson Mandela stated at his inauguration: “Let there be work, bread, water and salt for all”.

The Marketing Act of Agricultural Products, Act 47 of 1996 (MAP Act), brought an end to single channel marketing and the control boards in the agricultural sector. Role-players, however, realised the importance of reliable information for the functioning of a free market. Subsequently, the oilseeds, winter cereals, sorghum and maize sectors co-operated to establish the SA Grains Information Service (SAGIS), in November 1997.

The main goal of SAGIS is the gathering, processing, analysing and timeous distribution of reliable agronomic information to all role-players. This is made possible by applying to the NAMC and approval by the Minister for certain statutory measures, namely registration, records and returns, in terms of the MAP Act. For the past 25 years, numerous applications from SAGIS for the establishment, continuation and amendments of these statutory measures were received and processed by the NAMC and ministerial approval was obtained. Market participants (co-workers), e.g., storers, processors, importers and exporters of grains and oilseeds, are statutory compelled under the MAP Act, to register with SAGIS and to submit information.

One of the statutory measures to take note of is the following:
– The registration and the keeping of information and submitting monthly returns in respect of maize products and wheaten products manufactured, processed, imported and/or exported (as published in Government Gazette Regulation No. 885 and No. 884 of 14 November 2014, as amended by Regulations No. 886 of 24 August 2018 and No. 1005 of 18 September 2020).

The above statutory measure enables the market to have information on, among others, the number of pan baked bread produced in South Africa. The baking industry produced 2.192 billion loaves of bread in the period October 2023 to September 2024. White bread comprised 54.3% and brown and whole wheat bread 45.63% of total production, with other speciality bread making up the balance. Per capita consumption in South Africa was 35 units of bread in 2023/24, while it has been 40 units in previous years. Bread plays a very important role in the nation’s diet. Although the average consumption is 3 slices (100g) of bread per day, bread is our second most important staple foodstuff after maize meal.

As can be seen in the following graph, bread production shows a declining trend since 2021/22.

As of November 2023, the Consumer Price Index (CPI) in South Africa, an economic indicator providing information on the change of prices over time, was measured at 129.9 points regarding bread and cereals. This is an increase of 0.7 points from the previous year.

Whether producing a multitude of baked product lines in a retail bakery or bread in a plant bakery, it is not an easy task to uphold hygiene and food safety. It is a continuous process that requires know-how, awareness, dedication and perseverance, and it is a process that involves decision makers as well as those who carry out orders. The baking industry also have to comply with a string of Acts and Regulations.

South Africa faced several challenges, adding further cost pressure to food manufacturers and role players in the supply chain, amongst others:

• Infrastructure decay: rail, port, and water supply interruptions have placed a considerable burden on food manufacturers and suppliers within the wheaten chain to manage;
• Loadshedding: despite signs of optimism, it remains a major stumbling block for investor confidence and economic growth;
• Political instability has negatively impacted sentiment and compounded an already fragile R/$ currency leading to higher import cost;
• High interest rates continue to impact disposable household income and the buying ability of a declining middle class; and
• The impact of crime on the local economy.

The attacks on delivery trucks throughout the country have been on the rise for some time and become all too common. During the past year, some people died in these attacks, and a solution should be found to ensure the safety of innocent workers who earn an honest living.

Let’s enjoy our bread during the festive season and think of those who worked hard and those who risked their lives to bring our daily bread to our tables.