//operations
report
the _Perishable Products Export Control Board
The Operations department remained committed to ensuring the sustainability and longevity of the PPECB by upholding the highest standards of ethics and corporate governance practices. It executed the PPECB’s statutory mandates through its inspection, cold chain management, food safety certification and Laboratory services, as directed by the Perishable Products Export Control Act (Act No. 9 of 1983) (PPEC Act) and the Agricultural Product Standards Act (Act No. 119 of 1990) (APS Act). To increase the PPECB’s value proposition to clients, certain commercial functions continued to be carried out.
Highlights _for the /Year Under Review:
- Cold Chain Export Notification on TITAN 2.0® went live and was mandatory from 1 February 2023, together with the electronic working programme;
- Container inspection training was conducted nationally with container depots;
- A Research and Development (R&D) Memorandum of Understanding (MOU) was concluded with the international Cool Chain Association (CCA);
- A R&D MOU was concluded with temperature monitoring organisations based in the United States of America (USA) and Switzerland;
- The USA summer citrus programme had its highest volumes of USA vessels, which totalled 17;
- The resources required for Operations System Support within cold chain were employed;
- The recruitment and deployment of resources in the R&D department and approval of its operational strategy was completed;
- The launch of the PPECB Innovation Forum;
- An Organisation for Economic Co-operation and Development (OECD) funded climate change research project was successfully concluded;
- Grain inspections through East London were facilitated and resourced at short notice;
- Increased inspection volumes on TITAN 2.0® (table grapes 98%, citrus 95%, stone fruit 91%);
- Inspecting 315.7 million cartons of main perishable products, (89.3%) during the year under review, via the TITAN 2.0® platform;
- Grain operations through the Port of Durban were conducted uninterrupted on a 24/7 hour basis for 12 months;
- Container shipments through Maputo;
- Assisted the Department of Agriculture, Land Reform and Rural Development (DALRRD) to release containers detained in Europe;
- Through interventions at United Nations Economic Commission for Europe (UNECE) and European Community level, table grapes with bunch weights below 75g can now be exported provided they are correctly marked;
- Successfully delivering on the PPECB’s responsibilities for South Africa’s false codling moth (FCM) risk management mandate (fifth year) and citrus black spot (CBS) Risk Management System (RMS) (more than 10 years);
- Achieved a 100% rating on organisational performance indicators relating to operations;
- Improved internal audit results with no critical or significant audit findings;
- Credit notes were reduced from 1 359 to 840 (reduction of 38%);
- Queries decreased from 1 858 to 1 360 (reduction of 27%);
- Issuance of electronic export certificates increased by 50%; and
- A total of 49 temporary positions were converted to permanent positions.
Operations’ Top-line_ Financial Results
The Operations Department realised a surplus of R172.4 million at the end of the fiscal year under review.
The total income realised was R558.8 million against the prior year’s income of R531.4 million, a 5% growth. This was due to higher volumes for exports of citrus (+6%), pome (+15%), maize and grain (+47%), and other fruit (+122%). In the ‘other products’ category, the total weight (in kilograms) exported consisted of red tea (+11%) and vegetables (+14%). Total expenditure amounted to R386.4 million against the prior year’s expenditure of R340.1 million, a 14% increase. Expenditure was well managed with activity costs of R42.5 million reported, a 14% increase on the prior year.
The PPECB Laboratory faced headwinds and ended the year with a shortfall of R8.1 million, mainly due to the underrealisation of income related to the mycotoxin analytical programme. Plans are underway to strengthen the Laboratory’s financial situation.
A Committed Team Delivering Effectively – Workforce Planning >
The final 2022/2023 deciduous relief duty plan was circulated, with the total placings on the plan being 300 employees. This included 40 cold chain employees, and four temporary contract workers at Cape Town International Airport, Robertson/Hex and Paarl due to the complexity of the different product ranges. The capacity-building initiative resulted in 25 (development) employees experiencing their first season on table grape inspections and three employees being trained on pome fruit.
The final 2023 Citrus Relief Duty Plan was circulated, with the total placings on the plan being 375 employees, including 156 unemployed graduates (150 citrus), 16 retirees (three pome) and 15 Acting Chief Inspectors.
There was a further impact on manpower planning with the introduction of the 1% European Union (EU) citrus fruit line inspections, and additional employees were appointed to assist with this function.
The Acting Chief Inspector and Lead Assessor initiative, with the dual purpose of improving operational oversight and developing supervisory capacity, was successfully implemented for the fourth year. Nineteen Acting Chief Inspectors and Lead Assessors were appointed for the 2022/2023 cycle. This initiative contributed significantly to the capacity-building process for potential permanent supervisory roles and also supports succession planning.
PPECB employees in inspection services spent a total of 21 987 days on relief duty and travelled approximately 5.18 million km (decrease of 0.7%) to ensure that service delivery was done timeously and in accordance with stakeholders’ needs. The decrease in activity drivers is largely due to improved efficiencies.
The Agri Export Technologist Programme (AETP) has proven highly beneficial to the PPECB as a feeder programme for new appointees. The programme is aimed at developing a pool of competent inspectors for entry into the agricultural sector. These candidates need to be evaluated as competent for entry-level positions in product inspections. During the 2022/2023 financial year, 52 AETP participants were trained within operations. The PPECB is also utilising this pool of competent inspectors for temporary appointments to ensure service excellence and to meet client expectations.
During the reporting period, some temporary employee positions were converted to permanenency to further enhance capacity and also ensure the sustainability of service delivery to clients. A total of 49 temporary employees benefited, including 28 cold chain assessors, 20 inspectors and one laboratory technician.
_Certification
The lingering effects of COVID-19 were still being felt during the reporting period, particularly with exports to certain destinations like China that was very much under hard lockdown for most of the year.
Extreme weather conditions, in particular the heavy floods in KwaZulu-Natal during April 2022, had a tremendous impact on infrastructure and services, which forced the Durban office to temporarily close, resulting in the Cape Town International Airport office assisting with the issuing of export certificates as they did during the unrest the previous year. As a result a total of 75 301 export certificates were signed at the Cape Town International Airport office compared to 64 961 the previous year, a 13.7% increase.
The PPECB employees again managed to service our clients to the best of their ability, and this was again evident in the excellent results achieved during the recent customer satisfaction survey.
During the 2022/2023 financial year, the certification desks processed 186 468 export certificates nationally, an increase of +2.7% compared to the previous fiscal year. These certificates represent more than 348 million cartons (-3% on the previous year) and 373 million kilograms (-3.7% decrease from the previous year) of vegetables, flowers, canned products, dried fruit, red tea and other products. A total of 9 637 certificates (-7.2% decrease on the previous year) were identified with mistakes and had to be re-issued, and 7 212 (+5.8%) were cancelled for various reasons. In total, 9.04% of all certificates were cancelled and identified with mistakes.
Export Certification April 2022 – March 2023
| REGION | Total Export Certificates Signed | Total Export Certificates Incorrect | Total Export Certificates Cancelled |
|---|---|---|---|
| Cape Town International Airport | 75 301 | 6 462 | 2 615 |
| Ceres | 5 377 | 0 | 248 |
| Citrusdal | 2 636 | 171 | 75 |
| Durban | 29 721 | 1 018 | 594 |
| Gauteng | 23 448 | 547 | 316 |
| Grabouw | 9 049 | 33 | 457 |
| Nelspruit | 2 173 | 55 | 88 |
| Paarl | 14 565 | 87 | 467 |
| Gqeberha | 21 258 | 952 | 2 345 |
| Robertson | 2 775 | 289 | 5 |
| Tzaneen | 165 | 23 | 2 |
| TOTAL | 186 468 | 9 637 | 7 212 |
| Percentage | 5.17% | 3.87% |
Business Optimisation – Providing Support and Increasing Efficiency//
To reduce the risk of an increase in credit notes and to improve audit outcomes, internal controls were assessed and strengthened in collaboration with the PPECB employees within the regions. As a result, the majority of audits only produced minor findings and observations.
Navision (NAV) 5 system queries for March 2023 year-to-date (YTD) decreased from 1 226 to 977, and TITAN 2.0® queries decreased from 632 to 383 compared to March 2022 of the previous year (PY). Total queries for March 2023 YTD decreased from 1 858 to 1 360 (27%) compared to the same period the prior year. Total credit notes for March 2023 YTD decreased from 1 359 to 840 (38%). Approximately 22% of the credit notes are for incorrect billing parties, and this is in line with the previous reporting date, end of February 2023.
| Query summary | YTD 2022/2023 | PY 2021/2022 | Variance % |
|---|---|---|---|
| South Regions | 258 | 484 | -47% |
| North Regions | 323 | 482 | -33% |
| Coastal Regions | 764 | 871 | -18% |
| Other Services | 5 | 12 | -58% |
| Food Safety | 10 | 9 | +11% |
| Total | 1 360 | 1 858 | -27% |
| Credit notes summary | YTD 2022/2023 | PY 2021/2022 | Variance % |
|---|---|---|---|
| NAV5 | 563 | 661 | -15% |
| TITAN 2.0® | 277 | 698 | -60% |
| Total | 840 | 1 359 | -38% |
The Annual Performance Plan (APP) for the organisation was submitted to the DALRRD. This report included the revised organisational performance indicators per department, which will be implemented during the 2023/2024 financial year. The DALRRD Quarterly Performance Review Meeting was held on 5 and 6 December 2022, and the main purpose for this was to review the APP for the 2023/2024 financial year and to draft the requested changes.
The organisational performance reports for the 2022/2023 period were submitted quarterly to the DALRRD. All of the 14 performance targets for the organisation were achieved (100%).
>Inspection Services – The PPECB’s Core Competence
The Operations Regions achieved a 78% (2% decrease on last year) ratio of product-related hours, and 22% non-billable hours were attributed to, among other things, leave (10%), training (6.8%), meetings (0.8%) and administration (2%). Productivity (time allocated for legitimate reasons) of 99% was maintained, with the balance of unproductive time (1%) being the result of diminished activity in regions between the seasons (particularly during the month of October).
National Volumes of All Products 1 April 2022 – March 2023
| Volumes inspected | Actual | Budget | Variance | Percentage |
|---|---|---|---|---|
| Canning (kilograms) | 97 566 535 | 95 000 000 | 2 566 535 | 103% |
| Citrus (cartons)* | 175 229 215 | 165 534 486 | 9 694 729 | 106% |
| Dried fruit (kilograms) | 61 395 622 | 68 365 546 | 6 969 924 | 90% |
| Flowers (kilograms) | 8 623 563 | 4 455 100 | 4 168 463 | 194% |
| Table grapes (cartons) | 59 469 339 | 71 764 929 | 12 295 590 | 83% |
| Ground nuts (tonnes) | 10 375 | 12 914 | 2 539 | 80% |
| Tree nuts - pecan and macadamia (tonnes) | 55 456 | 43 715 | 13 009 | 127% |
| Maize and grain (tonnes) | 3 432 055 | 2 335 900 | 1 096 155 | 147% |
| Other fruit (cartons) | 14 470 829 | 6 511 180 | 7 959 649 | 222% |
| Deciduous - pome fruit (cartons) | 63 998 129 | 55 526 168 | 8 471 961 | 115% |
| Deciduous - stone fruit (cartons) | 21 319 462 | 23 499 345 | 2 179 883 | 91% |
| Red tea (kilograms) | 13 750 984 | 12 357 085 | 1 393 899 | 111% |
| Subtropical - avocados (cartons) | 16 136 192 | 19 261 880 | 3 102 122 | 84% |
| Subtropical - litchis (cartons) | 1 685 654 | 2 300 000 | 614 346 | 73% |
| Subtropical - mangoes (cartons) | 1 387 985 | 1 450 000 | 62 015 | 96% |
| Vegetables (kilograms) | 141 431 438 | 24 532 160 | 16 899 278 | 114% |
National Summary
BELOW normal exports were recorded against budgeted volumes:
Dried fruit -10%
Table grapes -17%
Ground nuts -20%
Stone fruit -9%
Avocados -16%
Mango -4%
Litchis -27%
ABOVE normal exports were recorded against budgeted volumes:
Citrus fruit +6%
Pome +15%
Maize and grain +47%
Other fruit +122%
In the ‘other products’ category, the total weight (in kilograms) exported consisted of red tea (+11%) and vegetables (+14%).
Deciduous Fruit Export Season
Primary export
destination
European Union (EU)
Table Grape Sector
The table grape season in the Lower Orange River (LOR) region ended at 19% below volume expectation. The main factor affecting the region was the heat wave during late October and early November. Numerous cultivars were damaged to the extent that they could not be packed. Intermittent rain throughout the season resulted in burst berries which further impacted volumes.
It was also noted that bunch weight was lower by 1.5 grams per berry per bunch this season compared to previous seasons, which also negatively impacted on volumes. The Hex River Valley experienced especially high export volumes during January and February 2023 despite the heavy rains during December 2022. The rain gave later cultivars a good boost, and volumes increased towards the latter part of January. The increased volumes of new early cultivars had a positive impact, with higher volumes experienced in the early part of the season. Similar conditions were experienced from the beginning to mid-February, with record export cartons inspected for those two weeks.
The positive trend was, however, hampered by heavy rains during March, which detrimentally affected volumes resulting in an overall loss of export volumes for the season. Packing was delayed for more than one week during March, resulting in some exporters deciding to stop exports to mitigate the risk of claims due to decay. The season concluded much earlier than anticipated, with a shortfall of 2.5 million cartons less than anticipated.
In the Paarl and Saron table grape areas, the season started one week earlier than last season. Due to the inclement weather conditions experienced during December 2022, the January 2023 volumes were slightly lower due to a better local market for producers when internal quality does not comply with export standards. The season showed a very low packing of white cultivars. The late varieties and the high export volumes expected for March 2023 did not materialise due to the indifferent weather conditions and rain experienced during peak season. A disappointing anti-climax to the grape season was experienced, with actual export volumes also being below expectation.
The Northern regions were 31% below the budgeted export volumes due to excessive rain experienced during peak time – on average, 82mm per day for consecutive days. The season ended earlier because the producers did not want to compromise the quality. Traditionally the season ends in week seven, however this season, it ended around week four, with small volumes packed in week five.
Export destinations were primarily the EU (58%), United Kingdom (UK) (21%), and Asia (7%).
Table Grape Inspections 2022/2023
Table Grape Export Destinations 2022/2023
Pome Fruit Sector
Grabouw, Paarl, and Ceres regions experienced extremely good pome fruit volumes, with prolonged peaks to the season. A considerable amount of produce was exported to the UK, Asia, Russia, China and Taiwan.
In Grabouw, the new pome season started approximately one to two weeks later than anticipated during January 2023. Export packing for the early Golden Delicious apple cultivar started in the last week of January 2023.
Storage challenges were experienced at numerous packhouses and cold stores due to ongoing logistical issues, loadshedding, and wind delays in the Cape Town port. These problems subsided towards the second week in March when the movement of produce out of the cold stores increased. Export volumes have subsequently increased.
Quality concerns noted were mostly on the Gala apple family, with a general issue on low pressures. Pears did not present any major issues, except low pressures on summer pears.
Re-inspections were common practice as clients re-routed consignments to different export markets. The dispensation on fruit age assisted the industry in exporting fruit which was in storage for a lengthy period. Despite the dispensation, some clients still preferred their fruit to be re-inspected as per the normal re-inspection guidelines.
The inclement weather conditions and hail damage experienced during November/December 2022 in the Ceres area have had an unfavourable impact on the anticipated export volumes for the new pome season. Export volumes remained stable during February and March 2023 but not as high as the past two seasons.
Pome Fruit Sector
The volumes in Langkloof during the 2022/2023 financial year saw a total of 6 979 737 cartons being inspected by the PPECB. This volume exceeds the previous year by 1 616 519 cartons. The Langkloof area did not experience any hail during the 2022/2023 season, which aided in the increased volumes.
Cartons inspected
Pome Inspections 2022/2023
Pome Export Destinations 2022/2023
Apples Export Destinations 2022/2023
Pears Export Destinations 2022/2023
Total cartons inspected
-9%
budget
Stone Fruit Sector
The Robertson area stone fruit season peaked during February 2023, with high volumes of late plum cultivars. Although quality was generally good, there was a significant increase in phytosanitary rejections for fruit fly and FCM. The rain experienced during December 2022 and January 2023, together with warm weather, is proving to be very favourable conditions for pests to thrive. All interceptions were reported accordingly. The heavy rainfall experienced also negatively affected the internal quality in terms of ripeness.
The stone fruit season in the Paarl and Ceres region started on time, but lower start-up volumes were experienced in Paarl. During week 50, a thunderstorm with heavy rain and strong winds hit the Paarl area. The actual stone fruit volumes inspected during February and March 2023 were well below budget, and the impact of the thunderstorm became apparent.
March 2023 was especially slow due to low plum exports. Climatic conditions played a big role, and the lower volumes were mainly due to storms in the region, with hail damage and strong winds. Smaller sizes on some of the plum varieties also played a role in the drop in volumes. A late peak during March with Angeleno’s and African Delight was expected but did not materialise.
Stone Fruit Inspections 2022/2023
Stone Fruit Export Destinations 2022/2023
Citrus Fruit Inspections
shipped {to}
Europe
The total citrus volumes inspected were 170 183 075 cartons for the 2022/2023 fiscal year excluding re-inspections. The increases in inspected citrus volumes was predominantly in soft citrus (increased by 5%) and lemons (increased by 5%). Grapefruit exports reduced by 18%.
Europe continued to be the main export market of citrus fruit, absorbing 33% of the total South African citrus fruit export volumes. This is a 2% drop in volumes exported to Europe as compared to the previous fruit season. In comparison to the previous season, there was a reduction in CBS and FCM interceptions in Europe on South African citrus fruit. During the 2022/2023 fruit season, 29 CBS and three FCM interceptions were recorded, in comparison to 43 CBS and 16 FCM interceptions during the 2021/2022 season.
Citrus Fruit Inspections (cartons)
| Products | 2019/2020 | 2020/2021 | 2021/2022 | 2022/2023 | 2021/2022 vs 2022/2023 |
|---|---|---|---|---|---|
| Grapefruit | 14 941 290 | 14 277 114 | 17 599 354 | 14 310 488 | 81% |
| Kumquats | 101 716 | 163 227 | 217 094 | 210 408 | 97% |
| Lemons | 24 988 614 | 28 273 218 | 30 948 132 | 35 309 267 | 114% |
| Limes | 43 977 | 36 725 | 23 427 | 57 688 | 246% |
| Oranges | 69 095 752 | 75 138 538 | 77 683 924 | 77 478 808 | 99.7% |
| Pummelos (pomelos/shaddocks) | 84 717 | 80 745 | 102 836 | 130 018 | 126% |
| Soft citrus | 23 853 585 | 30 006 969 | 40 799 386 | 42 686 398 | 105% |
| Grand Total | 133 109 651 | 147 976 537 | 167 374 153 | 170 183 075* | 102% |
Citrus Type Market Share 2022/2023
Citrus Fruit Destination Distribution (pallets)
| Destination Trade Region | 2019/2020 | 2020/2021 | 2021/2022 | 2022/2023 | 2021/2022 vs 2022/2023 |
|---|---|---|---|---|---|
| European Union | 570 741 | 697 931 | 722 153 | 688 558 | 95% |
| Asia | 353 610 | 122 109 | 141 798 | 135 077 | 95% |
| Middle East | 314 733 | 319 474 | 393 717 | 377 768 | 96% |
| United Kingdom | 154 838 | 175 261 | 170 129 | 175 913 | 103% |
| Russian Federation | 128 329 | 144 088 | 155 913 | 179 992 | 115% |
| North-America | 101 852 | 151 972 | 175 133 | 196 867 | 112% |
| Africa | 12 226 | 14 830 | 22 752 | 20 237 | 89% |
| Indian Ocean Islands | 11 581 | 10 502 | 13 477 | 13 448 | 99.8% |
| Southeast Asia | 4 531 | 245 292 | 286 387 | 307 552 | 107% |
| Europe Other | 239 | 17 901 | 19 513 | 8 750 | 45% |
| Oceania | 80 | 80 | 20 | - | - |
| South-America | 20 | 980 | 4580 | 1960 | 43% |
| TOTAL | 1 652 779 | 1 900 420 | 2 105 572 | 2 106 121 | 100% |
Citrus Fruit Markets 2022/2023
EU Citrus Inspection Mandate
The 2022 citrus season marked more than 10 years that the PPECB implemented the CBS RMS. It is also the fifth year that the PPECB implemented the FCM Risk Management System (FCM RMS) on behalf of the DALRRD.
The role of the PPECB was to conduct inspections on fruit dipped in ethephon (as part of the CBS RMS) and perform inspections, and fruit loading as per appropriate temperature regimes (FCM RMS). The 2022 citrus season was not good for South Africa in terms of CBS and FCM interceptions in Europe. The higher local interceptions clearly resulted in lower international interceptions.
| Year | Interceptions | CBS | Fruit Fly | FCM |
|---|---|---|---|---|
| 2022 | Local International | 167 29 | 268 1 | 653 3 |
| 2021 | Local International | 131 43 | 44 2 | 379 16 |
Subtropical Fruit Inspections
Avocados
Rejections for the season’s crop included visible spray residue, small fruit, under mass, wrong code, blemishes, lenticel damage and collective deviations.
The EU continues to be the largest market for avocados from South Africa (92%), followed by the UK (3.8%) and then Russia (2.4%), as indicated in the table below.
| Target market | Volumes (cartons) | Percentage |
|---|---|---|
| European Union | 14 842 863 | 91.98% |
| United Kingdom | 616 443 | 3.82% |
| Russian Federation | 381 297 | 2.36% |
| Middle East | 175 454 | 1.09% |
| Africa | 81 254 | 0.50% |
| Indian Ocean Islands | 37 093 | 0.23% |
| Southeast Asia | 944 | 0.01% |
| Asia | 844 | 0.01% |
| Total | 16 136 192 | 100% |
Mangoes
| Target market | Volumes (cartons) | Percentage |
|---|---|---|
| Middle East | 1 024 425 | 73.81% |
| Africa | 346 763 | 24.98% |
| European Union | 6 760 | 0.49% |
| Russian Federation | 5 166 | 0.37% |
| Southeast Asia | 4 032 | 0.29% |
| Indian Ocean Islands | 504 | 0.04% |
| Asia | 335 | 0.02% |
| Total | 1 387 985 | 100% |
Litchis
The volumes inspected were 27% lower compared to the budgeted figures. The actual volume inspected was 1.68 million cartons compared to the budget of 2.3 million cartons. Some reasons for the low volumes include excessive heat and rain in the regions and some trees still recovering from the previous year’s hail damage, leading to small fruit in some instances.
The target market for the litchi crop was predominantly the EU, although there was a marked increase in volumes to the US Programme as indicated in the table below. Most rejections were due to size, litchi moth and FCM.
| Target market | Volumes (cartons) | Percentage |
|---|---|---|
| European Union | 1 257 880 | 74.6% |
| North America | 186 175 | 11.0% |
| United Kingdom | 133 077 | 7.9% |
| Middle East | 40 852 | 2.4% |
| Central America | 26 326 | 1.6% |
| Africa | 18 627 | 1.1% |
| Indian Ocean Islands | 11 143 | 0.7% |
| Russian Federation | 10 080 | 0.6% |
| Asia | 1 494 | 0.1% |
| Total | 1 685 654 | 100% |
Grain and Grain Products Inspections (tonnes)
Grain and Grain Product Type (tonnes)
| PRODUCT NAME | 2020/2021 | 2021/2022 | 2022/2023 |
|---|---|---|---|
| Barley | 212 | 105 | 72 |
| Buckwheat | - | 3 | - |
| Dry beans | 11 804 | 3 578 | 6 458 |
| Feed products | 249 874 | 150 609 | 110 083 |
| Grain sorghum | 1 084 | 20 483 | 4 544 |
| Grass seeds | - | - | 68 |
| Kernels | 587 | 336 | 46 108 |
| Leguminous seeds | 16 332 | 15 528 | 27 760 |
| Lucerne | - | 415 500 | 141 938 |
| Maize (mielies) bulk | 1 164 665 | 2 863 407 | 2 802 234 |
| Maize (mielies) non-bulk | 914 783 | 464 661 | 456 193 |
| Maize products (other) | 209 588 | 161 742 | 133 799 |
| Oilcake | - | 544 | - |
| Popcorn | 740 | 64 494 | 82 788 |
| Wheat | 73,603 | 568 524 | 211 229 |
| TOTAL | 2 643 272 | 4 729 512 | 4 023 274 |
Grain and Grain Products Target Markets (tonnes)
| TARGET MARKET NAME | 2020/2021 | 2021/2022 | 2022/2023 |
|---|---|---|---|
| Africa | 1 259 112 | 1 396 837 | 986 990 |
| Asia | 899 684 | 1 632 266 | 919 563 |
| Southeast Asia | 193 004 | 1 137 431 | 1 174 027 |
| European Union | 134 842 | 399 310 | 327 461 |
| Middle East | 150 889 | 158 088 | 90 369 |
| North-America | 683 | 858 | 466 257 |
| Optional | 456 | 85 | 46 108 |
| United Kingdom | 2 677 | 2 307 | 4 509 |
| Indian Ocean Islands | 834 | 1,620 | 7 056 |
| Russian Federation | 325 | 198 | 250 |
| Europe Other | 478 | 130 | 382 |
| Oceania | 137 | 331 | 99 |
| South-America | 152 | 51 | 203 |
| TOTAL | 2 643 272 | 4 729 512 | 4 023 274 |
Tree Nuts
primary export
destination
The groundnut volumes inspected for the 2022/2023 financial year were 20% down compared to budgeted volumes (10 375 tonnes actual vs 12 914 tonnes budgeted). The low volume inspected was predominantly due to the small kernel size of the nuts which are not preferred for exports but are popular locally in making peanut butter. Also, for some markets, such as Japan, there were no contracts for some exporters leading to a small crop exported. About 60% of the crop was exported to the EU, 30% to Asia and the rest to Africa and Southeast Asia.
The tree nuts, which include in-shell pecan nuts and in-shell macadamia nuts, had an increase in inspected volumes for the reporting period. The total volume of in-shell pecan nuts inspected was 27 592 tonnes. About 99% of this produce went to the Southeast Asian market, whilst the remaining 1% was sent to the EU and the UK.
The in-shell macadamia nut volumes increased compared to what was inspected in the financial year. A total of 27 864 tonnes was inspected for exports. The graph below indicates that over 92% of the produce went to the Southeast Asia market.
Macadamia Nut Exports (in tonnes) 2022/2023
Vegetables
| PRODUCT | 2020/2021 | 2021/2022 | 2022/2023 |
|---|---|---|---|
| Potatoes | 41 284 907 | 31 240 596 | 33 523 912 |
| Onions | 24 295 778 | 26 720 700 | 31 052 030 |
| Butternut | 22 253 848 | 16 774 158 | 16 666 596 |
| Pumpkin | 7 152 629 | 11 769 324 | 6 659 497 |
| Sweet potatoes | 6 070 309 | 13 744 378 | 13 195 454 |
| Carrots | 1 258 796 | 1 788 327 | 1 888 417 |
| Mini vegetables | 1 086 469 | 1 141 253 | 1 189 775 |
| Brussel sprouts | 379 511 | 627 889 | 270 700 |
| Baby potatoes | 173 155 | 43 240 | 10 405 |
| Beetroot | 163 563 | 163 688 | 330 075 |
| Tomatoes | 71 347 | 19 530 | 38 349 |
| Cabbage | 69 664 | 52 012 | 22 431 |
//Making Digital Progress
The following TITAN 2.0® achievements/enhancements were deployed for the reporting period of 1 April 2022 to 31 March 2023:
- Enabled users to successfully save rejections reasons without getting an error on the tablet;
- Updated inspection results to show the correct employee name and number when clients query the results from the PPECB;
- Removed sequence number validation on product inspection mobile submissions to be in line with the addendum model;
- Validation of the type of FBO added to the service request so that the service request can be submitted for approval. (Clients packing grain or dairy products are now able to create their service request on TITAN 2.0.);
- Updated the food safety certificate types for service requests;
- Resolved the issue where clients were getting an error when posting a re-inspection for citrus to the EU;
- Allows exporters and clearing and forwarding agents to send the pallet weight instead of carton weight. If the pallet weight is not provided and only the carton weight is provided, the TITAN 2.0® system will still do the calculation to generate the pallet weight;
- The new decoupled service from TITAN 2.0® Application Programming Interface (API) (Product Inspection API and Export Certification API);
- Display document expiry dates on the Service Request Chief Inspector View; and
- Validation of stone fruit varieties and ensuring the different statuses are validated correctly.
TITAN 2.0® Electronic Export Certificates
| REGION | ELECTRONIC CERTIFICATES |
|---|---|
| Cape Town | 12 333 |
| Durban | 848 |
| Paarl | 456 |
| Gqeberha | 790 |
| Total | 14 427 |
Volumes Inspected on TITAN 2.0®
| PRODUCT | BATCH | TITAN 2.0® | %TITAN 2.0® |
|---|---|---|---|
| Avocados | 1 280 958 | 14 915 654 | 92.09% |
| Citrus fruit | 9 140 389 | 166 558 703 | 94.80% |
| Grapes | 1 022 050 | 58 722 107 | 98.29% |
| Litchis | 977 255 | 707 547 | 42.00% |
| Mangoes | 77 018 | 1 316 007 | 94.47% |
| Other fruit | 9 334 317 | 4 092 674 | 30.48% |
| Pome fruit | 14 168 665 | 49 957 537 | 77.91% |
| Stone fruit | 1 995 578 | 19 415 742 | 90.68% |
| Grand Total | 37 996 230 | 315 685 971 | 89.26% |
Volumes Inspected per Region, YTD until end March 2023, on TITAN 2.0®
| REGION | BATCH | TITAN 2.0® | %TITAN 2.0® |
|---|---|---|---|
| Cape Town | 4 215 268 | 0.00% | |
| Ceres | 2 073 397 | 32 729 114 | 94.04% |
| Citrusdal | 1 436 606 | 47 177 938 | 97.04% |
| Eastern Cape | 2 967 281 | 57 351 558 | 95.08% |
| Gauteng | 8 666 419 | 32 433 131 | 78.91% |
| Grabouw | 8 080 950 | 20 250 800 | 71.48% |
| KwaZulu-Natal | 3 854 181 | 2 630 384 | 40.56% |
| Nelspruit | 1 194 164 | 33 629 355 | 96.57% |
| Paarl | 4 327 077 | 16 645 027 | 79.37% |
| Robertson | 746 141 | 35 988 864 | 97.97% |
| Tzaneen | 434 746 | 36 849 800 | 98.83% |
| Grand Total | 37 996 230 | 315 685 971 | 89.26% |
The challenges experienced due to loadshedding include:
- Clients were unable to send inspection messages, receive inspection results or refresh
agreement codes during loadshedding; - Loss of internet connectivity resulted in inspectors not being able to log in, receive or post
inspection results. Some inspections got stuck in the process. It was impossible for clients
to resend the message as they received a validation error message that the consignment
already existed; and - Laptop batteries were drained, making it difficult for employees to perform their duties.
TITAN 2.0® priorities for 2023 include:
- The uptake of the electronic export certification process;
- Re-inspection enhancement for depots and cold stores;
- Non-TITAN 2.0® products to integrate with the TITAN 2.0® platform; and
- The integration of TITAN 2.0® with the Enterprise Resource Planning (ERP) system.
To ensure that the PPECB continues to realise the benefits of digital transformation, stronger resource management and enhanced data collection on the use of TITAN 2.0® for export inspections became mandatory for the stone fruit and pome fruit seasons, effective from 1 November 2022 and 1 January 2023 respectively.
TITAN 2.0® Cold Chain
The container inspection module was segemented into two releases – release one comprising container cleanliness inspections and release two, the technical, calibration and dual container inspections. Much effort was placed on the container inspection module, and release one is scheduled to go live during 2023.
Cold Chain Services
//Keeping Perishable Produce Cool on the Move
shipped through
>> Maputo
Citrus Fruit Exports
Specialised Refrigerated Vessels (SRV)
- Enabled users to successfully save rejections reasons without getting an error on the tablet;
- Updated inspection results to show the correct employee name and number when clients query the results from the PPECB;
- Removed sequence number validation on product inspection mobile submissions to be in line with the addendum model;
- Validation of the type of FBO added to the service request so that the service request can be submitted for approval. (Clients packing grain or dairy products are now able to create their service request on TITAN 2.0®.);
- Updated the food safety certificate types for service requests;
- Resolved the issue where clients were getting an error when posting a re-inspection for citrus to the EU;
- Allows exporters and clearing and forwarding agents to send the pallet weight instead of carton weight. If the pallet weight is not provided and only the carton weight is provided, the TITAN 2.0® system will still do the calculation to generate the pallet weight;
- The new decoupled service from TITAN 2.0® Application Programming Interface (API) (Product Inspection API and Export Certification API);
- Display document expiry dates on the Service Request Chief Inspector View; and
- Validation of stone fruit varieties and ensuring the different statuses are validated correctly.
TITAN 2.0® Electronic Export Certificates
Refrigerated Containers
Citrus Fruit Port Distribution (pallets)
| Loading Ports | 2019/2020 | 2020/2021 | 2021/2022 | 2022/2023 | 2021/2022 vs 2022/2023 |
|---|---|---|---|---|---|
| Cape Town | 350 633 | 442 313 | 521 709 | 531 619 | 102% |
| Coega | 293 777 | 240 262 | 213 915 | 233 001 | 109% |
| Durban | 889 241 | 970 849 | 1 133 396 | 1 062 890 | 94% |
| Maputo | 434 | 12 921 | - | ||
| Gqeberha | 118 694 | 247 136 | 236 592 | 265 751 | 112% |
| Grand Total | 1 652 779 | 1 900 560 | 2 105 612 | 2 106 181 | 100% |
Total Containers Inspected 2022/2023
| INSPECTION TYPE | TOTAL INSPECTED | TOTAL PASSED | TOTAL REJECTED | % REJECTED | REASONS FOR REJECTION |
|---|---|---|---|---|---|
| Container Inspection: Cleanliness | 245 596 | 211 096 | 34 500 | 14.05 | Dirty taint, damaged panels, oxidation, wet |
| Container Inspection: Technical | 175 578 | 175 482 | 96 | 0.05 | |
| Grand Total | 421 174 | 386 578 | 34 596 | 8.21 |
Total Refrigerated Road Motor Transport (RRMT) Inspected
| TOTAL INSPECTED | TOTAL PASSED | TOTAL REJECTED | % REJECTED |
|---|---|---|---|
| 631 | 585 | 46 | 7.29% |
Total Cold Storage Inspections
| TOTAL INSPECTED | TOTAL PASSED | TOTAL REJECTED | % REJECTED | REASONS FOR REJECTIONS |
|---|---|---|---|---|
| 663 | 650 | 13 | 2% | Faulty recorders, damaged panels |
Total Specialised Refrigerated Vessel Surveys
| TOTAL INSPECTED | TOTAL PASSED | TOTAL REJECTED | % REJECTED | REASONS FOR REJECTIONS |
|---|---|---|---|---|
| 51 | 36 | 15 | 8% | Faulty sensors, faulty calibration, dirty, structural damages |
Total Volumes Shipped on Specialised Refrigerated Vessels (pallets)
| PORTS | 2019/2020 | 2020/2021 | 2021/2022 | 2022/2023 | 2021/2022 VS 2022/2023 |
|---|---|---|---|---|---|
| All South African ports | 124 755 | 198 600 | 240 328 | 219 150 | 91% |
Research and Development
//Continuously Searching for Shipping Solutions
Dispensations
A total of 310 dispensations were reviewed during the reporting period. The top four dispensations processed were on pome fruit, seasonal dispensations on a variety of commodities, shipping of perishable products with foreign marketing material and established research trials.
Total Number of Applications
Organisation for Economic Co-operation and Development (OECD) Climate
Change Contract
- The mean average global increase in temperature is 1.5°C;
- The mean average increase in temperature within SA coastal regions is between 1.5°C to 2.0°C;
- The mean average increase in temperature within SA inland regions is between 3.0°C to 3.5°C;
- There is an increase in the annual rainfall in the eastern parts of South Africa; and
- There is a decrease in the annual rainfall in the western parts of South Africa.
Collaborative Industry Research
The R&D business unit has worked closely with various industry bodies to research, trial and validate newly proposed temperature regimes. The successful research trials will become commercial temperature regimes that can be used by industry without a dispensation. The R&D business unit is also collaborating with the berry industry to research post-harvest processes to reduce fruit waste and loss.
International Partnerships
Local processes need to be benchmarked against international standards to be improved. Therefore, the PPECB has signed a MOU with the Cool Chain Association (CCA), a leading international organisation in cold chain management. Research has been undertaken on the airfreight mode of export. Trials have been conducted on cut flowers and raspberries. The intention is to improve our local cold chain protocols to be in line with international standards. The PPECB has also signed MOUs with two other international companies with the intention of sharing ideas that will improve the local industry.
Innovation
Innovation
The PPECB is represented on the CCA Board of Directors. The PPECB signed a memorandum of understanding with the CCA, the purpose of which is to share information regarding various cold chain research initiatives undertaken by the PPECB, specifically on perishable exports by airfreight. The CCA technical committee will review the research and discuss mitigation measures with the air freight industry. The aim is to assist in creating and strengthening standards within the airfreight industry.
Food Safety Programme
//Continuing to Improve Compliance
for food safety
audits was
exceeded by
The Food Safety Programme is primarily responsible for ensuring compliance with Regulation R707 with regard to food hygiene and food safety of regulated agricultural food products of plant origin intended for export, commonly known as South Africa Good Agricultural Practices (SAGAP). The PPECB Food Safety Auditors conducted 1 036 audits for the period under review. The annual target of 1 000 was therefore exceeded by 4%.
Transformation
Raisin South Africa
The Private Sampling Initiative
The inventory list is regularly reviewed. During quarter 1 (Q1) of 2022/2023, three participants were suspended from the programme. Four more participants were suspended during quarter 2 (Q2) and quarter 4 (Q4). No suspensions occurred during quarter 3 (Q3). It is concluded that transgressions are on the rise with regard to participants not submitting Maximum Residue Level (MRL) results on time to the respective regional offices. This has resulted in seven suspensions for this financial year.
Central Management Unit (CMU) Initiative
Laboratory Services
The volume for MAP is up by 13% compared to the previous year. This increase is marked by a 35% increase on the commercial samples compared to the same samples in the previous financial year. The significant increase was caused by the Laboratory receiving macadamia samples, which required mycotoxin analysis, amongst others. The statutory MAP was, however, down by 36% compared to the budgeted volumes.
The DAP volumes are 6% above the budgeted volumes. Moisture volumes increased by 71% compared to budget. The significant volume increase was due to an increase in dried fruit and macadamia nuts.
The PAP is the newest programme but continues to be the most diverse in terms of additional matrices as well as actives and analytes tested. Some highlights from the Laboratory for the 2022/2023 financial year include:
- An increase in the number of proficiency test samples successfully implemented with MAP and PAP having over 90% success rate;
- The addition of validations for legumes and fungi to the current scope of analysis for the existing MRL programme are now offered as accredited tests;
- The increase in volume for aflatoxin, ochratoxin and moisture in dried fruits. Although there has been a marked increase, the PPECB was able to maintain the 24-hour lead time for clients;
- Increase in volumes and recognition from other Southern Africa Development Community (SADC) countries (especially Namibia, Zambia and Malawi);
- Dairy has transitioned to the new DALRRD Regulation R1510;
- The validation of the scope for the Near Infra Red (NIR) spectroscopy method has been done for cheese, milk and butter;
- Increase in statutory volumes on the PAP;
- The addition of other matrices to the PAP; and
- Additional Laboratory personnel added as technical signatories to the various programmes.
increased by
Harmonisation Programme
Training was conducted for the Namibian Agronomic Board via a Service Level Agreement (SLA). The PPECB followed a blended training method in combining classroom facilitation, packhouse visits and practical sessions that culminated in a theoretical and practical examination on blueberries and soft citrus.
A MOU was signed between MOROCCO FOODEX and the PPECB for an exchange programme. The Morocco delegation was introduced to the PPECB inspection, cold chain, food safety and harmonisation services.
The harmonisation specialist for grain and nuts accompanied the delegation of Lorenz to India to attend to their quality control measures on groundnuts as well as smallholder farmer development projects. To improve efficiencies, the harmonisation team decided to hold two citrus ASTIs (Citrusdal and Tzaneen) instead of one ASTI, which led to the saving of 20 airfares. This cost-saving also contributed to the PPECB’s reduction of carbon footprint initiative.
The specialists completed the citrus training modules on the learning management system (LMS), which are now available for all levels in the PPECB to complete as a refresher. The option to complete with or without modular tests is available, which could serve managers well as a basic refresher.
Significant focus is placed on minor products competency and minor products activities were conducted all over South Africa. A total of 234 competency tests were completed, 173 manual discussions were held and 189 inspectors were found to be competent.
Minor product harmonisation activities were conducted, as per regional needs, at the following offices nationwide: Gauteng, Nelspruit, Malelane, Hoedspruit, Tzaneen, Musina, Cape Town, Paarl, Tulbagh, Grabouw, Ceres, Worcester, Robertson, Swellendam, Citrusdal, Clanwilliam, Kakamas and Upington. The scope of our minor activities included dried subtropical fruit, cherries, green bananas, all flower types, pineapples, pomegranates, persimmons, granadillas, blueberries, kiwifruit, watermelons, mini-vegetables, onions, potatoes, butternuts, pumpkins and sweet potatoes.
The cold chain harmonisation facilitated container cleanliness training at container depots due to the high rejection rates at the container depots nationally. Only four container depots participated and the remaining five major depots will have their sessions prior to the commencement of the citrus season.
An open day workshop for the University of the Western Cape Faculty of Law students was hosted and facilitated. Introductory sessions on the full value chain of exports were presented. Practical demonstrations were held on citrus inspection methodologies and visits to airfreight agents and commercial cold-rooms were undertaken.
The chief specialist, with the COO, participated in an international harmonisation session at the Kwailiteits Controle Bureau (KCB) and attended an OECD meeting.
| Activity/Product | Citrus | Table Grape | Pome Fruit | Stone Fruit | Avocado | Subtropical | Grains /Nuts | Minor Products | Cold Chain | Total |
|---|---|---|---|---|---|---|---|---|---|---|
| ASTI | 7 | 1 | 1 | 1 | 0 | None | None | 1 (canning) | 9 | 20 |
| ASTI participants | 109 | 29 | 17 | 22 | 0 | None | None | 7 | 84 | 268 |
| Manual discussion | 219 | 155 | 94 | 64 | 77 | 52 | 122 | 173 | 18 | 974 |
| Refresher “koffer” | 151 | None | 42 | 33 | 59 | 39 | 7 | N/A | 1 | 332 |
| Competency test | 190 | 73 | 47 | 61 | 26 | 24 | 41 | 234 | 138 | 834 |
| Uniformity test | 191 | 85 | 37 | 9 | 16 | 21 | None | None | N/A | 359 |
| CBS test | 314 | None | N/A | N/A | 0 | None | None | N/A | N/A | 314 |
| Competency evaluations | 118 | 78 | 38 | 44 | 24 | 23 | 47 | 189 | 87 | 648 |
Looking Ahead:
//Outlook for >> 2023/2024 and Beyond
Focus areas going forward include:
- Further embedding TITAN 2.0® in operations for all products;
- Increasing the uptake of the electronic addendum and export certification on the TITAN 2.0® platform;
- Developing more cold chain modules on the TITAN 2.0® platform;
- Continuing to introduce internal controls and strengthening processes for increased efficiencies;
- Rolling out powerbanks/inverters to address the severe impact on operations due to loadshedding;
- Increasing the employment of differently-abled people;
- Increase our focus on fostering a client-centric culture;
- Leveraging technology to improve business processes and efficiencies;
- Increase capacity in our operational resources in readiness for potential changes in export requirements;
- Rolling out the research and development strategy;
- Establishing formal international research agreements;
- Expanding the Laboratory’s main analytical programmes to strengthen its financial situation
- Increase volumes shipped through Maputo;
- Foster stronger collaborative relationships to assist with logistical challenges;
- Strong focus on training initiatives for operational employees; and
- Upskilling and reskilling administrative employees.
//quick Links