SATI Emerging Producer trip to Germany, 09 to 17 November 2014

Above: Warren Bam (WCB), Hans Schmedding (SA Consulate in Germany), Andre Thops (Olyfkloof), Alec Abrahams (Siyazama), Michael Roos (Roos and ass.), Abie Pietersen (Alpha) and Elize Boer (Osplaas) pictured in front of the Edeka store in Hamburg central in Germany.

Rationale

SATI seeks almost on an annual basis to facilitate trips for emerging producers and equity shareholders to international table grape markets. The purpose for the trip is informed through an open competitive process (applicants fill in a SATI application form) wherein trip-goers identify the points that they believe will help them to mitigate market risk and to adequately address these markets.

Who gets to go on the trip and why?

Successful applicants can be emerging farmers or senior management level equity shareholders. Currently, 5 applicants have been selected, based on applications received late 2012 and early in 2013.

Participant expectations from 2014 trip

·  Determining the impact of EU sanctions on opportunities for EU exporters of SA fruit to Russia;

·  Comparing packaging, quality and cultivars from competitor countries with that from SA;

·  Understanding the EU consumer requirements;

·  Understanding EU market trends;

·  Testing perceptions about SA grapes.

Highlights of the impact from previous 3 excursions (UK and EU, 2010 to 2012)

·  R83 million in development finance raised (CPAC members and IDC took part in the tour and attributed their findings to successful financing upon return);

·  Four equity schemes supplying retailers directly as a result of market intelligence gathered;

·  Improved board participation of trustees delegated to serve at management level;

·  Networks strengthened between emerging producers (weekly phone calls between producers in Northern Cape and those in Western Cape);

·  Cultivar selection influenced in at least two cases;

·  One new farming enterprise established as a result of letters of commitment from UK importers both for crop financing and for offtake. The trip provided assurance for CPAC members and also the platform to discuss the deal.

·  Participants expressed their interest in the feedback about SA quality and also packaging considerations.