www.oceana.co.za
On the surface a fishing company. Deep down, so much more
UNLOCKING THE POTENTIAL OF SOUTH AFRICA’S OCEANS ECONOMY There is enormous potential for South Africa’s fishing sector to drive sustained, inclusive economic growth The Department of Forestry, Fisheries and Environment (DFFE) says that the fisheries sector currently contributes about R8-billion a year to the gross domestic product and employs some 28 000 people. For the Oceana Group, unlocking the sector’s potential informs every aspect of its business. So much so that its deceptively simple, but determined brand positioning is: “Positively impacting lives.” Group CEO Imraan Soomra explains that the approach stems from the belief that with the right to fish in national waters comes the responsibility to deliver tangible, inclusive social and economic benefits. “South Africa’s fishing industry is ideally placed to do this because the fishing value chain and associated sectors continue to offer huge opportunities for growth, dignified employment and enterprise development.” This is not to suggest that there hasn’t already been considerable progress. During apartheid, black South Africans held only 1 per cent of fishing rights compared to over 75 per cent today. OCEANA’S TRANSFORMATION VOYAGE Since 2004, Oceana has been actively advancing broad-based black economic empowerment and has performed well in terms of measurable transformation criteria. Black ownership is currently over 80 per cent and the representation of historically disadvantaged individuals on the board has increased from 55 per cent in 2010 to 90 per cent. The pioneering Oceana Empowerment Trust (OET), vested in 2020, represented over 2 400 historically disadvantaged South Africans. The trust held 13.3 million shares in the Oceana Group, making OET the largest black-owned fishing entity in South Africa, with a market value of just under R1-billion. Of the current workforce, over 90 per cent are historically disadvantaged individuals – 41 per cent of whom are female. The group has created over 35 000 employment opportunities and invested R60.9-million in skills development initiatives to accelerate workforce transformation. The Oceana Maritime Academy in Hout Bay Harbour is testament to this investment in people. The skills and training programmes are
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designed to provide opportunities for employees, address skills shortages in the small-scale fisheries sector, and assist new entrants to the industry. The company has committed a further R35-million a year to developing sector-specific skills and training. As the academy grows in size, the intention is to offer more specialist training courses and forge international alliances to provide global best practice exchange opportunities. As Soomra points out, the benefits of investing in the sector aren’t limited to the fishing value chain. The number of BEE Level 1 and Level 2 suppliers to Oceana increased by 600 and 397 per cent respectively, between 2010 and 2020. The group has spent R19.6-billion with South African suppliers at an average of about R1.8billion a year since 2011. Some R5.6-billion of this was directed to black-owned businesses and R2.2-billion to female-black-owned businesses. The number of black-owned businesses and black-female-owned suppliers also increased by 589 and 1 589 per cent respectively. SUPPORT FOR LOCAL COMMUNITIES Perhaps though it is in the communities where Oceana operates where the potential of the oceans economy to deliver tangible, inclusive economic benefits is most obviously demonstrated. “These are communities that have depended on the sea for sustenance and income for generations; that must be acknowledged and respected,” says Soomra. About 64 per cent of Oceana’s total workforce is in St Helena Bay and Velddrif. The area has a total household income of R787-million of which Oceana provides R412-million, over 52 per cent (statistics sourced from an independent assessment by Genesis Analytics). Importantly, these are sustainable, year-round jobs rather than seasonal work. The company’s desalination plants at St Helena Bay and Laaiplek generate 88 per cent of the fresh water required for its factories, limiting its impact on these communities. These are part of an ambitious environmental sustainability project that will include implementing large-scale renewable energy projects, particularly along the West Coast. “Hopefully, the transformation, skills development and economic opportunities the sector has provided so far will positively impact many more lives in future.”
COLLABORATING TO CHANGE THE FACE OF THE FISHING INDUSTRY The Oceana Group and its partners are taking sector-specific skills training across the country
To assist small-scale fishers in honing their skills, the Oceana Group, the Oceana Maritime Academy, the Department of Forestry, Fisheries and Environment (DFFE), National Sea Rescue Institute (NSRI), and Dyna Training are travelling across the country to deliver holistic training programmes. These programmes are critical to Oceana’s mission to positively contribute to the growth of South Africa’s fishing industry and small-scale fishers, who play a crucial role in addressing food security and unemployment in South Africa. Nearly 600 small-scale fishers who belong to a co-operative in the Eastern Cape and KwaZulu-Natal have participated in the Co-operative Sense training programme. The Co-operative Sense programme is the result of a two-year consultative process with the DFFE and small-scale fishing. The consultation process assisted the partnership in gaining a better understanding of the co-operatives’ needs as they endeavour to become operational and work collectively. The capacity-building programmes are taught in the participants’ preferred language (Zulu, Xhosa, English/ Afrikaans). They provide assimilated practical training on running a successful, financially strong co-operative with on-site assistance from a reputable bank on opening and managing business bank accounts. In addition, the NSRI focuses on sea safety training that will empower the fishers to understand the safety protocols they need to observe when at sea as well as how to manage emergencies. Oceana’s corporate and regulatory affairs executive, Zodwa Velleman, says: “We want to reach as many small-scale fishers as possible, but we remain cautious because of the risks of the COVID-19 pandemic. This is the start of many more training initiatives as we work collectively to bring much-needed skills and support to the brave men and women who earn a living at sea.”
NEARLY 600 SMALL-SCALE FISHERS WHO BELONG TO A CO-OPERATIVE IN THE EASTERN CAPE AND KWAZULU-NATAL HAVE PARTICIPATED IN THE CO-OPERATIVE SENSE TRAINING PROGRAMME. oceana group
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OCEANA MARITIME ACADEMY SETS A COURSE FOR THE FUTURE OF FISHING Oceana Maritime Academy is expanding its training programmes to ensure the upskilling and mentoring of small-scale fishers
A Hout Bay landmark has gained new significance with the transformation of the old fishmeal plant into the country’s first maritime academy providing sector-specific, accredited training courses for South Africa’s fishing industry. Although implementation of the Oceana Maritime Academy’s full training programme was delayed due to COVID-19, several courses have been run and the first graduates have received their certificates. These include small-scale fishers and members of the Hout Bay community. Zodwa Velleman, Oceana’s corporate and regulatory affairs executive, says that with COVID-19 regulations easing and the roll out of the vaccination programme, the academy is expanding both the courses on offer and the number of trainees that can attend.
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In addition to spending R40-million to transform the fishmeal plant into a bespoke training hub, Oceana is investing a further R35-million a year to deliver 18 courses ranging from literacy to tertiary courses. Sector-specific courses include basic sea safety and first-aid training through to professional maritime training. Co-operative Sense courses are an important part of the curriculum. These are a collaboration between the Oceana Group, the Oceana Maritime Academy, the Department of Forestry, Fisheries and Environment (DFFE), the National Sea Rescue Institute (NSRI) and Dyna Training. Co-operative Sense is a comprehensive training and mentorship programme, delivered around the country, to enable fishing co-operatives to run as successful SMMEs. The Oceana Maritime Academy
is hosting the programme in support of 2 000 small-scale fishers in the Western Cape, in addition to those who participate in the national outreach. “The small-scale fishing co-operatives provide employment and food security, often in communities where both are scarce. They are the bedrock of the fishing sector, and supporting them benefits not only their communities, but also the industry and, ultimately, the country,” says Velleman. The academy’s curriculum is intended not only for participants who go to sea, but also future generations of management in the industry. It, therefore, includes supervisory and management development, coaching and mentoring, business and technical training and leadership. The Oceana Leadership Acceleration Programme, in partnership with the Gordon Institute of Business Science, allows employees from across the company to obtain leadership, strategic, adaptive, and future-fit skills. Half the participants are female. The Hout Bay community also benefits from courses such as safety and health training and first aid. A number of these courses have been provided for teachers at local schools. The purpose-designed 2 430m2 Oceana Maritime Academy includes an 85-seater auditorium, four training rooms, two computer-training rooms, three meeting rooms, a canteen, first aid and firefighting training facilities, and an indoor swimming pool. The COVID-19 interruptions and current ramp-up in training have not hindered the academy’s ambitious growth plans. These include building accommodation
for out-of-town students and those from other provinces as well as developing an aquaculture training facility. The academy intends to offer more specialist courses and forge international alliances to provide global best practice exchange opportunities. “As the largest fishing group in Africa, Oceana has accumulated over a century of experience and a wealth of knowledge. By combining this and the specialist training facilities at the Oceana Maritime Academy, we can develop and grow the country’s fishing industry,” says Velleman.
OCEANA IS INVESTING A FURTHER R35-MILLION A YEAR TO DELIVER 18 COURSES RANGING FROM LITERACY TO TERTIARY COURSES. SECTOR-SPECIFIC COURSES INCLUDE BASIC SEA SAFETY AND FIRST-AID TRAINING THROUGH TO PROFESSIONAL MARITIME TRAINING. oceana group
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FEEDING
THE NATION Food security is at the heart of Oceana’s commitment to positively impact lives and its Lucky Star business embodies this Lucky Star is much more than an iconic brand. For over four million South Africans it is a daily, cost-effective and healthy source of protein. Due to the cyclic shortages of pilchards in South African waters, only five per cent of Lucky Star pilchards are fished locally. The rest is imported. By supplementing the local supply with frozen pilchards Oceana can keep providing millions of South African homes with a secure food source, rich in omega-3 fatty acids, vitamins and minerals. Importing pilchards also ensures that Oceana is able to provide year-round employment for its cannery employees. This is an important consideration as the cannery and associated operations provide vital income and employment in West Coast towns where economic opportunities are limited. Zodwa Velleman, Oceana group executive for regulatory and corporate affairs, says providing a reliable source of healthy protein is more than just feeding hungry mouths, it also contributes to better learning. “It’s commonly known that a child can’t learn on an empty stomach, but there’s more to providing school meals than that. For some children, the meal they get at school is the one meal they can rely on and consequently, it becomes an incentive to attend school and learn.” Together with nongovernmental organisation (NGO) partners, Oceana provides some 2.4 million meals to school feeding schemes each year. It also works with organisations such as FoodForward SA to identify community needs and respond to these. In addition to the 1.7 million meals donated to vulnerable communities through this initiative, Oceana also donates an additional 350 000 meals through other NGOs. “We don’t adopt a one-size-fits-all approach, but aim to adapt our interventions to best suit the needs of the communities. Nor do we implement a programme and walk away. We’re constantly
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monitoring and evaluating to find ways of improving what we do and make it more effective,” says Velleman.
TOGETHER WITH NONGOVERNMENTAL ORGANISATION PARTNERS, OCEANA PROVIDES SOME 2.4 MILLION MEALS TO SCHOOL FEEDING SCHEMES EACH YEAR.
EMPOWERING WOMEN,
TRANSFORMING THE INDUSTRY The Oceana Group is ranked among the most empowered companies on the Johannesburg Stock Exchange. It has introduced many initiatives, particularly around gender equality, that have motivated upliftment and transformation within the sector
Gender representation has been one of the key building blocks for Oceana’s success. True inclusion, representation and equality come with meaningful recognition, acceptance and appreciation of the tangible and intangible value that women impart in any organisation. At Oceana, women play an immensely important role across all areas and regions of the business. This is indisputably a very large part of what makes the Oceana Group a successful listed entity. The company would not be what it is today without women and women leaders. They contribute to the success of the business, including on manufacturing sites, onboard vessels and in all the business units. This is evidenced by: • the share of black female ownership, which has almost doubled, from 11 per cent in 2010 to 26 per cent in 2020
• an increase in female and historically disadvantaged individuals (HDIs) representation on the board of directors and executive over the last decade. Notably, representation of HDIs on the board has increased from 55 per cent in 2010 to 90 per cent in 2020 • HDI representation at the executive level peaking at 50 per cent (currently 43 per cent). Female HDI representation has been volatile over this period, ranging from 10 per cent to 29 per cent in 2020 • a workforce predominantly made up of HDIs (over 90 per cent). The share of the workforce made up of female HDIs has risen from 35 per cent in 2010 to 41 per cent in 2020, while male HDI representation fluctuated between 53 and 62 per cent over the same period • the granting of R2.2-billion to black-female-owned businesses over the past 11 years.
Source: An independent assessment by Genesis Analytics of the contribution made by the Oceana Group Limited to the South African economy.
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OCEANA TAKES A LEADING ROLE IN RESPONSIBLE FISHING The Oceana Group is committed to responsible, sustainable fishing practices The Oceana Group’s commitment to sustainable and responsible harvesting of marine resources is as multidisciplinary as it is rigorous and is focused on three main areas. First, the group promotes responsible fishing across the supply chain by engaging with international suppliers and promoting awareness among all seafaring staff. Second, it supports an ecosystem approach to fisheries management by engaging with the Department of Forestry, Fisheries and Environment (DFFE) and industry bodies, funding research, and participating in industry workshops. Third, the group ensures its full legal compliance in the highly regulated operating environment. It has a zero-tolerance approach to illegal, unreported and unregulated (IUU) fishing. IUU fishing undermines fish stocks, negatively impacts food security, and, ultimately, reduces social and economic opportunities. While over 90 per cent of the group’s harvested commercial fishing rights are on the South African Sustainable Seafood Initiative green list, the West Coast rock lobster (WCRL) remains red-listed due to IUU, and the pilchard and horse mackerel species remain orange-listed.
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The group is an active stakeholder in the traceability taskforce to enhance the traceability of WCRL and works with the DFFE, World Wide Fund for Nature (WWF) and the industry to improve policing and management of the resource. To mitigate its impact on local pilchard yields, the group sources 80 per cent of its supply from pilchard fisheries in Morocco, which has undergone steady improvement since 2014 and is expected to have a full Marine Stewardship Council assessment shortly. Oceana also partners with the Responsible Fisheries Alliance (RFA) to deliver training conducted by the WWF to seagoing employees on responsible fishing practices. The course empowers them to implement an ecosystem approach to fisheries. About 60 per cent of Oceana’s seagoing personnel have undergone RFA training so far, and the group has retained a facilitator to improve access to the training. Compliance is rigorously reported, and in the last financial year no lapses were encountered. The DFFE audits the group’s compliance with allocated fishing rights, and Birdlife Africa audits bycatch mitigation measures.
SOLAR PROJECT A FURTHER STEP TOWARDS NET ZERO EMISSIONs Africa’s largest fishing company has charted an ambitious course targeting zero emissions by 2050 and has just reached a notable waypoint on that voyage Commercial Cold Storage (CCS), an Oceana Group company, has just completed a R4.47-million project to install 478.72kWp of solar power on the roof of its Paarden Eiland facility in Cape Town. Energy Partners Solar provided and installed the system, which comprises 1 088 solar panels covering 2 154m2. The panels will generate 749MWh/year, or enough electricity to provide power to 75 average households. Ina Botha, CCS executive director, says that as well as reducing demand on the national grid, the renewable electricity will save 741 tonnes of carbon dioxide a year. She explains that while CCS ensures its temperature-controlled storage is as energy efficient as possible, large facilities storing
fresh produce, which can require temperatures to be as low as minus 60oC, use a lot of electricity. “Not only will this investment pay for itself over the next three years, but it will also take the group closer to achieving its carbon-neutrality goal.” Oceana’s Carbon Neutrality Project aims at reducing emissions by 50 per cent over the next nine years, before reaching its zero emissions in 2050. Group CEO Imran Soomra says: “This project is a first yet important step towards achieving our environmental sustainability goals. Our future plans include mega renewable energy projects, particularly along the West Coast, which will have a lasting, positive impact on the communities in which we operate.”
“NOT ONLY WILL THIS INVESTMENT PAY FOR ITSELF OVER THE NEXT THREE YEARS, BUT IT WILL ALSO TAKE THE GROUP CLOSER TO ACHIEVING ITS CARBON-NEUTRALITY GOAL.” – INA BOTHA oceana group
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