TÜRKTOB | National Unity in Agriculture Project

If agriculture is not independent and national, there may be nothing left that is national and local. Please read and review TÜRKTOB's opinion on the new proposed law.

National Unity Project in Agriculture and TÜRKTOB's View

A project called "National Unity in Agriculture", which is understood to radically change Türkiye's agricultural management, production and trade system, has been reflected in the public.

The aim of the project is to ensure that everyone has a healthy diet at reasonable prices and with an equitable value chain, and to make our country a competitive force in the international arena.

The project, which was prepared with the claim that it was based on the Ahi and food supply traditions, which are among the oldest elements of Turkish culture and civilization, emphasized the need for structural reforms due to waste, high costs, food inflation and the inability to distribute agricultural added value fairly.

This project envisages a complete change in the structure of Türkiye's agricultural production, the central and provincial organizations of the Ministry of Agriculture and Forestry, Public Economic Enterprises, Agricultural Credit Cooperatives and other cooperatives and unions.

In addition, it is planned to establish a holding company called Semerat, which will include the National Unity Cooperative, which includes the provincial organization of the Ministry of Agriculture and Forestry, Agricultural Credit Cooperatives, the General Directorate of Forestry, Forestry and Aquaculture Cooperatives, and agricultural state enterprises and the foreign-capital private sector, along with the National Unity Cooperative.

As the Turkish Seed Growers Association (TÜRKTOB) and its sub-unions, we have deemed it beneficial to emphasize the following issues in order to inform the society and the public on this issue within the framework of the duties and responsibilities given to us by Law No. 5553.

First of all, we must state that there cannot be a disagreement among a large segment of society regarding the purpose of the project.

However, it is necessary to thoroughly examine the processes and reasons behind the proposed structural and administrative changes. Furthermore, a detailed analysis of whether resolving these issues requires a large-scale structural transformation is also necessary.

At TÜRKTOB, we see governance as a model that provides crucial opportunities for democratization. Rather than a top-down governance structure, we believe that transformation policies developed with a "horizontal-based," "grassroots-based," "participatory," and "transparent" approach will be more applicable and aligned with the realities of the country.

As the position of the majority of civil society and professional organizations (NGOs) operating in the agricultural sector is unclear in the planned new structure, and as we understand from our interviews, this new study was prepared without consulting relevant stakeholders, including farmers, professional organizations, and the public, and without consulting experts on technical issues.

We find it strange that our Union, a professional organization established by special law as a public institution for the seed sector, which forms the basis of agricultural production, is not present at the table where the plan, designed with the claim of creating a "manageable, plannable, equitable value chain from seed to table," is being prepared, and we are curious about who is at that table.

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In the new project, our current structure is evaluated as unmanageable, unplanned and multi-part.

However, all other legal regulations, especially the framework Agricultural Law, which was designed and published by all stakeholders in 2006 as the basic reference for other legislation and political infrastructure concerning the entire sector, and the Seed Law No. 5553, which came into force afterwards, were prepared with a strategic perspective, in line with the world and the European Union, and in a way that does not contain elements that would hinder new decisions that will adapt to the changing structure of the agricultural sector.

The management, planning and solution of structural problems of the agricultural sector can be achieved by fully implementing these laws by expert bureaucrats and technocrats and, when necessary, by reflecting the changes planned together with all parties of the sector into the legislation.

1- Reasons for the project

As emphasized, the reasons for the structural reforms planned in the project are listed under the main headings of waste and inefficiency, food inflation, costs and injustice.

First of all, it should be stated that in the new project, the entire agricultural and food sector, especially our farmers, and all related institutions and structures are unfairly portrayed as the source of the problems.

The services provided by the Ministry of Agriculture and Forestry, which was restructured as the Ministry of Economy in 1920 and the Ministry of Agriculture in 1924 before the Republic, for a century are being ignored, and there is an attempt to transfer all of its institutional capacity and experience at once.

Waste and Inefficiency

Projede yer alan tarladan sofraya kadar uzanan ürün değer zincirlerine yaşanan %50’ye varan verimsizlik ve israf tespiti Türkiye’nin kalkınmasını yavaşlatan, potansiyeline uygun bir gelişme göstermesini engelleyen temel sorunlardan biridir.

However, the root of this problem lies in the fact that some agricultural land in Türkiye is not being used in accordance with its capabilities. It is a fact that some land, which should be used for forests and pastures, is being used for agricultural purposes instead of cultivation, while fertile agricultural land is being used for non-agricultural purposes.

According to official figures, 14.2% of the lands opened for development are productive agricultural lands.

The construction of summer houses by cutting down orchards on the coast, the construction of housing by opening agricultural lands for development in cities, towns and cities, and the establishment of industrial facilities on bottom lands and along rivers are all putting our soil and rivers in a state of disrepair.

Numerous regulations aim to prevent the misuse of agricultural land and impose severe penalties for contrary actions, and we have institutions and boards charged with ensuring their implementation. The crucial point is the implementation of these regulations.

Tarımdaki kayıpların yaklaşık %60’ı yanlış ilaç kullanımı ile hasat, taşıma ve depolama işlemleri sırasında meydana gelmektedir. Bu kayıpların azaltılması için eğitim faaliyetlerinin artması, lojistik ve depolama teknolojilerinin temin edilmesi için finans kaynaklarının çeşitlendirilmesi tüm gereksinimlere cevap verecektir.

Seed and Yield

Seed is one of the most important factors directly affecting yield and quality in plant production. Therefore, the solution to the problem of inefficiency lies in the use of certified seeds and other high-quality plant production materials.

Plant breeding and seed production activities began in Türkiye in the 1920s. In the early years, studies were primarily conducted by the public sector, but from 1980 onward, under free market conditions, numerous regulations were implemented based on technological, commercial, and scientific developments worldwide and in our country, as well as standards in seed systems. The enactment of Law No. 5042 on the Protection of Breeders' Rights for New Plant Varieties in 2004 and Law No. 5553 on Seed Production in 2006, along with the implementation of related secondary legislation, provided significant momentum to the sector, leading to significant advances in plant breeding, seed production, and trade.

Certified seed production, which was 289,000 tons in 2008, the year TÜRKTOB was founded, has approached 1,060,000 tons as of 2018. Increases in production quantities were also seen in other plant propagation materials, with 104.3 million fruit saplings, 2.2 million grapevine saplings, 82 million strawberry seedlings, 4 billion vegetable seedlings, and 1.7 billion ornamental plants produced in 2018.

However, in order to increase the production of our country's seed production at the desired level and to open up to new markets, it is sufficient to increase the existing supports and make them more rational, to prevent unregistered, illegal and uncertified seed sales, and to give more importance to planned and programmed training and information activities in cooperation with the Ministry of Agriculture and Forestry and the private sector.

High Costs and Seeds

For our producers, seed costs are one of the factors affecting certified seed usage rates. However, it's important to remember that seed accounts for %5-10% of agricultural production costs. As with all agricultural products, seed production costs have increased recently, but the seed sector hasn't reflected these increases in its own costs in seed sales prices. In fact, sales have even been at a loss.

Despite all these facts, it's concerning to note that prices for grain seeds, whose production and distribution are entirely carried out by domestic and national companies in the project in question, are being inflated through speculation. The seed sector is not, and never will be, a profiteer.

Food Inflation / Lack of Planning

In our country, product planning is not carried out properly, and production decisions are generally made based on the previous year's product prices and/or habits. As a result, some products may experience oversupply, while others become importers. The most significant factors driving food inflation are unplanned production and rising logistics costs.

Furthermore, recent global warming, misuse of groundwater, and inadequate infrastructure have led to significant problems with agricultural irrigation, negatively impacting both the quality and quantity of agricultural production. Production planning should consider not only supply/demand but also long-term climate change and irrigation potential.

Academic publications detailing crop planning are available, and numerous regulations are currently in effect. Every basin, province, and even district has agricultural master plans prepared and updated by relevant institutions, particularly the Ministry of Agriculture and Forestry.

In addition, there are extensive product-based projection texts and even simulations prepared according to a wide variety of variable elements in non-governmental and professional organizations related to agriculture and trade.

It's important to remember that the failure to implement policies developed in recent years under the Basin-Based Production and Support Model and the National Agriculture Project, which also aimed to address crop planning, is not due to the overall management structure of agriculture. The real source of the problem lies in market dynamics encountered during the implementation of existing plans, as well as interventions and political considerations that are far removed from scientific facts.

Furthermore, leaving aside the flaws in the current legislation and practices in agricultural product trade and logistics, directly portraying members of these professions as criminals is also incompatible with reality.

Agricultural Costs and Fair Distribution

The new plan attributes high agricultural production costs solely to the inability of small-scale businesses to achieve economic production. However, as is well known, the primary drivers of increased production costs are the procurement of agricultural inputs and raw materials from abroad in exchange for foreign currency, coupled with the recent rise in exchange rates.

Üretimde kullanılan mazotun litre fiyatı bir önceki yıla göre 2018 yılında %23, enerji maliyetleri %19, DAP gübresi %63, üre gübresi %69, tarım ilaçları %70 oranında artmıştır. Tarımsal girdi ham maddelerin yurt içinde üretilmesinin teşvik edilmesinin yanında kısa dönemde tarımsal girdilere verilen desteklerin artırılması elzemdir.

When these figures are considered together with the shrinkage of cultivated areas for all agricultural products, the decrease in production and the increase in population, it is not difficult to say that imports and price increases will continue.

It's well known that our country has chronic structural problems in food, agriculture, and livestock, particularly since the 1980s. However, for years, instead of "results-oriented" and "long-term" agricultural policies and projects, efforts have been made to address these problems, with temporary strategies varying from one minister to the next. The underlying reason for the unequal distribution of added value must be sought here.

2- Cooperatives

Cooperatives are among the most effective structures through which the agricultural sector is organized. Agricultural Credit Cooperatives, Agricultural Sales Cooperatives, and other cooperatives and producer unions have played a leading role in both agricultural activities and industrialization in Türkiye since their inception. Most cooperatives were established based on grassroots demand and have contributed to the development of producers and their respective industries.

Historically, the country's economic conditions and interventions have forced cooperatives to restructure. Restructuring programs were generally developed and implemented through public administration initiatives. During these restructuring periods, cooperatives experienced initial challenges, with reductions in size and activities, but they also experienced developments that enabled them to continue operating.

Cooperatives are autonomous bodies of people united voluntarily to meet their common economic, social and cultural needs and aspirations through a jointly owned and democratically controlled enterprise.

Cooperatives are the most important structure that protects producers in agricultural activities carried out as family businesses, as is predominantly the case in Europe.

In the new project, it was planned to establish a National Unity Cooperative that would include the provincial organization of the Ministry of Agriculture and Forestry, Agricultural Credit Cooperatives, the General Directorate of Forestry, and Forestry and Aquaculture Cooperatives.

The forced entry of cooperatives, and therefore their members, into the holding structure of the National Unity Cooperative as envisaged in the project, and the confinement of farmers to the very powerful Semerat Holding, which, as its name suggests, will only seek profit at every stage from input supply to product sales, means the extinction of cooperatives and family farming.

We should not forget the words of Gazi Mustafa Kemal Atatürk: "To form a cooperative is to unite material and spiritual forces, intelligence and skill. I am not talking about the union of the weak and the strong. Such a union means the weak being enslaved by the strong."

Instead of this structure, the number of autonomous, financially strong, and productive cooperatives that provide benefits to their farmers should be increased, our farmers should be encouraged, and the existing cooperative legislation should be fully implemented by the Ministry of Agriculture and Forestry, especially in terms of inspections and sanctions.

Agricultural Organization in the European Union
Günümüzde, tarımsal örgütlenmenin en yaygın olduğu ve geliştiği ülkelerin başında Avrupa Birliği (AB) ülkeleri gelmektedir. Avrupa Birliği’nde, tarım kesimine yönelik politikaların oluşturulmasında ve bu politikaların uygulanmasında tarımsal örgütlerin önemli bir yeri vardır. AB’de tarımsal üretimin ve tarıma dayalı sanayiinin yaklaşık %50’si de bu örgütler aracılığıyla yürütülmektedir.

The history of agricultural organizational models in EU countries dates back a long time; as a result of experience, each country has established independent democratic farmer organizations suited to its own circumstances. These organizations, which have completed a process of awareness-raising through education and publication, take ownership of their own problems and carry out their production according to existing markets within a free market economy, receiving financial support from governments in this process.

Bugün AB genelinde bulunan kooperatiflerin %25’i tarımsaldır. Toplam 70 milyon kooperatif ortaklarının %40’ı tarımsal kooperatif ortağıdır. AB’de kooperatiflerin payı tarımsal girdi sağlamada %55, pazarlamada %65 ve dış satımda %50’den fazladır.

3- Ministry of Agriculture and Forestry

The project envisions dismantling the provincial organization of the Ministry of Agriculture and Forestry and transferring it to the National Unity Cooperative. Another of our greatest concerns is that the Ministry of Agriculture and Forestry has become a weak structure, lacking a provincial organization and with its enforcement, control, and auditing capabilities placed under the control of the private sector through Semerat Holding.

In addition, it should not be forgotten that combining institutions with very different fields of work, organizational and personnel structures, legislation, culture and traditions under a single roof may reduce the functions of these institutions and lead to an environment of chaos.

For example, the merger of the General Directorate of Agricultural Research and Policies (TAGEM) and the General Directorate of Agricultural Enterprises (TİGEM), which are among the most effective structures of the Ministry of Agriculture and Forestry, may result in the loss of power of both institutions.

The negative consequences of reducing the important functions of the Ministry of Agriculture and Forestry (planning, support, supervision, research and development, etc.) by transferring them to other structures will be irreversible.

Furthermore, Türkiye is divided into 12 regions, and these regions are further divided within themselves. The criteria used to determine these divisions must be made public.

4- Semarat Holding

The project plans to establish a holding company called Semerat, in which agricultural state-owned enterprises (SOEs) and the private sector will be partners, along with the National Unity Cooperative.

The capital structure of private sector entities that will become partners in the holding is a crucial issue. We believe that a structure dominated by foreign capital would irreversibly damage our national interests.

In addition, it should be seen that agricultural sales cooperatives such as PANKOBIRLIK, TRAKYABIRLIK, MARMARABIRLIK, FISKOBIRLIK, TARIS will also have to take part in this structure, even if they are not currently included in the project.

Considering the general structure of the project, it is understood that agricultural supports will be distributed by the National Unity Cooperative, which will be under the control of Semerat Holding.

In summary, it would not be an unrealistic assumption to say that Semerat Holding, which will be a giant monopoly with a sole say in everything from input supply to product sales, from the use of financial resources to foreign trade, will act in accordance with the interests of the foreign-capital companies that will be among its partners.

It should not be excluded that whoever will manage the holding company in question will completely dominate our country's agriculture and food sector.

5- Unconstitutional Matters

The articles of the structure planned to be realized with the new project that are contrary to the Constitution are as follows;

It violates the principle of administrative integrity and centralized management, as stipulated in Article 123 of the Constitution. The Ministry's provincial and district organizations have been divided into progressive divisions under the umbrella of cooperatives, thus eliminating the principle of management.
The principle that the primary and permanent duties required by the executive and public services, as set out in Article 128 of the Constitution, should be carried out by civil servants and other public officials, is violated by the transfer of these duties to cooperative and holding structures.
– The principle of the supervision of public institutions and partnerships by the Grand National Assembly of Turkey, mentioned in Article 165 of the Constitution, is violated by the inclusion of state-owned enterprises (SOEs) and cooperatives working for the public benefit within the holding structure.

– The principle of developing cooperatives by taking into account the benefits of the national economy, as expressed in Article 171 of the Constitution, is violated by incorporating cooperatives into holding companies and making them run for profit.

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Finally, we say;

Agriculture is at least as important as the defense industry.

Agriculture means national sovereignty.

National sovereignty cannot be transferred.

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