South Africa

The agriculture sector survived a year of rising uncertainty in 2018, but with the national election and the threat of drought looming, 2019 will be every bit as challenging. According to leaders in the sector, farmers will have to be resilient and partner with the right role players to face the trials that await.

As rooibos tea increases in popularity among consumers, it is fast becoming one of the most attractive agricultural commodities to invest in.

Government’s resolve to allow for the amendment of Section 25 of the Constitution to allow for expropriation of land without compensation is a nail in the coffin of the agriculture industry, according to Agri SA president Dan Kriek.

Although it seems as if a truce has been reached in the ongoing trade tensions between the US and China, soya prices and pork production in South Africa may still be negatively affected, according to the CEO of the South African Pork Producer’s Organisation, Johann Kotzé.

Despite all pesticides in South Africa being legally regulated, honeybees have increasingly fallen prey to the illegal use of these products.

The time has come to create a comprehensive soya value chain plan to create additional value for South African end-consumers, according to De Wet Boshoff, executive director of the Animal Feed Manufacturers Association of South Africa (AFMA).

The South African table grape harvest is well underway with crop volumes estimated to be between 63,2 million and 70,1 million, 4,5 kg-equivalent cartons.

A convoy of 33 trucks recently left the Overberg region in the Western Cape with donated feed destined for farmers in the drought-stricken Sutherland district.

All indications are that the illicit wildlife trade in South Africa is flourishing. This was according to the Coalition Against the Breeding and Keeping of Lions and other Big Cats for Commercial Purposes, in a letter to the Minister of Justice and Correctional Services, Michael Masutha.

Dry conditions in early summer across the central and western regions of South Africa contributed to the 27,3% year-on-year decline in national tractor sales during November 2018.

The land debate and political uncertainty have negatively affected business confidence in the agricultural industry and this was reflected in the decline in producers’ investment and spending in the industry, according to Corné Kruger, chief financial officer of the Senwes Group.

A devastating pest, the blueberry bud mite (Acalitus vaccinii) has been detected in Mpumalanga.

An oversupply of garlic on local markets is currently dragging down the producer price.

The private sector in KwaZulu-Natal should work with the provincial department of agriculture and rural development to help black farmers transform their farming enterprises from small- to large-scale commercial production, according to the department’s MEC, Themba Mthembu.

Concerns have been expressed that feedlot margins could come under pressure going forward, especially if feed prices increased on the back of delayed summer plantings.

The private sector and agribusiness in particular, can play a major role in a turnaround strategy for South Africa.

The National Assembly recently passed a motion to establish an ad hoc committee to draft a Constitutional Amendment Bill to amend Section 25 of the Constitution to allow for the expropriation of land without compensation.

The agriculture sector will end 2018 on a mixed note as dry and hot weather conditions in many parts of South Africa create uncertainty for grain production, according to Wandile Sihlobo, head of agribusiness research at Agbiz. Sihlobo was speaking at the recent Agbiz media day held in Pretoria.

Gugile Nkwinti, the Minister of the Department of Water and Sanitation (DWS), recently announced that farmers in the Western Cape would soon be allocated 90% of the water volume they were receiving before the province was hit by drought three years ago.

Positive performance in the agriculture sector in the third quarter (Q3) of 2018 has helped lift South Africa’s economy out of a technical recession.