Farmers are calling for action to be taken to address delays at the country’s ports, outbreaks of animal diseases and rising interest rates.
According to the Agribusiness Confidence Index, commercial farmers’ outlook is currently low, influenced by weaker consumer spending and other challenges.
During a seminar hosted by Wits University and the Southern Centre for Inequality Studies, Agricultural Economist Wandile Sihlobo says South Africa’s productivity and competitiveness are being hindered by port congestion.
“And you see of course the stories of the ports; both local and national perspective about how competitive we are. But also when you’re looking at the delays that have been there in various ports on moving up the perishable products that begins to be one of the things.
I think you will appreciate that about how half of what we produce in value terms, 51% to be exact got to the export market. So if those ports and logistics are not up to scratch then we begin to have a bit of more problems in as far as the profitability within the business; and that’s largely again the commercial aspect of agriculture.”
– Reporting by Matimu Khosa
