/ 20 June 2009

Agriculture council: SA must produce more food

South Africa should produce more of its own food, the National Agricultural Marketing Council said on Friday.

”Government and policy makers have looked at our long-term ability to produce more of our own food. If we did so and we lessened our dependence on imports, this would have a positive effect on food prices,” the council’s Simphiwe Ngqangweni told a conference hosted by the National Consumer Forum in Midrand.

He added that food prices were showing a trend of coming down.

”Food prices reached their peak in August and now food price inflation is slowing, but it’s still a factor behind overall inflation.”

While the maize price had come down, the price of retail maize meal had not.

”Retailers tell us they use different strategies to price products.”

A matter of concern was that food cost more in rural than in urban areas.

”All the food is produced in rural areas but is transported to urban areas for processing. It then goes back to the rural areas for consumption. This tells us that maybe we should have more processing facilities in the rural areas,” he said. – Sapa