The agricultural sector has had a few seasons of higher machinery sales, supported by improved incomes for farmers due to ample harvests and higher commodity prices
The country needs to expand agricultural production and create jobs, particularly in the most food insecure provinces of Limpopo, KZN and the Eastern Cape
The weather event is predicted to bring above-normal rainfall in January before easing up, but the northeast may remain dry
The effects of the mid-summer drought are being felt but the country’s needs should be met with some over for export
The ban raised global food insecurity fears in 2023, but improved harvests and potential policy changes have eased concerns, benefiting import-dependent countries like South Africa
Despite this drop, trade figures remain encouraging, but various departments need to address policy and other issues to boost exports
The mid-summer drought and animal diseases resulted in reduced crop yields and hurt the poultry, piggery and cattle sectors
The 2023-24 production estimate has been lowered by 2% to 13.06 million tonnes, 21% down from the 2022-23 season
While we could see food price inflation remaining relatively softer in the coming months, there are some possible upside price risks on bread and cereals and meat.
But, for employment to be improved, the sector faces a number of problems that must be resolved including port inefficiencies, poor rail and road infrastructure, municipal service delivery, crime, and geopolitical tensions