Business Unity South Africa (BUSA) welcomes the appointment of President Cyril Ramaphosa and views his appointment as a key milestone in the revival of business and investor confidence in South Africa.  "The positive movement of the local currency following the events of the past few days is indicative of the importance of political certainty, accountability and good governance in advancing South Africa's economic fortunes. As the business community, we stand ready to work in partnership with the President Ramaphosa in creating a conducive environment for sustainable and inclusive economic growth," said BUSA CEO Tanya Cohen. Download media release here»

With recent changes on the political front, Media24 earlier this week published remarks from some economists and agricultural leaders . Dr John Purchase, CEO of Agbiz, shares his thoughts on Zuma's exit in the  linked news article»  [Afrikaans].

Food security remains a topical issue in many African countries, where maize is, by and large, the staple food. Kenya remains a net importer of maize, following a harsh drought in the 2016/17 production season. The thin resources available in Malawi, Zambia and Zimbabwe remain stretched as drought and fall armyworms threaten the 2017/18 maize production season. South Africa also started the 2017/18 production season on a bad footing, as I highlighted in this column the difficulties brought by extreme dryness in the western sections of the Free State and North West provinces at the beginning of the year.  Read more  in Wandile Sihlobo's Business Day column published on 15 February 2018.

After experiencing a decline in employment in the first three quarters of 2017, South Africa's agricultural sector recorded a 5% q/q rebound in employment in the fourth quarter to 849 000 jobs. This quarterly increase was mainly in field crops, horticulture and livestock sub-sectors. The provinces driving it were the Western Cape, Eastern Cape and KwaZulu-Natal. Overall, while the quarterly uptick is encouraging, agricultural employment is still down when compared to the corresponding period the previous year. Wandile Sihlobo, Agbiz economist, provides more information in the linked update»

Food prices have been in the headlines for some time in South Africa - from drought related concerns to the abundance of supplies on the back of a big harvest. However, there's has been little discussion or explanation of the price transmission mechanism in the food industry. This has led to a situation where some consumers expect a decline in maize prices to lead to a similar movement in maize meal prices.  Read more in Agbiz economist, Wandile Sihlobo's  linked blog post»

- www.businesslive.co.za

A new agribusiness powerhouse is heading for listing on the JSE after proposals by Western Cape-based Overberg Agri and Acorn Agri to merge.  

Overberg Agri offers grain-storage services, a retail facility, mechanisation equipment, financial services and packaging solutions as well as holding investments in Boltfast (steel fasteners), Bontebok Limeworks, the Bredasdorp Abattoir and Moov (fuel distribution). It also owns a 2.1% stake in JSE-listed consumer brands giant Pioneer Foods.   Acorn has investments in fruit marketing companies ACG Fruit (73%), Grassroots Group (59.5%) and Montagu Dried Fruit and Nuts as well as a 25% stake in Lesotho Milling. It also has a holding of 11.1% in Port Elizabeth-based agribusiness BKB  -   Read more»

Companies can have a "blind spot" when it comes to the impact of climate change. Climate risks are frequently seen as an issue too complex and too distant to quantify, rendering the perception that they are too indistinct and abstract to justify a given business decision. Predictions of rising sea levels or other physical impacts by 2050 or 2100 do not align to typical corporate operational and strategic planning timelines of 12 to 36 months. In other instances, companies also respond to climate risks narrowly via corporate social responsibility (CSR) goals in the area of sustainability reporting. Consequently, they have focused the management of climate risks to being compliant with regulatory or market standards. For more information, click the link to download Marsh & McLennan Companies' Global Risk Center's Climate Resilience 2018 Handbook

Zimbabwe President Emmerson Mnangagwa has unveiled a new national investment policy statement that outlines guidelines for investing in the country.  The statement is one of the ways Zimbabwe's government is attempting to attract investors and revitalize the country's poorly performing economy. If implemented effectively, the policy may result in an increase in agriculture production and growth in the nation.  Priority sectors in the 34-page  document include mining, manufacturing, agriculture, infrastructure development and dam construction.  The new policy may open the door to trade opportunities in the areas of non-genetically modified seeds, rice, food ingredients, consumer-oriented products, animal feed, plant varieties, wheat, sorghum and legumes.    Read more»