The latest policy discussion document published by the African National Congress (ANC) presents a positive change from the ambiguous agriculture policy the South African governing party has maintained in the recent past. The latest document talks to the primary issues that, if implemented relentlessly, would drive the sector’s growth in ways that would benefit all. The policy document is set for debate at the ANC’s policy conference in July, which is a precursor to the party’s elective conference scheduled for December this year. The previous policy documents were clouded by the proposals to amend the constitution to allow for the expropriation of land without compensation under specific circumstances. Agbiz chief economist Wandile Sihlobo shares his views in the linked article, written for and first published on The Conversation.

Minister of Agriculture, Land Reform and Rural Development Thoko Didiza and several agricultural and agribusiness groupings signed the Agricultural and Agro-processing Master Plan in Parliament on 12 May 2022. The process was the culmination of two years of research, various drafts, late nights, and heated debates. "In following the debate after signing and publication of the master plan, I have been surprised at the strong views both for and against it. Understandably, some people have asked whether this is not just ‘another plan’ that will never be implemented? I have sympathy for this question as previous processes such as the National Reference Group on Land Reform (NAREG) and Operation Phakisa came to nought. However, I do think it is necessary to provide some context and highlight some points that readers can reflect on." Agbiz CEO Theo Boshoff shares his views in the linked article, written for and first published in Farmer's Weekly.

Agbiz submitted its comments on the Climate Change Bill to the Portfolio Committee on Environment, Forestry, and Fisheries on 26 May 2022. The purpose of the Climate Change Bill is to craft and implement an effective national climate change response, including mitigation and adaptation actions, which represents the Republic’s fair contribution to the global climate change response. Its main objective is to enable the development of an effective climate change response and the long-term, just transition to a climate-resilient and a lower-carbon economy and society. In the linked article, Agbiz head of Legal Intelligence Annelize Crosby highlights the main points in Agbiz's submission.

Food security has dominated global media headlines since the Russia-Ukraine war began four months ago. While prices of food products are rising globally, not all countries are negatively affected the same way. The poor nations and those with generally low productivity in agriculture, such as much of the African continent, feel the impact more severely than others. South Africa is in a relatively fortunate position because of its vibrant agricultural sector, which cushions the country against food shortages in the foreseeable future, but price increases will be felt by consumers. Agbiz chief economist Wandile Sihlobo explores this subject in the linked article, written for and first published on Econ3x3.

South Africa's 2021/22 agricultural production season started on a rough footing. The excessive rains in various regions of the country damaged some field crops and vegetables and necessitated replanting. We feared that the effects of the rough start of the year would show in primary agriculture jobs numbers. Positively, the data released by Statistics South Africa today shows a 7% year-on-year improvement in primary agriculture jobs to 844 389 jobs in the first quarter of this year. This is well above the long-term agricultural employment of 780 000. The increased activity on farms during the replanting process, combined with the decent deciduous fruit harvest, supported employment. Other subsectors such as livestock also contributed to employment. The subsectors that shaved employment during this period were forestry and aquaculture (ocean and coastal fishing and fish farms). Wandile Sihlobo discusses the latest jobs data in the linked article.

South Africa’s 2021/22 summer crop harvest activity is underway and the initial yields reports are positive. Thus, we welcome the positive picture painted by the Crop Estimates Committee’s fourth production estimate released this past week. The Crop Estimates Committee kept most production estimates unchanged from last month except for soybeans. The soybeans 2021/22 production estimate was lifted by 2% from last month to 1,93 million tonnes. If this materialises at the end of the season, it will be the largest harvest on record. The major factors underpinning the harvest are expansion in area plantings and expected better yields in some regions. In the linked article, Wandile Sihlobo shares his insights on the latest crop data.

Stakeholders in the grain and oilseeds sector, including producers, storers, traders, millers, animal feed manufacturers, bakers and consumers, had already submitted a proposed amendment to the maize grading regulations for the 2022-23 marketing year on 11 August 2021. The process progressed slowly. Consequently, they decided on 9 March 2022 to apply for a voluntary dispensation amid the wet production season. Agbiz Grain general manager Wessel Lemmer discusses this topic in the linked article, written for and first published in Landbouweekblad.

Economists are increasingly turning to new technologies that help track indicators such as growth and inflation in real time to sharpen their forecasts and offer better input for policymakers. Nowcasting, or forecasting of the present, is especially promising for developing economies where statistical authorities may not release indicators frequently. The IMF has developed an approach that pairs high-frequency data with machine learning, a kind of artificial intelligence, to provide economic-growth nowcasts and help policymakers make better decisions. Read more in the linked International Monetary Fund (IMF) blog post.

Low grain deliveries by farmers have triggered panic in Zimbabwe, just days after an official claimed the country was food secure. According to the ministry of lands, agriculture, fisheries, water and rural development, just 5,000 metric tonnes of maize have been delivered to the Grain Marketing Board (GMB) since the marketing season opened on April 1. Officials are now threatening to implement draconian measures allowing the GMB, which holds the state’s grain reserves, to seize any grain that has not been delivered to its silos. John Basera, the secretary for lands and agriculture, has ordered the GMB working with security services to conduct what he described as “grain busting operations” to seize large stocks of maize held by farmers, including intercepting its movement. Read more in the linked article, first published on ZimLive.com.

A study, undertaken as part of the European Union (EU) and Southern African Customs Union (SACU) Economic Partnership Agreement (EPA) on trade in goods, has highlighted specific opportunities for various industries to grow and/or diversify their exports and, in the process, help to offset some export risks some industries face. The study, undertaken by market research company Trade Research Advisor, modelled trade opportunities for companies trading out of Southern Africa into the EU, and vice versa, in terms of transportation, economic, commercial and socioeconomic metrics. Read more in the linked article, first published on Engineering News. 

On 26 May 2022, International Finance Corporation (IFC) and the National Cleaner Production Centre (NCPC) South Africa, in partnership with the Swiss Secretariat for Economic Affairs (SECO), launched a metering and monitoring guideline to enhance resource efficiency in the agri-processing sector in South Africa. The guideline identifies ways in which agri-processing companies can substantially reduce their resource consumption through cutting-edge energy and water metering and monitoring systems. These systems are highly recommended for agri-processing companies with very little submetering in their plants and that still rely on manual inputs to analyze resource use and efficiency. The guideline can be accessed here. Read more about the guideline in the linked article.

The El Niño-Southern Oscillation (ENSO) is currently in a La Niña state, and forecasts indicate that it will likely remain in this state during the coming seasons. During winter, the presence of ENSO has less of an impact. Thus, the presence of the current La Niña event is not expected to have any significant impact on rainfall in the coming seasons. The multi-model rainfall forecast indicates below-normal rainfall for the south-western half of the country and notably above-normal rainfall over parts of Kwa-Zulu-Natal throughout the winter season. Both maximum and minimum temperatures are expected to be above normal for most of the country. The South African Weather Service (SAWS) will continue to monitor the weather and climatic conditions and provide updates on any future assessments that may provide more clarity on the current expectations for the coming season. Please click here to read the complete Seasonal Climate Watch, published by the South African Weather Service.

In the year which ended in March 2022, the retail sales quantity of fresh milk was 6.8 per cent lower than in the year that ended in March 2021, and that of UHT milk was 2.9 per cent lower. The total estimated retail sales quantity of unflavoured and unsweetened milk (fresh and long-life milk) was 3.9 per cent lower in the year which ended in March 2022, than in the previous year. Unflavoured and unsweetened milk utilize approximately 41.6 per cent of the total raw milk production in South Africa. Read more in the linked report published by the South African Milk Processors' Organisation (Sampro). The report covers the retail sales of nine different dairy products and is based on information obtained from NielsenIQ.

The Citrus Growers' Association of Southern Africa, shares the latest news in the citrus industry in its weekly update - From the desk of the CEO. Please click here to peruse.

We are very excited to announce that the Agbiz Congress 2022 will take place from 22 to 24 June 2022 at Sun City. Our congress marks the gathering of more than 400 stakeholders in the Southern African agricultural and agri-food industry. As in the past, we are planning to bring together CEOs, senior management and board members, as well as key delegates from government, producer organisations, processors, academia and various other major role players for the Agbiz Congress 2022.

With the continued support from our sponsors, we will bring you a cutting-edge congress with world-class speakers. With the renewed possibility of hosting a face-to-face congress, we can assure you that the Agbiz Congress 2022 will be bigger and better than before and promises to be an event not to be missed.

Delegates can now register for the Agbiz Congress 2022. In line with government regulations, delegates will be required to be fully vaccinated or submit a negative PCR test 72 hours before the event. If you have already registered, our organisers will be in contact with you to verify your vaccination status. If you haven’t registered yet, please don’t hesitate to sign up as soon as possible. Please click here for more information.