Chris Hani District Municipality

Farming in South Africa is being hobbled by power cuts and poor roads. Rural towns are being hit hardest

Retrieved on: 
Monday, June 5, 2023

The sector’s gross value added grew by 14.9% in 2020, 8.8% in 2021 and modestly by 0.3% in 2022 .

Key Points: 
  • The sector’s gross value added grew by 14.9% in 2020, 8.8% in 2021 and modestly by 0.3% in 2022 .
  • The current season is also likely to deliver solid growth for the sector, with variation across sub-sectors.
  • Export performance is likely be robust, especially with a weaker rand exchange rate, which makes South African products more competitively priced in the global market.
  • These challenges highlight the effects of weak governance across all spheres of government in South Africa.
  • Farming and agribusiness play a crucial role in sustaining the economies of small towns and rural areas.

Roadblocks facing farmers

    • The impact that poor roads have on farmers is well illustrated by a recent case in the Eastern Cape province.
    • Dairy farmers in the Ncorha area struggled to receive farm supplements, feeds and diesel because of the poor state of roads.
    • Water has often been flagged by various agribusinesses and farmers as another major problem.
    • Harvest and livestock theft affect all farmers and are much harder for new entrant farmers without a strong financial position to invest in security and technical solutions.

Why strong agricultural sector matters

    • Agriculture is one such sector, while agribusiness and agro-processing also present a range of employment opportunities.
    • The recently launched Agriculture and Agro-processing Master Plan presents practical steps for implementing Chapter Six of the National Development Plan, which outlined a vision for developing the agricultural sector further.
    • Public-private sector partnerships can also be considered to help tackle some of these challenges.