He says South Africa’s agricultural commodity prices have since the beginning of the year increased notably from levels seen over the same time last year, specifically grains and oilseeds. Under normal circumstances, one would expect the price increases in agricultural commodities to translate to higher consumer prices, with a lag of roughly three to six months. This year, however, the consumer food inflation has been relatively contained.

Sihlobo also speaks about the outbreak of African swine fever in some provinces in the country. He says since April 2019 there have been 14 reported outbreaks of African swine fever, all of the cases are in various areas of the North West, Mpumalanga, Gauteng, and the Free State. These outbreaks were mainly amongst smallholder farmers. A few cases in wild boars have also been reported. The local authorities responded by quarantining and controlling the movement of pigs in affected areas.

But the industry remains concerned that farmers may give in to the temptation to rush the rest of the herd to the market when they realise that some pigs within their herd are dying because of the African swine fever. This would present a risk of further spread of the disease which leads to the point of incentives for areas that have been affected by the disease.

Here is Sihlobo...

See attached PODCAST

That was Wandile Sihlobo, chief economist at the Agricultural Business Chamber of South Africa, Agbiz.  

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