Here is Sihlobo…

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He says president Cyril Ramaphosa reaffirmed government’s commitment to ensuring agriculture is amongst the key sectors that will drive growth and job creation in South Africa during his State of the Nation Address (SONA).  Ramaphosa committed to various master plans that are currently being developed, with specific mention of the sugar and poultry master plans. These are industries that have been under pressure in the recent past, in part, because of rising input costs especially with regard to grains in the case of poultry. Stiff competition from imported products also played a role.

According to Sihlobo, trade policy has a role in stabilising both industries. Moreover, the public-private sector approach that the master plans take is key to ensuring that plans are not only drafted but that there are commitments to execute them in the interest of developing the agricultural sector.

He says Ramaphosa also noted that government will implement key recommendations from the Presidential Advisory Panel on Land Reform and Agriculture to accelerate land redistribution, expand agricultural production and transform the industry. Not all proposals in this particular report require legislative amendments, but those that do will have to follow the usual route of public consultation. Agbiz and other affected stakeholders will make use of all available avenues to provide inputs.  

He adds the ongoing debate about Section 25 of the Constitution, however, is the most contentious issue in South Africa’s agricultural policy currently and policy clarity in this regard is critical in determining the long-term prospects of the country’s agricultural sector. 

That was Wandile Sihlobo, Chief Economist at the Agricultural Business Chamber of South Africa, Agbiz.

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