Farming in South Africa is being hobbled by power cuts and poor roads. Rural towns are being hit hardest
South Africa’s agriculture could do even better but is held back by power cuts and poor infrastructure
Global food price index declines
The FAO Food Price Index, a measure of the monthly change in international prices of a basket of food commodities, declined by 3% in May 2023 from the previous month to 124 points. Importantly, this is 22% lower than the all-time high reached in March 2022, primarily driven by the softening prices of the cereals, dairy and vegetable oil indices.
South Africa’s agricultural growth story
Agriculture remains one of the success stories in South Africa’s economic progress, irrespective of the various challenges the country has faced over the past few decades
Kenya’s maize challenge
It is disappointing to see that in Kenya, President William Ruto’s government lost a case seeking the Court of Appeal’s nod to import Genetically Modified Organisms (GMO) maize into the country
A solid maize harvest in South Africa
South Africa’s Crop Estimates Committee lifted the country’s 2022/23 maize production estimate by 2% from last month to 16,1 million tonnes. This crop is 5% more than the 2021/22 season and the third-largest harvest on record.
Some moderation in South Africa’s consumer food inflation?
South Africa’s consumer food inflation outlook for the year’s second half is reasonably better. The key drivers of the expected moderation will be meat, grain-related products, vegetable oils, and fruits, which comprise roughly two-thirds of the consumer inflation food basket.