South Africa’s agricultural sector should prioritise fixing local challenges like infrastructure and crime over being distracted by global trade risks, says agricultural economist Wandile Sihlobo.
Without once mentioning President Donald Trump, agricultural economist Wandile Sihlobo has urged South Africa to focus on the challenges facing the agricultural sector rather than the “geopolitical noise” which distracts attention from key issues such as growth and job creation.
In his blog he stressed that, while global risks could have profound implications for the country’s agriculture, “some balance and focus on domestic issues would help”.
Much of the public discourse this year “has been on international trade risks and misinformation about land reform policy in South Africa” rather than the challenges constraining agricultural growth potential.
The challenges “include poorly functioning municipalities, deteriorating roads and rail, inefficiencies at the ports, the slow process of releasing government-owned land to beneficiaries with title deeds, higher crime levels, and stock theft, amongst other issues,” he wrote.
“While it is important to address the misinformation and the risks it presents to South Africa’s participation in AGOA (African Growth and Opportunity Act), these two issues must not take all the focus and efforts of stakeholders. The domestic challenges still matter more as they directly affect the daily operations of farming businesses and agribusiness in many small towns across South Africa.”
Sihlobo urged more robust implementation of the Agriculture and the Agro-processing Master Plan, which seeks to expand South Africa’s agricultural production through an export-oriented approach, in addition to gains that can be realised domestically.
Opening new export markets would refocus South Africans on the port issues and rural roads, which require significant improvement.
“As things stand, the more attention given to global issues that various regions of South Africa have limited influence on, the more domestic challenges will continue to constrain the sector’s growth,” Sihlobo contended.
