In this week’s episode of African Farming (Honey, channel 173, Tuesdays at 17:00) AFGRI Grain Management’s Amal Ramkelawon speaks about the tools they offer to help farmers reduce risks.
For the grain farmer, dealing with seasonal production cycles requires advance planning for storage and timely access to markets when the price is right. AFGRI’s Grain Management division plays a huge role in supporting farmers with these challenges.
“Given our infrastructure and footprint in South Africa we are in the best position to allow ease of access to farmers who can deliver to their closest AFGRI storage facilities,” says Amal.
AFGRI Grain Management has 69 silos and 21 bunkers countrywide, which provide up to 5 million tons worth of storage capacity.
“We also provide varied storage options to farmers. Our facilities are backed up by generators so that service and delivery are not affected by loadshedding. In addition to the storage facilities, we have 16 professional procurement agents strategically located throughout South Africa. They are able to provide prices to farmers on a daily basis. These agents also have market information and advice to assist farmers.”
100 years’ experience
There are some advantages to using an established market leader such as AFGRI for grain storage solutions.
“AFGRI’s been in the industry for well over a hundred years. This has paved the way for us to incorporate world-class technology and inventory management into what we offer, thus putting AFGRI in the forefront of grain management. We also provide a wide range of products and services, such as guaranteed quantity storage for prolonged periods of time, cleaning and drying of stock, as well as stock management.”
Hedging prices
The grain market can be volatile. AFGRI Grain Management helps farmers hedge against the risks of fluctuating prices.
“Volatility in the markets during the past few years, caused by events such as the 2016 drought, covid-19, and the Russia-Ukraine conflict, lead to great instability in world prices which affected grain markets.
“AFGRI offers farmers hedging tools such as fixed-price contracts, minimum-price contracts, and deferred-price contracts. This allows farmers to focus more on farming and to price at optimum levels to enhance their profitability. AFGRI’s experience and knowledge in this regard is invaluable.”
For more information, visit afgri.co.za
