The citrus industry is set to have a record year, with the estimate for exported 15kg cartons revised to 203 million, up from an expected 171 million at the start of the season. By all accounts, it’s an exceptional year. All partners have cooperated to make this a success, and most importantly the logistics flow and the ports have also held up well overall. This comes at a time during which policy discussions, government restructuring, trade issues and future vision have been top of mind.
By Boitshoko Ntshabele, CEO of the Citrus Growers’ Association of Southern Africa
Last week we reported on the colloquium that the Department of Agriculture (DoA) held in August, articulating the evolution of pesticides policy, and highlighted that wherever policy ultimately lands, it must not negatively impact the access to tools for the agriculture industry. The Department of Agriculture formally separated from the Department of Land Reform and Rural Development in April this year, following the reorganisation of government that was announced last year.
Much of the current year was overshadowed by the change in US policy and the imposition of reciprocal tariffs, with the other dominant issue being South Africa’s G20 Presidency, which ends next month.
Also read: R1,2m agreement gives black citrus growers a boost
Export Expectations Exceeded
The citrus industry’s Vision 260 was conceptualised with the goal of exporting 260 million 15kg cartons by 2032, with an estimated 100 000 jobs created. Agriculture exports have exceeded expectations, especially considering the general headwinds and geopolitical tensions. Given all this background, it seems there is an opportunity to refocus and reorient policy to support the growth potential within agriculture.
Since the onset of the US tariff issue, the government has spoken of market diversification, but there has yet to be any substantial clarity on how the sector can achieve this. The additional volume soon to come from our sector requires new and diverse markets. The contribution of agriculture to the economy continues to beg for a response from government to channel the positive momentum into a direction where all stakeholders are aligned, so that opportunities are created especially for private-public partnerships (PPPs) as envisaged in the Agriculture and Agro-processing Master Plan (AAMP).
Also read: Citrus growers appeal to Ramaphosa for urgent US trade intervention
Optimism Breeds Investment
The positive sentiment from the season’s performance seems to be crowding out the negatives experienced, creating an air of optimism for the future. Optimism in agriculture often translates into further investment, so the economists tell us!
The AAMP is premised on a PPP approach, and with a bit of optimism in the air, the time to strike is now in terms of implementation. This past week a report by the Centre for Development and Enterprise rightly highlighted what it called South Africa’s “unemployment catastrophe”. Turning the hope offered by agriculture into jobs will only be possible if government and the private sector work together. One of the long-standing criticisms of South Africa is that as a country we have fantastic plans, but we are often poor at executing them. Is it not time for the DoA to step up and drive the initiatives envisaged in the AAMP? The timing is certainly right, especially with exports as a focus to drive inclusive growth.
Also read: Citrus growers sound alarm over US tariff on exports
