“We are focused on ensuring that South Africa’s agricultural value chain operates efficiently, especially with a potentially large crop this season,” says André van der Vyver, Executive Director of the South African Cereals and Oilseeds Trade Association (SACOTA).
By Maile Matsimela, digital editor at African Farming
The South African Cereals and Oilseeds Trade Association (SACOTA) directors met with Minister Steenhuisen to discuss critical measures aimed at improving efficiencies in South Africa’s agricultural value chain. The discussions highlighted both the movement of products from farmgate to processing facilities and the export of surpluses abroad.
Addressing Value Chain Inefficiencies
According to Van der Vyver, traders play a crucial role in moving products along the value chain. “With the prospect of a large maize and soybean crop, it is essential to ensure logistics are fully optimised to prevent bottlenecks and additional costs,” he said.
The meeting also emphasised the importance of imports, particularly wheat. South Africa produces only about 50% of its wheat requirements, with the remainder imported. Inefficiencies in this process risk higher flour and bread prices for consumers.
Also read: MUST READ: Important update on wheat tariffs
Tariffs and Quotas
A major issue discussed was the ongoing ITAC wheat tariff application, which has been pending for 16 months. SACOTA supports monthly tariff adjustments, similar to the fuel levy system, to enhance value chain efficiency.
Another pressing matter is the annual implementation of the EU-SACU Economic Partnership Agreement, specifically the Tariff Rate Quotas (TRQs) for wheat. “Seven vessels are currently waiting in Durban to off-load wheat, and delays in approvals are costing the economy millions in demurrage, storage and interest costs,” Van der Vyver explained. While the Department of Trade, Industry and Competition (the dtic) Minister Parks Tau signed off on the TRQs on 26 January 2026, SACOTA awaits action from Finance Minister Enoch Godongwana to clear the backlog.
Transparency in Commodity Trading
SACOTA also raised concerns over transparency on the JSE. Price volatility has increased the demand for detailed reporting similar to the ‘Commitment of Traders’ (COT) reports published by the CMEGroup in Chicago. “It is vital that all market participants have access to position data, so the market remains fair and efficient,” Van der Vyver noted.
With an anticipated large maize and soybean crop, efficient logistics and rail transport were highlighted as urgent priorities. The industry requires a coordinated effort to minimise delays and extra costs, particularly in moving high volumes quickly.
Also read: How maize and soybean price fluctuations shape South Africa’s poultry industry
Access to International Markets
International market access was another focus. SACOTA stressed the importance of ensuring timely phytosanitary clearances and GMO permits, particularly for markets not accessed in the last three years due to drought. “Expanding into new markets is always a priority, and every participant in the value chain is crucial to maintain a competitive and efficient export programme,” said Van der Vyver.
Minister Steenhuisen reaffirmed his commitment to keeping communication channels open between the Department of Agriculture, SACOTA export members and the broader industry to ensure the most efficient export operations possible.
SACOTA says it remains focused on addressing value chain inefficiencies and ensuring South Africa can export surpluses efficiently, safeguard consumer interests, and maintain strong international trade relationships. “Collaboration across the value chain and with government is key to achieving these goals,” Van der Vyver concluded.
Also read: Youth-led farm celebrates soybean harvest in Eastern Cape
