South Africa’s grain farmers are facing increasing pressure, with urgent warning signs emerging. This was highlighted by Grain SA in a statement following a two-day congress held last week at Nampo Park in Bothaville, Free State.
By Lebogang Mashala, editor at African Farming
At the Grain SA Congress 2026, producers, policymakers and industry leaders confronted a sobering reality: Rising input costs, declining commodity prices and persistent policy uncertainty are pushing farm profitability to its limits.
The message from this gathering was clear: Without profitable farmers, South Africa’s food security is at risk.
Attended by 615 delegates, the congress firmly placed grain producers at the centre of the national conversation. Although farmers continue to demonstrate resilience and innovation, discussions emphasised that the current operating environment is imposing unsustainable pressure on both profitability and long-term viability.
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Profitability Key To Food Security
Across keynote sessions, commodity discussions and policy engagements, a consistent theme emerged: Grain producers are being squeezed from all sides.
High input costs, softer grain prices, policy uncertainty and increasing global volatility are all converging at farm level. Producers stressed that food security cannot be separated from farm profitability; a financially unviable farming sector ultimately weakens the entire food system.
Input Costs and Weaker Markets Tightening Margins
Fertiliser remains one of the largest cost drivers, accounting for between 35% and 50% of production expenses, while fuel contributes a further 12% to 18%.
Producers were warned that additional pressure is likely, with rising shipping risk premiums, geopolitical instability and anticipated diesel price increases expected to further erode margins.
This is compounded by the reality that many farmers are now harvesting or preparing to plant into significantly weaker markets than when input decisions were made. In effect, producers are carrying the cost of an expensive crop into a lower-priced market, a scenario that undermines profitability from the outset.
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Call For Predictability, Not Protection
A key message from producers was that the challenge extends beyond normal agricultural risk – it is the growing unpredictability that is most concerning.
While farmers are accustomed to managing weather variability and market cycles, Congress highlighted that policy uncertainty, delayed administrative processes and deteriorating infrastructure are now amplifying these risks.
Producers emphasised that they are not seeking protection from the market, but rather a predictable and enabling environment where policies are clear, decisions are implemented on time, and infrastructure supports efficient production and trade.
Wheat Sector Under Sustained Pressure
The wheat value chain emerged as a particular area of concern.
South Africa remains structurally reliant on imports for approximately 40% to 50% of its wheat requirements, while local producers face increasingly challenging production conditions.
Grain SA used the platform to reiterate its call for a more predictable, responsive and transparent tariff regime. Delays in tariff adjustments, it warned, introduce avoidable volatility and further strain producers’ financial positions.
The organisation also highlighted the need to address broader structural imbalances within the wheat market through appropriate institutional processes.
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Infrastructure Decline Hitting the Bottom Line
Infrastructure inefficiencies featured prominently in discussions.
Producers noted that poor road conditions, costly logistics and declining rail performance are no longer peripheral challenges but direct contributors to rising production costs. Each delay, breakdown and detour adds to the cost burden and erodes farm-level profitability.
While there has been renewed focus on agricultural logistics corridors, delegates stressed that delivery on the ground is now critical. Improved rural roads, efficient freight systems and better port performance are essential to restoring competitiveness.
Access to Innovation Critical for Competitiveness
Maintaining global competitiveness will depend heavily on access to innovation and technology.
Grain SA emphasised the need for faster regulatory processes, greater harmonisation and improved access to advanced genetics, crop protection solutions, digital tools and mechanisation.
The organisation cautioned that delays in accessing new technologies place South African producers at a disadvantage compared to international competitors.
Focus on Disciplined Farm Management
Alongside external challenges, Congress also underscored the importance of disciplined decision-making at farm level.
Speakers encouraged producers to prioritise profitability over yield alone, optimise input use, tailor management practices to specific field conditions, and make greater use of data-driven decision-making.
In a low-margin environment, success will increasingly depend on precision, efficiency, and adaptability.
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Clear Call To Action
The congress concluded with a strong call to action.
The government was urged to accelerate efforts to create a more predictable policy environment, reduce regulatory bottlenecks, and implement tariff and administrative decisions without delay. Infrastructure reform must translate into tangible improvements at farm level, particularly in roads, logistics and freight systems.
At the same time, value-chain stakeholders were called on to engage more constructively with the sustainability challenges facing primary producers, especially where structural imbalances persist.
Despite the pressures, South Africa’s grain farmers remain committed to producing food, supporting rural economies and contributing to national growth.
However, the message from Bothaville was clear: Without profitable producers, long-term food security cannot be guaranteed.
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