South Africa’s agriculture sector is poised for recovery in 2025, supported by favorable conditions and strategic interventions. Improved dam levels and a stable electricity supply are expected to benefit the horticulture subsector, encompassing fruit, vegetables, and floriculture. These factors create an ideal environment for recovery, even though some challenges persist.
The La Niña rains brought much-needed relief to many parts of the country, although their delayed arrival in regions like Delmas in Mpumalanga, Limpopo, and parts of the Free State added strain on grazing lands and delayed summer crop planting. While some farmers in these areas face ongoing financial difficulties, overall agricultural production conditions are anticipated to improve compared to 2024. That year was marked by a mid-summer drought and challenges related to animal diseases.
Notably, South Africa has made significant progress in controlling foot-and-mouth disease and other animal diseases such as avian influenza and African swine fever. This development positions the livestock and poultry subsector for recovery, contingent on sustained improvements in grazing lands and yellow maize production, which is essential for animal feed.
The horticulture subsector stands to gain from better irrigation supported by improved electricity supply. This subsector relies heavily on irrigation for the production of fruits, vegetables, and floriculture products. Stable electricity also supports processing activities in red meat, poultry, piggery, wool, and dairy production, as well as agribusinesses involved in milling, packaging, and vaccine production.
Reflecting on 2024, the agricultural sector faced a mix of challenges and opportunities. The year began with promising rains, encouraging farmers to plant slightly larger areas of summer grains and oilseeds. However, a severe heatwave and lack of rain from February to March led to significant crop failures. By the end of the season, the harvest for summer grains and oilseeds was down 23% compared to the previous year, resulting in tight grain supplies and higher commodity prices.
Animal diseases remained a significant issue, with outbreaks of foot-and-mouth disease, African swine fever, and avian influenza causing disruptions. However, efforts to strengthen biosecurity controls and improve veterinary services have yielded positive results, including the resolution of foot-and-mouth disease in several provinces. These advancements support South Africa’s ambitions to expand its red meat exports.
On the positive side, improvements in electricity supply contributed to robust horticulture production and enhanced processing capabilities. Collaborative efforts to address logistical challenges have also borne fruit, as seen in the 4% increase in agricultural export values during the first three quarters of 2024. Key exports included citrus, nuts, maize, apples, pears, and wine, among others.
The continuity of agricultural policies, particularly the implementation of the Agriculture and Agro-processing Master Plan, has further bolstered sector confidence. This approach has allowed stakeholders to focus on growth-oriented programs without the disruptions of new policy introductions.
Looking ahead, 2025 holds promise for South Africa’s agriculture sector. Better rainfall and improved disease control are expected to boost output. Priorities for the year include opening new export markets, enhancing infrastructure, and ensuring effective municipal services. Continued implementation of the Master Plan will be critical to achieving inclusive growth and sustained recovery in the sector.
