South Africa’s agricultural sector is poised for recovery in 2025, following a challenging 2024. While the country faced several obstacles, including drought, animal diseases, and logistical challenges, positive developments in various areas offer hope for improvement in the new year.
In 2024, South Africa’s agriculture was significantly impacted by the mid-summer drought and the spread of animal diseases such as foot-and-mouth disease, avian influenza, and African swine fever. These challenges resulted in crop failures, particularly in the summer grains and oilseeds sector, where harvests were down by 23% compared to the previous year. The lack of meaningful rainfall from February to March 2024, combined with a severe heatwave, caused extensive crop damage and financial losses for farmers. Despite these setbacks, the overall agricultural production conditions in 2025 are expected to improve, aided by better rainfall and recovery in the livestock and poultry subsectors.
South Africa has made notable strides in controlling animal diseases, particularly foot-and-mouth disease, which had previously affected multiple provinces. By October 2024, the government announced that the foot-and-mouth outbreak had been successfully contained in several key regions. This progress has created a more favorable environment for the recovery of the livestock sector, which is a significant contributor to the country’s agricultural economy. Furthermore, improved grazing veld and a stable electricity supply for irrigation are expected to support the recovery of horticulture, including fruit, vegetables, and floriculture.
Electricity supply, which had been a significant concern in previous years, showed improvement in 2024, benefiting agricultural operations. Many aspects of South Africa’s agriculture, including irrigation for field crops like maize, soybeans, and sugarcane, rely on a stable power supply. Additionally, processing activities in sectors such as red meat, poultry, and dairy production depend on electricity. As a result, better electricity availability in 2024 contributed to more efficient agricultural operations.
Another positive development in 2024 was the improvement in the logistics infrastructure, which is crucial for the transportation and export of agricultural products. Collaboration between Transnet, private companies, and other logistical organizations helped ensure the smooth flow of goods, despite occasional delays. This collaboration contributed to a 4% increase in South Africa’s agricultural export value during the first three quarters of 2024, reaching $10.55 billion. Key export products included citrus, maize, nuts, apples, pears, wine, and avocados, reflecting strong demand for South African agricultural products in international markets.
The continuity of agricultural policies under the current government also played a crucial role in stabilizing the sector. The Agriculture and Agro-processing Master Plan, which was developed with input from various stakeholders, has provided a clear framework for the sector’s growth. The government’s commitment to policy continuity, rather than introducing new policies, has fostered a more stable and predictable environment for farmers and agribusinesses.
Looking ahead to 2025, there is renewed optimism in the agricultural sector, driven by better rainfall and progress in animal disease control. The focus for the year should remain on opening export markets, improving infrastructure, and enhancing the performance of municipalities. Furthermore, continued implementation of the Agriculture and Agro-processing Master Plan will be essential to support inclusive growth in the sector and ensure long-term sustainability. With these efforts, South Africa’s agriculture is well-positioned for recovery and growth in 2025.
