The Middle East conflict, coupled with the persistent threat of climate change and a national state of disaster regarding Foot-and-Mouth Disease, is driving input costs for South African farmers to record highs.
Speaking at the NAMPO Harvest Day in Bothaville, Standard Bank’s Head of AgriBusiness, Brendan Jacobs, warned that the geopolitical tension between the US and Iran has hit the sector through higher fuel and fertilizer costs.
Jacobs says, “So, in South Africa, a significant component of our diesel and fertilizer comes from the Middle East. So, we’ve seen significant rise in input costs and it’s very important for clients to speak to their bankers around their unique situations again, where we come in as the support in the cash flow management during that period. And again, there’s no one-size-fits-all situation. We look at each client in its own merits, but we are aware of the situation, and we look at it in that light, considering the impact that’s there.”
Meanwhile, Agriculture Minister John Steenhuisen says the government’s vaccination programme against Foot-and-Mouth Disease is gaining momentum.
Following his recent visit to Latin America, the Minister has confirmed that a massive vaccine pipeline has been secured to protect the national herd.
“We’re well on track now, having secured vaccine supply from Argentina and from Türkiye to be able to roll out that vaccination scale. From the department side, we’re hiring over 300 animal health technicians that are being deployed into the provinces to assist with the rollout. And we’ve published a section 10 that essentially allows a public-private partnership to ensure that people are able to purchase vaccines as organisations in order to do so.”
Government has recently announced a policy direction-which officially opens the door for farmers to take control of their own biosecurity through public-private partnerships.
It allows farmers to bypass the national rollout by purchasing and administering vaccines themselves, provided they follow strict traceability and state oversight rules
