The following is derived from a Business Day podcast by Wandile Sihlobo on 1 March, with cold chain commentary by Cold Link Africa
Maize supply, export potential and cold chain implications
With a projected maize harvest of 13.9 million tons, South Africa is set to meet its domestic consumption of 11.8 million tons while remaining a net exporter. Farmers favored white maize due to its higher price—nearly R1,000 per ton more than yellow maize—while some shifted yellow maize fields to soybean production.
A strong maize and soybean harvest will increase demand for cold storage and efficient transport within the cold chain. As South Africa exports maize and other grains, maintaining quality during transportation will be critical. Additionally, increased soybean production may benefit the animal feed industry, influencing the cold storage needs of the poultry and livestock sectors.
Favourable weather and market impacts
Forecasts indicate that favorable rainfall will persist through March, benefiting late-planted crops in their pollination phase. This could further boost yields. Commodity prices for maize, soybeans, and sunflower seeds have eased slightly compared to January, reflecting confidence in the harvest. However, prices remain elevated year-on-year, which is beneficial for consumers but poses a challenge for farmers managing high input costs.
Livestock and horticulture recovery with cold chain considerations
The livestock sector, recovering from disease outbreaks in 2024, has resumed exports to key markets in the Middle East, Asia, and North Africa. Authorities are emphasising stricter disease surveillance and vaccine accessibility to prevent further disruptions. The resumption of exports places renewed importance on cold chain logistics, as temperature-sensitive meat products must meet stringent international standards.
Horticultural producers are also benefiting from improved rainfall, reducing the need for irrigation and improving dam levels. However, stable electricity supply remains a concern for irrigation-dependent farming. Additionally, fresh produce exports require efficient cold storage and transport solutions to maintain quality in international markets.
Outlook for the agricultural sector
With stable planting efforts, improved rainfall, and a recovering livestock industry, 2025 is shaping up as a strong rebound year for South Africa’s agricultural sector. Further crop estimate revisions in the coming months will provide a clearer picture of the recovery. However, challenges such as energy supply for irrigation and cold chain infrastructure remain key concerns.