We are
beginning to be concerned about the impact of these excessive rains on
agriculture, particularly summer grains and oilseed regions. The crop has matured
in most areas, and some planted earlier are now ready to harvest. However, with
these excessive rains, it may prove impossible to access the fields.
Since
we had a late start to the season, roughly a month behind the typical schedule,
some areas aren't harvest-ready yet. Still, there is a need for sunshine for
crops to mature. The frequent rains and scant sunshine also mean there are
areas where, for example, some soybeans may start to
germinate – an awful thing if it happens.
Of
course, we aren't changing our optimistic view about South Africa's 2024-25
summer crop season. We remain optimistic that this will be a recovery season
for South Africa's agriculture. However, I am concerned about the quality of
the crop and the timing of the harvest.
The
Crop Estimates Committee places South Africa's 2024-25 summer grain and
oilseeds production at 18,0 million tonnes, up 16% of the prior season's crop.
This comprises maize, sunflower seed, soybeans, groundnuts, sorghum and dry
beans.
I never
thought one would say this, but we badly need sunshine in South African
agriculture.
When
the market closed today, April 24, 2025, South Africa's white maize May 2025
contract month price was R4,685 per tonne (up by R199 from the previous day),
and yellow maize at R4,450 per tonne (up R107 from the prior day). All other
contract month prices are around R4,500 per tonne or below.
The
current price levels for white maize are approximately 20% lower than last
year, and those for yellow maize are roughly 4% lower than last year.
Email: wandile@agbiz.co.za
0 COMMENTS
LEAVE A COMMENT