An index below 50 points indicates that business activity in the sector contracted, which shows businesses are holding a pessimistic view about the prospects of doing business improving.
On a year-on-year basis, the contraction is even bigger, being 15% lower in the first quarter of this year than the first quarter of 2015, when it was above 50 points.
Wandile Sihlobo, head of Agbiz’s economics and intelligence, said the agribusiness sector in SA had been below 50 points in the past four consecutive quarters, driven mainly by the drought between 2003 and 2005, and the period marked by the international financial meltdown between 2008 and 2009. Read more
Copyright © 2018 by Agricultural Business Chamber