Food security in the country, whether the ANC know it or not, will depend on the white commercial farmers.
This was the summary of the message, from Dr. Hennie Davel, formerly of the Maize Board and Senwes, given to the TAU SA Young Farmer Conference held in Midrand. Dr. Davel gave an overview of the South African economy.
He said one of the major problems of South Africa’s economy is that it is now leading to socialism. “The economy does not produce, but only consumes.”
Disharmony is one of the problems in the economy. If one part of the population gets richer, it leads to suspicion by the other part of the population. Then measures are put in place to set it right, and so disharmonies appear instead of trying to live in harmony with each others work and build up for the common good of all.
Dr. Davel also identified lack of leadership as a problem. “The economy is driven by entrepreneurs, not by government officials.”
With specific reference to the problems of the agricultural economy, he said that property security is currently the biggest challenge. “Nobody works to give its goods to the state. The environment should be stable. ”
Labor costs are rising and farmers will have to deal with that individually, and in addition, security costs are high and necessary to protect lives and assets.
On the positive side, there is a greater demand for food in South Africa and the world.
Production potential drops. Big Bushveld cattle farms now house white Springboks, and farmers next to the Vaal Dam have converted to lifestyle farms where no there is no more production. “It makes existing farmers’ production opportunities in essence only better.”
He pointed out that although there is a larger maize crop this year, the profit is much lower. Last year, farmers nationwide on average posted a profit of R2 600 per hectare, and it has reduced to R181 per hectare this year.
He recommends that farmers should be more than just an industry to diversify risks.
Read the original article in Afrikaans on Die Vryburger
South Africa Today – South Africa News
