Every resident of South Africa is harmed by the rising diesel price and agriculture faces an extra challenge, as several farmers are currently rethinking whether they can still plant profitably, and this is compromising food security.
The new planting season has begun, and input costs generally increased, but the umpteenth rise in the diesel price may be for some farmers the straw that breaks the camel’s back.
“There is no doubt that there are several farmers who now must look at the numbers to see if it is still profitable for them to plant with all the input costs that are increasing. The government must realise that there are big problems here if the situation is not addressed,” says Mr Bennie van Zyl, TLU SA General Manager.
“TLU SA wants to know what the government will do to stabilise the rising diesel price, keep farmers in production and thus ensure food on people’s tables.”
Mr Henk van de Graaf, TLU SA Regional Chair: North, adds: “The diesel price is influenced by the increase in the oil price, but also the weakening of the Rand. And this is due to poor economic policy and uncertain economic conditions created by the government. It is the government’s responsibility to create environment of confidence so that the Rand does not continue to weaken.”
While the rising diesel price – a rise almost R10 since this time last year – is affecting agriculture on a large scale, there are also concerns about the implications for the public in general.
“Economic growth is counteracted, and every resident of the country is harmed. In fact, the government is impoverishing the country’s citizens. There is a large part of our population that can no longer afford the basics, and this can result in major negative events,” says Mrs Erika Helm, TLU SA Local Government.
One of the first options to bring relief is an increase in the diesel rebate.
Read the original article in Afrikaans on TLU SA
