‘SA could see R7bn cash injection from maize exports’

Agbiz's Wandile Sihlobo says South Africa has been forced to import maize for the past two financial years.

FILE: Picture: AFP.

CAPE TOWN - South Africa could see a R7 billion cash injection from maize exports for the first time since 2014, that’s according to the Agricultural Business Chamber.

The body's Agribusiness Confidence Index shows an increase of 2 index points from the previous quarter to 57, signalling the sector is continuing on its expansionary trajectory.

Agbiz's Wandile Sihlobo says South Africa has been forced to import maize for the past two financial years.

“From 1 May 2017 to 30 April that’s the period South Africa will be regaining its status, the next export of May.”

But he warns, not all is "rosy" in the sector, with agricultural debt at record levels.

“It’s about R142 billion and that a record level in the data that we have dating from 1980.”

Sihlobo says he anticipates 2016's data to show a further increase due to the drought.

(Edited by Zamangwane Shange)