Dear Editor
The Western Cape Department of Agriculture yesterday warned that the ongoing conflict between Ukraine and Russia continues to pose a major threat to the South African and Provincial agriculture sectors.
During a briefing to the Provincial Standing Committee on Agriculture the Department highlighted the impact of the war on the farming sector in particular, especially as it relates to the cost of production. The rise in the price of fuel, fertilisers, shipment costs as well as the stopping of fruit packing, the floods in KwaZulu-Natal and the previous bottlenecks at the Port of Cape Town have all contributed to the rising costs in production. This will lead to an inevitable increase in food prices.
The Department again emphasised that the South African public should expect a significant increase in the price of wheat-related products such as bread and cereal. This will have devastating consequences for the poor as the rise in food prices will have an unavoidable impact on food security.
MPP Andricus van der Westhuizen says, “We are already seeing sharp increases in the prices of basic food products, with further increases to follow. The Western Cape Standing Committee on Agriculture requested the National Government to consider exempting additional food products from Value-Added-Tax. It is an appalling thought that fast-rising food prices will result in an increase in the amounts raised through VAT for the government. Again, the poor will suffer the most.”
Due to a lack of favourable bilateral agreements with lucrative international markets, South Africa’s agriculture sector has been left exposed. The DA urges the National Departments of Agriculture and Trade and Industry to explore favourable agreements with more stable markets in order to alleviate some of the shock brought on by the war.
I am pleased by the Western Cape Government’s proactive response to the impact of the war on local communities. The Provincial Government has already committed to expanding and supporting food gardening programmes in vulnerable communities in order to bring some relief to escalating food prices.
I also look forward to engaging Western Cape Minister of Agriculture, Dr Ivan Meyer, on further actions he will be taking to support the agriculture community.
Regards
Andricus van der Westhuizen, MPP
DA Western Cape Spokesperson on Agriculture
