South African farmers are optimistic the nation will harvest its highest corn crop in 40 years. According to local weather services, precipitation in January and February 2017 was twice the average.
It is estimated that South Africa will harvest 14.54 million tons of corn this year. SA’s Crop Estimates Committee ( CEC ) says the surplus is close to 50%.
This season, South Africa’s exports to regional markets within the South African Customs Union ( SACU ) are expected to reach 630,000 tonnes.
For imports, Grain SA suggests that white corn can supply 70,000 tons, yellow corn imports could reach 700,000 tons. The expected upswing in this farming season will lower the cost of groceries in the market.
Farmers are looking forward to a great harvest season, especially after the 2016 drought. The prolonged drought caused by the El Niño climate phenomenon has affected not only corn production but also other crops.
According to Wandile Sihlobo, agricultural economist confirms that this year’s harvest will be amazing.
“In general, food will be one of the main issues that will keep our inflation low for some time this year”
“I look at the Reserve Bank numbers, they are about 7.7% this year. We expect 7.4% and they think it could be a factor between 5 and 6% next year. From a food point of view, I think this is going to be a good year…”
“We’re drowning in corn because as a country we only need about 10.5 million tons of corn for our annual consumption.”
He says SA’s corn harvest this year will yield around 15.6 million tons of corn. Also, there will be one million tons from last year, matching this year’s estimates of around 16 million. This means that the country has a yield of over 101% compared to 2016.
“A large part of it – about 9 million tons – is white corn, the rest is yellow corn.”
“Sending that to the export markets, it is easier to export yellow corn because everyone needs it for their feed market, but when it comes to white corn, it is only consumed by African countries as well as Mexico. “
The Ministry of Agriculture, Forestry and Fisheries also indicated that the Free State, Mpumalanga and North West provinces, which are the main areas for harvesting high-yielding corn, are expected to yield 83% of the yield in 2017.
With this expected harvest, the price of the product is expected to fall in the market. South Africa is the only sub-Saharan country where genetically modified maize is grown.
In many countries, no genetically modified grain is grown for health reasons. However, GMOs are export attractions.
Kenya, for example, struggles with a shortage of maize but insists on not accepting genetically modified grain. Countries like Burundi and Tanzania share a similar sentiment.
SA’s corn harvest facts
Corn cultivation in South Africa has a long history as the crop is considered one of the most important in the country.
Considering a 12-month period ending on 30th June 2016, the income from the corn harvest was estimated at R24,346 million. This is 14.6% less than the R28.512 million recorded in the last 12 months.
In terms of agricultural product exports, corn, at R3.467 million, was one of the most important, along with others such as citrus (R12.565 million), wine (R8.036 million), grapes (R6584 million), apples, and pears and quinces (R6,255 million). This was in the 12 months to the end of June 2016. Corn is also at the forefront in terms of export value.
Looking at the corn harvested in the country, while 43% is white corn, the remaining 57% is yellow corn (as of 2016). While the white corn is primarily intended for human consumption, the yellow corn is used for animal feed.