Advertise with

Food may become “unaffordable”
Food may become “unaffordable”

Food may become “unaffordable”


IOL Business - Mar 3rd 2016, 10:17

Johannesburg - South Africa's agriculture sector, which has been ravaged by the worst drought in recent times, has seen its input to gross domestic product (GDP) shrink by 14 percent. 

This has prompted the Democratic Alliance (DA) to warn food may become “unaffordable”.

DA shadow minister of agriculture, forestry, and fisheries, Annette Steyn, said on Wednesday (2 March), “If we do not unite in actively fighting the drought, South Africa's economy will be brought to its knees, placing food security at great risk and leading to unaffordable food price inflation.”

Reacting to the drop in GDP figures released by Stats SA, Steyn said the DA was deeply concerned about the future of the agriculture sector in South Africa.

Steyn said, “The figures show an agriculture sector shrinking at an alarming rate, a culmination of inadequate government planning and economic stimuli, deepened by the effects of the current drought gripping the whole country.”

According to the report, the agricultural sector shrunk by 14 percent during the 4th quarter of 2015, and by 8.4 percent from 2014 to 2015.

This is the largest decline in the sector since 1995. Steyn said since the outbreak of the drought, 37 000 jobs in agriculture had been lost. She said there had also been a knock-on effect on the manufacturing sector, where 36 000 jobs have been lost, mostly in food processing.

“The DA therefore again urges government to declare the current drought a national disaster in order to provide a coordinated response to the disaster,” said Steyn.From © Independent On-line 2016. All rights reserved. 

Read more about: stats sa | south africa | gdp | food | da

Related News

Retail sales remain muted with consumers under pressure
20/09/2019 - 14:31
Retail sales for July marginally declined to 2 percent year on year as sales growth continued to reflect a muted demand in South Africa, with consumers’ discretionary income under strain.

Inflation accelerates slightly in May
19/06/2019 - 11:24
Inflation accelerated slightly to 4.5% in May, giving impetus to calls for an interest cut in July.

Increase in sales reflect stronger second quarter
13/06/2019 - 10:41
Data from Statistics South Africa (StatsSA) showed that retail sales in April increased 2.4percent year-on-year - the strongest gain in retail trade in six months, providing further evidence that the economy began the second quarter on a firmer footing following the first quarter’s 3.2percent plunge.

Major food and drink firms aim to improve plastic recycling in Africa
02/04/2019 - 10:02
Diageo, Unilever, The Coca Cola Company and Nestlé have joined forces to improve the collection and recycling of plastics in Africa.

Retail sales recover in January after dismal December figures
22/03/2019 - 09:23
Retail spending showed signs of recovery in January, growing 1.2% on an annualised basis, slightly faster than analysts had expected.