Wheat import tariff nearly halves in March
By Andries Mahlangu - Apr 9th, 14:30
SA’s wheat import tariff has declined a hefty 45% to R394.85 per tonne, the Agricultural Business Chamber (Agbiz) said on Monday.
This new duty was calculated in mid-February, following a surge in international wheat prices, but was only published in the government gazette to make it official on Friday evening, the chamber said in a statement.
The drop in wheat tariffs helps relieve cost pressures for millers such as Pioneer Foods, which counts Sasko among its suite of brands.
SA is projected to import about 1.93-million tonnes of wheat in the 2017-18 season, which is more than double the 934,765 tonnes imported in 2016-17 season.
The adjustments in the wheat import tariff are satisfied when the international wheat price deviates from the base price by more than $10 per tonne for three consecutive weeks.
The international wheat prices consistently traded above $235 per tonne in three weeks February 13, making a deviation of $10 per tonne above the base price of then $218 per tonne.
Drier weather conditions in parts of the US had supported higher international wheat prices over the period.
"It is also worth noting that the wheat import tariff has triggered again on March 20 to R293.74 per tonne, down by 25% from the current rate of R394.85," agricultural economist at Agbiz Wandile Sihlobo said.
"The newly calculated rates will only be applicable after publication in the government gazette. The timeframe for this process is unclear. The previous adjustments took more than three weeks."
© BusinessLIVE MMXVIII
Households spend less in second quarter as drop in disposable income bites hard
25/09/2018 - 10:33
Households were under strain in the second quarter of 2018, a report from the SA Reserve Bank shows.
Egypt lifts SA fresh goods ban as listeriosis threat subsides
20/09/2018 - 14:32
The department of agriculture, forestry and fisheries says Egypt's government has lifted its temporary suspension of fresh fruits and vegetable imports from South Africa, which stood as a precaution to prevent the spread of listeriosis there.
With August's CPI lower than expected, a hike in interest rates will be a close call
19/09/2018 - 10:22
Consumer inflation surprised to the downside in August, lessening the likelihood of an interest-rate increase by the SA Reserve Bank.
Insights into the global oats market
18/09/2018 - 15:06
According to the report "World: Oats - Market Report. Analysis And Forecast To 2025", recently published by IndexBox, the production of oats reached 23M tonnes in 2017, fluctuating mildly over the period under review.
Low business confidence bodes ill for SA
18/09/2018 - 14:33
SA’s battered economy will come under further strain as business confidence reached its lowest level in a year.