“At the end of this past week, 25 September 2020, South Africa’s soybeans spot price traded at R8 100 per tonne, up 39% y/y. While, white and yellow maize spot prices ended the week at R3 494 per tonne and R3 350 per tonne, each up by roughly 23%, respectively. These price increases are precipitated by the weaker domestic currency, coupled with growing demand from China and other Asian markets in the case of soybeans” – Wandile Sihlobo, Agricultural Business Chamber, chief economist.
“The third sale of the 2020 mohair winter season took place in Port Elizabeth 29 September 2020. The offering consisted of good quality mohair. This, together with some increased demand for mohair resulted in good competition between buyer houses. The average market indicator increased by 6% from the previous sale to close on R236.09 per kg, with 92% of the offering sold. The competition to obtain RMS certified mohair continues to rise. A highest price of R620 per kg was paid for a bale 24 micron superstyle kid mohair. Compared to the previous sale, prices were as follows: Kids Down 2%, Young Goats (winter) Up 15%, Fine Adults Up 24%, Strong Adults Up 11%, Average Up 6%.” – Mohair SA
Fresh Produce Market
“In the case of the vegetable subcomponent, inflation edged higher by 2.7% y/y in August from 1.6% y/y in July 2020. The monthly figure showed some deceleration, coming in 0.5% higher m/m in August after rebounding by 0.9% in July 2020. The latest price trends on the vegetable markets shows resilience with prices sharply higher across most commodities. In last week’s trade, the biggest weekly price increases were apples and butternuts with gains of 3.6% and 36.3% respectively week-on-week (w/w) at R7.62/kg and R11.57/kg. The yearly trend was however mixed with butternuts increased by 128% y/y while apples declined by 3.7% y/y.” – Paul Makube, FNB, senior agricultural economist.
Stone Fruit Market
“The Peach season concluded with volumes to be up 10% compared to the previous season. Berg River and Ceres regions up 25% and 3% respectively YTD compared to 2018/2019. Middle East represents 47% of all peach exports followed by the UK, 37% and Europe, 9%. Plum exports conclude to be up 1% compared to the previous season. Berg River and Stellenbosch regions up 6% and 23% whilst the Klein Karoo is down 9% YTD compared to last season.” – Nina Viljoen, HORTGRO, economist.
SWEET SORGHUM (2020/21 New Season)
“The total supply of sweet sorghum is projected at 138 263 tons for the 2020/21 marketing season. This includes an opening stock level (at 1 March 2020) of 52 163 tons, local commercial deliveries of 81 100 tons, imports of 4 000 tons for South Africa and a sweet sorghum surplus of 1 000 tons. The total demand (domestic plus exports) for sweet sorghum is projected at 130 830 tons. This includes 1 500 tons for indoor malting, 11 000 tons for floor malting, 100 000 tons for meal, rice and grits, 9 850 tons for feed, 780 tons withdrawn by producers, 800 tons released to end consumers, and a balancing figure of 900 tons (net receipts and net dispatches)” – Supply and Demand Estimates Committee