Water use quotas a THREAT to agriculture

Video of the week

In this video, Agri SA's legal and policy executive Janse Rabie joins the CRA's Chris Hattingh to discuss the proposed race-based conditions for water licences and how this could threaten food security in South Africa.

Chart of the week

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The above chart shows Agribusiness Confidence Index (ACI) trends between Q1 2019 and Q2 2023. The ACI is compiled using surveys covering businesses operating in all agricultural subsectors across South Africa.

The 50-point mark is ‘neutral,’ and any score below that indicates pessimism in the commercial agriculture sector.

In Q2 2023, the ACI score remained unchanged at 44. This is the lowest since Q2 2020, when Covid-19 lockdown restrictions were introduced.

Prime concerns among those surveyed included loadshedding, poor road conditions, rising interest rates, and failing service delivery.

Proposed regulations such as the imposition of racial requirements for water use licences will fuel greater uncertainty in agriculture, and place food security and affordability under threat.

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In the media

Quote of the week

"...affirmative action in Malaysia should serve as a warning for South Africa. Such policies lead only to an escalation in corruption and nepotism, while breaking down important institutions and disrupting social cohesion." - Gerbrandt van Heerden (18 April 2023)

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