SA’s agricultural export growth cools slightly in second quarter of 2024:
South Africa has an export-led agricultural sector, and thus we pay particular attention to the trade performance to determine whether there are glitches that must be resolved or necessary policy interventions. In the recent past, the sector has enjoyed solid growth in exports, reaching a record $ 13.2 billion in 2023. We achieved this despite problems at the ports, which suggest that when the ports are efficient, and farmers have an excellent season, we could see even better export figures. Still the level of success that South Africa has achieved has made the country the only one on the continent in the top 40 global agricultural exporters.
But we leave aside the long-term export performance and look at the recent high frequency data, we see that after the sharp increase in the first quarter of 2024, South Africa’s agricultural exports fell slightly year-on-year in the second quarter. According to data from Trade Map, the country’s agricultural exports were $ 3.37 billion in the second quarter, a 0.1% decline relative to the same period last year.
This comes after growth of 6% year-on-year in the first quarter of the year. The slight decrease in the second quarter reflects the moderation in the prices of some agricultural products and the decline in the volumes. The top exported products by value include citrus, apples and pears, maize, wine, dates, pineapples, avocados, sugar, grapes, fruit juices, nuts and wool.
Notably, while the value of the exports is down mildly from the second quarter of 2023, the efficiency at the ports this year was arguably much better. This again shows that the decline in export value is largely caused by lower prices of some commodities and a decline in volumes after a difficult domestic production environment, specifically in grains and oilseed.
From a regional perspective, the African continent maintained the lion’s share of South Africa’s agricultural exports, accounting for 42% of the total value. The products leading the exports to the rest of the continent were maize, maize meal, sugar, apples and pears, wheat, soybean oil, fruit juices, ciders and wine.
Asia and the Middle East were the second-largest agricultural market, accounting for 21% of the share in overall agricultural exports in Q2 2024. The exports to this region were mainly citrus, apples and pears, wool, nuts, sugar, beef, sheep and goat meat, berries, wine and maize.
The European was South Africa’s third-largest agricultural market, with a share of 19%. Citrus, dates, avocados, figs, mangos, guavas, apples, pears, wine, grapes, fruit juices, wool and nuts were among the primary agricultural products exported in the second quarter of 2024.
The Americas region accounted for 6% of South Africa’s agricultural exports in the year’s second quarter. The main exported products include citrus, wine, fruit juices, grapes, apples, pears and nuts. The rest of the world, including the United Kingdom, accounted for 12% of the exports.
Trade is, of course, not one way. In the second quarter of 2024, South Africa’s agricultural imports amounted to $ 1.89 billion, up by 5% year-on-year, according to data from Trade Map.
The uptick resulted from a slightly high volume of major products such as wheat, palm oil, rice and poultry. The major products imported in the second quarter are similar to the country’s yearly imports.
South Africa lacks favourable climatic conditions to grow rice and palm oil and thus relies on imports of these products. In the case of wheat, South Africa imports nearly half of the annual consumption. In the Free State, which used to be a major wheat-growing region, production has declined notably over time because of the unfavourable weather conditions and profitability of wheat relative to other crops. Poultry imports are about 20% of the annual domestic consumption.
When we account for exports and imports, South Africa’s agriculture recorded a trade surplus of $ 1.47 billion. This is down by 6% from the second quarter of 2023.
Although the exports have cooled off, these second-quarter trade figures remain encouraging. Beyond the quarterly activities, there are some policy considerations for to support this sector in its export growth ambition:
- South Africa should maintain focus on improving the logistical infrastructure efficiency and on the export market expansion mission for the agricultural sector. There is a need for increased investment in port and rail infrastructure and improving roads in farming towns.
- South Africa must work hard to retain the existing markets in the EU, the African continent, Asia, the Middle East and the Americas. Importantly, in an increasingly divided and fragile world, South Africa must walk a careful path so that its foreign policy approach does not result in a negative trade policy response from its traditional trading partners.
- The department of trade, industry and competition, the department of international relations and cooperation and the department of agriculture should lead the way for export expansion in these agricultural strategic markets.
- Moreover, South Africa should expand market access to some of the key Brics+ countries, such as China, India and Saudi Arabia. Other strategic export markets for South Africa’s agricultural sector include South Korea, Japan, Vietnam, Taiwan, Mexico, the Philippines and Bangladesh. The private sector and the South African government share this ambition for export market expansion.
- The outcome of the 15th Brics conference in agriculture also focused on deepening trade within the Brics+ countries while retaining other markets outside this grouping. This was anchored on the emphasis for Brics members to lower import tariffs and address sanitary and phytosanitary barriers hindering deeper trade within this grouping. This must remain on the agenda, and South Africa must work to persuade other Brics+ members to prioritise resolving this trade-threatening issue.
Wandile Sihlobo is the chief economist at the Agricultural Business Chamber of SA and a senior fellow in Stellenbosch University’s Department of Agricultural Economics. His latest book is A Country of Two Agriculture.
Famo gang wars fuel deadly violence in Lesotho that spills into South Africa:
In late July, popular radio journalist Pulane Macheli died in a hail of bullets in Lesotho’s capital Maseru while mediating between rival groups of musicians called the famo gangs.
She died in the company of famo star Lisuoa (Khopolo Kholue), who was probably the assailants’ target.
The tragedy is the latest in the musical turf wars that escalated into one of the biggest threats to personal safety in Lesotho. So many killings have been attributed to these gangs that the government issued a gazette notice in May, declaring their existence unlawful.
But the groups argue that they are civic societies with as much freedom of association as any other. Famo is an accordion-based Sesotho music genre popular in Lesotho and South Africa.
Through lyrics that disparage each other, some of the musicians have, over the years, created and nursed feuds that escalate into bloody gunfights.
In 2022, when Lesotho climbed to the unenviable number one position in Africa for homicide, famo gangs were seen as a major contributing factor. Initial feuds appeared to be over the music market.
“They vie for control in their areas of operation and become jealous if any group’s music becomes more popular than the others in their respective turfs,” Lesotho Times reported in April.
But rogue national security agents reportedly entered the fray, escalating the violence.
In a rare media interview in April, T?episo “Mosotho” Radebe, who leads the Terene ea Khosi Mokata gang, called on the office of Prime Minister Sam Matekane to remove members of the police, army and spy agencies from famo groups.
He did not specify how they were part of or influencing the gangs.
Other reports suggest security officials are the weapon suppliers, often doing this by stealing guns from government armouries to sell to famo gangs.
At least two thefts were reportedly intended to benefit famo gangs: a 2021 heist in which 75 firearms were taken from the Mafeteng police station, 80km south of Maseru, and the theft of two AK47 rifles by members of the police Special Operations Unit last year.
Whatever the source of their weapons, famo gangs are armed enough to move from music turf wars to working as guns for hire.
In one incident, in broad daylight, suspected famo gang members gunned down two men who were having lunch at The Deck restaurant in Maseru. The men killed were funeral home owner Ikhetheleng Matabane and accountant T?oana Molefe Khetheleng, who was investigating a 10-million maloti ($ 554,000) alleged fraud at the former’s company.
That happened in February 2023. Months later, in June 2023, the car of journalist Ralikonelo Joki was sprayed with bullets, killing him. He had previously received death threats for reporting on issues such as government corruption.
Armed gangs available to kill anyone’s real or perceived enemies have had serious repercussions across Lesotho, including that many media figures now self-censor to keep themselves safe.
The government gazetted legislation banning famo gangs introduced lengthier sentences for murder earlier this year, but little has changed. And the murders know no borders.
Shortly after the ban, three people were shot and killed at a South African farm allegedly belonging to “Mosotho”, the famo gang leader who had claimed that the government’s security officers were fuelling the violence.
Shortly afterwards, four family members, including a nine-year-old child, were shot dead at a home belonging to a community policing forum member in Lesotho’s eastern district of Mokhotlong. The assailants were suspected to be famo contract killers.
A suspected famo gangster was also killed by unknown gunmen after disembarking a taxi from Johannesburg at the Lesotho-South Africa border.
As the July 2024 murder of Macheli shows, even attempts to peacefully mediate and end famo killings are met with more violence.
“My husband was killed in cold blood only because one famo group accused him of being biased during a mediation,” said a widow who didn’t want to be named. Her husband worked in law enforcement.
“These groups never accept outcomes against their favour. They’re lawless murderers who have little regard for human life,” she said.
The legal system is failing. Rather than ensuring that the accused are quickly locked up and prosecuted, victims’ friends and families are often enraged to see perpetrators back on the streets.
One reason for this is that the country’s judicial process is slow. Another is that bail for a murder charge is set at the low level of just $ 28. This encourages further revenge attacks and so the cycle of violence continues.
Tšoloane Mohlomi is a freelance journalist and researcher in Lesotho. This analysis was produced in collaboration with Democracy in Africa.
This article first appeared in The Continent, the pan-African weekly newspaper produced in partnership with the Mail & Guardian. It’s designed to be read and shared on WhatsApp. Download your free copy here
Cape Town social workers face rising extortion threats from criminal syndicates:
Social workers have become the latest target for criminal syndicates demanding cash “as a protection fee” in Cape Town.
“In Delft, they tell us if you want to go out (and) be safe, give us money,” Annemie van Reenen, chief director of service delivery, management and coordination in the Western Cape Department of Social Development, told the standing committee on social development at a briefing in the provincial legislature on Friday.
Officials from the City of Cape Town mobility department and the South African Police Service (SAPS) also attended.
Van Reenen said two recent incidents were reported by staff in Delft, where they were threatened by extortionists. This was a concern because the community had always protected social workers.
“They know we’ve got laptops and cellphones … It is terrible. I get messages [from social workers] to say they can’t cope anymore. Then we have to remove them to another area. They are hugely traumatised,” she said.
This inevitably has a negative knock-on impact in communities that rely on this essential service.
In August, GroundUp reported on the Province’s call for the justice department to implement harsher penalties for attacks on social workers after an “alarming increase” in attacks on social workers. The committee had asked the justice minister to classify attacks against social workers as an “offence against the state”, with harsher legal consequences. But there is yet to be a response.
Tsekiso Machike, justice ministry spokesperson, replied to GroundUp that the letter was received and the minister “is applying her mind” and “amenable to the idea of the meeting” with the Western Cape Social Development Committee.
“?The Department is indeed concerned about the persistent attack against social workers or persons performing public function.”
Since 2019, 41 incidents were reported, including six robberies and assaults, and 35 hijackings and attempted hijackings. Most of these happened in a period of less than 18 months, according to the department.
Hotspot areas include Khayelitsha, Eerste River, Wynberg, Crossroads, Philippi, Mfuleni, Gugulethu, Delft, Mitchells Plain, Paarl East and Langa.
“We had people that were so severely traumatised that they were off for six months or more,” said Van Reenen. Urgent social worker cases had to be reallocated to social workers already dealing with heavy caseloads.
The department has implemented safety measures, such as removing government branding from cars, changing number plates, sending more than one staff member into hotspot areas at a time, and having regular meetings with community policing forums.
After the meeting, SAPS Provincial Commissioner Lieutenant General Thembisile Patekile told GroundUp, “It’s the first time that we hear that some government officials have been extorted. We must make sure we nip this thing in the bud.”
He urged people to use the Western Cape SAPS toll-free number 08 0031 4444 to report extortion.
On Monday, Wendy Kaizer-Philander (DA), chairperson of the social development committee, said in a statement that social workers already at risk of attacks and hijackings, now face the threat of extortionists as well.
“The R20-million spent on overtime to accommodate the need for two social workers per case in high-risk areas is straining the department’s resources. Doubling up on cases reduces the overall number of cases that can be handled, stretching the department’s already limited capacity,” said Kaizer-Philander.
This article was first published by GroundUp.
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