22 WHEAT IMPORT TARIFF Since October 2024 South Africa has had an active wheat import tariff. The tariffs were respectively published in the Government Gazette on 22 October 2024 (R422/ton); 1 April 2025 (R184/ton); 15 April 2025 (R550/ton) and 8 July 2025 (R851/ton), with an average announcement period of 85 working days. Grain SA, together with SACOTA, submitted a formal application to ITAC at the end of 2023 to adjust the base reference price to $289/ton and to automatise the announcement method. This application was in the final phase of the ITAC investigation in October 2025 after several discussions, feedback and public consultations regarding this application occurred in 2025. AGRICULTURAL AND AGRO-PROCESSING MASTER PLAN (AAMP) The Agricultural and Agro-processing Master Plan (AAMP) is a strategic framework that was developed in South Africa to promote growth, transformation and sustainable development in the agricultural and processing industry. It was compiled in collaboration with the government, the private sector, trade unions and other industry role-players. The master plan focuses on key objectives like the improvement of food safety, job creation, support of emerging farmers and the promotion of agricultural expansion through innovative practices, research and technologies. Grain SA, together with other industry role-players, forms part of Working groups established to achieve the objectives stipulated by the master plan. The Working groups in which Grain SA is represented include agricultural transformation and support for emerging farmers, development of markets and export opportunities, policy and regulatory environment, research and technology, and transport and logistics. The AAMP plays an important role in building the agricultural sector in South Africa through a comprehensive approach aimed at promoting economic growth and addressing issues. SORGHUM CLUSTER INITIATIVE Over the past two decades, sorghum production in South Africa has gradually declined, partly as a result of reduced demand and partly due to limited progress in the yield potential of sorghum cultivars. Nevertheless, sorghum remains an important crop in South Africa and in the bigger picture because of the high nutritional value of the crop and its resistance to drought conditions. A sorghum cluster initiative was established in collaboration with the Sorghum Trust and the DSI/TIA. The cluster identified the following areas as focus points: (1) Removal of VAT on sorghum. (2) Establishment of processing facilities. (3) Awareness campaigns for marketing sorghum. (4) Marketing analysis of the upgrading of the sorghum value chain. (5) Assessment of exotic germplasm as a precursor to sorghum pre-breeding. (6) Alternative quelea control measures. The Sorghum Trust, DSI/TIA and Grain SA, in collaboration with the greater sorghum value chain, are addressing focus points. These include an active awareness campaign, a successful first planting season for the germplasm initiative, progress with the alternative quelea control measures, product development and sorghum recipes, as well as new initiatives that have been added, like the plant pathology in collaboration with the University of the Free State. More good news is that the sorghum proposed planting for the 2024/2025 production season was increased by 28,27% to 54 000 ha. PRODUCTION ENVIRONMENT AND POLICY There is a gap in the market during the period when the intention to plant-report is published by the National Crop Estimates Committee in October and the provisional planted area at the end of January. For that reason Grain SA, attempting to fill the gap and release transparent information on the market, started releasing a production condition report that is circulated fortnightly to producers and the greater grain industry. Among other things, the report includes rainfall statistics, crop conditions and planting rates. Grain SA’s role is to ensure that the targets are implemented in such a way that producers can continue producing in a sustainable and profitable manner. GRAIN INTELLIGENCE, ECONOMICS AND MEMBER SERVICES
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