There is a silent but growing discontent in Southern Africa over South Africa’s agricultural dominance across the region. For some time, we have seen countries such as Namibia and Botswana impose temporary bans on the import of South Africa’s agricultural products, most recently targeting fruits and vegetables. The rationale these countries use for their policy actions is to grow their domestic farming activities. Blocking South Africa to create space for their industries is the approach they deem necessary.
As these countries are all part of the Southern African Customs Union and of the African Continental Free Trade Area (AfCFTA), the frequent bans of agricultural products from South Africa undermine the spirit of these agreements. The developmental ambition to improve domestic agricultural production is understandable and should be supported by all countries in the region, as it ultimately adds to regional agricultural and economic prosperity. Still, pursuing this policy objective in a way that undermines regional economic integration is risky and introduces uncertainty in regional agricultural trade.
By mid-July, two countries in the AfCFTA region were still publicly pushing to restrict agricultural products from South Africa. First, governor Lesego Moseki of the Bank of Botswana called on his country’s leadership to accelerate efforts to reduce reliance on food imports, among other consumer goods. While we understand the arguments behind Moseki’s call, we believe the best approach to accelerating agricultural development is to lean on farm technologies that South African agribusinesses can offer.
The Citrus Growers Association of Southern Africa (CGA) offers a good example of how this can be done. The CGA shares cultivars and best practice with the region to accelerate production across Southern Africa. This can be replicated for various farming inputs to boost Botswana’s agricultural production. We should avoid the approach Botswana has been following: regular restrictions of vegetable and fruit imports from South Africa. Any policy to increase domestic reliance on food production should be carefully crafted to avoid disrupting regional food supplies and possibly triggering avoidable domestic food inflation.
In another instance, Mozambique’s agriculture minister, Roberto Albino, recently expressed intent to pursue import substitution and reduce reliance on certain food imports from South Africa. As in Botswana, such efforts should be supported. We all want shared prosperity in Southern Africa. But there are lessons and technologies that Mozambique can learn from South African agribusinesses to boost its agricultural production. And an improvement in agricultural production in Mozambique would help boost its economy.
Agriculture is about 20%-25% of Mozambique’s GDP, and its growth would have a material positive impact on the country. But the approach to these agricultural expansion efforts in our region should be one that doesn’t encourage irregular, protectionist trade practices. The borders must remain open for food trade, while the various domestic governments, with farmers and agribusinesses, work to improve their production. South Africa’s agriculture must not be viewed as a threat but as a key collaborator and provider of essential inputs.
Beyond these regional trade frictions, the message is clear for South Africa: the region can no longer be the main absorber of agricultural exports. South Africa must make meaningful progress in the search for new export markets and deepen trade with countries in Asia and the Middle East, among other regions.
What we are observing in Southern Africa may be the start of a more sustained push by various countries to limit exposure to food imports from South Africa. Therefore, as South Africa looks further afield to deepen agricultural exports, consultations should continue with the region to deal with lingering trade frictions that undermine the spirit of the AfCFTA.
• Sihlobo is presidential envoy on agriculture and land, chief economist at the Agricultural Business Chamber of South Africa and a senior fellow in Stellenbosch University’s department of agricultural economics.
Business Day
