South Africa’s agricultural sector is likely to experience pressure from rising fuel costs and global shipping disruptions due to the ongoing conflict in the Middle East, experts warn.
Ralph Mathekga, a senior analyst at Liechtenstein based Geopolitical Intelligence Services, told Xinhua that while immediate export impacts are limited, perishable products such as citrus and beef may face difficulties reaching markets in Saudi Arabia and the Gulf states.
However, Mathekga highlighted that indirect effects particularly through energy markets pose a broader threat. Diesel, which powers tractors and other farming machinery, is expected to rise sharply from April, while fertilizer costs may also increase, driving up production expenses.
“These disruptions will push up transportation and distribution costs, and although domestic food prices have not yet reflected this, consumers may begin to feel the impact in the coming weeks,” Mathekga said.
He also stressed the strategic importance of global shipping routes, particularly the Strait of Hormuz, warning that any blockage would affect both oil supplies and agricultural trade flows.
South Africa has limited capacity to shield itself from these pressures, given the crisis’s global nature. Mathekga emphasized the need for long term planning, diversification of export markets, and stronger food security strategies, while acknowledging that these measures will take time and require international cooperation.
Facebook Comments