#Agbiz: 2021/22 maize and soybeans harvest revised up

───   05:00 Tue, 02 Aug 2022

#Agbiz: 2021/22 maize and soybeans harvest revised up  | News Article

As usual on the Agri Hour, Wandile Sihlobo, chief economist at the Agricultural Business Chamber of South Africa, Agbiz, provides a weekly insert about the latest on the global as well as South African agricultural markets.

He also provides more information about the latest developments in the agricultural sector. 

See PODCAST below

This week Sihlobo shares what the 2021/22 summer crop estimates look like in South Africa.

“South Africa's 2021/22 summer crop harvest is near completion, as we approach the new season which begins in two months. Still, there were important revisions brought by the Crop Estimate Committee (CEC) this past week.

LEES OOK: Voorlopige oesskatting vir wintergewasse bekend

“For example, the 2021/22 maize harvest was lifted by 0,2% from June to 14,71 million tonnes. About 7,47 million tonnes are white maize, with 7,24 million tonnes being yellow maize. Essentially, this is down by 10% from the 2020/21 season crop but well above the 10-year average maize harvest of 12,80 million tonnes and annual domestic consumption of 11,80 million tonnes.

“Importantly, this means that South Africa will remain a net exporter of maize, which we anticipate to be just over 3,0 million tonnes in the 2022/23 marketing.”

Sihlobo adds that another important and most welcome adjustment in the data was the 3% increase in South Africa's soybeans harvest for the 2021/22 season to a fresh high of 2,15 million tonnes.

ALSO READ: #Agbiz: Robust agricultural machinery sales may not continue in 2nd half of 2022

“This large soybean harvest will help lessen South Africa's reliance on soybean oilcake imports. In the week of 22 July 2022, about 2,09 million tonnes had already been delivered to commercial silos. Sunflower seed, unsurprisingly, was lowered for the second consecutive month by 4% from June estimates to 922 750 tonnes.

“This action is partly explained by the slow deliveries in sunflower seed regions. Still, the fact that the plantings started fairly late in these regions is also a factor to consider. For example, on 22 July 2022, about 792 050 tonnes had already been delivered to commercial silos.  

“Aside from these major summer crops, the sorghum harvest is estimated at 136 200 (-3% m/m), dry beans harvest at 51 720 tonnes (-3% m/m), and groundnuts are at 49 000 tonnes (-11% m/m).

“In sum, as with the previous releases, these domestic production data will have minimal impact on prices. Domestic grain and oilseed prices are mainly influenced by global events.

ALSO READ: #Agbiz: SA summer crop production estimates lifted from February levels

“The Russia-Ukraine war worries and concerns about 2022/23 global production following reports of heatwaves and drought in the Northern Hemisphere continue to present upside support on prices, which are ultimately reflected in the South African grains market.

“Still, the fact that domestic grains and oilseeds supplies are at fairly higher levels provides comfort regarding domestic needs and even exports to our traditional markets.

“Ultimately, the relatively higher grains and oilseed prices bode well for farmers in areas that didn't experience much crop damage at the start of the season. Meanwhile, the consumers, livestock, dairy, sheep, goats and poultry producers will likely experience increased costs over the foreseeable future,” concludes Sihlobo.

OFM News

@ 2022 OFM - All rights reserved Disclaimer | Privacy Policy | We Use Cookies - OFM is a division of Central Media Group (PTY) LTD.