SA may need to target Asian markets to boost maize exports

Industry producer group Grain SA confirmed on Monday that it will target markets including Japan, South Korea, Taiwan and the Middle East in efforts to attract new maize importers.

South African farmers, are expected to produce a maize surplus of around 3.5 million tonnes this season and in the backdrop of a tough economy.

The country experienced a maize deficit last year due to a scorching drought but will return to surplus this season.

Xolani Gwala spoke to Wandile Sihlobo, economist at Agricultural Business Chamber (Agbiz).

We can still do something on the short term, think of exporting more of the yellow maize and divert white maize to the animal feed market but obviously that will be the decision of the buyers which is the chicken guys as well as the livestock guys. So we will see what the next few days are like.

Wandile Sihlobo, Economist at Agricultural Business Chamber (Agbiz)

He says now is a good time to buy surplus, depending on the demand.

If there was anyone involved in feeding groups, they would get value at buying the maize at these prices but unfortunately we are not getting much of a demand at the moment.

Wandile Sihlobo, Economist at Agricultural Business Chamber (Agbiz)

Click on the link below to listen to the full audio...


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