Rising input costs, such as fertiliser which may increase between 32% to 69%, will put pressure on farmers.The grain sector will especially feel the strain, given it is the largest consumer of fertiliser.Just as South Africa's agricultural sector was recovering from several years of drought, rising input costs and massive jumps in fertiliser prices will put pressure on farmers.
Among farmers' most significant concerns are prices for fertilisers, which are expected to rise the most compared to other input costs. Some types of fertiliser already saw triple-digit increases last year, with glyphosate soaring 144% year on year in June. "… For the agronomy sector, which is horticulture, and the grains and food crops, for those industries, fertilisers, and fuel are the most important… [input components], and that constitutes anything up to 50% of your input cost, although variable input costs," Maree said.
Even if the sector were to produce fertiliser locally, they would still need to import the majority of the fertiliser components, he said.
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