Drought bites, but SA gets BMW X3 windfall

BMW’S South African unit plans to invest R6-billion at its plant in Pretoria, where the German car maker will manufacture its new X3 model for export and local sale. The X3 is one of the most successful models for BMW, representing 28% of total global sales.

WOOLWORTHS Holdings said sales gained 18% in the first 20 weeks of its financial year, boosted by clothing, food and Australian chain David Jones. Excluding David Jones, revenue advanced 12%, the retailer said.

SOUTH Africa has signed an agreement with the US to resume imports of 65 000 tons of chicken each year, which had become bogged down over health concerns. The US had threatened to suspend trade benefits for SA farm products.

NASPERS, Africa’s biggest company by market value, said first-half profit probably rose as much as 42%. Core headline earnings per share would be 37% to 42% higher than the R15.28 reported a year earlier, it said.

SOUTH Africa’s headline consumer inflation ticked up to 4.7% year on year in October compared with 4.6% in September, data from Stats SA showed. Prices also rose on a month-on-month basis, to 0.3% from 0% in the previous month, it said.

THE country’s worst drought since 1992 means farmers may kill 36% more cattle this year than planned, mainly because of a surge in slaughtering in water-scarce KwaZulu-Natal, the Red Meat Producers’ Organisation said.

RETAIL sales grew — below expectations — by 2.7% year on year in September after growing by a revised 4% in August, Stats SA said. Month on month, sales were down 1.9%. The consensus for September growth was 4.1%.

SUGAR producer Tongaat Hulett said first-half profit dropped 13% as the country’s drought cut output. Headline earnings were R673million compared to R773million a year earlier, the company said.