SA’s maize farmers look to the East

SA will need to target Asian markets to boost maize exports this year after bumper crops at home and in neighbouring countries depressed prices and dampened demand in Africa.

South African farmers, who are expected to produce a maize surplus of about 3.5 million tons this season, will need to attract new maize importers.

SA posted a maize deficit last year due to a scorching drought but will return to surplus this season.

Africa’s biggest commercial crop producer exported almost all its maize surplus in 2014-15 to other African countries.

SA hopes to export most of its maize surplus for the first time to Asia and the Middle East, where buyers use it for animal feed.

Industry producer group Grain SA said it will target markets including Japan, South Korea, Taiwan and the Middle East. South Africa has a geographical advantage over rivals like Argentina to supply these markets.

SA will struggle to sell maize in Africa after increased rainfall boosted crops in Malawi and Zambia, which have lifted export bans on their nongenetically modified crops, preferred on the continent.

“It looks like Africa is well supplied and if Africa needs maize, with the likes of Kenya and Burundi, they still have tough restrictions on GM,” said Wandile Sihlobo, an economist at the agricultural business chamber. –

Picture: Bloomberg ORIENT EXPRESS. Maize is delivered to dock for shipping overseas. South African farmers will find it hard to sell their surplus genetically modified maize in Africa, where most countries refuse to allow such stock over their borders. That means markets...