The South Africa grain market is projected to register a CAGR of 5.91% during the forecast period of 2020-2025. Grains contribute significantly to the agricultural sector in South Africa. Maize is the most prominent field crop in the country. The change in consumer behavior toward domestically grown food, regional trade, technology, and mechanization advancement in this sector are some of the factors driving the market's growth in the country.
Key Market Trends
High Regional Trade of Grains is Driving the Market
South Africa is one of the major exporters of corn in Africa. Barley, sorghum, and rice are some of the other major grain crops grown in the country. White and yellow corn are the two major grown corn varities in the country. According to International Trade Centre Statisitcs, in 2018, the total exports of maize from the country were 2.23 million ton, compared to 1.02 million ton in 2016. Bostwana, Nambia, Mozambique, and Eswatini are some of the major importers of South African corn. The open free trade agreements made by South African government with other African countries are promoting the growth of the for grains in the region. The government is also making agreements, such as The Economic Partnership Agreement (EPA) with the European countries, to expand its presence across other regions.
Adoption of Advanced Technologies in Agriculture
The demand for various agricultural products, which incldues grains in the country is increasing. To address this increasing demand, South Africa is moving towards advanced agriculture model. The country is increasing its investments in the agricultural inputs market. Significant investments are being made by the farmers in the agricultural machinery and agrochemical sector of the economy. Such type of productive investments by the farmers in the agricultural inputs market is estimated to drive the agriculture sector. As farmers are increasing investments in the inputs market, private agricultural input companies are investing heavily in R&D, to develop advanced technologies. In terms of mechanization, the studies undertaken by FAO also revealed that the level of mechanization in the South Africa is slowly moving from hand driven technology to power sources. Therefore, the mechanization can directly and indirectly bridge the yield gap, by reducing the harvest and the post-harvest losses, thereby driving the market growth for grains in the region.
Reasons to Purchase this report:
Key Market Trends
High Regional Trade of Grains is Driving the Market
South Africa is one of the major exporters of corn in Africa. Barley, sorghum, and rice are some of the other major grain crops grown in the country. White and yellow corn are the two major grown corn varities in the country. According to International Trade Centre Statisitcs, in 2018, the total exports of maize from the country were 2.23 million ton, compared to 1.02 million ton in 2016. Bostwana, Nambia, Mozambique, and Eswatini are some of the major importers of South African corn. The open free trade agreements made by South African government with other African countries are promoting the growth of the for grains in the region. The government is also making agreements, such as The Economic Partnership Agreement (EPA) with the European countries, to expand its presence across other regions.
Adoption of Advanced Technologies in Agriculture
The demand for various agricultural products, which incldues grains in the country is increasing. To address this increasing demand, South Africa is moving towards advanced agriculture model. The country is increasing its investments in the agricultural inputs market. Significant investments are being made by the farmers in the agricultural machinery and agrochemical sector of the economy. Such type of productive investments by the farmers in the agricultural inputs market is estimated to drive the agriculture sector. As farmers are increasing investments in the inputs market, private agricultural input companies are investing heavily in R&D, to develop advanced technologies. In terms of mechanization, the studies undertaken by FAO also revealed that the level of mechanization in the South Africa is slowly moving from hand driven technology to power sources. Therefore, the mechanization can directly and indirectly bridge the yield gap, by reducing the harvest and the post-harvest losses, thereby driving the market growth for grains in the region.
Reasons to Purchase this report:
- The market estimate (ME) sheet in Excel format
- 3 months of analyst support
Table of Contents
1 INTRODUCTION
4 MARKET DYNAMICS
5 MARKET SEGMENTATION
6 COMPETITIVE ANALYSIS
Methodology
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