SA livestock industry faces heavy losses due to disease outbreaks, warns Agbiz

According to Wandile Sihlobo, chief economist at the Agricultural Business Chamber of South Africa (Agbiz), the nation’s beef exports fell dramatically in 2022, with volumes decreasing by 16% year-on-year to just 26 881 tons. File photo

According to Wandile Sihlobo, chief economist at the Agricultural Business Chamber of South Africa (Agbiz), the nation’s beef exports fell dramatically in 2022, with volumes decreasing by 16% year-on-year to just 26 881 tons. File photo

Published Oct 29, 2024

Share

The South African livestock industry is grappling with the dual pressures of disease outbreaks and declining export opportunities, raising concerns about animal health, food security, and the economic wellbeing of farmers across the nation.

The effects are not merely reflected in the tragic loss of livestock but extend far beyond, affecting the country’s presence in the global market, especially during periods of crisis.

According to Wandile Sihlobo, chief economist at the Agricultural Business Chamber of South Africa (Agbiz), the nation’s beef exports fell dramatically in 2022, with volumes decreasing by 16% year-on-year to just 26 881 tons.

This decline was primarily a result of the temporary closure of export markets following outbreaks of foot-and-mouth disease (FMD), a situation that has reverberated throughout agricultural sectors.

“While the global market is not immune to these outbreaks, our specific challenges have intensified markedly in recent years,” Sihlobo explained yesterday.

The impact of such diseases was also starkly evident in wool production, with South Africa’s wool exports plummeting by 19% to 42 239 tons. The suspension of imports by China—one of the country’s largest markets—was particularly damaging, highlighting the fragile state of export markets in times of agricultural distress.

Agbiz further emphasised the critical role livestock and poultry play in South Africa’s agriculture, accounting for nearly half of the gross value added in the sector.

The organisation noted that these industries are vital for promoting inclusivity, with estimates indicating that black farmers contribute significantly to wool, mohair, and cattle production.

The last three years have posed numerous challenges for South Africa's livestock and poultry sectors due to disease outbreaks including FMD, African swine fever, and avian influenza. In 2022, for the first time in history, FMD cases were reported across six of the nine provinces. In response, the government has ramped up biosecurity measures and surveillance to mitigate the spread of these diseases.

Nevertheless, there has been some positive momentum.

Following government and industry collaborations aimed at controlling disease spread, South Africa saw a slight recovery in beef and wool exports in 2023.

Beef exports increased by 3% to 27 675 tons, while wool exports benefited from renewed confidence following successful reassurances to Chinese authorities, rising by 18% to 49 715 tons.

Recent announcements from the Department of Agriculture provided further hope for the industry.

The resolution of FMD outbreaks in the North West, Free State, Gauteng, and Mpumalanga provinces signals a significant step forward, with the World Organization for Animal Health confirming containment.

While challenges remain in KwaZulu-Natal and the Eastern Cape, especially following recent outbreaks, the absence of new cases inspires cautious optimism.

Sihlobo remarked on the progress, underscoring the critical need to continue addressing biosecurity challenges to restore South Africa’s global standing in beef exports.

He also urged for a strengthened collaboration between the public and private sectors to improve the efficiency of key institutions like the Agricultural Research Council (ARC) and the Onderstepoort Biological Products (OBP) crucial for vaccine production and livestock disease management.

However, the livestock sector’s struggles impact more than just farmers and export figures. The rising average retail prices for poultry, partly driven by high-pathogenic avian influenza (HPAI) outbreaks, threaten food security for vulnerable households, adding another layer of urgency to the situation that many South Africans face each day.

BUSINESS REPORT