SA sugar industry set for improved harvest; yet tariff uncertainty threatens the sector's future

SOUTH Africa's sugarcane growers are expecting a significantly improved harvest this season, following a rebound in rainfall after last year’s drier-than-normal conditions. The current estimate for the 2025 season stands at 17.7 million tons of sugarcane, up from 16.47 million tons in the previous year - which was the lowest crop in eight seasons.

- HIGGINS MDLULI

While this recovery in yield is welcome news, the industry’s economic outlook remains under serious threat due to delays in adjusting South Africa’s import tariff, the flood of cheap imports into the country and the looming 30% tariff from the United States on South African sugar exports.

The delay in adjusting our own sugar import tariff to reflect current global realities is undermining the competitiveness of local producers. At the same time, the US tariff threatens our access to what has historically been one of our key premium export markets.

South Africa is currently experiencing a surge in deep-sea sugar imports. Much of this imported sugar is heavily subsidised in its country of origin, arriving in South Africa at a price far below local production costs undercutting local growers’ sugarcane revenue and their financial sustainability.