SA farmers brace for impact of US tariffs

FARMING Associations across South Africa have expressed serious concern regarding the future of the agricultural sector, following the announcement from US President Donald Trump indicating that tariffs of up to 30% could be imposed on South African exports.

- YOGASHEN PILLAY

The announcement has left uncertainty hanging over the agricultural industry, which relies heavily on trade with the US.

Agricultural Business Chamber of SA (Agbiz) chief economist, Van-Wile Shlholo, said they were yet to receive full details of how the tariffs will apply. “It is perhaps more important to work on the assumption that the duty-free access South Africa enjoyed through African Growth and Opportunity Act (Agoa) is probably over. At best, it will be limited,” Shlholo said.

“We now know that a deadline for tariffs of 10% will apply to imports from all countries. It remains unclear if there are differences in the remaining 90% (that makes up the rest of the duty duties levied on South Africa). We will see if there may be some differences product by product, but that will be clear upon one can access to release more information.”

Shlholo said that from a domestic perspective, the industry remained convinced that South Africa should seek a Free Trade Agreement with the US when the dust settles.