Despite a quarter-on-quarter drop in employment in Mzansi’s agri sector, Stats SA’s latest labour figures show the continued importance of the agricultural sector as an employer, especially in a country suffering endemic unemployment, says Agri SA.
The agri organisation put out a statement after Stats SA had released the results of its Quarterly Labour Force Survey on Tuesday (31 May 2022), in which it says it is pleased with the year-on-year growth in the figures. “While Agri SA notes that employment in the sector decreased by 23 000 jobs quarter on quarter, … year-on-year employment numbers are up by 52 000 jobs … which equates to 6,6% growth.”
The first quarter of 2022 saw 844 000 people employed in the sector, against 868 000 in quarter four of last year, but 792 000 in the first quarter of 2021.
A breakdown of provincial figures reveals the most notable winners and losers:
- The Western Cape has gained 68 000 jobs year on year (representing a 49.8% increase).
- The Free State has gained 29 000 jobs year on year (representing a 52,7% increase).
- KwaZulu-Natal has lost 44 000 jobs year on year (representing a 34,2% decrease).
- Gauteng has lost 15 000 jobs year on year (representing a 34,7% decrease).
National ills are stifling growth
Despite the statistics showing positive overall results, Agri SA says the sector’s growth continues to be stifled by poor infrastructure such as road, rail and ports.
These are amongst many other challenges such as rising input costs. The organisation proposed earlier this week that government consider using increases in the diesel refund system as a targeted intervention to combat rising fuel costs for the farmers.
“While government has subsequently indicated a short-term extension of relief from the general levy, should oil prices remain high, the diesel refund system remains a relatively fiscally viable option into the future. Farmers do not control food prices beyond their gate, however, assistance to contain this particular input cost would also help to promote food security.”
Agri SA says it is vital that these and other challenges posed to the sector are addressed if it is to reach the goals set out for it by National Development Plan (NDP) for 2030 – particularly of achieving a million jobs in the sector.
“Agriculture is a critical partner for job creation in rural areas of South Africa and employment in the sector has even more potential for poverty alleviation.”
Catalyst for improvement
The recently signed Agriculture and Agro-processing Master Plan (AAMP) has the potential to be a catalyst for assessing the primary drivers of job creation in the agriculture sector, particularly in labour-intensive subsectors, Agri SA further says.
A recent study it did with the Institute of Future Research (which focussed on the future of work in the agricultural sector to alleviate poverty) found that it is necessary to ensure that growth in the sector had an influence on low-income and poor South Africans’ earnings.
“There are numerous ways of achieving this, including linking farmers to markets, bolstering agribusinesses, and producing non-farm income in rural areas, all of which would assist to boost income and create jobs.
“Proactive policies are needed to achieve this and to make agriculture sustainable, support smallholder farmers to grow and become bigger employers as well as escalate infrastructure development.”
The organisation says its members remain committed to working with all relevant stakeholders to ensure the agri sector continues to provide much-needed employment and growth for South Africa.
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