Industry experts paint a gloomy outlook for South Africa’s mushroom industry, largely as a direct result of load shedding, high input costs and the closure of two mushroom farms.
These challenges, however, are not new. Tropical Mushrooms farmer Peter Nyathi told Food For Mzansi their industry is faced with a myriad of challenges.
“It is very controlled and it has a lot of problems nowadays,” he said. “It lacks openness and competition because the big guys destroy the young ones, and when they have problems there are shortages in the market.”
Nyathi farms in Magliesburg, Gauteng and has been part of the mushroom industry for over 15 years. He produces mushrooms for major markets including Pick n Pay, Shoprite, and Checkers.
Closures, shortages and prices
Furthermore, there is currently a mushroom shortage in the country, with a number of farms having closed. This has had a snowballing effect on the price of mushrooms.
“The prices are high at the moment because of the shortage throughout the country. This is probably the highest they have ever been during the past five to 10 years,” Nyathi said.
As one of the biggest black mushroom producers in the industry, Nyathi believes the government has failed them. As far as he is concerned the current economic conditions of the country favour those who have deeper pockets.
“With the current situation, I’m not sure what can be done because it’s about resources, money, and about allocation. But who is going to allocate that to create balance? It’s a sad situation and I think it is very unfortunate at the moment,” he said.
Urgent intervention required
The majority of mushroom production in South Africa happens in Gauteng. There is, however, sizable production taking place in KwaZulu-Natal and the Western Cape.
Thabile Nkunjana, an agricultural economist at the National Agricultural Marketing Council (NAMC) explained that successful mushroom cultivation requires favourable growing conditions and regulated temperatures. But with an unstable electricity supply, growing mushrooms could be even riskier.
“It is necessary to set up chambers for inoculation and harvesting as well as refrigeration for collected mushrooms. In addition, you need power for other instruments like steam boilers, to name a few.
“Depending on the size of the farm and the scale of operation, mushroom growing can require a lot of labour. When farms are unable to operate or are struggling financially, they will close, especially those without a backup electrical source, putting jobs in danger.”
According to Nkunjana, if the current challenges persist, mushroom production numbers will decline and cause further price hikes for consumers. “This is a very bad time for the industry,” said Nkunjana.
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