For South African farmers, uncertainty has become part of the job. That is the reality check from Daneel Rossouw, head of sales at Nedbank Agriculture, who says producers are navigating an increasingly unpredictable operating environment.
Rossouw said whether it is unpredictable weather, changing consumer preferences, rising input costs, geopolitical tensions, or evolving market requirements, farmers are operating in an environment where disruption is no longer the exception but the norm.
“Over the past few months, I have had the opportunity to engage with key stakeholders at several important sector gatherings, including Nampo, the Agbiz Conference, and the South Africa Wine Summit, which Nedbank has sponsored for the past 20 years. Although these events focused on different industries and challenges, they all pointed to the same conclusion: South African agriculture is operating in an environment that is increasingly complex, interconnected, and unpredictable, demanding continuous adaptation.
“The wine industry provides a valuable example of this shift. Discussions at the SA Wine Summit highlighted how economic uncertainty, climate volatility, evolving consumer preferences, technological disruption, and sustainability expectations are impacting the sector,” he said.
Global trade and consumer preferences
Rossouw said while South Africa has made promising progress in areas such as energy stability and logistics reform, uncertainty in the global economy and shifting trade dynamics continue to influence local businesses.
“At the same time, climate volatility is becoming a permanent feature of agricultural planning, rather than an occasional setback. Building resilience is no longer simply about recovering from a difficult season; it is about preparing for a future in which volatility itself becomes a constant.”
He said the wine industry offers an interesting example of how these changes are playing out. “Globally, consumers are drinking less wine, but more selectively. Growth is increasingly driven by value rather than volume. Consumers are seeking products and experiences that align with their lifestyle, value, and budget, while competition from alternative categories intensifies.
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“This reflects a broader trend across agriculture. Whether producing wine, fruit, grains, livestock or nuts, businesses must differentiate themselves and respond to changing consumer expectations in increasingly competitive markets.”
Rossouw indicated that these shifts also present opportunities and challenge traditional assumptions about where future demand will come from, and technology is accelerating many of these shifts.
“Historically, agricultural finance has focused on helping producers manage seasonal production cycles. While this is still important, there is growing recognition that long-term success depends on building more resilient businesses.
“This means producers should invest in areas that help farms operate more efficiently, manage risk, and stay competitive over time. This may include investment in greater energy independence, stronger water security, more precise farming practices, and improved logistics.”
Shift to sustainability, diversification & traceability
Meanwhile, the buzzword in the sector is diversification, which plays an important role, according to Rossouw, whether through additional income streams or new markets.
“The same is true for sustainability, which has become a business imperative. It’s clearer than ever that agriculture is entering a new phase where sustainability, traceability, and reporting are shifting from compliance requirements to core drivers of competitiveness.
“Changing consumer demand is central to this shift. Buyers are placing a growing emphasis on product provenance, supply-chain transparency, and verifiable production practices.
“As a result, traceability is becoming a market-access requirement rather than a voluntary enhancement. At the farm level, this is increasing the need for reliable data and auditable supply-chain information,” he said.
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