Despite the uncertainties facing the South African citrus industry, its potential for significant growth is assured if market access opportunities are fully seized and logistical challenges urgently addressed. This is a key takeaway from the recent fifth Citrus Summit, hosted by the Citrus Growers’ Association of Southern Africa (CGA).
Agriculture minister John Steenhuisen said South Africa’s citrus industry is one of the success stories of the country as it has created jobs where they are needed the most.
Steenhuisen said the potential elimination of the African Growth and Opportunity Act (Agoa) puts thousands of jobs at risk and could have a domino effect throughout the citrus value chain.
“I urge all stakeholders to prioritise the renewal of Agoa, or at least trade tariffs and agreements that will allow us to keep our excellent citrus products flowing to the markets that love them so much,” he said.
Citrus exports drive economic growth
At the same time, Steenhuisen highlighted the urgent need to explore and develop new markets, particularly in Asia, the Middle East and India.
Meanwhile, the incoming chief executive officer of the CGA, Dr Boitshoko Ntshabele, emphasised the industry’s crucial role in potential increased market access.
“Projections show the industry can create 100 000 jobs by 2032. It can do this through increasing exports with roughly 95 million 15kg cartons to a total of 260 million cartons.
“Citrus is South Africa’s biggest agricultural export industry. It can be a driver of massive economic growth and rural development. But for this to happen, everybody along the supply chain whether they are in the orchard, or at the port, or in the boardroom must be aligned. With this in mind, we look forward to starting the 2025 season,” Ntshabele said.
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Michelle Phillips, the group chief executive officer of Transnet, addressed the delegates on the progress Transnet has made in increasing the efficiency of the rail system and the ports.
“The rail network is now open for private train operators. We will see the system become more competitive. This season has to work better than last year,” she said.
Quantifying the progress at the ports, Phillips reported equipment acquisitions in the 2024/2025 year of R3.4 billion across eight terminals and a planned R4 billion across five terminals in 2025/2026.
Eric Imbert, a lead researcher from the French agricultural research centre CIRAD, pointed out that South Africa’s citrus industry has the potential to rise to the current challenging trading environment.
“South Africa has a relatively diversified market, innovative research capability, a large and fast evolving variety range, and a strong industry organisation with significant capacity,” Imbert said.
Justin Chadwick, outgoing CEO, who has led the CGA for 25 years, noted that when times are in flux, a comprehensive summit that brings together all stakeholders, is not just beneficial, it’s essential. “We navigate the hurdles together,” he said.
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