South Africa’s raisin industry is set for a major rebound. Daneel Rossouw, the head of sales for agriculture at Nedbank Commercial Banking, says the industry must focus on sustainable practices, logistics improvements, and innovation in product formats to ride the global wave of demand for healthy, premium snacks.
After several challenging seasons, South Africa’s 2024/25 raisin crop is expected to recover to around 100 000 tonnes – a sign of renewed momentum for one of the country’s quietly successful exports.
Global appetite for healthy, natural snacks and traceable, responsibly produced foods continues to grow, with South African raisins recognised as among the best in the world. But expansion won’t happen automatically.
Raisin producers operate in a complex landscape shaped by climate risk, logistics constraints, and shifting consumer expectations. With the right strategy, though, the sector can move beyond recovery into a phase of sustained, high-value growth.
Riding the premium and health wave
The rise of premiumisation and wellness-driven eating is reshaping the dried-fruit market. Consumers are increasingly willing to pay more for high-quality, naturally sweet, additive-free snacks, and raisins fit the bill perfectly. South Africa’s competitive advantage lies in its ability to produce large, flavourful fruit under the intense Northern Cape sun, giving them a distinctive taste and texture profile.
Yet, capturing premium value means thinking beyond bulk exports. Producers and processors have an opportunity to innovate in packaging and product formats – from convenient snack packs to on-the-go blended trail mixes. As health-conscious consumers look for clean-label energy sources, raisins can be positioned not just as a commodity ingredient but as a naturally functional food.
Related stories
- New Raisins SA CEO on a mission to boost production and exports
- Raisin industry drives inclusive growth with R100m boost
- SATI forecasts high-quality table grapes for global markets
- SA table grapes break into the Philippine market
Turning sustainability into a selling point
The global food industry is increasingly defined by its sustainable use of natural resources. For raisin producers operating in a water-stressed environment, this scrutiny presents both a challenge and an opportunity: water efficiency is not only critical for long-term viability but also a potential differentiator in international markets.
Encouragingly, the South African raisin industry is already making strides in sustainable production. Growers are experimenting with cover crops to improve soil health, enhance carbon sequestration, and reduce erosion. Others are investing in precision irrigation and transitioning from traditional flood systems to drip irrigation, which can deliver significant water savings while improving yields.
In an era where traceability and responsible sourcing influence purchasing decisions, a clear sustainability story can elevate the South African brand above competitors, and these advances should be communicated more assertively to buyers and consumers. Certification and transparent data on carbon, water, and soil metrics will be key to reinforcing that credibility.
EARLY-BIRD TICKETS ARE AVAILABLE NOW!
Africa’s biggest youth-in-agriculture gathering is back – and it’s only getting bigger!
Collaboration is key
Despite the strength of our producers, persistent logistics and infrastructure bottlenecks continue to erode our competitiveness. Port delays and high transport costs threaten the reliability required by international buyers. Industry collaboration – potentially through public-private logistics partnerships – is vital to improving export efficiency.
Labour shortages and rising input costs also weigh on profitability. Mechanisation and modernised processing can help offset these pressures, but they require investment and skills development. Policymakers and industry bodies have a role to play in supporting technology adoption and upskilling workers to ensure productivity gains do not come at the expense of employment. Financiers need to step up with funding that meets producers’ and processors’ needs, aspirations and sustainability goals.
Unlocking new markets through regional trade
While Europe remains the primary destination for South African raisins, diversification is essential. The African Continental Free Trade Area (AfCFTA) offers an unprecedented opportunity to expand intra-African trade and reduce dependence on traditional markets. Demand for affordable, shelf-stable, nutrient-dense foods is growing across the continent – particularly in emerging middle-income markets in East and West Africa.
Targeted trade promotion, supported by regional logistics solutions and harmonised food safety standards, can unlock sustainable new markets in Africa, the Middle East, and Asia.
Building scale and resilience
At the farm level, grower aggregation can help achieve consistency, scale, and stronger bargaining power. Cooperative models and shared services for processing, packaging, and certification reduce costs and help make smaller producers export-ready. Collaboration also enables collective investment in traceability systems and sustainability reporting – increasingly prerequisites for accessing premium markets.
Of course, resilience ultimately hinges on climate adaptation. Prioritising precision irrigation, soil moisture monitoring, and data-driven farming practices will help protect yields and quality amid growing climatic volatility.
The bottom line
With production rebounding and a firm international demand, South Africa’s raisin industry is well-positioned for growth. Strong fundamentals are in place: skilled growers, a reputation for quality, and rising demand for healthy snacks.
By turning sustainability into a selling point, improving logistics performance, and unlocking new regional trade channels, the industry can move beyond recovery to achieve long-term, sustainable global competitiveness.
- Daneel Rossouw is the head of sales for agriculture at Nedbank Commercial Banking. The views and opinions expressed in this article are those of the author and do not necessarily reflect the views or positions of Food For Mzansi.
READ NEXT: SA food inflation: Why groceries became so expensive
