Absa Agri business view on Brexit

South African total agricultural exports to the world have increased from just more than R40 billion in 2005 to about R160 billion in 2015. This equates to an increase of 400% over a period of 10 years and an average annual growth in exports of 40%. More than half of these exports are vegetables (including fruit) and prepared foodstuffs.

South Africa exported R36,3 billion’s worth of agricultural products to the European Union (EU) in 2015, which included exports to the United Kingdom (UK). Exports to the UK alone equalled R9,9 billion, which represented 27,3% of total South African agricultural exports to. South African exports to the United Kingdom and the EU constitute 6% and 17% (excluding the UK) respectively of South Africa’s total exports. South African exports to the rest of the world, excluding the EU and the UK, totals 77% of its total exports.

We expect that our trade will adjust to the new situation and that exports to the EU and other markets will increase until a new equilibrium is reached. Trade shifts to different and the most lucrative markets happen all the time. To read more, click HERE.

Published on Mon, 4th Jul 2016 - 11:46