Western Cape livestock producers were struggling with feed for their cattle due to higher maize price costs down in the Western Cape. Transportation costs are higher for the Western Cape producers, because trucks transporting maize from inland return empty from the coast. Livestock producers are paying roughly R400-500/ton more on maize. This is becoming too expensive. Therefore there’s a potential shift in plantings to feed crops, canola and barley to maximize profitability at the cost of wheat. The potential reduction in plantings is also supported by the significant lower wheat seed sales reported by the industry so far.
Published on Mon, 9th Apr 2018 - 08:30