SA agricultural economy contracted by 24.2% q/q in the first quarter of 2018June 6, 2018
South African Agricultural Commodities Weekly WrapJune 8, 2018
- The harvest activity is gaining momentum across the country, thanks to favourable weather conditions. The progress is reflected in the volumes of maize delivered to commercial silos which amounted to 181 310 tonnes in the week of 01 June 2016.
- About 71 percent of this was yellow maize, with 39 percent being white maize. The fact that a large part of maize delivered to commercial silos is yellow maize signals that the harvest activity is gaining ground mainly in the early planted areas in the eastern parts of the country (areas that predominantly plant yellow maize). The total maize deliveries for the five weeks of the 2018/19 marketing year are estimated at 854 155 tonnes.
- More maize will be delivered in the coming weeks as the expected cool and drier weather conditions within the next two weeks could provide conducive conditions for the harvest activity, particularly in the early planted areas in the eastern and central parts of South Africa.
- Moreover, the expected drier weather conditions are also conducive for the late planted areas where the maize crop is currently at the tail end stages of the maturation process.
- As set out in our previous notes, the yields in areas that have already harvested ranges between average and above average (yields), which supports that National Crop Estimates Committee’s view of 12.9 million tonnes of maize production this season. This expected large harvest, combined with the opening stock puts the 2018/19 marketing year maize supplies at 16.4 million tonnes, well above the local maize demand of 10.7 million tonnes.
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