April 20021

The drivers of feed price increase: Agri commodity super cycle?

South Africa is harvesting a large maize crop (15,9 million ton) with exportable surplus and a new record soybean crop (1,7 million ton). Local soybean prices increased by 53% compared to a year ago and the yellow maize price increased by 32% compared to a year ago. Given the relative large local feed grain crops, the question is what is driving prices and what is the outlook for the next few months?
 Read Prof Johan Willemse’s latest column.