SOUTH AFRICA’S SEASONALLY ADJUSTED GDP GREW BY 1.9% IN THE FIRST QUARTER OF 2022.
THE AGRICULTURAL SECTOR GREW BY 0.8% QUARTER ON QUARTER, AS SHARP COST INCREASES NEGATE MUCH OF THE REVENUE GAINS. NEVERTHELESS, THE SECTOR CONTINUES TO CONTRIBUTE POSITIVELY.
IN SUMMARY... ...the agricultural sector has been one of the strongest performers in the South African economy in recent years, but growth is expected to slow in 2022. While prices are high, production costs increased very sharply and continue to rise with the war in Ukraine ongoing. Logistical constraints are another factor that will bring profitability under pressure. Despite the challenges facing the sector, it grew by 3.6% in the first quarter of 2022.
