AGRICULTURAL NEWS - The Department of Agriculture, Forestry, and Fisheries plans to spend over R1.7bn and create 60,000 jobs, according to Finance Minister Pravin Gordhan's Budget Speech.
The department is set to spend more than R1.7bn on the Ilima/Letsema projects grant, which is transferred to provinces for food production initiatives. The project seeks to support the production of commodities such as red meat, poultry, fruit, vegetables, wine, and wheat.
It is also expected to contribute to the creation of 60,000 job opportunities over the medium term as well as better food security.
According to the Absa Agricultural Outlook for 2017, the rand weakened as much as 29.4% during the first quarter of 2015 and the second quarter of 2016. This went together with price increases for staple products such as maize as well as low production volumes. It also helped contribute to the greater demand for vegetables, according to the study.
Previously, Fin24 reported there may be a sharp fall in food prices during 2017. However, according to the agricultural report, the price of beef may be higher in 2017 as farmers rebuild herds following the drought.
