The July–September 2026 edition highlights SAFDA’s ongoing work to support farmers, strengthen rural economies and advance transformation across South Africa’s agricultural sector. The newsletter features stories on SAFDA’s partnership with the Jobs Fund and Kagiso Trust, land reform and agricultural empowerment, the fight against rising sugar imports, and the newly gazetted $785 Dollar-Based Reference Price for imported sugar.

This edition also explores the future of the sugarcane industry, including opportunities in bioethanol and bioplastics, while highlighting the impact of climate-related challenges on growers and sharing the inspiring farming journey of small-scale grower Khumbulani Dladla.

Read the latest edition of Izigi Zabalimi and stay informed about the issues, initiatives and opportunities shaping South Africa’s farming communities.

The decline was primarily driven by a downward revision of the Local Market Demand Estimate (LMDE), which was reduced by 55 000 tons following weaker- than-expected local sugar sales. Lower domestic demand continues to place pressure on industry revenues and grower returns.

The industry also remains under strain from rising sugar imports. By the end of May 2026, 45 041 tons of imported sugar had entered South Africa, representing a 122% increase compared to the same period in the previous season. The continued influx of imported sugar has intensified competition in the local market, further affecting the industry’s performance.

In addition, the weighted average rand-to-dollar exchange rate strengthened slightly from R16,51 to R16,41, contributing to the lower RV price. Ongoing delays in finalising the application to increase the Dollar-Based Reference Price (DBRP) have also prevented the implementation of stronger tariff protection against imported sugar, leaving the local industry exposed to continued import pressure.

The latest RV price highlights the ongoing challenges facing South Africa’s sugar industry, with subdued local demand, increasing imports, currency movements and delayed trade protection measures continuing to impact grower returns.

The upward movement was largely driven by stronger global sugar prices and a weaker Rand/Dollar exchange rate. The weighted average No.11 world market price rose to US16,51c/lb from US15,34c/lb, while the weighted average exchange rate weakened to R16,46 against the US Dollar.

Industry estimates further indicate that the most likely RV price for the 2026/2027 season remains around R6 751 per ton, with projections ranging between R6 526 and R7 047 depending on market conditions.

For full RV price reports : https://sa-fda.org.za/rv-price/

The decline was mainly attributed to a downward revision of the Local Market Demand Estimate (LMDE) by 176,743 tons, which reduced local market proceeds by approximately R2.5 billion. The stronger LMDE recorded during the 2025/2026 season was largely influenced by the reintroduction of carry-over tonnages.

For full RV price reports : https://sa-fda.org.za/rv-price/