Grain SA calls for new wheat strategy after tariff decision

The organisation says South Africa must focus on profitable wheat production after the government left the wheat tariff framework unchanged.

SOUTH AFRICA – South Africa’s wheat sector is calling for a different production strategy after the government decided to leave the country’s wheat tariff framework unchanged, a move that Grain SA says places local producers under greater pressure while doing little to address the real causes of food costs.

In an opinion published on July 3, 2026, Grain SA Chief Executive Officer Dr Tobias Doyer said the decision focused too heavily on lower wheat import costs while avoiding wider issues that affect food security.

He argued that food security depends not only on food availability and affordability but also on jobs, economic growth and strong rural economies that allow people to buy food.

“Food security is not just about the availability, safety and affordability of food. It also requires jobs, economic growth and viable rural economies that give people the means to buy food,” Doyer wrote.

He said lower wheat import costs do not automatically reduce bread prices because distribution, energy, transport and packaging account for about 80% of bread production costs. According to Doyer, local wheat production contributes less than 20% of the final bread cost, yet current policy places greater pressure on farmers.

Doyer also expressed concern that parts of the milling and baking industries support increased imported wheat instead of strengthening long standing relationships with local producers. He said South African farmers have worked with breeders, researchers, millers and bakers for decades to produce wheat with strong milling and baking qualities.

However, producing higher quality wheat often results in lower yields and greater production risks, while farmers do not always receive higher returns for that investment.

“Millers cannot insist on premium local quality while supporting a trading environment that undermines the conditions needed to produce it,” he said.

Looking ahead, Doyer said tariff protection alone can no longer serve as the industry’s main response. He called for greater attention to profitable production per hectare, with farmers placing more focus on yield, stable production, disease resistance and lower costs unless buyers pay premiums for higher quality wheat.

He added that future success will depend on stronger links between breeding programmes, grading systems, storage, market premiums, trade policy and farm profitability.

Grain SA said it will continue working with government on tariff applications and other trade measures while supporting producers through the transition.

Doyer added that South African wheat farmers have adapted to changing market conditions, climate and policy before and will continue adjusting their production systems to remain competitive.

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