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How minimum wage strikes and other factors will influence investment in SA Agriculture 2014

How minimum wage strikes and other factors will influence investment in SA Agriculture 2014. John Purchase AMT 30 September 2013. SA economic growth : Tradable goods sectors lag the non-tradable goods sectors. Source: StatsSA Graph: Agbiz. Net Farm Income/Debt Ratio. Source: DAFF, 2013.

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How minimum wage strikes and other factors will influence investment in SA Agriculture 2014

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  1. How minimum wage strikes and other factors will influence investment in SA Agriculture 2014 John Purchase AMT 30 September 2013

  2. SA economic growth: Tradable goods sectors lag the non-tradable goods sectors Source: StatsSA Graph: Agbiz

  3. Net Farm Income/Debt Ratio Source: DAFF, 2013.

  4. Gross Capital Formation and Net Farm Income: 1971-2012 Graph: BFAP, 2013

  5. X R1 000 000 Source: DAFF, 2013. Graph: Agbiz, 2013

  6. Real value of agricultural assets: 1971-2012 (2005 Constant prices) Graph: BFAP, 2013

  7. Take home message…….. • Investment in agriculture steadily been declining in real terms since the 1980’s. • Increase in net farm income since 2007 has not changed investment trend. • Increased uncertainty around labour situation/regulatory environment and land reform major factors deterring investment. • Changed patterns of investment (mechanization) will in all probability also be a reality.

  8. THANK YOUwww.agbiz.co.za

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