[imagesource:peakpix]
Botswana extended its ban on fresh goods from South Africa on Monday, defying the existing free trade agreements that are in place.
The export ban currently in place was due to expire at the end of 2023, but now the ban will continue until the end of 2025, with the number of items banned doubling as of July next year. The ban currently includes staple foods like tomatoes, potatoes and onions.
South Africa supplied almost 80% of Botswana’s food before the ban, but the country is now seeking to boost its own farmers to allow the country to become self-sufficient in food production. The result of the current ban has meant a decrease of 71% in Botswana’s import bill.
It may be good for Botswana farmers, but their counterparts in SA are seeing the effects on prices at market levels. Hendrik Eksteen, CEO of Grow Fresh Produce Agents thinks the Botswana government seems to have little regard for the free trade agreement already in place and was “known to shut their borders on short notice when local supplies became available”.
“Often the restrictions on trade are not properly communicated, and it is the buyers that procure produce from the municipal markets to sell in Botswana that suffer the most losses since they often only find out about the ban when they get to the border.”
Organisations like Potatoes SA and farming groups in South Africa have repeatedly tried to negotiate with the Botswana government to lift the ban but to no avail.
South Africa’s minister of Agriculture, Land Reform, and Rural Development, Thoko Didiza, is now entering the fray and is reportedly urgently seeking a meeting with her counterpart in Botswana to resolve the breach of the agreement.
In theory, this should mean an overabundance of fresh produce for local markets, which in turn should drive prices down a bit for consumers. Good news perhaps for locals buying veggies, but for farmers, the sneaky tactic of shutting Botswana’s borders when they don’t need us, is not so cool.
[source:farmersweekly]
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