The cost burden on farmers not slowing down
[{“type”:”text”,”content”:”With that being said, the increase in the minimum wage draws concern to the ability of many farmers to continue operating their businesses profitably and contribute towards employment creation in labour-intensive sub-sectors. Reflecting on the sectors financial resilience, farmers have absorbed extraordinary increases in input costs ranging from fertilisers, fuel prices, electricity price hikes and the double-digit increase of the minimum wage in 2021 as illustrated in the table below.”,”position”:0,”id”:”AqhiBqLSivI8BauF”},{“type”:”image”,”content”:”https://agrisaonline.com/images/650″,”position”:1,”id”:”M6ByYTv7cAe6O29x”},{“type”:”text”,”content”:”*Agricultural input cost inflation: Calendar y-o-y percentage change from 2020 – 2021 (Source: BFAP & Grain SA, 2021)*nnThis is against the backdrop of the dilapidating conditions of our rural and some provincial roads which have been rendered impassable. Farmers will struggle to get their crops to the silos, which may have knock-on effects such as temporary supply problems and a decrease in quality. Farmers cannot bear the additional cost of repairing these gravel roads.”,”position”:2,”id”:”TKKBxhmWFbr8XG8T”}]