Subsidies will benefit agriculture

WHILE PROGRAMMES
for better access to
finance, improved trade
agreements, fishing
quotas and transformation
charters have been put in
place, this sector will also
benefit from firm economic
growth, particularly from
neighbouring countries,
as well as agricultural
subsidies from Europe and
the US.
Standard Bank believes
growth will be moderate
over the medium term
because of the emergent
black farmers, investment
and government support.
“The emergence of
biofuels as an alternative
energy source means that
selected agricultural prices
will remain high over the
medium term and in fact
may change the structure
of the sector.” The issue
over skills and technology
will also have to be
addressed.