AGRICULTURAL NEWS - The Western Cape’s agricultural sector is set to lose an estimated R5,9 billion in the 2017/2018 season due to prevailing drought conditions across the province.
This is according to a recent policy brief report by the Bureau for Food and Agricultural Policy (BFAP) in collaboration with the Western Cape Department of Agriculture. In this brief, Louw Pienaar and Johann Boonzaaier explored the economic and financial impact of the drought on the economy of the province.
The report found that the total income after costs was estimated to decline by up to R5,9 billion, which represented an average production decline of around 20%, as a result of the drought.
The report’s findings suggest that this can firstly be attributed to the impact of production losses of various crops grown in the province.
