GRAIN SA CONGRESS 2026: Producers urge swift measures to bridge the profitability gap

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The 2026 Grain SA Congress, held on 11 and 12 March 2026 under the theme “Opening the Gap: Sustainability Key; Profitability Foremost”, brought together 615 delegates, including 325 grain producers and a further 290 key agri stakeholders, industry experts, and policymakers to confront one of the most pressing realities facing South African agriculture: the widening gap between the cost of production and the returns producers receive. Over two days, Congress placed the grain producer firmly at the centre of the national conversation, with a clear message emerging: South African grain farmers are resilient and innovative, but the current operating environment is placing unsustainable pressure on profitability and long-term viability.

Food security cannot be separated from farm profitability
Across keynote addresses, producer discussions, policy engagements and commodity breakaway sessions, one reality stood out: grain producers are being squeezed from every direction. Input costs remain high, grain prices have come under pressure, policy uncertainty continues to weigh on planning and investment, , and global volatility is increasingly finding its way to the farm gate.

Producers made it clear that food security cannot be separated from farm profitability. If producers cannot remain commercially viable, the country’s wider food system becomes more fragile.

Margins are under severe pressure
Congress heard that fertiliser continues to account for a major share of production costs, often between 35% and 50%, while fuel makes up another 12% to 18%. Producers were warned that further pressure is likely, with rising shipping risk premiums, renewed geopolitical instability and a projected diesel increase placing even greater strain on already thin margins.

This comes at a time when many producers are harvesting or preparing to plant into markets that are markedly weaker than when input decisions were made. In practical terms, many farmers are now carrying the cost of an expensive crop into a cheaper market.

Producers are asking for predictability, not protection
For producers, however, the issue is not only risk. It is unpredictability. Grain farmers are accustomed to managing weather and market cycles, but Congress highlighted that policy uncertainty, delayed administrative decisions and failing infrastructure are now compounding normal business risk.

Producers again stressed that they are not asking for protection from markets, but for an enabling environment in which markets function predictably, infrastructure works, and government decisions are implemented clearly and on time.

Wheat remains a major concern
A major point of concern was the ongoing pressure in the wheat value chain. Congress heard that South Africa remains structurally dependent on imported wheat for roughly 40% to 50% of domestic needs, while local wheat producers continue to battle under conditions that many regard as no longer economically sustainable.

Grain SA used Congress to reinforce its call for a more predictable, responsive and transparent tariff environment, warning that delays in tariff implementation create avoidable volatility and materially worsen producers’ financial position. Grain SA also reiterated the importance of addressing broader market structure concerns in wheat through the appropriate institutional mechanisms.

Infrastructure inefficiency is eroding margins
Infrastructure was another dominant theme. Grain producers emphasised that poor roads, costly logistics and the continued decline in rail efficiency are no longer secondary irritants but direct threats to profitability. Every delay, breakdown and additional kilometre travelled on damaged roads adds cost to the value chain and reduces the producer’s margin.

Grain SA welcomed renewed focus on agricultural logistics corridors, but Congress made it clear that implementation now matters more than intention. Producers need visible delivery on rural roads, freight efficiency and port performance.

Competitiveness depends on access to innovation
Congress also sent a strong signal on technology and competitiveness. Grain SA’s advocacy direction remains clear: South African producers must have access to the best available science, genetics, crop protection tools, digital systems and mechanisation if they are to stay competitive against major global producers.

Grain SA used the platform to reinforce the need for faster regulatory pathways, stronger harmonisation and improved access to innovation, including new breeding technologies. The organisation’s policy stance is that delayed access to technology is itself a competitiveness risk.

Producer response must also remain practical and disciplined
Importantly, Congress was not only about external constraints. It was also about practical producer response. Speakers and panellists repeatedly returned to the need for disciplined decision-making at farm level: focus on fundamentals, manage for profit rather than yield alone, optimise rather than over-apply, know the specific needs of each field, and use data to make better agronomic and financial choices.

Producer discussions highlighted that in a low-margin environment, success will increasingly depend on precision, efficiency and adaptability. The central message was that producers cannot control global prices, but they can sharpen management, improve input efficiency and make more informed production decisions.

Grain SA’s advocacy and policy direction
Grain SA’s own strategic direction, as shared at Congress, reflects this reality. The organisation’s focus remains on optimising farm production, promoting productivity, advancing technology adoption, creating new markets and opportunities, strengthening inclusivity in the food system, and farming for the future.

Congress also reaffirmed Grain SA’s role as both an advocacy organisation and a practical partner to producers, working across regulation, market access, commodity systems, data, research, communication and value-chain engagement to create a more profitable and sustainable operating environment for grain farming in South Africa.

The producer voice remains the heartbeat of Congress
The producer voice remained the heartbeat of Congress. Delegates spoke candidly about financial stress, shrinking margins and the pressure of carrying production risk in an increasingly uncertain environment. Yet Congress also reflected a sector that is deeply committed to staying competitive, maintaining food production and investing in the future where the policy and market conditions make that possible.

The message from Bothaville was not one of retreat. It was a call for urgency, fairness and action.

A clear call to action
Grain SA’s call to action following Congress is clear: Government must move faster to create a more predictable policy environment, remove avoidable regulatory bottlenecks and implement tariff and administrative decisions without delay. Infrastructure reform must reach the farm gate through better roads, improved freight systems and more efficient logistics. South Africa must accelerate access to innovation and new technology so that grain producers can remain globally competitive.

At the same time, broader value-chain stakeholders must engage honestly with the sustainability crisis facing primary producers, especially where structural imbalances continue to undermine profitability.

While South Africa’s grain producers are steadfast in their efforts to feed the nation and support economic development, the Congress emphasized that profitability is non-negotiable for ensuring lasting food security.

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