The Southern African Agri Initiative (Saai) has expressed concern following the United States Government’s decision to exclude South Africa from the African Growth and Opportunity Act (AGOA), effective 1 January 2027.
Saai noted that, in the view of many of its members, several domestic policy matters and South Africa’s current foreign policy posture have contributed to tensions in the bilateral relationship with the United States.
These include concerns around farm safety, property rights and expropriation policy, as well as the regulatory environment for foreign investors, including Black Economic Empowerment requirements.
According to Saai’s initial assessment, approximately 62,000 jobs in the agricultural value chain could be at risk as a result of the exclusion, with export-oriented sectors such as litchi, citrus, wine, nuts and other fruit products expected to be most affected.
Saai said it would continue to engage with its counterparts and stakeholders in the United States, with the aim of distinguishing the interests of South African farming communities from broader political considerations, and to advocate for continued market access for agricultural products.
The organisation also acknowledged that perspectives within the agricultural sector on this development may differ, and that other industry bodies may attribute responsibility differently. It referred to the official statement issued by the United States Government for further detail on the reasons for the decision.
Saai added that it believes a restoration of preferential trade access in the near term will require constructive engagement and policy certainty, and expressed hope that improved bilateral dialogue would allow for more favourable trade arrangements for South African exporters in future.
