The producer price for dryland seed cotton in areas of the North West, such as Schweizer-Reneke, stood, at the time of going to print, at R12 000/t, compared with the maize producer price, which hovered at R3 200/t and soya bean at R8 000/t at a yield obtained under dryland conditions of 3,40t/ha, 6t/ha and 3t/ha respectively.
According to Louis Olivier, CEO of Vaalharts Cotton, the production costs for cotton in the 2022/23 season amounted to R22 620/ha, compared with R16 000/ha for maize and R10 000/ha for soya bean. In the case of cotton, it means a profit of R18 179/ha, compared with R3 200/ha for maize and R14 000/ha for soya bean.
DOLLAR PRICE
Jozeph du Plessis from Schweizer-Reneke is one of the pioneering cotton producers in North West. According to him, one of the top benefits of the South African cotton price is that it is coupled to the international NY futures dollar price.
“Because of the widespread political and infrastructural deterioration in South Africa, it is imperative that the local commercial crop farming sector considers alternative crops where the price can be based on a dollar-based futures December price of the coming season, or a spot price that can be negotiated with brokers or agents,” he said at a recent cotton information day.
He pointed out that the demand for the crop outweighs the supply by far, which adds markedly to the advantage of cotton production compared to other rotational crops such as maize and soya bean. Cotton prices do not fluctuate between export and import parity like maize and soya bean, which are produced in surplus, and cotton is thus able to be exported profitably.
DROUGHT AND HEAT
Esta historia es de la edición September 01, 2023 de Farmer's Weekly.
Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 9,000 revistas y periódicos.
Ya eres suscriptor ? Conectar
Esta historia es de la edición September 01, 2023 de Farmer's Weekly.
Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 9,000 revistas y periódicos.
Ya eres suscriptor? Conectar
New farmers' seedling pitfalls
Inexperienced farmers may be tempted to grow seedlings from seed themselves, but they have much to gain by trusting a seedling grower at a nursery to perform this task for them instead
South African avocado production: a success story
Avocado production in South Africa has expanded markedly since the industry's humble beginnings over 80 years ago. From a small grove planted in 1938 in what was then Nelspruit, the industry has blossomed to seven million trees planted on 20 000ha. Dr Guy Witney, project manager at Great Brak Avos, spoke to Annelie Coleman about the country's avocado production.
Unlocking value through livestock exports
Exporting livestock might sound like a daunting business that's better left for big companies, but Gerrie Ferreira, who farms near Oudtshoorn in the Western Cape, has been doing it successfully for almost 30 years, sometimes in partnership with other breeders. He spoke to Glenneis Kriel about the huge potential this market holds, and offers some advice for farmers who are contemplating going this route.
An agribusiness's dedication to community upliftment
For agribusiness NWK, located in Lichtenburg, North West, corporate social investment is an important part of creating a positive influence alongside financial returns. Johan Bezuidenhout, NWK’s group manager of corporate marketing and communication, spoke to Annelie Coleman about why the company chooses to invest millions of rands in the area it operates in every year.
Empowering dreams, transforming lives
Since its launch in 2013, the Agri's Got Talent competition has revolutionised the lives of many farmworkers by unlocking their hidden talents and fostering a culture of empowerment. Glenneis Kriel spoke to various finalists about how the contest has changed their lives.
Foreign investment: agriculture maintains its appeal
South Africa remains a popular destination for foreign investors, despite an often negative outlook from its citizens. It is a gateway to Africa, and with its counterseasonal production to the Northern Hemisphere and favourable weather, local agriculture is especially well placed to attract foreign interest, bringing with it hope for rural communities
The real value and message of COP29 for SA agriculture
While the 2024 Conference of the Parties may have disappointed those who hoped for real progress, it's more important for South African agriculture to highlight its role in carbon mitigation
Improving efficiencies in feed and grain milling
Bühler, a Swiss-based company that provides solutions and equipment for various industries, including food and animal feed processing, has pledged that by 2025, it will deliver scalable solutions that will reduce energy, waste and water by 50% in the value chains of its customers.
Tips for better olive production
At an SA Olive Association field day in November, industry experts shared ways to improve olive production efficiencies, from soil preparation to harvesting.
More effort needed to protect vulnerable cheetah
On International Cheetah Day, commemorated every year on 4 December, emphasis was placed on the vulnerability of the species.
