SA Grain October 2017

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October 2017
Source: Grain SA and own calculations
TABLE 3: SUPPLY AND DEMAND FOR BARLEY IN SOUTH AFRICA.
2014/2015 2015/2016
Area planted (x 1 000 ha) 85 94
Yield (t/ha) 3,55 3,54
CEC Crop Estimates (‘000 ton) 302 332
Commercial supply ('000 ton) ('000 ton)
Opening stocks 144 211
Commercial production 291 330
Adjustments 4 4
Total imports 91 18
Total commercial supply 530 563
Total exports 3 7
% of barley coming into South Africa 17,7 3,2
% of exported barley compared to production 0,9 41,9
Despite relative increase in barley produc-
tion over the years, this has still resulted in
a shortfall of barley, mainly because of qual-
ity requirements. It is also important to note
that South Africa does not produce signifi-
cant volumes of exportable surplus because
the industry only has one buyer. It is there-
fore produced under a contract.
Conclusion
It is evident that the global barley export
market is generally very concentrated. This
means that global barley exports are go-
ing to fewer countries and mainly within
the deep-sea market. Africa has a small de-
mand for barley imports, while Libya has a
strong demand. Sellers to this country, such
as Ukraine, have a geographical advantage
over other countries within the continent.
South Africa’s barley production has been
growing, but remains below increasing na-
tional demand, which has seen the country
relying on imports to meet local demand;
while also fulfilling its quality requirements.
Meanwhile, the country’s exports remain
relatively low, due to constrained produc-
tion and limited import demand, particularly
from its neighbouring countries.
Since South African barley production is
done on a contract basis, the opportunity
to unlock the country’s barley export po-
tential would require a guaranteed market
which would create a scope to expand pro-
duction.
an intercropped system, it is important to identify specific plants
and management practices that best support populations of ben-
eficial organisms. This will require some information gathering and
management skill on the part of the producer, but this investment
will result in many benefits.
The benefits of intercropping include:
Reduced need for pesticides and savings in pest management
costs.
Increased biodiversity and associated ecosystem functions on
the farm.
Increased environmental sustainability by providing constant
ground cover to reduce wind and water erosion.
Increased ability of cropping system to use resources, such as
sunlight, water, and soil nutrients, effectively.
Natural ecosystems are complicated systems with ecosystem func-
tions performed by many interrelated organisms in the system.
What affects one organism in this system will affect all the other
organisms. Agricultural systems where crops are planted in a mono-
culture, on the other hand, are simple systems where most of the
components that provide ecosystem functions have been removed
from the system.
This is particularly evident during climatic changes. When it rains
after a drought, pest insects often become a problem in agricultural
systems, because the insects that keep the pest insects under the
damage threshold are missing in agricultural systems.
Many insect species are able to survive adverse conditions and
are very adaptable to changes. This enables them to increase their
populations when conditions become suitable. Insects are, how-
ever, not only pests on agricultural crops, but in natural systems also
perform many valuable ecosystem functions. The insect assemblag-
es in intercropped wheat systems are more diverse because of an
increased crop diversity.
Insects included in this system perform diverse ecosystem func-
tions such as managing pest insects under the damage threshold,
pollination, bioturbation and fertilisation of the soil. These services
provided by insects can be utilised in agricultural systems by chang-
ing and diversifying the agricultural environment through inter-
cropping.
These systems will have an advantage over conventional wheat
systems because the diversity in intercropped wheat ecosystems
will enable the system to adjust to adverse conditions and become
more resilient and sustainable. This will result in more effective
wheat cultivation because sustainability equals profitability.
Economic sustainability of a producer will increase by decreasing
the need for expensive inputs, such as nitrogen fertiliser and pes-
ticides.
Producers with any queries can contact Dr Astrid
Jankielsohn at 058 307 3431, 082 564 3795 or jankiel-
Wheat: Value of intercropping