South Africa’s wheat import tariff has been revised to R394.85 per tonne, which is a 45% decline from the previous rate of R716.33 per tonne. This new duty was calculated on the 13 February 2017 following an upsurge of the international wheat prices.
Yesterday we indicated that sub-Saharan Africa’s 2017/18 wheat imports could reach 26 million tonnes, up by 18 percent from the previous season. What we didn’t mention is that the leading wheat importers within the sub-Saharan African region are Nigeria, Sudan, South Africa, Kenya, Ethiopia and Côte d'Ivoire.
Trade aspects remain an important factor in the market as South Africa is a net importer of wheat (see Chart below). The wheat import tariff has triggered again on 10 April 2018 to R437 per tonne. The previous trigger was on 20 March 2018, which then, was calculated at R293.74 per tonne, after an uptick in international wheat prices (No2 HRW), which were supported by unfavourable weather conditions in the US wheat growing regions.