South Africa's Grain and Oilseed Production Hits Record High

South Africa's summer grain and oilseed production is expected to reach a record high of 21.6 million tons in the 2025/26 season, marking a 5% increase year-over-year.

The strong harvest, combined with large carryover stocks, has put pressure on domestic grain prices and helped contain food inflation. In August, food inflation stood at just 0.7%, the lowest rate since 2010.

South Africa's agricultural exports are also increasing, with a value of $7.8 billion in the first half of 2026, up 11% year-over-year despite logistics problems at the Port of Cape Town.

However, the wheat outlook is weaker, with a forecast of 1.8 million tons for the 2026/27 winter wheat crop, down 8% from last season and the lowest level in eight years.