South Africa's Wheat Industry on Brink of Collapse Without Reform

South Africa's wheat industry is facing a crisis due to long-standing structural problems. Producers are warning that if urgent reform is not implemented, the country will lose more of its production capacity.

The area planted with wheat has reached its lowest level in almost a century, and South Africa already produces only around half of the wheat it consumes. The 2026 crop is estimated to be 7.5% lower than in 2025, at 1.7625 million tons.

Koos Blanckenberg, a grain farmer in the Swartland, said that drought was not the only problem facing wheat farmers. Grain income had declined by 31% over the previous three years, and weak wheat prices were accelerating the move into alternative crops like canola, which has already displaced 31% of wheat hectares in the region.

Panelists at the Agri in Conversation 'Wheat at a crossroads' discussion warned that the consequences of continued decline would extend throughout the economy. The wheat value chain contributes an estimated R70 billion to R75 billion to the South African economy and supports around 90,000 jobs.