BFAP-Perspectives on Agriculture GDP Performance
South Africa’s seasonally adjusted and annualised GDP increased by 4.6% in the first quarter of 2021, but agriculture, which was the star performer in 2020, contracted by 3.2% on a seasonally adjusted and annualised basis. However, a direct comparison of Q1 2021 to Q1 2020, in real terms, reflects growth of 7.5%. This follows strong revenue growth from animal products, due to higher prices, as well as field crops and horticulture – both of which showed strong volume growth, whereas field crops also benefited from higher prices emanating from international market factors. With the bulk of the bumper summer crop set to be delivered in Q2, BFAP projects 7.6% growth for the full year 2021.