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South African grape exports to U.S. up 25% despite tariffs

The South African table grape sector reported a 25% export increase to the U.S. and Canada for 2024/2025, reaching 7.4 million cartons. This growth occurs despite existing trade tensions with the U.S. In April, President Donald Trump announced a proposed 10% tariff on all imports, including a 30% tariff on South African goods, though implementation was delayed by 90 days.

South Africa's grape exports to North America have increased by 19% annually over the past five years. Jannie Strydom, Agri Western Cape CEO, stated, "It is comforting to see the latest statistics regarding table grape exports to the U.S. and other countries. This is not only important for the Western Cape, but also for the country." He emphasized the impact of ongoing tariff negotiations.

According to the South African Table Grape Industry (SATI), 2024/2025 exports to the U.S. equaled about 3% of total exports, approximately 2.2 million 4.5 kg cartons. The EU and UK received 58% and 18% of exports, respectively.

SATI CEO Mecia Petersen noted, "The industry is encouraged by growing exports to the USA," despite looming tariff uncertainties. USA-based demand for high-quality South African grapes suggests potential for further growth. Petersen flagged that unequal tariffs compared to other Southern Hemisphere exporters, like Peru and Chile, disadvantage local producers, stating, "Market access processes can take many years. Finding alternative markets to absorb volumes currently shipped to the USA is not a desirable solution."

Agricultural economist Wandile Sihlobo highlighted the strategic need for South Africa to nurture existing export relationships while seeking diversification. He cited sectors at risk from raised tariffs, including grapes and citrus.

Source: Forbes Africa

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