Agriculture In brief South Africa

Petrol price increase to impact agricultural industry

The petrol price increase, which is set to be effective December 6, will impact the agricultural industry through increased transport inputs, which will eventually translate to the cost of goods and the transportation thereof.

The increase, however, will be less severe because it is still high demand season for the agriculture sector, which means that farmers are planting during this time of year and therefore many will have purchased diesel in bulk in advance.

The price is expected to go up by an estimated 60 to 72 cents per litre and the increase is likely to be announced on 1 December 2017.

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