Sustainable Agriculture: Market Intelligence Report 2018

The report highlights the South African agriculture sector as a robust investment environment, particularly in the Western Cape, which contributes 24% of the national agricultural GDP. It identifies key growth areas in controlled environment agriculture (CEA), drone technology for precision farming, and renewable energy, while emphasizing water scarcity as a primary driver for the adoption of these green technologies.

• The Western Cape province is a dominant force in South African agricultural exports, contributing 24% to the national agricultural Gross Domestic Product (GDP), and the sector accounts for 18% of all formal employment in the province.
• Severe drought in the Western Cape has led to significant economic losses, including a R2.8 billion loss in the grain industry and primary production monetary losses of R5.9 billion for the 2017/18 season, resulting in approximately 30,000 job losses.
• The market for controlled environment agriculture (CEA) in the Western Cape is conservatively valued between R28 million for low-tech and R600 million for high-tech systems, with an expected annual growth rate exceeding 15%.
• South Africa's drone industry, a critical part of precision agriculture, was estimated to have generated R2 billion in 2017, with significant potential for growth as data-driven farm management increases.
• Solar PV adoption in the agricultural sector grew notably in 2017, with 8,395 kWp installed across South Africa, of which 26% (2,233 kWp) was located in the Western Cape.
• Conservation agriculture (CA) has seen high adoption rates in the Western Cape, where 80% of grain production cropland is under CA, compared to 70% in KwaZulu-Natal and only 20% in other grain areas of the country.
• South Africa is implementing a carbon tax starting January 1, 2019, though the agriculture, forestry, and waste sectors will be exempt from direct GHG emissions taxation during phase one (2020 to 2022), remaining subject to indirect taxes on energy and fuel.
• Water scarcity is a primary driver for greentech, with the Western Cape facing a potential 30% decrease in rainfall by 2050, necessitating a shift toward water reuse, groundwater, and precision irrigation.
• There is a significant emerging opportunity for mobile applications in agriculture, with a global increase of 400% in such apps between 2010 and 2015, and a growing trend toward index-based insurance (IBI) for smallholder farmers.

APA

GreenCape (2018). Sustainable Agriculture: Market Intelligence Report 2018. https://greencape.co.za/wp-content/uploads/2022/10/GreenCape-Sustainable-Agriculture-MIR-FINAL-WEB-24-5-2018-3.pdf

Chicago

GreenCape. Sustainable Agriculture: Market Intelligence Report 2018. 2018. https://greencape.co.za/wp-content/uploads/2022/10/GreenCape-Sustainable-Agriculture-MIR-FINAL-WEB-24-5-2018-3.pdf.

Wikipedia

{{cite report |author=GreenCape |title=Sustainable Agriculture: Market Intelligence Report 2018 |date=2018 |url=https://greencape.co.za/wp-content/uploads/2022/10/GreenCape-Sustainable-Agriculture-MIR-FINAL-WEB-24-5-2018-3.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{greencape2018sustainable, author = {{GreenCape}}, title = {{Sustainable Agriculture: Market Intelligence Report 2018}}, institution = {GreenCape}, year = {2018}, url = {https://greencape.co.za/wp-content/uploads/2022/10/GreenCape-Sustainable-Agriculture-MIR-FINAL-WEB-24-5-2018-3.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }