OECD Review of Agricultural Policies: South Africa 2006

image of OECD Review of Agricultural Policies: South Africa 2006

The South African economy, including agriculture, is increasingly integrated in world markets with about one-third of agricultural production exported. Wide ranging reforms liberalising domestic and foreign trade, and lowering support to agriculture were implemented in the 1990s. This first comprehensive OECD review of agriculture in South Africa assesses agricultural policies in the context of liberalisation reforms taken, new market pressures, land reform, and Black Economic Empowerment measures and makes a series of policy recommendations.



The Policy Context

Chapter 1 of this study sets out the policy context. Section 1.1 provides a brief historical perspective of the main macroeconomic developments, earlier policy reforms and resulting current economic situation. Section 1.2 looks at the role of agriculture in the South African economy and how the structure of the sector is evolving. Section 1.3 examines agricultural trade in more detail in terms of both exports and imports. Section 1.4 then highlights some of the main impacts of policy reform on the sector.


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