2019 National Budget: No lifeline for farmers
21 February 2019
Agri SA is disappointed in the Minister of Finance, Tito Mboweni’s maiden budget speech. Minister Mboweni’s 2019 Budget Speech referred to agriculture through metaphors, such as “it is time for us to sow the seed of renewal and growth”. Sadly, outside of land reform, agriculture received relatively limited attention in the speech.
“No mention was made of the continuous drought and the devastating impact it has on farmers and farming communities,” said Dr Requier Wait, Agri SA Head of Centre of Excellence: Economics and Trade.
Macro view
The budget highlights how South Africa’s lack of economic growth is impeding tax revenue. In the current economic environment, there is limited scope to increase taxes, as higher taxes will start to be counter-productive for raising further tax revenue.