By Diane Silcock
FACING yet another serious challenge, South Africa’s citrus industry is hoping the country’s hosting of the G20 summit will soften the blow of US tariffs.
Challenges are not new to the industry, which is the world’s second-largest exporter of citrus, contributing approximately R34-billion in foreign revenue per season.
The Citrus Growers’ Association (CGA), however, is hopeful this latest threat to the industry can be countered to a certain extent. It sees a clear opportunity to leverage South Africa’s role as G20 host this year to build diplomatic momentum and fast-track efforts to broaden market access for South Africa’s fresh produce.
CGA’S call for public-private partnerships and strategic diplomacy
With ministers from 19 countries arriving in South Africa, CGA CEO Dr. Boitshoko Ntshabele believes that herein lies the ideal opportunity for industry and governments to collaborate and work hand in hand by hosting sidebar meetings, sharing sector-specific pain points, and negotiating bilateral market access improvements.
“Before handing over the G20 to the US, we must try and take advantage of all the opportunities including negotiating deals with these ministers as they visit our shores, to deepen access in those countries where we already have markets, and to resolve and exchange questions. These efforts will benefit all G20 nations and support the G20’s shared goal of fostering a thriving global economy,” says Dr. Ntshabele.
Citrus industry on growth trajectory
The citrus industry is on a huge growth trajectory, according to the CGA. The latest estimates are that South Africa will export about 180 million 15kg cartons this year. This is almost 15 million cartons more than what was exported in 2024. By 2032, the projection is 260 million 15 kg cartons with the potential to create 100 000 jobs. However, the 30% reciprocal US export tariff could impact this outlook.
Dr. Ntshabele says, “Our citrus industry is diversified and we export to over 100 destinations. We are trying to deepen market access where we are active but we are also looking at newer markets such as South East Asian countries, India, South Korea and Japan, and trying to recoup some of our lost market share in China.”
However, he notes that developing new markets can take up to 15 years due to the need for pest risk assessments and strict sanitary and phytosanitary standards to ensure biosecurity and food safety.
Why is the US so important since only 5%-6% of South Africa’s citrus is exported to it?
“Many rural communities in the Western and Northern Cape are heavily dependent on these exports,” explains Dr. Ntshabele. “Towns like Citrusdal — where citrus exports to the US form the economic heart of this town — are not so resilient to external shocks. The regions’ growers have worked hard to develop this market, building relationships with exporters and US consumers.
“There is a deep appreciation of South African citrus by US customers, and exports to that market have almost doubled since 2017. 35 000 jobs are connected to US-SA citrus exports, so we could see job losses.”
The CGA has appointed representatives in major export markets and is collaborating closely with South African government departments, embassies, and international citrus forums to close the loop between industry and diplomacy and to fast-track negotiations.
There is hope that these types of interventions will succeed in a growing industry that can play a crucial role in tackling South Africa’s rising unemployment, while keeping consumers the world over interested in citrus.
Critical to this, as outlined by CGA, all role players in the industry must seize the opportunities presented by the G20.
