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South Africa, Italy move to deepen agricultural trade, investment

Agricultural trade between South Africa and Italy currently exceeds R650 million annually, with South Africa maintaining a positive agricultural trade balance.

South Africa and Italy are seeking to strengthen agricultural trade, investment and technology cooperation as both countries move to deepen economic ties through a new partnership aimed at unlocking opportunities across the agricultural value chain.

Speaking at the inaugural South Africa–Italy Agribusiness Forum in Cape Town, Agriculture Minister John Steenhuisen said the relationship between the two countries is entering a new phase focused on investment, innovation, agro-processing and job creation.

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Steenhuisen said the relationship is already built on strong commercial foundations.

Agricultural trade between South Africa and Italy currently exceeds R650 million annually, with South Africa maintaining a positive agricultural trade balance and horticultural exports alone valued at approximately R190 million.

“These figures tell an important story. They demonstrate that Italian consumers and businesses already recognise the quality of South African agricultural products. But they also suggest that we are only scratching the surface of what is possible,” Steenhuisen said.

The real opportunity lies not simply in exporting more fruit, nuts and other agricultural products, but in combining South Africa’s production strengths with Italy’s world-renowned expertise in processing, packaging, technology and branding to create greater value across the entire supply chain.

The two-day forum, which ends on Wednesday, has attracted business leaders, innovators and policymakers from both countries to explore new opportunities for investment, technology exchange and market access under the theme “South Africa and Italy Building Resilient, Value-Added Agri-Business Partnerships: From the Soil to the Shelf”.

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Steenhuisen said South Africa’s position as a gateway to African markets, together with the African Continental Free Trade Area (AfCFTA), makes it an attractive destination for Italian investors seeking access to fast-growing consumer markets.

He said both countries have complementary strengths that could support integrated agricultural value chains spanning production, processing, logistics, technology and retail.

He pointed to provincial opportunities, including wine, citrus, fisheries and food processing in the Western Cape, and fruit industries in Limpopo such as avocados, mangoes and citrus, where collaboration could be strengthened with Italian regions like Sicily and Campania.

“Whether through avocado oil production, fruit pulp processing, citrus value addition or export partnerships, there is considerable scope to build integrated value chains that create more value on both sides,” he said.

He also highlighted Mpumalanga’s macadamia and horticultural sectors, saying Italian expertise in precision agriculture, irrigation systems and packaging could add value.

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Similar opportunities exist in the Eastern Cape’s dairy sector, the Free State and North West grain industries, and KwaZulu-Natal’s sugar, forestry and subtropical fruit production.

He emphasised that what emerges from this “picture” is not a simple trade relationship but a bigger integrated value chain that connects farms, processors, logistics providers, researchers and technology companies across both countries.

“This is exactly the kind of economic partnership we should be striving for,” Steenhuisen said.

The forum also focused on cooperation in agricultural research, biosecurity and innovation. Steenhuisen said stronger collaboration between South Africa’s Agricultural Research Council (ARC) and Italy’s Council for Agricultural Research and Economics (CREA) could help accelerate innovation and improve resilience in the sector.

A Memorandum of Understanding (MoU) is expected to be signed, establishing a framework for long-term cooperation in agricultural mechanisation, digital agriculture, agro-processing, technology transfer, extension services, seed development, soil health, and sanitary and phytosanitary measures.

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The MoU will also establish a joint working group to ensure commitments are implemented through practical projects.

Steenhuisen said the partnership supports South Africa’s goal of increasing value addition in agriculture and creating jobs through expanded processing and manufacturing opportunities.

“This forum is about far more than increasing trade volumes. It is about creating the commercial relationships, investments and technology exchanges that will enable both our countries to move further up the value chain,” he said.

Kayla Shaw

Kayla Shaw is a junior reporter and digital assistant at The Witness. She is an all-rounder with a passion for reporting on the victories and struggles in the conservation and environmental battles. She has been with The Witness for over a year. One of her proudest coverages was a giraffe rescue in the Bisley Nature Reserve where the animal needed to have a snare removed. Kayla holds a degree in Bachelor of Arts at Varsity College and specialised in English and Communication Sciences.

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