South Africa's agricultural and agribusiness sectors are pinning their hopes on the Brics grouping to expand export opportunities and drive growth. The sector's participation in Brics has largely focused on knowledge-sharing on issues such as climate-smart agriculture, advances in seed breeding, and deeper fertiliser trade. However, these discussions have yet to translate into tangible benefits for the sector. As China assumes the chair of Brics next year, it is expected to continue the focus on productivity issues in agriculture, while also prioritising trade-related matters.
The Brics business council, which represents the interests of agribusinesses and the agricultural sector, plays a crucial role in shaping the group's agenda. However, its impact on key policies and programmes within the grouping remains unclear. To maximise its influence, the council's country chapters must engage with their domestic governments throughout the year, rather than just tabling ideas through formal channels ahead of the summit. This would ensure that the council's work is aligned with the priorities of its member countries and receives more political support.
The current approach to Brics participation may need a review, as the summits have yet to deliver tangible benefits for the various business communities. If this continues, doubts about Brics's effectiveness will grow, particularly in the face of geo-economic tensions and external pressure. Instead of just spectacular events, Brics must focus on material progress that strengthens countries' economic ties. China's leadership on trade matters offers a promising example of how Brics can drive economic advancement.
China's approach to trade has been characterised by a commitment to open markets, including the China-Africa economic partnership agreement for shared development. This agreement has lowered tariffs on various goods from African countries to zero, although phytosanitary barriers remain a challenge for some agricultural products. If China can address these barriers, the agreement can deliver material economic benefits and enhance development and prosperity in Africa and China.
The steps that China has taken in managing its affairs with the African continent offer a model for Brics. By prioritising trade matters and addressing barriers to trade, Brics can unlock economic growth and development. When South Africa assumes the chair in 2028, it will build on already fertile ground if China has pursued trade matters deliberately. The business communities of all member countries would also benefit from this approach.
Wandile Sihlobo, South Africa's presidential envoy on agriculture and land, emphasises the need for Brics to deliver beyond major speeches. As chief economist of the Agricultural Business Chamber of South Africa and a senior research fellow at Stellenbosch University, Sihlobo brings a deep understanding of the sector's needs and priorities. His comments highlight the importance of action and tangible benefits in Brics's economic advancement.
Ultimately, Brics has the potential to drive economic growth and development, but it requires a shift in approach. By prioritising trade matters, addressing barriers to trade, and ensuring that the business council's work is aligned with the priorities of its member countries, Brics can unlock material progress and deliver tangible benefits for its member countries.
Key points
- China's leadership on trade matters offers a promising example for Brics.
- Brics must focus on material progress to strengthen countries' economic ties.
- South Africa's agricultural sector seeks tangible benefits from Brics participation.
