Business
SA Sugarcane Growers Urge Tau to Act as US Tariffs Bite

Tariffs and cheap imports threaten local livelihoods
South African sugarcane growers are sounding the alarm as a 30% US tariff on local goods, imposed by former President Donald Trump, threatens to upend the industry. The tariff has compounded an existing struggle against cheap, heavily subsidised sugar imports, putting both jobs and rural economies at risk in Mpumalanga and KwaZulu-Natal.
Industry leaders have turned to Minister of Trade, Industry and Competition Parks Tau, urging him to fast-track draft regulations that would allow growers, millers, retailers, and food manufacturers to negotiate procurement deals without violating the Competition Act. These consultations could strengthen domestic sugar sales at a time when exports to the US have slowed.
Industry consultation exemption: a lifeline
The draft regulations, first published in May 2025, were designed to permit industry-wide discussions for using at least 90% local sugar in commercial supply chains. SA Canegrowers chairperson Higgins Mdluli stressed that the consultation process remains unscheduled months after public comments closed. “The sugar industry needs the limited exemption from competition regulations to work together with retailers and manufacturers without fear of breaching the law. Minister Tau must act urgently our livelihoods depend on it,” he said.
The domestic fight against cheap imports
Mdluli also highlighted the threat posed by cheap, subsidised sugar flooding the South African market. While it may appear beneficial for consumers, these imports primarily boost importers’ profit margins, displacing local sugar and endangering thousands of rural jobs. “The South African sugar industry is a national asset,” Mdluli said. “It supports local farming, jobs, and rural economies, yet our market is being undermined by subsidised foreign sugar.”
Trade talks with the US
Growers are calling for government action on two fronts: domestic consultation regulations and international negotiations. They want the US-South Africa trade deal revisited to restore sugar quota mechanisms or secure tariff exemptions, ensuring South African sugar can compete fairly abroad.
Social media and public reaction
Across social media platforms, farmers and rural advocates have echoed Mdluli’s warnings, emphasising the human cost of policy delays. Many residents of sugar-growing regions shared concerns about potential job losses and economic instability, highlighting the wider impact beyond the farms themselves.
As tariffs take effect, local sugarcane growers are hoping Minister Tau will act swiftly to implement the regulations and protect an industry that has long been a backbone of South Africa’s rural economy. Without immediate intervention, many fear the consequences could ripple through communities, affecting livelihoods and food security alike.
{Source: The Citizen}
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