Industry bodies the Agricultural Business Chamber (Agbiz) and Agri SA have called for deeper agriculture trade across the BRICS markets.

Having participated in Agribusiness Working Group meetings on the sidelines of the BRICS Summit this week, in India, Agbiz and Agri SA considered a range of priorities and recommendations for BRICS leaders, including bridging agriculture productivity gaps among member countries. 

The organisations were also part of discussions on promoting sustainable and climate-smart agriculture practices, sharing knowledge on scientific advances and seed development, and overall deepening of agriculture trade as a means of strengthening food security.

From a South African agribusiness perspective, there is a strong case for BRICS countries – Brazil, China, Egypt, Ethiopia, India, Indonesia, Iran, Russia, Saudi Arabia, South Africa, and the United Arab Emirates – to deepen agriculture trade on fair and commercially meaningful terms, particularly in the current environment of intensifying geopolitical tensions, conflict and rising import tariffs.

Agri SA and Agbiz advocate for more effective trade in these regions through improved market access, fewer unnecessary trade barriers, greater regulatory predictability and more efficient trade facilitation.

While not all BRICS members may currently be ready for a comprehensive agricultural free trade agreement, the potential for such an arrangement should remain under consideration. In the interim, practical steps can be taken to reduce existing barriers and facilitate greater agricultural trade among member countries, Agbiz chief economist Wandile Sihlobo points out.

“The BRICS countries import over $300-billion of agricultural products every year. China and India account for the lion’s share of these imports. The Middle East also has a sizeable share of agricultural imports from the world market.

"Key agricultural products imported by the BRICS grouping include, among others, various grains and oilseeds, fruits, wine, beef, pork and poultry products,” Sihlobo explains.

He continues that higher tariffs and complex or unnecessarily restrictive sanitary and phytosanitary requirements continue to constrain deeper agricultural trade within BRICS.

BRICS countries currently enjoy more favourable trading terms with markets outside the grouping than with fellow BRICS members, contributing to relatively limited intra-BRICS agricultural trade.

"Addressing this misalignment has become increasingly important as the grouping expands. South African agribusinesses and farming communities are therefore calling for practical action to explore opportunities to reduce import tariffs and address non-tariff barriers among BRICS members," Sihlobo concludes.