Local agribusiness Illovo Sugar South Africa says it is increasingly concerned by the continued delay in the publication and implementation of the revised Dollar-Based Reference Price (DBRP) for imported sugar, despite the review process having been concluded by the International Trade Administration Commission of South Africa (Itac).
The prolonged delay is creating further uncertainty for an industry already under severe economic pressure caused by increased volume of imports, escalating input costs and sustained inflationary pressures.
The South African Sugar Association (Sasa) submitted an application to Itac in October 2024 requesting an increase in the DBRP from $680/t to $905/t. The review process, albeit taking two years, has since been completed, yet the industry continues to await the gazetting and implementation of the revised reference price.
Every month of delay has real consequences for the sustainability of the South African sugar industry, Illovo states.
During the review period, import volumes continued to rise, placing further strain on local growers and millers. In the 2024/25 season, 213 322 t of sugar from outside the Southern African Customs Union were imported into South Africa, reducing revenue across growers by approximately R1-billion and across millers by approximately R500-million.
