South Africa: Cheap Sugar Imports Put 70,000 Jobs At Risk

What the report says

South Africa has raised protection on imported sugar in response to pressure from low-cost foreign supplies that are said to be hurting local producers and putting more than 70,000 direct jobs at risk, according to Scrolla’s report distributed by AllAfrica. The measures include an increase in the reference price used to calculate import protection, as well as a higher import duty, with the aim of making imported sugar more expensive and improving the position of domestic producers.

The report says trade union federation Cosatu welcomed the tariff change but argued that it will not be enough on its own to stabilize the sector. Cosatu said the sugar industry supports workers, farmers and wider value-chain jobs, and warned that losses would be felt especially in KwaZulu-Natal and Mpumalanga. The group also linked the issue to South Africa’s broader economic weakness and high unemployment.

Cosatu is calling for a wider rescue package that includes lower electricity costs, better rail and logistics services, stronger support for local sugar production, and tougher action against illicit or under-invoiced imports. It also wants the Sugar Master Plan to be fully implemented, with government, business and labour working together to support the sector. The report presents the tariff hike as a first step rather than a complete solution to long-running industry pressures.