Finance · South Africa
SA’s Foot-and-Mouth Controls Strain Dairy Industry Production
Moneyweb · 2026/02/24
Summary
South Africa's strict foot-and-mouth disease measures are causing challenges for the dairy industry. Foot-and-mouth disease is a highly contagious illness affecting animals and requires tight controls to stop its spread. These controls include movement restrictions and increased inspections, which disrupt the supply chain and raise costs for dairy farmers. Jacques van Heerden, an executive at Clover, highlights how these measures are putting pressure on production and distribution. The result is strain on the dairy sector, potentially leading to higher prices or supply shortages in the local market. This situation affects both producers and consumers as the industry tries to balance safety with the need to keep dairy products available and affordable.
OnABudget takeaway: Consumers might see slight price increases in dairy products due to higher production costs, while small dairy farmers need to manage stricter regulations that could impact their operations and costs.