Agriculture Drives South Africa’s Growth as Sector Expands 17.4% in 2025

Statistics South Africa reported that the country’s Gross Domestic Product (GDP) grew by 0.4% in the fourth quarter of 2025, contributing to an annual real GDP growth rate of 1.1% for the year.

South Africa’s agricultural sector has emerged as a key pillar of economic resilience, recording robust growth and supporting national economic stability, according to the latest Statistics South Africa GDP figures.

Welcoming the data, Agriculture Minister John Steenhuisen said the sector’s strong performance demonstrates its growing importance as a driver of economic growth, job creation and food security.

Agriculture Powers Economic Expansion

Statistics South Africa reported that the country’s Gross Domestic Product (GDP) grew by 0.4% in the fourth quarter of 2025, contributing to an annual real GDP growth rate of 1.1% for the year.

Among all sectors, agriculture, forestry and fishing recorded one of the strongest performances, expanding by 17.4% in 2025 compared to 2024.

The sector also boosted the broader primary industries in the final quarter of the year, posting a 0.4% increase driven by strong output in field crops and horticulture.

By contrast, some traditional economic pillars struggled during the same period. The mining sector contracted by 0.6%, largely due to reduced output in coal and platinum group metals.

Agriculture Described as a “Beacon of Hope”

Minister Steenhuisen said the figures reflect more than economic growth—they highlight agriculture’s vital role in shaping South Africa’s future.

“The agricultural sector is no longer just a contributor to the fiscus; it is a beacon of hope for job creation and national prosperity,” he said.

He noted that modern agriculture is increasingly driven by technology, scientific research and global logistics networks, transforming the sector into a dynamic industry offering diverse career opportunities.

“We are witnessing the evolution of a high-tech, scientific, and economically sophisticated industry. This is the new era of farming that offers our youth a diverse range of careers in tech-driven production, global logistics and scientific research,” the minister added.

According to Steenhuisen, the strong 2025/26 financial year performance further cements agriculture’s role as a stabilising force in the national economy.

Government Focus on Innovation and Skills

The Ministry and the Department of Agriculture reaffirmed their commitment to fostering an environment where innovation, modern technology and technical skills can continue to drive growth across the sector.

Officials emphasised that strengthening agricultural productivity will remain a priority for ensuring food security, rural development and sustainable economic expansion.

South Africa Explores Agricultural Partnership with Kuwait

In parallel with the economic developments, Minister Steenhuisen recently held discussions with Kuwait’s Ambassador to South Africa, Salem Al-Shebli, to explore new opportunities for cooperation in the agricultural sector.

The talks focused on expanding investment, trade and technological collaboration between the two countries.

Both sides also discussed plans to sign a Memorandum of Understanding (MoU) aimed at strengthening bilateral cooperation and unlocking new opportunities in agricultural development and innovation.

“South Africa continues to build strategic partnerships that support food security, investment, and the development of the agricultural sector,” the Department of Agriculture said in a statement.

Sector Positioned for Future Growth

With strong production performance and growing international partnerships, South Africa’s agriculture sector is increasingly positioned as a strategic driver of economic resilience, rural employment and export growth.

Government officials believe that sustained investment in technology, infrastructure and global partnerships will help the sector maintain its upward trajectory in the coming years.