Some positive outlooks - Tourism , fast food and agriculture
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Some positive outlooks - Tourism , fast food and agriculture
According to National Treasury , the GDP growth rate is forecasted at an estimated 1.3 % for 2017 . The outlook points to a tough year ahead for business ; however , there are a few trends that promise a positive narrative for businesses during the year .
“ It isn ’ t all doom and gloom : yes , the economy is slowing - however businesses that want to gain any wins in the market place in 2017 will have to operate in a more astute manner ” says Dr Yudhvir Seetharam , head of analytics at FNB . Seetharam shared his outlook on a few trends in various industries that we can expect in 2017 :
Growth in the pre-owned car market spurs on SME ’ s in related markets The new car market will most likely continue to slow in 2017 as cash strapped consumers continue to opt to keep their cars . The saving grace for this sector will ultimately come from the pre-owned and spare parts market , and through it we are likely to see an increase in sales from businesses that sell tyres , spare parts and batteries as consumers look to stretch their Rand .
Fast-food uptake Fast – food franchises will likely experience growth . Tourism to continue growing South Africa has remained a popular luxury destination for many international travellers ; especially as it offers a world class experience from shopping to pristine beaches and unforgettable safari ’ s at a fraction of the price .
Increased use of the eCommerce platform With an increase in the number of people with accessibility to the internet and a population that is becoming more digitally savvy , we are bound to see more online solutions .
Agricultural sector to stabilize The past year for most farmers was a challenging year due to the drought conditions our country experienced . With a 75 % likelihood of a La Niña weather phenomenon , the much needed rain will bring relief to the sector . If the rain is consistent , we will see a normalisation in crop production . The meat market may still add to the food inflation but with good rains , we may see a general decrease in overall food inflation .
The latest Business Confidence and Consumer Confidence Indices indicate that South African consumers and businesses have similar expectations ; consumer
confidence has increased marginally , but it still below historic averages . This implies that while consumers have a slightly more positive outlook on the economy , their spending patterns are likely to remain unchanged . In contrast , Business Confidence , in the motor and retailer sectors have dropped , indicating that these businesses expect dampened sales and profits over the short term .
“ 2017 will no doubt be a trying year for SME ’ s across all industries , but with a recovering world market , and a Rand that is finding strength , we should start to see an upward trend towards the end of 2017 – hopefully the worst is behind us ” concludes Seetharam .
AGRI SA ’ s CEO honoured on continent and is elected WFO Audit Board President
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Omri van Zyl , Agri SA ’ s executive director of Agri SA , was recently appointed as president of the World Farmers ’ Organisation ’ s Audit Board at a meeting of the organisation in Rome .
Agri SA is a member of the WHO and hosted the First General Assembly of the newly established World Farmers ’ Organisation in South Africa during September 2011 . WFO is an organisation of agricultural producers that aims to strengthen farmers ’ positions within value chains , with a particular focus on smallholder farmers . By advocating on behalf of farmers and representing their interest in international policy forums , WFO supports farmers in better managing extreme price volatility , leveraging market opportunities , and timely access to market information
Van Zyl was late last year also named as this year ’ s Continental Winner by CEO Global at a prestigious gala dinner .
SABI | FEBRUARY / MARCH 2017
Winner
CEO Global has focused on identifying and awarding Africa ’ s leading talent over the past 16 years . Omri van Zyl was named as the continental winner under the category Agriculture in their ‘ Leading African Recognition Programme .’
The aim of the programme is to honour excellence in the private and public sector . This programme covers 23 economic sectors recognizing leaders of excellence in their industry and is an open process with no affiliation to a professional body required . Nominations are obtained from the business community and individuals over a period of approximately 13 months . According to CEO Global ’ s Chief Executive ; just under 5000 nominations were received from various economic sectors from across the continent for the 2016 awards . It is indeed an achievement in its own right just to be recognized as a continental finalist .
Nominees undergo a multi-tiered judging process . The judging panel consists of four tiers and is comprised of 24 representatives from across Africa with leading figures from the business and public sector . Quality assurance is provided by KPMG throughout the judging and the highest possible standard is maintained .
Networking
Continental winners will also be afforded the opportunity to join the ‘ Network of Influence ’, which will
give them access to developmental tools and serves as a platform to bring together small and medium enterprises with corporates and the public sector .
“ Agri SA is extremely proud and elated with this prestigious award won by Omri . This is indeed a significant accomplishment in one ’ s career and we congratulate him on this exceptional achievement ”, says Johannes Möller , President of Agri SA .
“ I wish to thank CEO Global for this award , it is an honour to be named continental winner in this dynamic sector ”, says Van Zyl .