A NEW PERSPECTIVE
THEME
INTEGRATED REPORT 2019
Providing solutions in this environment
The theme of the 2019 report indicates Senwes’ approach to agri
culture. Even though many aspects remain the same year after
year, fresh and innovative thinking is needed to change, adapt and
improve what we offer, what we do and how we serve. To rede-
fine the way in which we approach solutions and generate value
for our stakeholders, to change challenges into opportunities with
long-term benefits and to do away with traditional thoughts and
processes, embracing a new perspective on agriculture.
A SEASON OF EXTREMES
The 2018/2019 season was characterised by the hottest summer in 30 years, with
average temperatures in the Senwes area of operation increasing by at least 3°C
compared to the previous 30 summers. With below average rainfall in the latter part
of 2018 and successive heat waves which kept average temperatures above the
30°C mark for up to a week at a time, the planting season for maize, late October to
mid-December, was closing at a rapid pace.
Heavy rains in late December and in parts of January gave farmers hope, as the soil
was damp enough to plant. Last year, the rains came similarly late in December and
farmers managed to plant their entire crop in just a week. Those crops fully deve
loped before having to face frost and the 2018 harvest yielded a crop of 12,5 million
tonnes, resulting in carry-over stock levels of close to 2,7 million tonnes.
This year, however, was different due to the fact that temperatures stayed higher for
longer, which placed unrelenting pressure on crops. Late plantings also left farmers
exposed to sudden drops in temperature during autumn, when they had to face the
risk of frost damaging the crops. On top of the severe climate conditions farmers had
to endure, they were also struck by an outbreak of foot-and-mouth disease, which
led to a ban on SA beef in key export markets. This resulted in meat prices, which
account for more than a third of the food inflation basket, being under pressure and
an oversupply of domestic meat.
However, the financial year ended with the highest average rainfall for April (188,7
mm) in the Senwes area of operation in the last 104 years. This meant that tempera-
tures stayed high, which kept frost at bay and gave the planted crops enough time
to grow to full size.
ON THE COVER
This photo taken early February 2019 on the farm of one of Senwes’ clients near
Viljoenskroon in the Free State, creates a backdrop for the 2018/2019 financial year
and emphasises that being a farmer in South Africa, requires a certain set of skills
that cannot be obtained overnight. Farmers have to be financial planners, weather
experts, risk managers, agronomists, technology managers, mechanical experts,
market analysts, marketers and logistical managers, all in one. With that comes
the added responsibility of providing food for the nation, which sometimes means
working from dawn till dusk to plant or harvest the food that South Africans need
every day.
SENWES INTEGRATED REPORT 2019
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