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Could foot-and-mouth disease be the reason for your rising braai expenses?

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•South African authorities have established roadblocks in the Western Cape to combat the spread of foot-and-mouth disease.
•South Africa is preparing to import a record quantity of vaccines in response to the current foot-and-mouth disease outbreak.
•The ongoing foot-and-mouth disease outbreak is affecting livestock herds in South Africa.
•The outbreak and associated control measures are contributing to higher meat prices for South African consumers.
•Media coverage in South Africa is explicitly linking the foot-and-mouth disease situation to rising costs of braai-related meat products.

Qué Podría Pasar Si...

▸If South African authorities maintain or tighten livestock movement restrictions through measures such as Western Cape roadblocks Meat processors and retailers in South Africa could face supply constraints, leading to further upward pressure on domestic meat prices.

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AccionesJSE-listed food retailers and meat processorsMayor Volatilidad

If foot-and-mouth disease control measures tighten and meat input costs rise, earnings expectations for South African food retailers and meat processors could become more uncertain.