SA Canegrowers has appealed to the government to remove the sugar tax without delay, saying a sharp increase in low-priced imported sugar is crowding out local production and worsening the crisis facing South Africa’s sugar sector, Cape Business News reported.
The industry supports more than one million people in KwaZulu-Natal and Mpumalanga. It includes about 27,000 small-scale farmers and 1,100 large-scale growers. Over the past year, producers have faced mounting pressure from rising farming costs and unpredictable global prices, alongside weak demand at home. The organisation says the sugar tax has added to these challenges.
Figures from the South African Revenue Service show that 153,344 tonnes of sugar were imported between January and September 2025. This marks a sharp increase from 20,924 tonnes during the same period in 2020. The previous highest level was 55,213 tonnes recorded in 2024.
SA Canegrowers chair Higgins Mdluli said much of the imported sugar benefits from government support in exporting countries, allowing importers to sell it locally at competitive prices. He warned that local farmers are struggling to compete with these imports while the sugar tax continues to limit domestic demand.
The tax, introduced in 2018, resulted in the loss of more than 16,000 jobs in its first year, according to the organisation, which says there is no clear proof that it has improved public health.
SA Canegrowers is urging the government to strengthen safeguards against imports and engage more closely with the industry. It argues that scrapping the sugar tax would be an important first step in protecting rural communities, preserving jobs and ensuring food security.
