(Ecofin Agency) - Red meat prices in South Africa should rise, thus worsening inflation on food products. This is due to farmers’ current efforts to rebuild their herds after massive slaughters as they faced the worst drought of the century.

Indeed, as El Nino phenomenon reduced pastures and cut maize output drastically, thus pushing prices of livestock feed off the roof, farmers were forced to slaughter more animals than usually. As a result red meat became scarce in the market, leading to prices plunging. With El Nino ended and La Nina-induced high rainfalls, farmers have restarted rebuilding their herds. This should in turn cut down slaughters and bring red meat prices up.

“The expectations are that there will be between a 9% and 15% increase between now and December,” said FNB agricultural economist Paul Makuba.

Also, the Central Bank’s governor Lesetja Kganyago has revealed that his institution expects prices of food products to reach a peak in the last quarter of 2016, “at around 12,3%”.

Aaron Akinocho