Sa's Organic Products Boom - A World Of Opportunity For Businesses
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Qaanitah Dollie, head of provincial enterprise banking at Standard Bank. Image supplied
With South Africa's organic food and beverage market projected to grow at 13.25% between 2024-2029, the sector represents a promising avenue for business development, job creation and export diversification.
"The organic and natural products industry is no longer just a niche market – it's becoming a substantial economic driver with tremendous growth potential," says Qaanitah Dollie, head of provincial enterprise banking at Standard Bank.
"We're seeing local entrepreneurs successfully building businesses that not only respond to changing consumer preferences but also create sustainable supply chains that benefit entire communities. To ensure that we show up at key moments in the growth journey of businesses in this area, Standard Bank Business and Commercial Banking boasts human-led but digitally enabled relationship manager capabilities, digital and digitised banking, a targeted suite of offerings for business, entrenching us as more than a bank."
The natural and organic sector in South Africa is currently valued at approximately R1bn annually and continues to expand as consumers increasingly prioritise health, sustainability, and locally produced goods.
International export opportunities, particularly to the American and Chinese markets, further enhance the sector's growth prospects.
"What makes this sector particularly exciting from a banking perspective is the diversity of business models emerging," adds Dollie.
From farm-to-table organic food producers to innovative natural cosmetics manufacturers, these businesses are creating new value chains while addressing growing consumer demand for products that are both environmentally and socially responsible.
Standard Bank has been actively supporting businesses across the organic products spectrum.
Akhona Mdawe, founder of Xenith AfriXher, a brand dedicated to sustainable innovation and menstrual health, notes: "The organic products sector requires specialised knowledge and often different financing approaches compared to conventional businesses. Having a financial partner that understands the unique challenges and opportunities in this space has been crucial to our growth journey."
Events like The Organics and Naturals Expo serves as a vital platform connecting these businesses with consumers, retailers, and potential export partners, creating channels for business development and market expansion.
Research indicates that South African organic products have particular advantages in international markets due to the country's biodiversity, growing seasons that complement Northern Hemisphere markets, and increasing reputation for quality standards.
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