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Vegetable seed production blooms in South Africa

The South African vegetable seed production industry is growing rapidly. It is an industry where precision is a necessary ingredient, and precise practices are required to unlock growth opportunities in this market. We sat down with David Malan, Managing Director at Klein Karoo Seed Production, about this growth and the industry’s readiness to capitalise on opportunities.

David Malan, Klein Karoo Seed Production“Total value of vegetable seed exports from South Africa were at R573 million in 2021. This dipped to R539 million in 2022 after a poor pollination year. From 2022 to 2023 it jumped to R935 million and in 2024 it passed the R1 billion mark. In 2024 the value of exports totalled R1.3 billion and exports from 2025’s crop is expected to exceed R1.5 billion,” says Malan. “My calculations say that around the globe, more than 4 billion people per day will eat an onion that originated from seed produced in South Africa.”

This rapid growth is driven by various factors of which changing consumer trends that lead to increased demand is the biggest. “In South Africa we produce mainly onion seed and carrot seed, sectors in which there has been significant consumption growth. For a long time, we have worked with a figure of 13.2 kg onions consumed per person per year on average around the globe. There has been rapid increase in consumption however and I believe this number has passed 14 kg per person per year by now. Onion is a flavourant and is increasingly used in diets where it was traditionally not common. Changes in dietary habits across Asia and Africa have driven rising consumption of onions, tomatoes, peas, beans and many other vegetables as people switch from monotypic diets to a greater variety in the foods they cook and consume.”

Malan adds that another driver of South Africa’s growth in this industry has been climate change. “Traditionally we mainly compete with Argentina, Australia, Italy, France, India and California in the US when it comes to the production of short- and intermediate-day onions, for example. Many of these countries have felt the harsh impact of climate change, creating unstable conditions. This resulted in a portion of vegetable seed production being moved to South Africa. Another impacting factor is the fact that South Africa has expansion area for seed production, while many of its competing countries do not.” Malan adds that South African seed has built a reputation in seed export markets for excellent longevity that often outperforms that of seeds originating from other countries. “We have excellent seed producers, and they truly deliver a quality product. This has also played a massive role in the growth we have seen in the industry. It is not always possible to be the most competitive in the market as we often face high production costs, but as an industry our aim is not to deliver the cheapest seed, but to deliver high-quality seed consistently.” He concludes that the exchange rate has also played in favour of growth in this industry but cautions that a stronger rand could be detrimental to exports in the future.

Given these factors, says Malan, he expects further growth in the industry. “I believe 2026 will show marginal growth only, but that we can expect to see up to 20% growth in 2027. I believe that, in general, this trend will continue in all seed production sectors throughout the next few years.”

Is the industry ready?

Having painted this picture, the first question that comes to mind is whether South African vegetable seed producers and the industry are positioned to capitalise on the opportunities resulting from this rapid growth. “I truly believe that producers and the industry around them are geared and ready for the expected growth. As is clear from export figures, opportunities are already being seized, and a lot of work is done behind the scenes to ensure everything is in place for producers to be in the best possible position.”

Malan says that role players such as Klein Karoo Seed Production have done a lot of work to help the producer ensure that they are equipped with the necessary infrastructure, be it machinery, irrigation or drying stores. “There has been industry-wide effort from all role players that has made the industry a lot more efficient. The producer has access to the latest technology and can produce with much better outcome.”

One example of change for better efficiency in the industry, says Malan, is in irrigation. “When I started working in the industry in 1995, more than 95% of onion seed, for example, was produced under flood irrigation. Today, I estimate, that drip irrigation accounts for 95% of onion seed production. Drip irrigation offers much greater water-use efficiency, better pollination conditions, reduced disease pressure and higher yields in general.”

Malan gives a nod to industry suppliers, saying that the past, current and future growth of the industry would not be possible without improved irrigation practices, improved fertilizer and chemical application and many other improvements.

More area under production

Malan says that a lot of work has been done to expand the area in which vegetable seed is being produced in South Africa. “The fact that we have areas to expand to is one of the benefits that distinguishes us from our competitors, and it is important that the groundwork is done to establish vegetable seed production in more areas where it can be optimally produced.” According to Malan the vegetable seed production area now reaches as far as Patensie in the Eastern Cape, Nieuwoudtville in the Western Cape, Fraserburg, Williston and even Douglas in the Northern Cape. We also have producers in some parts of the Southern Free State.

“We are doing a lot of work to expand seed production into more areas. The increased availability of pumps that operate with solar electricity has played an important role in making seed production a reality in many of these areas.” He explains that many of these areas are in very dry regions but do have healthy underground water availability. These regions are ideally suited to vegetable seed production, but in the past these farmers had no means of getting the water onto the lands for irrigation. “With a solar pump, he can now fill up his dam, run an irrigation system and efficiently produce onion seed or another vegetable seed. This has unlocked many opportunities for farmers and the wider industry.”

Many of these areas are very suitable to vegetable seed production, given that it is winter rainfall areas with dry climates. “Disease pressure is low in these areas and it rains during the right time of the year. Of course, weather patterns are changing in many areas which also drives changes in the areas in which vegetable seeds are produced.”

Developments like these, says Malan, of course have a significant economic impact on the areas where vegetable seed production is unlocked. “It allows many farmers to diversify, expand their often-marginal income and increase their cash flow. In just more than a decade, our annual payout to farmers has increased significantly to reach more than R500 million in 2025. This is before the supplementary payment that is usually made during the time of the year when cash flow is at its worst for many of these farmers.”

Industry Challenges

No industry is without its challenges. Malan says that changing climate and droughts are among the biggest challenges facing the industry. Another important risk factor is pollination and the level at which bees are working. “We are investing a lot into bee research as there is a lot to consider. We look at the taste impact of different potassium levels for bees, as well as the impact of water on nectar availability and nectar components, to mention but a few examples. The industry is also facing a lot of challenges with the presence of bee pirates in the bees’ working areas. There is still a lot of research to be done on the working of bees in vegetable seed production. In the end it is about making the plant as attractive as possible for the bee and creating an environment in which the bee can work optimally. There are no quick fixes in this regard, and we must do the necessary research to gather data and prevent poor yield as a result of poor pollination.”

He concludes that he is proud to be a part of an industry that is growing steadily and cooperating on many levels to move forward.