South African farms deemed "too white" may lose access to export produce to the UK and the EU.

The Government Gazette has outlined rules based on existing legislature requiring farmers to meet Broad-Based Black Economic Empowerment (B-BBEE) targets to obtain export permits.

Guidelines now apply to agricultural businesses with a minimum annual turnover of R10 million or more, which impacts products such as milk, cream, butter, fruit, nuts, sugar, jam, fruit purée, fruit juices, yeast, table grapes, and wine.

"A qualifying small enterprise (QSE) is one with an annual turnover of between R10 million and R50 million and qualifies for BEE recognition levels 1 or 2 (as defined in the amended AgriBEE sector code). QSEs which are at least 100% or 51% black-owned must use a BEE sworn affidavit template available on the department of trade, industry and competition website or a Companies and Intellectual Property Commission (CIPC) certificate on an annual basis. However, a QSE which is less than 51% black-owned must undergo BEE verification with an accredited SA National Accreditation System (Sanas) verification agency and comply with five of the elements of the AgriBEE sector code for the purpose of measurement. This certificate must accompany the application form; and

"A large enterprise is one with an annual turnover exceeding R50 million, regardless of the percentage of its black ownership. The enterprise must undergo BEE verification with an accredited Sanas BEE verification agency to obtain a valid BEE certificate. This certificate must accompany the application form"

The Southern African Agri Initiative (SAAI) has criticised the new rules, stating they undermine investor security, job creation, and growth in the agricultural sector. They plan to fight the measures in all forums, local and international, as well as courts and the agencies of the UN and the African Union.

The Democratic Alliance, South Africa's Liberal opposition party, has filed a complaint with the EU and UK trade offices, arguing that the regulations violate fair trade rules.

South African agricultural exports were approximately R240 billion in 2022, with 20% going to the EU and 4% to the UK.

The new regulations effectively force white farmers to give up their farms or face economic sanctions.

This isn’t the first set of regulations imposing notional restrictions on white-owned exporters. PEPUDA was already passedin 2001, and was considered even more draconian, stating that all spheres of society, private and public, must be racially representative, but most of it is just ignored, following concerns of a serious economic catastrophe.

Previous iterations of the export license procedures have also imposed B-BBEE requirements on exporters, but the process has been equally subject to lax and pragmatic enforcement.

Ernst Roets of Solidariteit, formerly of Afriforum, stated that they would be fighting this round of racial regulations with everything they have.