SEED | Seed Co Limited FY23 Earnings Update; Maize remains the flagship seed crop
According to Seed Co Limited management, the period under review saw a worsening harsh operating environment where inflationary pressures, scarcity of critical inputs, high prices, unstable exchange rates, liquidity challenges, policy inconsistencies and uneconomic interest rates brought about an unprecedented difficult operating landscape. Uncertainty around commodity prices and unreliability of the payment system for produce delivered to approved buyers had a direct impact on farmer interest in certain cropping lines especially the winter wheat production. The situation was exacerbated by the absence of reliable power and water supply. Resultantly, winter wheat sales were subdued when compared to prior year, dropping by 7%. Contrarily, maize and soyabean seed sales volumes increased by 12% and 49% from prior year respectively supported by the heightened seed demand on the back of improved rainfall and government programmes aimed towards ensuring food security. Consequently ...