By HELMO PREUSS
The Agbiz/IDC Agribusiness Confidence Index declined, albeit marginally, by one Index point to 56
points in the second quarter of this year. Despite the slight decline in confidence, the sector remains in expansionary territory.
This is the fourth consecutive expansionary reading, indicating that agricultural activity continues to stabilise following the damage of the 2015-16 drought.
The Agbiz/IDC Agribusiness Confidence Index reflects the perceptions of at least 20 agribusiness decision-makers on the ten most important aspects influencing a business in the agricultural sector (i.e. turnover, net operating income, market share, employment, capital investment, export volumes, economic growth, general agricultural conditions, debtor provision for bad debt and financing cost). It is used by agribusiness executives, policy-makers and economists to understand the perceptions of the agribusinesses sector, and also serves as a leading business indicator of the value of the agricultural output while providing a basis for agribusinesses to support their business decisions.