The agreement, concluded between China and South Africa’s Department of Trade, Industry and Competition, coincided with a landmark moment: the departure of the first South African stone fruit shipment to China — a development seen as both symbolic and commercially significant.
Building Momentum in the Chinese Market
China first opened its market to South African apples in 2015, followed by pears in late 2021. While initial volumes were modest, exports have expanded steadily as exporters strengthened relationships, refined supply chains and adapted to the demands of Chinese retailers.
According to Tru-Cape Managing Director Roelf Pienaar, the company recorded a 35% increase in export volumes to China between 2024 and 2025. Although China still represents a relatively small portion of Tru-Cape’s overall apple and pear exports, the upward trend is viewed as a strong signal of long-term potential.
The growth reflects a deeper understanding of China’s retail environment, cold chain logistics, and client expectations — critical factors in ensuring fruit quality and shelf-life in a highly competitive market.
Toward a Level Playing Field
Currently, South African apple and pear exports to China are subject to a 10% import tariff. Under CAEPA, that duty will be progressively reduced to zero, with full duty-free access scheduled to take effect on 1 May 2026.
For exporters, the phased removal of tariffs represents more than a technical adjustment. It narrows the competitive gap between South Africa and key Southern Hemisphere rivals such as New Zealand, which already benefit from more favourable trade terms in the Chinese market.
Pienaar noted that a level trade footing would significantly enhance South Africa’s competitiveness, particularly for premium apple varieties such as Gala (including Flash Gala and Royal Beaut), as well as Envy and Fuji apples and Forelle pears — categories with strong demand among Chinese consumers.
Tariff Pressures in Other Key Markets
While celebrating progress with China, Tru-Cape has cautioned that broader trade reform remains essential. India, for example, is seen as a high-potential market, yet South African apples face a steep 50% import tariff there, while pears attract duties ranging from 30% to 35%.
Tariff disparities also persist in the United Kingdom and across the European Union, where South African fruit faces higher barriers than that of several Southern Hemisphere competitors.
According to Pienaar, these tariff imbalances materially affect global competitiveness. Elevated duties inflate final sales prices without adding value to the product itself, compressing margins and limiting funds available for reinvestment at farm level — including orchard expansion, technology upgrades and job creation.
In some cases, he added, high tariffs can even influence planting decisions, prompting growers to favour varieties destined for lower-tariff destinations rather than those in highest global demand.
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| Minister of agriculture, John Steenhuisen, accompanied by ambassador Wu Peng of the People’s Republic of China, at the Freshness First Pack-house in Franschhoek |
Beyond tariff reform, Tru-Cape emphasises the importance of securing access to new and previously closed markets. More than a decade ago, the company’s Far East export programme was largely concentrated in Malaysia and Singapore. Today, expanded access to China, Indonesia, Thailand, Vietnam, Sri Lanka and Bangladesh has reshaped the region’s export dynamics.
Market diversification, Pienaar stressed, is essential to building resilience. Access to multiple destinations allows exporters to place different varieties, sizes and grades more effectively, manage risk exposure and avoid over-reliance on any single buyer or region.
The industry is also hopeful of near-term access to the Philippines, while there are calls for Taiwan to reopen to South African apples.
Expanding Opportunity Through Trade Reform
For Tru-Cape and the broader fruit industry, the CAEPA agreement represents tangible progress in strengthening South Africa’s foothold in one of the world’s most important consumer markets. Yet exporters remain clear-eyed about the work still required to unlock full global competitiveness.
Reduced tariffs, expanded market access and diversified trade relationships are seen not merely as commercial advantages, but as catalysts for sustained agricultural growth — with benefits extending from orchard investment to rural employment and long-term industry stability.