One thing that we can say about this year is that the rule book has been thrown out the backdoor - mix a bit of instability into the pot and you get what we call - the South African economy.
During the first few months we saw Pravin Gordhan being removed from office, an unsuccessful vote of no confidence in President Zuma, a wave of downgradings which hit South Africa and, of course, the Gupta-scandal, which is hanging over a number of ANC notables like a dark cloud at present. The political games will become more and more pertinent as the ANC presidential election approaches.
And to round off the soapy, the rand stood its ground remarkably well, we went into a technical recession and the JSE all shares index reached record levels ... the bitter and the sweet!
These fluctuations resulted in huge instability in the South African economy, which affected the agricultural and other industries.
The effect was experienced more intensely due to the drought in the Western Cape. The late season made farmers nervous, particularly since the Western Cape has had excellent crops for the past seven years. It also impacted negatively on JDI's sales in George and Bredasdorp.
The late rain, which brought a number of cold fronts, saved the crops of a number of farmers. Specialists are of the opinion that this rain was not enough to increase water levels. Dam levels throughout the Western Cape are at 18% at present.
Weather predictors are uncertain as to what the next few months will bring. Although temperatures are increasing, good rains over the next few months are not impossible.
It is a privilege to be part of the agricultural industry. However, it has its surprises and challenges (of which nature is a huge part). As a company we believe that one way of addressing these challenges, is through our Precision-division. Precision technology provides equipment and knowledge to the farmer, which will enable him to generate a larger output with a smaller input. Part of our marketing strategy involves the recent acquisition of a fully equipped Precision wagon. This wagon helps marketers to demonstrate the advantages of precision equipment to the wider public in a visual and tangible manner.
The political and natural challenges emphasised the expansions made by JDI in 2016/2017, since it ensured that no ground was lost by JDI in favour of competitors. The Bredasdorp workshop is a textbook example, which we are very proud of.
For these reasons JDI also expanded its product range to certain earth-moving equipment. JDI welcomed 10 new JCBs (four 2DXs, four 3CXs and two Load-alls) over the past month.
JDI also introduced its clothes-wagon recently, which reflects the new JDI trademark and an array of clothes and colours. The wagon enables JDI to market the clothes in a much easier and more effective manner.
There is great excitement about the planned expansion to Addo and Senwes has already started to implement plans to commence with the building. The long overdue John Deere orchard model is also expected within the next few months. We experienced a few setbacks and had to face certain challenges, but JDI is convinced that the new product will make a huge impact in the Eastern Cape.
Despite the difficult circumstances, JDI still managed to keep its head above water and thanks to the hard work of every individual, we are ready to take on the next three quarters with the same zeal.