Planting seeds for global growth: why South African farmers should be thinking ‘offshore’

South African farmers are no strangers to resilience. Year after year, they face unpredictable weather, rising input costs and shifting global market conditions; but they push through the dirt to deliver world-class produce to markets across the globe.

South Africa’s agricultural export market continues to grow, cementing the country’s position as a major player globally. In Q1 2025, exports reached USD3.36 billion, a 10% increase from the same period in 2024.

Yet as South Africa’s export footprint expands, many farming businesses are beginning to ask an important question: how can we structure our growth to make the most of these international opportunities safely, efficiently and for the long term?

According to Brandon Voges, business development manager at Sovereign Trust (SA), the answer lies in offshore structuring – and not just as a tax strategy, but as a holistic business growth solution. Offshore investment vehicles, such as trusts, companies and family office structures, established in a jurisdiction that offers regulatory, tax and administrative benefits enable you to preserve and grow your wealth internationally while continuing to reside in South Africa.

Thinking beyond borders

When your produce crosses borders, so does your business. Offshore structuring through reputable jurisdictions such as Mauritius or Guernsey allows farmers to position their operations for global expansion while maintaining strong ties to their South African roots.

Arranged correctly, an offshore structure can help farmers in the following ways:

• Protect export income and reinvest profits offshore for future growth.
• Access international finance to expand distribution networks and enter new markets.
• Manage foreign exchange efficiently.
• Build long-term succession and wealth plans that secure the family legacy for future generations.

However, offshore success depends on more than location. It depends on understanding the unique realities of South African farming and integrating them with compliant, practical international structures.

Key considerations

Too often, offshore advice is disconnected from the everyday realities of farming — from seasonal cash flow cycles to export regulations and family business dynamics.

1. Compliance and confidence
Offshore expansion doesn’t mean stepping outside the rules – it means knowing how to work within them strategically. With increasing scrutiny from the South African Revenue Service (SARS) and global regulators, obtaining qualified tax, exchange control and transfer pricing advice is essential. Sovereign’s structures are designed to be transparent, compliant and efficient, ensuring farmers can grow with confidence while meeting every regulatory requirement on both sides of the border.

2. Securing the family legacy
For many farmers, the business is also the family’s most valuable asset. Offshore planning creates opportunities to structure this wealth for succession, investment and protection. Through collaboration with wealth management specialists, families can ensure their offshore assets and investments are managed in a way that aligns with their broader estate and succession planning goals, giving peace of mind that what they have built will endure.

3. The financial ecosystem that supports growth
Offshore success requires the right financial infrastructure. Farmers expanding abroad should consider working with forex and financing partners who understand the agricultural industry’s unique timing, risks and capital requirements. From foreign exchange management to cross-border financing, having a partner that understands the rhythm of farming can make the difference between opportunity and obstacle.

Bringing it all together

At Sovereign Trust we believe that offshore success is not built on one element alone. It’s about the synergy between structuring, tax and transfer pricing compliance, wealth management and financial strategy.

Through our global office network, our professional teams can draft trust deeds, incorporate companies, and create director or shareholder agreements that meet both South African and offshore requirements. We can also then provide the ongoing support in administering, managing and reporting to ensure your structure remains in good standing with local and international regulators.

By working with a South African-led team that understands the agricultural mindset and combines it with world-class offshore expertise, farmers can build structures that don’t just save costs, they create opportunity.

This is about planting the seeds for a future where South African farming businesses can grow beyond borders, with confidence, clarity and control.