By Khanyisa Tabata
21 February 2010
The MEC responsible for agriculture in the Western Cape Gerrit van Rensburg says he is concerned about the raised fuel levy announced in the budget speech.
Van Rensburg says his main concern is the effect the levy will have on the shelf price of food, as fuel costs play a major role in distribution.
He says fuel and electricity are major input costs for farmers and any increase in these costs has a negative effect on profitability.
The fuel levy sees a general increase of 17 cents per litre to help finance the new petroleum pipeline between Durban and Gauteng.
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