As the grape harvest season begins in the mountainous region of Asimah in Ras Al Khaimah, a local farmer noted a sharp tenfold increase in demand for Emirati grape seedlings in recent years. His nursery now produces over 10,000 local seedlings annually to meet the growing interest in cultivating traditional varieties.
Marwan Saif Rashid Al Mazroui from Asimah, a picturesque agricultural and mountainous area in southern Ras Al Khaimah, located about 90 kilometers from the city of Ras Al Khaimah, reported that the grape harvest this year started in May and continued until June. The season was largely dependent on temperature.
He explained that hotter weather leads to faster grape ripening, while milder temperatures extend the harvest into May and June. Al Mazroui emphasized that high-quality grapes require meticulous care throughout the growth cycle, including pruning, fertilization, and pest control. The grapevines undergo heavy pruning in February, and fruiting begins in May.
Asimah is known for cultivating pure local Emirati grape varieties; both red and green types are grown in the area. Some of the original mother vines on the farm are older than 25 years. In addition to traditional varieties, the farmer has begun planting international varieties, although they are currently produced in limited quantities due to the youth of the vines.
Al Mazroui noted a significant rise in interest in locally produced seedlings in recent years. He compared the past to the present: 'Demand used to be limited, and we produced about 500 seedlings per year. Today, we produce over 10,000 grape seedlings every season, but demand still exceeds our supply capacity.'
Although the grapes themselves are not sold commercially, Al Mazroui focuses on propagating seedlings—a skill he learned from his father before expanding production to meet rising demand. He specified that each of the 30–40 mature grapevines yields approximately 30 kilograms of grapes, although the annual yield varies depending on growing conditions. The local red variety produces fewer fruits but grows faster after planting, whereas the local green variety forms larger berries, but its seedlings require more time to establish roots. The nursery offers local red and green seedlings in various sizes, and new stock will be available at the beginning of the planting season in September and October.
The rate of housing price growth in South Africa is declining as increased borrowing costs put pressure on housing demand. The market continues to be supported by supply constraints, which help stabilize prices.
The slowdown in price growth reflects a more complex operating environment for households. Market activity is expected to remain subdued for the rest of the year. According to FNB senior economist Siphamandla Mkhwanazi, high borrowing costs, weakening consumer confidence, and softer economic conditions are negatively impacting housing demand and are likely to limit market activity until the end of the year.
According to the FNB Housing Price Index (HPI), housing price growth slowed in June, falling to 5.2% year-on-year (y/y) compared to 5.7% y/y in May. Mkhwanazi also noted that recent data shows the average housing price growth in Q2 2026 was 5.6% y/y, lower than the 6.0% recorded in Q1.
Although housing price inflation remains slightly above overall consumer inflation, which was 5.0% y/y in June, the gap between them has narrowed significantly compared to the beginning of the year. Latest data shows that rent increased by 4.1% y/y in June and continues to rise gradually with regional variations.
New residential construction activity remains low, and the supply of existing homes available for sale has also decreased. However, the economist emphasized that the housing market continues to benefit from supply constraints, which helps curb price increases. He added that limited stock availability prevents a more noticeable correction in housing prices and should continue to support forecasts in the near term. Therefore, while weaker macroeconomic conditions may dampen transactional activity, a broad fall in housing prices is not anticipated.
From a rental market perspective, vacancy rates continue to decline due to purchasing power constraints in the ownership market and stable household formation. Mkhwanazi predicts that housing price growth will continue to moderate down to 4% by the end of the year, as high borrowing costs, low confidence, and slowing economic growth weigh on demand.
Nevertheless, he believes that the reduction in new housing construction and the smaller number of available homes should continue to support prices. He also mentioned that the South African Reserve Bank's (SARB) decision to keep interest rates unchanged was a positive surprise for households and potential buyers. In the future, inflationary pressure is expected to peak in early 2027, giving SARB the opportunity to resume its easing cycle. Lower borrowing costs should support mortgage demand, improve affordability, and help stabilize market activity.
Rental market conditions should also remain relatively stable, according to Mkhwanazi. He added that pressure on purchasing power and tighter lending conditions should continue to support rental demand, while limited development plans restrict the growth of rental stock. Nevertheless, vacancy rates remain slightly above pre-pandemic levels, indicating that excess capacity has not been fully absorbed, limiting rent growth before purchasing power becomes the constraining factor.
Last week, Keegan Stein, founder of South Africa Forbes Global Properties, called the SARB's decision to maintain interest rates at 7% a favorable outcome. He noted that this gives buyers time to absorb the May increase without further changes to what they can afford, given that confidence this year was insufficient.
In his view, at the top end of the market, rate decisions influence sentiment more than purchasing power, as their buyers typically have no encumbrances or only small debt. Stability reduces decision-making volatility.
Forbes Global Properties also pointed out that in mortgage-financed segments, purchasing power remains the main limiting factor, and banks maintain discipline, meaning volumes require time to react. The drivers differ in the luxury segment: demand is driven by scarcity. There is a finite number of properties on the Atlantic coast with the desired location and views, for which international and local high-net-worth buyers compete, and rate changes do not increase this supply. Similar dynamics are observed in the Winelands and private Big Five reserves in KwaZulu-Natal, where only a small number of villas exist within one reserve, and new ones cannot be built. Buyers in these markets acquire scarcity, not square meters. The company also noted that South Africa continues to attract lifestyle relocations and international buyers for whom the country's pricing still appears attractive compared to equivalent global markets.
The Mexican Minister of Economy, Marcelo Ebrard, publicly stated that Mexico maintains an advantageous position compared to other nations, given that 85% of its exports go to the United States without customs duties, complying with the guidelines of the trade agreement between Mexico, the United States, and Canada, known as T-MEC by Mexicans and USMCA by Americans.
Ebrard admitted that the situation requires a continuous fight but emphasized the Mexican government's desire to preserve this trade advantage. Furthermore, he expressed the intention to improve conditions for the automotive industry and annul Section 232 sanctions regarding steel and aluminum before the next round of T-MEC discussions, scheduled for September.
The United States plans to introduce changes to rules of origin and begin conversations about the issue of 'economic security,' a concept that was barely present in the previous treaty and whose scope still needs to be defined. The official warned that a detailed analysis of the rules of origin could extend until 2027, given the complexity and breadth of the modifications proposed by Washington.
The next bilateral meeting is scheduled for the first week of September, allowing Mexico to be aware of the outcome of a US investigation under Section 301, which addresses excessive production capacity in Mexico, the decision for which should be released in the first week of August. Ebrard clarified that this investigation is in addition to another, also under the same section, related to forced labor, which assesses the possibility of acquiring products from regions or countries where such practices occur, and does not focus on the existence of the practice within Mexico itself.
A recent decision, announced last week and affecting more than 80 countries, maintained a 10% tariff on Mexican goods that do not adhere to T-MEC standards. The minister expressed dissatisfaction with the customs duties but stressed that the Mexican rate remained unchanged and that the government needs to know the conditions imposed on its competitors before starting any negotiation. He also rejected the idea of implementing seasonality for agricultural exports, as this would contradict the current agricultural trade system between the two countries.
Ebrard pointed out that the increase in exports proves the Mexican advantage, forecasting a growth slightly above 24% in exports, while imports grew at a slower pace. This resulted in a trade surplus exceeding $9.8 billion (equivalent to 8.614 million euros), the largest recorded by Mexico since 1991. Regarding tequila, the minister reaffirmed the government's commitment to helping eliminate tariffs and restrictions in other markets, given that the United States currently absorbs 83% of Mexican exports.
The U.S. Department of the Treasury announced a change in financial regulations, stipulating that the Financial Crimes Enforcement Network (FinCEN) will not apply coercive measures against financial institutions offering authorized services in Venezuela.
This determination is valid while Venezuela remains under sanctions, extending until January 29, 2027. The initiative seeks to simplify the processing of transactions conducted by American banks and other financial entities involved in humanitarian assistance, reconstruction efforts, and economic recovery in the country following recent earthquakes.
By reducing the risk of regulatory penalties resulting from potential compliance issues during these permitted transactions, the measure aims to facilitate the flow of necessary aid.
The Treasury clarified that despite the easing, financial institutions remain obligated to maintain their anti-money laundering programs and comply with all existing sanctions imposed by the Office of Foreign Assets Control (OFAC).
Additionally, the statement emphasized that this protection does not apply to any intentional or deliberate violations of U.S. financial regulations.
A World Bank report issued on Thursday indicated that the damage caused by the seismic events in Venezuela, which occurred on June 24, has an estimated cost of $19.6 billion (equivalent to €17.2 billion at the current exchange rate). It is estimated that these events could compromise the country's economic recovery for a period of ten years.
The tremors on June 24 registered magnitudes of 7.2 and 7.5 on the Richter scale, occurring with only a 39-second interval. These are considered among the most severe disasters in recent Venezuelan history, resulting in an official toll of at least 5,546 deaths and 16,740 injuries.
The United States began imposing targeted sanctions on Venezuelan authorities in 2015, during the Obama administration. Economic actions against the government of Nicolás Maduro were expanded starting in 2017 and reinforced in 2019 with broader restrictions on the Venezuelan economy, including the state oil company PDVSA.
Since then, the U.S. Department of the Treasury has granted specific licenses and exemptions to enable certain operations, including those related to the oil sector, especially after the political changes in Venezuela following the detention of Maduro by the United States on January 3.
