A summit meeting between the SAAU and the government revealed important differences between these two with respect to economic, social and agricultural policy. The SAAU appears to favour retention of existing marketing and policy structures in agriculture and does not regard present international developments to warrant much change in domestic agricultural policy. It favours preferential treatment of farmers with respect to interest rates and subsidies, exemption of agriculture from labour laws and cooperatives from monopoly legislation. The government aims at deregulation, a bigger share for private initiative, economic growth, and less inflation. It favours reduction of preferential treatment of all favoured groups, including commercial agriculture. It wants to move to freer, more open markets and to removal of discriminatory laws. Both groups favour private property rights; the government wants to expand these. In the light of its wider range of interest and responsibilities and also external developments,the government approach appears to the more realistic than that of the SAAU. Future negotiations should involve more parties