KwaZulu-Natal Business 2016-17 edition
The 2016-17 edition of KwaZulu-Natal Business is the eighth issue of this highly successful publication that, since its launch in 2008, has established itself as the premier business and investment guide to the KwaZulu-Natal province in South Africa. The province is unique in terms of its abundant natural and human resources, and is also one of the key drivers behind the South African economy. To complement the extensive local, national and international distribution of the print edition of the magazine (15 000 copies), the full content can also be viewed online at www.kwazulunatalbusiness.co.za. Updated information on KwaZulu-Natal is also available through our monthly e-newsletter, which you can subscribe to online at www.globalafricanetwork.com, in addition to our other business-to-business titles that cover all nine provinces, complemented by our flagship publication, South African Business.
The 2016-17 edition of KwaZulu-Natal Business is the eighth issue of this highly successful publication that, since its launch in 2008, has established itself as the premier business and investment guide to the KwaZulu-Natal province in South Africa.
The province is unique in terms of its abundant natural and human resources, and is also one of the key drivers behind the South African economy.
To complement the extensive local, national and international distribution of the print edition of the magazine (15 000 copies), the full content can also be viewed online at www.kwazulunatalbusiness.co.za.
Updated information on KwaZulu-Natal is also available through our monthly e-newsletter, which you can subscribe to online at www.globalafricanetwork.com, in addition to our other business-to-business titles that cover all nine provinces, complemented by our flagship publication, South African Business.
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OVERVIEW<br />
Development Community have<br />
not successfully bargained with<br />
Europe as a unit, with the result<br />
that individual countries have<br />
gained preferential rights. This<br />
does not include South Africa.<br />
Small growers<br />
Despite government and industry<br />
efforts to promote small sugarcane<br />
growers, many of these<br />
small-scale farmers are finding<br />
conditions very difficult.<br />
In the 2000/01 season, farmers<br />
in the Umfolozi district produced<br />
more than 400 000 tons<br />
of cane; by 2008/09 that figure<br />
had dropped to 142 846 tons.<br />
Poor rainfall and high input costs<br />
threaten the viability of many<br />
small farms, which are often located<br />
on land controlled by tribal<br />
authorities. The average size of a<br />
small farm is 4.74 hectares.<br />
Land reform (including the<br />
distribution of land to new small<br />
growers) is part of the policy of<br />
provincial and national government.<br />
The South African Sugar<br />
Association (SASA) reports that<br />
some 21% of freehold land under<br />
cane has been transferred from<br />
white owners to black owners<br />
since 1994 off a base of 5%. With<br />
a number of land claims still outstanding,<br />
it is clear that this number<br />
is set to grow.<br />
In 2015 SASA teamed up with<br />
the provincial government to support<br />
the Qoloqolo Sugar Cane project.<br />
This will see R14-million spent<br />
in support of co-operatives in the<br />
uMzumbe Local Municipality area<br />
on fencing, introducing methods<br />
for better yields and more costeffective<br />
harvesting, in addition to expanding the amount of cane<br />
under management.<br />
Facilities<br />
Three mills in Zululand cater for 4.2-million tons, three North Coast<br />
mills take care of 3.2-million tons, the three Midlands facilities crush<br />
3.5-million tons and the South Coast's two mills handle 3.2-million tons.<br />
Illovo and Tongaat Hulett are the major operators of sugar mills, and<br />
12 of South Africa’s 14 mills are located in <strong>KwaZulu</strong>-<strong>Natal</strong>. Each of these<br />
companies operates one mill in the province: Gledhow, ULC, Umfolozi<br />
and TSB (the latter has a further two mills in Mpumalanga).<br />
Illovo has four mills, three sugar-cane estates, four sugar factories,<br />
a refinery and three downstream operations that make products such<br />
as furfural, furfuryl alcohol, ethyl alcohol and lactulose.<br />
The four mills run by Tongaat Hulett are located on the North<br />
Coast, while the central refinery is in Durban and the animal feed<br />
plant, Voermol, is near Tongaat.<br />
The Sugar Terminal at Maydon Wharf, Durban, serves 11 mills and<br />
can store more than half-a-million tons of sugar. It also has a molasses<br />
mixing plant.<br />
SALEABLE SUGAR PRODUCTION<br />
Year<br />
Tons produced in SA for SA and export<br />
2008/09 2 260 244<br />
2009/10 2 <strong>17</strong>8 543<br />
2010/11 1 909 236<br />
2011/12 1 822 488<br />
2012/13 1 951 518<br />
2013/14 2 343 650<br />
2014/15 2 110 550<br />
SOURCE: SA SUGAR ASSOCIATION<br />
ONLINE RESOURCES<br />
South African Cane Growers’ Association: www.sacanegrowers.<br />
South African Sugar Association: www.sasa.org.za<br />
South African Sugar Technologists Association: www.sasta.co.za<br />
Sugar Milling Research Institute: www.smri.org<br />
73 KWAZULU-NATAL BUSINESS <strong>2016</strong>/<strong>17</strong>
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