Limpopo Business 2016-17 edition

OVERVIEW
The Industrial Development Corporation (IDC) is getting behind
citrus farming in Limpopo. Falling under the IDC’s Agro-Industries
Strategic Business Unit, a funding agreement has been signed with
Naranja Packers that will see new farms established, established farms
converted to different cultivars and the packing house expanded. The
brands Clemengold and Sweet C are marketed under Indigo Fruit
Farming, which is wholly owned by ANB Investments. The packing
house in Burgersfort processes up to 600 large crates of fruit a day in
season, with each crate containing about 350kg of fruit – or slightly
more than 2 000 tons.
Despite concerns about trade from within the EU about the socalled
“black spot” on some fruit (which the South African farming community
has explained is a purely aesthetic problem) citrus exports from
South Africa to the EU grew 22% in 2015. South Africa’s citrus industry
is valued at R10-billion. So valuable is the EU as a client (accounting
for about 40% of citrus exports) that South Africa has, according to
Business Day, spent close to R1-billion to solve the “black spot” issue.
Citrus exports to the EU had grown at a rate of 22% from January
to November 2015. In volume, exports to the EU accounted for 40%
of total citrus exports (30% oranges, 66% mandarins, 24% lemons), up
from 36% in the prior season.
A new entrant to the export market is the GOGO Group, located in
the Loskop Valley, where intensive citrus cultivation takes place. Exports
will be sent to the USA through the parent company EKM Exports.
The Zebediela Citrus Estate has been bought by the Bjatlhadi community
with the support of the Limpopo Local Economic Development
Programme, and the focus has shifted from bulk supply to producing
smaller, consumer-friendly quantities.
Livestock
Government planning at provincial level includes the promotion
of meat “clusters” along all the development corridors identified
in the province. This includes the promotion of hygienic practices,
the establishment of small-scale abattoirs and assistance in the
marketing of products.
The province has about one-million beef cattle, about 7.5% of the
national herd. A new indigenous breed of cattle has been developed
called the Pinz²yl, from breeding Pinzgauer and Nguni stock. This is an
initiative of the same farming group that grows the ZZ2 tomato, with
the name derived from the famous European breed and the name of
the farmer who started it all, Bertie van Zyl.
International demand for venison is in the region of 50 000 tons
per year and South Africa only supplies about 2 000 tons of it – a
clear opportunity for Limpopo entrepreneurs to grow their share
of the market.
Water
Although parts of Limpopo are
well-watered, many areas are
dry, which means that irrigation
projects take on enormous importance.
Four irrigation schemes
below the Flag Boshielo Dam
have prospered (542 hectares
in extent). All four schemes have
potato crops with Krokodil also
having a maize component.
The long drought that has affected
many parts of South Africa
has had a big impact in Limpopo.
The provincial government declared
a disaster in November
2015 and released funds to supply
feed for livestock in areas where
it is scarce.
Amazingly, the demand for fish
in Iran may mean that small water
bodies in the Sekhukhune District
will be devoted to cultivating
fish. The Phethwane Integrated
Aquaculture Project stalled after
a bright start in 2011, but a Fishery
Imbizo held at the Tompi Seleka
College of Agriculture in Marble
Hall aimed to resuscitate the project.
The goal is to supply 500 tons
of fish.
The Tompi Seleka College is
itself in the spotlight, having been
reopened in 2015. Together with
the Madzivhandila College (in
the Thula-Thula Municipality in
the Vhembe District), enrolment
has increased from 140 in 2015 to
222 in 2016. Limpopo is trying to
skill its own farmers.
Irrigation technology is at the
heart of a project in Strydkraal
in Sekhukhune, where MBB
Consulting Engineers has designed
a 300-hectare scheme
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