The Jobs Fund, in partnership with Tongaat Hulett provided further details of their ongoing public-private partnership to accelerate socio-economic transformation in various rural communities in KwaZulu-Natal (KZN). This is demonstrated through their catalytic Sugarcane Development Initiative, a four year project seeking to establish 12 000 hectares of sugarcane thereby creating in excess of 2 850 direct agricultural jobs, in the communal areas along the KZN north coast and Zululand. On 27 November 2015, MEC for Economic Development, Tourism & Environmental Affairs; Mr Michael Mabuyakhulu, Chief Executive Officer of Tongaat Hulett, Mr Peter Staude, the Head of the Jobs Fund, Mrs Najwah Allie-Edries and numerous other dignitaries joined members of the Ndlangubo Traditional Council community at the Mngampondo Cooperative Irrigation Scheme, in Empangeni as they celebrated the launch of the initiative.

Commenting on the progress being made through this collaborative initiative, a project application which was formally supported by the Ingonyama Trust Board; the Department of Economic Development, Tourism & Environmental Affairs; and  the KZN Provincial Planning Commission, KZN MEC for Economic Development, Tourism and Environmental Affairs;          Mr Michael Mabuyakhulu said, "agriculture and agri-processing is a fundamental element of socio-economic development in South Africa, particularly in the development of rural communities, farming activities, food security and water management. In addition, The National Development Plan advocates for the creation of an integrated and inclusive rural economy and initiatives of this nature will substantially contribute to these objectives."

Mr Peter Staude said, "The Sugarcane Development Initiative reflects Tongaat Hulett's commitment to the future of the South African Sugar Industry through the comprehensive training and development of small-scale sugarcane growers, with the goals of creating independent, viable and sustainable SMMEs and increasing cane supplies to our mills. We believe that the small-scale grower community has a key role to play in the future success of the South African Sugar Industry and the agricultural sector of KZN, and we will continue to look for further opportunities to partner with Government in supporting and growing this important stakeholder.

"As part of the initiative 12 000 hectares of sugarcane will be planted over a four year period and by 30 September 2015, 2 679 hectares had been established; 27 agricultural cooperatives had been formed across 13 Traditional Councils; more than 2 750 primary member beneficiaries were registered and some 625 permanent direct agricultural jobs had been created. R50 million out of the total R150 million allocation had been paid by the Jobs Fund and Tongaat Hulett had contributed R68,750 million to the Sugarcane Development initiative by 30 September 2015.  In the Ndlangubo Traditional Council, Tongaat Hulett invested R435 645 in the Mngampondo Primary School for the construction of ablution facilities, a library and a school kitchen. In addition, a vegetable garden initiative explicitly geared towards enhancing food security of the neighbouring community, as well as synergizing with the Uthungulu Fresh Produce Market has been piloted." said Staude.

Commenting on the impact of the initiative on the Ndlangubo Traditional Council, where the Mngampondo Cooperative Irrigation Scheme - an enterprise development project funded jointly by Tongaat Hulett and the Jobs Fund, was established, Mrs Najwah Allie-Edries stated, "This community, which has the potential to plant 207 hectares to sugarcane had by end September 2015 benefited from the establishment of 100 hectares of sugarcane; the employment of between 72 - 109 people per quarter (in an area where some 45% of the local community is economically inactive); the creation of a substantial food security vegetable garden for the benefit of a community of some 9 500 people and more than R1 million in salaries and wages being paid to community members. Looking ahead, the community can look forward to income from sugarcane production, salaries and wages and the potential income from vegetable sales. This initiative is a leading example of the impact that sugarcane can have on the development of rural economies, and it is one of the reasons why the Jobs Fund recently acknowledged Tongaat Hulett as one of the top three projects that our fund has supported since inception, for its contribution to sustainable job creation."

Peter Staude concludes, "The development node in the Ndlangubo Traditional Council, which encompasses sugarcane development, a food security project, support for land reform farmers, an irrigation scheme and the development of a rural economy speaks to Governments objective of creating large-scale Agri-Business parks. Tongaat Hulett is committed to working with Government and other relevant stakeholders to facilitate the success of this node and thereby contribute to social upliftment, rural development and job creation."

ENDS

Issued by:
Tongaat Hulett:
Mrs Michelle Jean-Louis
IR and Communications Executive
Telephone: 032-439 4101
Cell: 083 386 3846
E-mail: michelle.jean-louis@tongaat.com
Website: www.tongaat.com

The Jobs Fund:
Ms Rulleska Singh
Communication Specialist for The Jobs Fund
Telephone: 012 406 9040
Cell: 082 402 4825
E-mail: rulleska.singh@treasury.gov.za
Website: www.jobsfund.org.za

KwaZulu-Natal Department of Economic Development, Tourism & Environmental Affairs:
Mr Siyabonga Maphumulo
Deputy Manager - Media Relations and Public Relations
Telephone: 031-310 5310
Cell: 082 3305132
E-mail:  Siyabonga.Maphumulo@kznedtea.gov.za
Website: www.kznded.gov.za
MEDIA RELEASE - 27 NOVEMBER 2015