Sugarcane farmers
By Thobeka Makume
In a significant move to bolster South Africa’s sugar industry, Agriculture Minister John Steenhuisen has reaffirmed the government’s commitment to supporting more than 24,000 black small-scale sugarcane farmers. Recognizing the industry’s vital role in the rural economies of KwaZulu-Natal and Mpumalanga, the Minister emphasized the importance of these farmers during a meeting with industry leaders at KwaShukela in Mount Edgecombe, Durban.
Empowerment Initiatives and Financial Support
The South African Sugar Association (SASA) has been proactive in implementing empowerment initiatives to ensure the sustainability of small-scale growers. Since the 2019/2020 season, an average of 13,349 small-scale growers have benefited annually from the Transformation Intervention Fund. To date, SASA has allocated R1.09 billion towards empowerment interventions, with small-scale growers receiving R700.55 million (64.27%), black large-scale growers obtaining R254.47 million (25.22%), and other black beneficiaries receiving R137.88 million (12.64%).
For the current season, an additional R238.9 million has been earmarked to support small-scale growers and black farmers. These funds are directed towards both cane delivery-based and non-delivery-based interventions, ensuring active farmers who deliver sugarcane receive the necessary support.
Infrastructure Development Projects
Significant infrastructure projects have been undertaken to aid small-scale growers:
• Nkomazi Region, Mpumalanga: A R46.5 million infrastructure rehabilitation project has led to the establishment of 300 hectares of cane, benefiting local farmers.
• Mkhuze, KwaZulu-Natal: A R3.3 million rail siding initiative now enables the transportation of 70,000 tons of small-scale growers’ cane to the Felixton Mill at reduced costs.
• Gledhow Sugar Mill: The installation of a R7.6 million dummy spiller has improved cane delivery efficiency, reducing hauler turnaround times and transport expenses for small-scale growers.
Sugarcane Value Chain Master Plan to 2030
Phase One of the Sugarcane Value Chain Master Plan has been instrumental in stabilizing the industry and supporting small-scale growers. A minimum of R60 million from the Premium Price Payment (PPP) was allocated annually to small-scale growers between the 2021/2022 and 2023/2024 seasons. This amount increased to R68.05 million in the 2023/2024 season. On 20 March 2024, the SASA Council approved the extension of the PPP into the 2024/2025 season, adjusting for inflation to R71.08 million.
Through comprehensive surveys involving over 2,500 growers, the Master Plan has identified challenges hindering the growth of small-scale growers, such as limited access to land and capital. Efforts are underway to address these issues, focusing on improving productivity and ensuring the long-term sustainability of small-scale growers.
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