5 years ago

Northern Cape Business 2018-19 edition

  • Text
  • Africa
  • Africa
  • Zone
  • Solar
  • Energy
  • Development
  • Technology
  • Energy
  • Manufacturing
  • Agriculture
  • Economic
  • Sectors
  • Array
  • Northern
  • Cape
  • Mining
  • Province
  • Kimberley
  • Provincial
  • Municipality
Officially supported and used by the Northern Cape Department of Economic Development and Tourism, Northern Cape Business is unique as a business and investment guide that focuses exclusively on the Northern Cape Province. In addition to comprehensive overviews of sectors of the economy, this publication has several special articles which focus on transformative projects, such as the solar and wind farms rapidly coming on line and the massive potential represented by the Square Kilometre Array radio telescope, a multi-billion rand international project already taking shape in the vast open plains of the Karoo. Updated information on Northern Cape is also available through our monthly e-newsletter, which you can subscribe to online at, in addition to our complementary business-to-business titles that cover all nine provinces as well as our flagship South African Business title.

OVERVIEW Wool, mohair,

OVERVIEW Wool, mohair, karakul, Karoo lamb, venison, ostrich meat and leather are farmed throughout most of the province. The province is second only to the Eastern Cape in terms of the number of sheep farmed and it is the fourth-largest wool-producing province based on annual sale of producer lots. The Beefmaster abattoir in Kimberley is one of three abattoirs in South Africa to export frozen beef to China. The company processes and packages about 30 000 tons at the abattoir. The karakul-pelt industry is one of the most important in the Gordonia district of Upington. Agri-company KLK is the only organisation that handles these pelts in South Africa, which are sorted in Windhoek before being sent to Copenhagen for auction. Niches Two of the Northern Cape’s most exclusive products are distributed via the capital of Denmark and the Italian fashion capital of Milan. Copenhagen is the site of the two auctions of karakul pelts that are held annually, karakul being a speciality of the Upington district. Glove-makers in Milan are among the international clients to whom farmers of the dorper sheep breed sell the wrinkle-free skins of their sheep, at good prices. Another exclusive niche in the agricultural landscape of the Northern Cape is horse stud breeding. This is a speciality of the area around Colesberg, where the cold evenings and warm days combine to drive out disease and promote strong growth. Among the studs are Henham and Southford, a 900ha property near the Gariep Dam which once was home to the famous stallion “Damask”. Rooibos Health trends around the world are helping the sales of rooibos tea, most of which is farmed and processed in the Western Cape and Northern Cape provinces. Recent studies proving that rooibos tea increases antioxidant capacity in human blood are further proof of the beverage’s healthy qualities. The unique climate and soil of the western part of the province support this niche crop. In 2014, South Africa finally won “geographic indicator” status for rooibos, putting it in the same category as France’s “champagne” and Portugal’s “port”. About 6 000 tons of tea is now exported to more than 30 countries and domestic consumption is about 8 000 tons. In several coffee shops in London, Red Espresso has replaced the traditional doubleshot of pure coffee, and a more recent use of the tea is to spruce up cocktails. The country’s biggest private producer, Rooibos Ltd, is based in the Western Cape town of Clanwilliam on the edge of the Cedarberg Mountains. About an hour’s drive further north, in the Northern Cape town of Nieuwoudtville, a newly developed rooibos factory is providing an outlet for small-scale farmers. An initiative of the Northern Cape Department of Agriculture and Land Reform which started operating in 2008, the factory takes tea from 85 local farmers with the goal of helping to integrate these farmers into the agricultural and agri-processing business chain. The Rooibos Council states that more than 5 000 people are employed in the rooibos industry. Only the leaves of the Aspalathus linearis (a legume NORTHERN CAPE BUSINESS 2018/19 36

OVERVIEW that is part of the fynbos family) are used in making rooibos (Afrikaans for “red bush”). Harvested while still green, the leaves are left to dry and ferment in the sun after being cut up. Naturally high in a range of vitamins and potassium, zinc and iron, its low tannin content makes it an excellent alternative as a hot drink. Fair Cape Dairies has a product called Rooiboost. Aquaculture and mariculture The Northern Cape’s 313km-long coastline carries great economic potential, even beyond the various land and sea-based mining operations that have been carried on along the coast for many years. The Northern Cape is well placed to take advantage of growing global demand for abalone. The aquaculture consultancy Sustainable Environmental Aquaculture Services (SEAS) helped create an abalone farm at Kleinzee which will produce 200 tons of product per year when it is at full capacity. The Western Cape company Tuna Marine is contracted to buy abalone from the Kleinzee facility, which is owned by Ponahalo Holdings (the empowerment partners of De Beers Consolidated Mining South Africa). With food security an important consideration, the provincial government has committed to supporting small-scale fishers. The Premier of the Province, Sylvia Lucas, announced in her 2016 State of the Province address that a feasibility study for a deep-water harbour has identified a site 70km north of Port Nolloth, Boegoebaai. If this ONLINE RESOURCES Agricultural Research Council: Agri SA: Dorper Sheep Breeders Association of South Africa: National Department of Agriculture, Forestry and Fisheries: National Department of Science and Technology: Northern Cape Department of Agriculture, Land Reform and Rural Development: Rooibos Council: Rooibos Route: South African Pecan Nut Producers Association: Thoroughbred Breeders Association of South Africa: project is undertaken, it will significantly boost the maritime sector in the Northern Cape. Forty farmers have signed up for a Catfish Project in the Vaalharts area. The scheme lies in the Phokwane Local Muncipality, north of Kimberley, which falls under the Frances Baard District Municipality. A joint venture by the National Department of Science and Technology (DST) and HIK Abalone is running an abalone project in Hondeklip Bay with the intention of producing 120 tons of abalone for sale. This seaside town is very well known for its kelp. The coastline of the Northern Cape has 2 000 hectares of kelp beds. There is a growing domestic and international demand for kelp. The old John Ovenstone factory in Port Nolloth is now the site of small scale hatcheries for abalone and oysters. Premier Fishing has a lobster-processing plant in Port Nolloth. 37 NORTHERN CAPE BUSINESS 2018/19

Other recent publications by Global Africa Network: