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Northern Cape Business 2024-25

  • Text
  • Ecotourism
  • Tourism
  • Southafrica
  • Northerncape
  • Energysecurity
  • Portdevelopment
  • Development
  • Investment
  • Industrial
  • Hydrogen
  • Grapes
  • Agriculture
  • Kimberley
  • Municipality
  • Province
  • Northern
  • Cape
  • Sector
  • Economic
  • Mining
The 2024/25 edition of Northern Cape Business is the 14th issue of this highly successful publication that has, since its launch in 2009, has established itself as the premier business and investment guide for the Northern Cape Province. Officially supported and used by the Northern Cape Department of Economic Development and Tourism (DEDaT), Northern Cape Business is unique as a business and investment guide that focuses exclusively on the province. Specific investment projects are outlined in detail by DEDaT in this journal, covering opportunities in energy and mining, together with reports on dedicated investment zones. One of these new zones is on the Atlantic Ocean, a short distance north of Port Nolloth. The Northern Cape is almost uniquely qualified to play a lead role in the development of the country’s green hydrogen economy, given its bountiful resources of land, wind and sun. The blending together of an earlier idea to develop a deepwater port at Boegoebaai with the creation of a Special Economic Zone devoted to green hydrogen production is particularly exciting. With the year 2024 signalling the end of an election cycle, two special features in this edition focus on important elements of the brief of the public sector, namely education and infrastructure.

OVERVIEW Grapes and wine

OVERVIEW Grapes and wine Northern Capers no longer have to travel to study viticulture. SECTOR INSIGHT KLK is the 100% shareholder in Carpe Diem Raisins. Learning the ropes. Training on the ground at the Vine Academy and Model Farm. The Vine Academy and Model Farm officially opened in Kakamas in 2023, providing a significant boost for viticulture education and training in the Northern Cape. The result of a partnership between the Northern Cape Provincial Government and Raisins SA with support from the private sector, the academy offers a national certificate in viticulture at NQF 4 level and a national diploma at NQF 5 level. In addition, there are a number of courses covering technical skills on offer relating to agrochemicals, farm planning, tractor maintenance, pruning, irrigation and soil science. At NQF 6 level, five short courses are available which have been developed by Stellenbosch University, in collaboration with Raisins SA and the South African Table Grape Industry (SATI). Kakamas is an appropriate setting for an educational institution of this sort as it was the ingenuity of early farmers in the Kakamas area who, through a sophisticated system of canals that drew water from the Orange River, ultimately created a thriving table grape export sector around the town. Raisins, dried fruit of many sorts, peaches, oranges and dates are also farmed and exported from the area to this day. Other 2023 news was that in May KLK acquired the last 20% share in Carpe Diem Raisins and it now owns an 100% share. The multifaceted agricultural company Senwes is the majority shareholder of KLK. Dippenaar Choice Fruit, an Orange River region grape producer which is headquarted in Kakamas, exports to seven countries in South-East Asia and the Far East, including China and Singapore. Exports of South African grapes and wine to China have been on an upward trend for several years but South Africa’s wine exports are still subject to tariffs on entering China, despite both countries being members of BRICS. The region has 5 688ha of vines and the Orange River Producer Alliance represents its farmers. According to SATI, the grape industry in the Northern Cape employs 1 215 people permanently, with a further 12 415 people finding seasonal work. Harvesting happens from early November to early February. Almost a third of South Africa’s table grape crop is produced in this fertile region. The South African table grape industry has been investing in hardier varietals which produce a better yield. The Northern Cape has just 3% of South Africa’s vineyards but 18% of the nation’s white wine grapes are cultivated along the Orange River. Within the region, about 64% of grapes are white seedless and about 21% are red seedless (SATI). NORTHERN CAPE BUSINESS 2024/25 34 PHOTO: Vine Academy

OVERVIEW Raisins The Vine Academy and Model Farm offers courses in viticulture and technical skills. The Orange River wine region accounts for 25.6% of South Africa’s Colombard vines and 10% of Chenin Blanc. The focus is on Colombard and Hanepoot grapes. Orange River Cellars (ORC) is the region’s biggest producer, sourcing its grapes from what is known as the Green Kalahari. The variety of soil from which ORC wines is drawn is extremely varied, allowing for the production of a wide selection of wines and brandies. The company has expanded significantly over the years and now encompasses logistics to deliver its wines (Orange River Tankers), an export division (Norweco) and Prosperitas Farm which produces export-quality raisins that include sultanas and several varieties of raisins. A solar system has been introduced at the company’s bottling plant. The Douglas Wine Cellar produces about 6 000 cases per year. Together with the Landzicht cellar (just over the border in the Free State), Douglas Wine Cellars is a GWK company. The Douglas cellar crushes 7 000 tons of grapes every year and produces 5.6-million litres of wine. Hartswater Wine Cellar is a part of the region’s other big agricultural company, Senwes. Two wine brands (Overvaal and Elements) are produced in the Hartswater irrigation area north of Kimberley. Vinpro represents 2 500 South African wine grape producers, wineries and winerelated businesses. Orange River Cellars 300km 160 producers Three subsidiaries ONLINE RESOURCES SA Wine Industry Information & Systems: www.sawis.co.za South African Table Grape Industry: www.satgi.co.za Vine Academy and Model Farm: www.vamf.co.za About a quarter of raisins exported by South Africa go to Germany, and in the 2022/23 season, extra attention was paid to that market in terms of the quality of fruit, with the aim being to produce fruit with few residues. Industry body Raisins SA is leading efforts to improve farming practices with a view to improved products. Specific areas of focus include improved soil preparation, drying infrastructure and trellis systems and using water more efficiently. The recent adoption of SA-GAP (derived from the Global Good Agricultural Practices) is helping to raise and maintain standards with the sector. SA-GAP Certification Programme is a set of practices that address environmental, economic and social sustainability for on-farm processes and result in safer and higher-quality food and non-food agricultural products. With certification, small growers and producers are more easily able to have to access to international markets. In the centenary year of the raisin sector in the Orange River region, 2019, a record 74 830 tons was harvested from 13 085ha (Western Cape and Northern Cape combined). Hopes of reaching more than 81 000 tons were dashed in 2020 by too much rain at the wrong time, but the industry is geared for growth. In 2022 the total marketable volume of raisins produced was 67 000 metric tons. The figure in 2023 was 60 231 tons but Raisins SA was predicting a very healthy 41% increase in 2024. ■ PHOTO: Vine Academy 35 NORTHERN CAPE BUSINESS 2024/25

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