Mpumalanga Business 2019/20 edition

OVERVIEW
Technology Park are being drawn up by the Provincial Government of
Mpumalanga. The Mpumalanga Economic Growth and Development
Path (MEGDP) intends to expand the industrial base of the provincial
economy, with a focus on beneficiation, agri-processing and value
chain development.
When forestry managers, contractor and forestry equipment
suppliers gathered at the biannual Focus on Forestry conference in
White River in 2019, the theme was “Bridging the digital divide in the
African forestry sector”.
Sustainability is a key area for companies in the forestry sector and
advances in the Internet of things and AI are being keenly monitored
for ways to enhance margins in an environmentally sound way.
York Timbers owns and operates five processing plants, including
the including the largest sawmill and plywood plants in South Africa
and it has 60 470 planted hectares. The company is considering
investing in biomass energy generation. The Industrial Development
Corporation (IDC) has a stake in York Timbers and a 42.6% share in
Hans Merensky Holdings, a company with timber and processing
interests in three provinces. Merensky is responsible for 20% of South
Africa’s sawn pine lumber.
The Mondi Group has extensive forestry holdings in the province
and has been working on introducing a higher degree of mechanisation
in its operations. Mondi has also instituted an ecosystem management
ONLINE RESOURCES
Forestry South Africa: www.forestry.co.za
Institute for Commercial Forestry Research: www.icfr.ukzn.ac.za
South African Institute of Forestry: www.saif.org.za
Technical Association of the Pulp and Paper Industry of South
Africa: www.tappsa.co.za
plan throughout its forestry
operations with the intention
of better managing the impact
its work has on the environment.
Although local demand is
dwindling, the export market
for pulp and paper is strong.
Pulp production figures have
been on the rise for several
years and companies like Mondi
are increasingly focusing on
pulp export because of better
margins.
PG Bison has a board plant
in Piet Retief. Sonae Rauco runs
large plants at White River and
Panbult. Komatiland Forests,
a 100%-owned subsidiary of
state company SAFCOL, has big
plantations in several districts.
TWK is a R6-billion agricultural
company with its headquarters
in Mkhondo (Piet Retief).
Asset management company
Global Environment Fund
created Imvelo Forests and in
2015 the company investigated
using thermal imaging to detect
fires. Among the other private
timber growers in the province
are Pull Scar Timber Co, and
United Forest Products.
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MPUMALANGA BUSINESS 2019/20