Limpopo Business 2020/21 edition

The 2020/21 edition of Limpopo Business is the 12th issue of this essential publication that, since its launch in 2007, has established itself as the premier business and investment guide for the Limpopo Province. Limpopo has been attracting significant investments in the mining sector in recent years and the green light for the creation of the Musina-Makhado Special Economic Zone in the province’s far north has attracted several billion dollars. A metallurgical and energy cluster will inaugurate the SEZ, after which investments in agri-processing, logistics and manufacturing are expected to follow. In addition to the regular articles providing insight into each of the key economic sectors of the province, there are special features on transport and logistics, and specific plans that are in place to promote manufacturing in Limpopo. News related to mining, agriculture, tourism, construction and property, water, education and development finance is carried in overviews of the main economic sectors.

The 2020/21 edition of Limpopo Business is the 12th issue of this essential publication that, since its launch in 2007, has established itself as the premier business and investment guide for the Limpopo Province.

Limpopo has been attracting significant investments in the mining sector in recent years and the green light for the creation of the Musina-Makhado Special Economic Zone in the province’s far north has attracted several billion dollars. A metallurgical and energy cluster will inaugurate the SEZ, after which investments in agri-processing, logistics and manufacturing are expected to follow. In addition to the regular articles providing insight into each of the key economic sectors of the province, there are special features on transport and logistics, and specific plans that are in place to promote manufacturing in Limpopo. News related to mining, agriculture, tourism, construction and property, water, education and development finance is carried in overviews of the main economic sectors.


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<strong>2020</strong>/<strong>21</strong> EDITION<br />




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<strong>Limpopo</strong> <strong>Business</strong> <strong>2020</strong>/<strong>21</strong> Edition<br />

Introduction<br />

Foreword 6<br />

A unique guide to business and investment in <strong>Limpopo</strong>.<br />

Message from the Premier of <strong>Limpopo</strong> 7<br />

The Honourable Chupu Stanley Mathabatha discusses the<br />

flagship Musina-Makhado Special Economic Zone project.<br />

Special features<br />

Regional overview of <strong>Limpopo</strong> 8<br />

<strong>Limpopo</strong> is looking to new mining projects, increased<br />

agri-processing capacity and a metallurgical complex<br />

at the new Musina-Makhado Special Economic Zone<br />

to drive the economy in the wake of Covid-19.<br />

Transport is entering a new era 12<br />

Polokwane is rolling out a new public transportation system.<br />

Boosting manufacturing is a<br />

key priority for <strong>Limpopo</strong> 24<br />

Special Economic Zones and industrial parks<br />

are being built to provide infrastructure.<br />

Economic sectors<br />

Agriculture 38<br />

Marula is <strong>Limpopo</strong>’s super fruit.<br />

Mining 40<br />

Industry analysts and miners are looking at new uses for PGMs.<br />

Construction and property 50<br />

LEDA runs training for artisans in the building sector.<br />

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Energy 51<br />

The Musina-Makhado Special Economic Zone (SEZ)<br />

will use and create large volumes of energy.<br />

Water 52<br />

Macadamia shells are filtering water for rural communities.<br />

Tourism 54<br />

International golf puts <strong>Limpopo</strong> on television screens.<br />

Banking and financial services 56<br />

Agricultural financing is in the spotlight.<br />

Development finance and SMME support 58<br />

Small-scale farmers are getting support<br />

to connect to the value chain.<br />

Education 60<br />

The University of <strong>Limpopo</strong> celebrated 60 years in 2019.<br />

References<br />

Key sector contents 36<br />

Overviews of the main economic sectors of <strong>Limpopo</strong>.<br />

Index 64<br />

Maps<br />

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mine in the world, it was<br />

established in 1993.<br />

Photo: AngloAmerican.<br />

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<strong>Limpopo</strong> <strong>Business</strong><br />

A unique guide to business and investment in <strong>Limpopo</strong>.<br />

Credits<br />

Publisher: Chris Whales<br />

Publishing director:<br />

Robert Arendse<br />

Editor: John Young<br />

Managing director: Clive During<br />

Online editor: Christoff Scholtz<br />

Art director: Brent Meder<br />

Designer: Simon Lewis<br />

Production: Lizel Olivier<br />

<strong>Business</strong> development<br />

manager: Shiko Diala<br />

Ad sales: Gavin van der Merwe,<br />

Sam Oliver, Jeremy Petersen<br />

Gabriel Venter, Vanessa Wallace.<br />

Administration & accounts:<br />

Charlene Steynberg<br />

and Natalie Koopman<br />

Printing: FA Print<br />

The <strong>2020</strong>/<strong>21</strong> <strong>edition</strong> of <strong>Limpopo</strong> <strong>Business</strong> is the 12th issue of<br />

this highly successful publication that, since its launch in<br />

2007, has established itself as the premier business and<br />

investment guide for the <strong>Limpopo</strong> Province.<br />

<strong>Limpopo</strong> has been attracting significant investments in the mining<br />

sector in recent years and the green light for the creation of the<br />

Musina-Makhado Special Economic Zone in the province’s far north has<br />

attracted several billion dollars. A metallurgical and energy cluster will<br />

inaugurate the SEZ, after which investments in agri-processing, logistics<br />

and manufacturing are expected to follow.<br />

In addition to the regular articles providing insight into each of the<br />

key economic sectors of the province, there are special features on<br />

transport and logistics and specific plans that are in place to promote<br />

manufacturing in <strong>Limpopo</strong>. News related to mining, agriculture, tourism,<br />

construction and property, water, education and development finance<br />

is carried in overviews of the main economic sectors.<br />

To complement the extensive local, national and international<br />

distribution of the print <strong>edition</strong>, the full content can also be viewed<br />

online at www.limpopobusiness.co.za. Updated information on the<br />

<strong>Limpopo</strong> is also available through our monthly e-newsletter, which<br />

you can subscribe to online at www.gan.co.za, in addition to our<br />

complementary business-to-business titles that cover all nine provinces,<br />

our flagship South African <strong>Business</strong> title and the new addition to our list of<br />

publications, African <strong>Business</strong>, which was launched in <strong>2020</strong>. ■<br />

Chris Whales<br />

Publisher, Global Africa Network Media | Email: chris@gan.co.za<br />


<strong>Limpopo</strong> <strong>Business</strong> is distributed internationally on outgoing<br />

and incoming trade missions, through trade and investment<br />

agencies; to foreign offices in South Africa’s main trading<br />

partners around the world; at top national and international<br />

events; through the offices of foreign representatives in<br />

South Africa; as well as nationally and regionally via chambers<br />

of commerce, tourism offices, airport lounges, provincial<br />

government departments, municipalities and companies.<br />

Member of the Audit Bureau<br />

of Circulations<br />


Global Africa Network Media (Pty) Ltd<br />

Company Registration No: 2004/004982/07<br />

Directors: Clive During, Chris Whales<br />

Physical address: 28 Main Road, Rondebosch 7700<br />

Postal address: PO Box 292, Newlands 7701<br />

Tel: +27 <strong>21</strong> 657 6200 | Fax: +27 <strong>21</strong> 674 6943<br />

Email: info@gan.co.za | Website: www.gan.co.za<br />

ISSN 1993-0119<br />

COPYRIGHT | <strong>Limpopo</strong> <strong>Business</strong> is an independent<br />

publication published by Global Africa Network Media (Pty)<br />

Ltd. Full copyright to the publication vests with Global Africa<br />

Network Media (Pty) Ltd. No part of the publication may be<br />

reproduced in any form without the written permission of<br />

Global Africa Network Media (Pty) Ltd.<br />

PHOTO CREDITS | Pics courtesy African Bank, Amarula Festival, AngloAmerican,<br />

Anglo Platinum, BiogasSA, Columbus Steel, Forestry SA, Great North Transport,<br />

Housing Development Agency, Implats, Ivanhoe Mines, Kusini Water, Leeto la<br />

Polokwane, Ludwig Sevenster/SA Forestry, Marula Festival, Minerals Council South<br />

Africa, MMSEZ, SA Tourism, Shaun Roy/Sunshine Tour, Univen Innovative Growth<br />

Company, University of <strong>Limpopo</strong>, Venetia Mine, VKB, Westfalia.<br />

DISCLAIMER | While the publisher, Global Africa Network Media (Pty) Ltd, has used all reasonable efforts to ensure that the information contained in<br />

<strong>Limpopo</strong> <strong>Business</strong> is accurate and up-to-date, the publishers make no representations as to the accuracy, quality, timeliness, or completeness of the information.<br />

Global Africa Network will not accept responsibility for any loss or damage suffered as a result of the use of or any reliance placed on such information.<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />



The Musina-Makhado Special Infras<br />

Economic Zone is a flagship project<br />

driver<br />

develo<br />

<strong>Limpopo</strong> Premier Chupu Stanley Mathabatha invites<br />

private investors to work with the public sector in<br />

building infrastructure and growing the economy.<br />

Iwant to start by thanking Global Africa Network for sustaining the<br />

publication of this important magazine, <strong>Limpopo</strong> <strong>Business</strong>. I also wish to join<br />

in celebrating this 12th <strong>edition</strong> of what I consider a premier business and<br />

investment guide for our beautiful <strong>Limpopo</strong> Province.<br />

Indeed, <strong>Limpopo</strong> <strong>Business</strong> is an important partner in the continued<br />

endeavour to market and position <strong>Limpopo</strong> as a leading and most attractive<br />

business and investment destination.<br />

This informative <strong>edition</strong> once again affords us an opportunity to take you<br />

through the plentiful business and investment offerings of our province, from<br />

Bela-Bela to Musina.<br />

Through this publication, you will also learn about great private-public<br />

partnership investments that are the pulse of our provincial economy.<br />

As you will come to learn, <strong>Limpopo</strong> is home to a thriving mining sector,<br />

tantalising tourism offerings and a limitless potential for the agricultural sector.<br />

The construction industry is one of the booming sectors of the <strong>Limpopo</strong><br />

economy, the inherited legacy of an infrastructure backlog means that the<br />

sector has a longer future. Investment in this sector is an investment in the<br />

future. <strong>Limpopo</strong> Province has also moved to embrace the new digital economy<br />

through competitive support infrastructure.<br />

The Musina-Makhado Special Economic Zone (MMSEZ) remains our<br />

flagship economic development project. Through this initiative, and through<br />

partnerships with the private sector, we hope to stimulate economic growth,<br />

create much-needed employment opportunities and reduce the ballooning<br />

gap of inequality.<br />

<strong>Business</strong> opportunities in this SEZ project are limitless. These opportunities<br />

range from manufacturing, agroprocessing, automotives, steel, pharmaceutical,<br />

logistics and many more.<br />

What is even more tantalising is the fact that this project enjoys the<br />

overwhelming support of our National Government.<br />

As the <strong>Limpopo</strong> Provincial Government, we have placed this Musina-<br />

Makhado SEZ Project at the apex of our priorities. We believe that the only<br />

available option for us is to make this project a resounding success.<br />

<strong>Limpopo</strong> is open for business! ■<br />


<strong>Limpopo</strong> Prem<br />

priorities in we<br />

already receivin<br />

We<br />

th<br />

Ad<br />

Premier Chupu<br />

af<br />

Stanley Mathabatha successful nation<br />

general election<br />

election which w<br />

Chupu Stanley<br />

Premier of Limp<br />

7 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong> LIMPOPO BUSINE


A regional overview<br />

of <strong>Limpopo</strong><br />

By John Young<br />

Image: Implats<br />

<strong>Limpopo</strong> is looking to new mining projects, increased agri-processing<br />

capacity and a metallurgical complex at the new Musina-Makhado<br />

Special Economic Zone to drive the economy in the wake of Covid-19.<br />

The <strong>Limpopo</strong> tourism sector received<br />

a boost in February <strong>2020</strong> when the<br />

Armed Forces Day was held in and<br />

around Polokwane, the provincial capital.<br />

Fully booked signs went up from Mokopane to<br />

Haenertsburg and tourism operators had reason<br />

to expect a bumper year ahead.<br />

Then on 5 March, the National Institute for<br />

Communicable Diseases announced that the first<br />

case of Covid-19 had been reported in South Africa.<br />

Any hopes of maintaining the positive increase in<br />

visitor numbers recorded in recent years had to be<br />

put aside and the focus was on saving lives. In 2018<br />

<strong>Limpopo</strong> received 2.2-million international visitors<br />

in addition to 1.1-million domestic travellers.<br />

Last year’s regional overview referred to the<br />

sector’s “almost limitless potential” but most of that<br />

will have to wait until the global pandemic is under<br />

control. Nearly eight-million international tourists<br />

visited the province between 2014 and 2018 and<br />

more than 27-million South Africans visited some<br />

part of <strong>Limpopo</strong> in the same period.<br />

The combined land area of <strong>Limpopo</strong>’s national,<br />

provincial and private game and nature reserves<br />

is 3.6-million hectares. It is possible that these<br />

reserves will be able to receive visitors before other<br />

parts of the tourism sector are opened up so there<br />

is the possibility of some relief from that quarter.<br />

According to the Premier’s office, the tourism sector<br />

employed about 22 400 people in 2018.<br />

The absence of travellers in the wake of the<br />

coronavirus epidemic is obviously going to have a<br />

big impact on the <strong>Limpopo</strong> economy. Fortunately,<br />

the province’s other two big economic sectors,<br />

mining and agriculture, are strong and both<br />

of these sectors are the focus of public and<br />

private investment. The provincial government is<br />

putting considerable resources into agricultural<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />



infrastructure. This includes upgrading old<br />

irrigation schemes and building new ones,<br />

building a packhouse, investing in processing<br />

equipment at a tomato paste factory and<br />

constructing and supplying Farmer Production<br />

Support Units around the province.<br />

These all constitute attempts to bring smallscale<br />

farmers into the value chain at a point where<br />

more money can be made. <strong>Limpopo</strong> is home<br />

to some of South Africa’s largest commercial<br />

agricultural enterprises who are drawn to the<br />

fertile and varied soils that the province has to<br />

offer. This is one of the reasons why <strong>Limpopo</strong><br />

punches above its weight in exports.<br />

Potatoes are grown, together with 75% of<br />

South Africa’s mangoes and tomatoes; papayas<br />

(65%); tea (36%); citrus, bananas and litchis (25%)<br />

and 60% of the country’s avocados. ZZ2 is one of<br />

the country’s largest agricultural companies. ZZ2<br />

is most famous for the large quantity of tomatoes<br />

and avocados produced but its product range is<br />

also large: mangoes, onions, dates, cherries, apples,<br />

pears, stone fruit, almonds and blueberries.<br />

Agri-processing is strong elsewhere, with<br />

Pioneer Foods, McCain, Granor Passi, Kanhym,<br />

Westfalia and Enterprise Foods all prominent, but<br />

this sector still has potential to grow.<br />

The best performing subsector of South<br />

African exports in recent years has been fruit and<br />

nuts. <strong>Limpopo</strong> has been a major contributor to the<br />

country’s excellent export record: fruit and nuts<br />

from the province’s eastern regions are hugely<br />

popular in international markets and <strong>Limpopo</strong>’s<br />

commercial farmers are extremely efficient.<br />

and Competition (dtic) said that a consortium of<br />

Chinese investors, Sino, had agreed to operate the<br />

mineral beneficiation operations.<br />

The initiative has already attracted other (local)<br />

investors in the form of Eco-Industrial Solutions (EIS),<br />

the private sector investor behind the <strong>Limpopo</strong><br />

Eco-Industrial Park (LEIP). LEIP aims to be an<br />

integrated and industrial development comprising<br />

five major industrial components that sets new<br />

standards in sustainability. Set on 6 400ha of land,<br />

the LEIP will include a nature reserve, two residential<br />

estates and schools.<br />

The <strong>Limpopo</strong> Economic Development Agency<br />

(LEDA) is working with EIS to establish a petrochemical<br />

cluster within the Musina-Makhado<br />

SEZ. Another SEZ is intended for Tubatse in<br />

eastern <strong>Limpopo</strong>. This project, together with an<br />

industrial park designed to promote and enhance<br />

opportunities related to the marula fruit and<br />

the revitalisation of industrial parks at Seshego<br />

and Nkowankowa, point to the centrality of<br />

clusters and concentrated land use in provincial<br />

economic planning.<br />

LEDA, an agency of the <strong>Limpopo</strong> Department<br />

of Economic Development, Environment and<br />

Tourism (LEDET), is the primary driver of the<br />

provincial government’s drive to boost the<br />

economy through investment.<br />

Investment encouraged<br />

In July 2016 the national cabinet approved the<br />

Musina-Makhado Special Economic Zone (MMSEZ).<br />

Located in the far north of <strong>Limpopo</strong> in the Vhembe<br />

region, the SEZ is strategically located near the<br />

border of Zimbabwe and on the Great North Road<br />

which links South Africa to the broader Southern<br />

African region. The location promotes the Trans-<br />

<strong>Limpopo</strong> Spatial Development Initiative. Logistics<br />

will be one of the key focus areas of the SEZ. Soon<br />

after the announcement of the designation of the<br />

SEZ, the National Department of Trade, Industry<br />

Avocado packing factory. Image: Westfalia<br />

9 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>


The mining sector continues to invest in<br />

projects in <strong>Limpopo</strong>. The province has huge<br />

reserves of coal, platinum, chromium, uranium<br />

clay, nickel, cobalt, vanadium, limestone and<br />

tin. Demand will always fluctuate, and the<br />

commodities cycle has recently been very volatile,<br />

but the world will always need minerals.<br />

<strong>Limpopo</strong>’s assets include the largest diamond<br />

mine in South Africa (De Beers Venetia Mine), the<br />

biggest copper mine in South Africa (Palabora<br />

Mining Company), the biggest open-pit platinum<br />

mine in the country and the biggest vermiculite<br />

mine in the world. The province has 41% of South<br />

Africa’s platinum group metals (PGMs), 90% of South<br />

Africa’s red-granite resources and approximately<br />

50% of the country’s coal reserves. Antimony, a<br />

strategic mineral found in large quantities in China,<br />

is another of <strong>Limpopo</strong>’s major assets.<br />

According to the State of the Province Address<br />

given by Premier Chupu Mathabatha in February<br />

<strong>2020</strong>, mining employment decreased from<br />

106 000 to 86 000 between the 4th quarter<br />

of 2018 and the 4th quarter of 2019. This situation<br />

was partially reversed in the early stages of<br />

<strong>2020</strong> as global demand for PGMs increased and<br />

prices rose. The mining sector was less affected<br />

by shutdowns due to the pandemic than some<br />

other industries. The Premier further reported<br />

that the province would be receiving a total<br />

investment of R36.3-billion over the next five years<br />

from mining activity.<br />

The Provincial Government is in the process<br />

of reassessing its industrial strategy, the main<br />

thrust of which involves strengthening the drive<br />

to promote clusters in the mining, agriculture<br />

and tourism sectors. The other strategic thrust of<br />

the planning initiative is to help prepare <strong>Limpopo</strong><br />

to exploit new sectors such as renewable energy<br />

and the creative sector and to examine the<br />

implications of the Fourth Industrial Revolution.<br />

From left to right: <strong>Limpopo</strong><br />

Premier Representative, MEC<br />

Thabo Mokone, Malcolm Boyd<br />

from World Vision, Mxolisi Mgojo<br />

(Exxaro Resources CEO), Andile<br />

Sangqu (Executive head, Anglo<br />

American South Africa) and<br />

Dr Thulani Dlamini, CSIR CEO.<br />

Image: Anglo American.<br />


Two of <strong>Limpopo</strong>’s biggest companies,<br />

South Africa’s most respected research<br />

institution, a global humanitarian aid<br />

organisation and the <strong>Limpopo</strong> Provincial<br />

Government have signed up to the<br />

Impact Catalyst, which aims to drive socioeconomic<br />

growth through collaboration.<br />

The Impact Catalyst is part of Anglo<br />

American’s Collaborative Regional<br />

Development programme, and the<br />

launch in November 2019 was supported<br />

by partners Exxaro Resources, the Council<br />

for Scientific and Industrial Research<br />

(CSIR), World Vision and the Provincial<br />

Government.<br />

With mining playing the role of a<br />

foundational sector in the <strong>Limpopo</strong> economy, the Impact Catalyst is an<br />

attempt to help communities build up other sectors of the economy<br />

to take advantage of the opportunities related to mining.<br />

Various initiatives to be supported relate to agri-processing, biofuels,<br />

waste recycling, integrated game farming and community health.<br />

Enterprise and supplier development programmes fall under the ambit<br />

of the venture, as does integrative geo-spatial planning, as developed<br />

by the CSIR. Integrated planning initiatives have the potential to bring<br />

together business, government and other affected parties such as<br />

NGOs, community and faith groups and academics.<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />





Polokwane has good hotel and conferencing facilities.<br />

Park Inn by Radisson Polokwane is the newest Thulamela Local Municipality, Vhembe District<br />

Thohoyandou is the administrative centre of<br />

First-world technology and quality combined SABS-approved roadworthy trailers built at Africa<br />

with African simplicity. The main woodchipper Biomass Company in Worcester, South Africa.<br />

hotel to open in the city. Nearby Moria attracts up to Municipality and the University of Venda. The Ivory<br />

unit is manufactured by Bandit Industries, Inc. Engine-powered woodchippers are fitted<br />

a million people every year, when the Zion Christian Route passes through the district. Other attractions<br />

with 35-plus years’ experience with Tier 3, South African standard, diesel or<br />

Church celebrates Easter.<br />

include an ancient baobab tree, the Dzata Ruins, the<br />

in innovation and international petrol engines, depending on the woodchippers’<br />

research. These units specification<br />

Museum of the<br />

or clients’<br />

Drum,<br />

preference.<br />

the mystical<br />

Electric<br />

Lake<br />

and<br />

Fundudzi<br />

Sekhukhune District<br />

PTO<br />

are shipped to options<br />

and Nwanedi<br />

are also<br />

Provincial<br />

available in<br />

Park.<br />

various Bandit models.<br />

Government is the largest employer in South this southern Africa The add-ons are specifically handpicked to give<br />

district, followed by agriculture and hunting. where they The vast Waterberg District<br />

are you the best set-up and will provide you with a<br />

majority of households are rural (94%) and fitted Groblersdal onto well-balanced The mining sector woodchipper is the largest that contributor will outperform to regional<br />

GDP, other while chippers agriculture in Africa. is also significant. Several<br />

is the district capital. The region’s fertile lands produce most<br />

maize, tobacco, peanuts, vegetables, sunflower seeds www.abc.co.za<br />

towns in the district are in the mineral-rich Bushveld<br />

and cotton on a large scale. Agriculture makes up 25% Igneous Complex.<br />

of the economy. Burgersfort is an important town The district also features the riches of the<br />

because of platinum mining.<br />

Waterberg Coal Fields, iron ore (at Thabazimbi) and<br />

Geography<br />

The province is home to two universities, the<br />

tin and platinum at Mookgophong. The town of<br />

Mopani District<br />

University of Venda and the University of <strong>Limpopo</strong>,<br />

Lephalale is at the heart of the region’s coal-mining<br />

<strong>Limpopo</strong> covers about 10% of South Africa’s land and seven Technical and Vocational Education and<br />

Giyani<br />

mass<br />

is<br />

and<br />

the<br />

is<br />

administrative<br />

home to about<br />

capital<br />

10% of<br />

of<br />

the<br />

the<br />

country’s<br />

district and<br />

popis<br />

and<br />

Training<br />

power-generation<br />

(TVET) colleges.<br />

sectors<br />

The Turfloop<br />

and is the<br />

Graduate<br />

site of<br />

key ulation. to the local The economy. 2011 census The public recorded sector 5.4-million is one of Eskom’s School of huge <strong>Business</strong> new is Medupi in Polokwane. power plant which is<br />

the residents. largest employers The main and languages the key sectors of the are people agriculture<br />

<strong>Limpopo</strong> and mining. are Mopani Sesotho, has Xitsonga an established and Tshivenda food man-<br />

the The capital area around of <strong>Limpopo</strong> Mokopane Province. is one Located of the rich-<br />

on<br />

of under The construction. centrally situated city of Polokwane is<br />

ufacturing but English industry, is widely in canned, used in business preserved and and government.<br />

production The <strong>Limpopo</strong> and vegetable Province’s juices. 125 Phalaborwa 754km² wheat, from the tobacco, high-density cotton, beef, population maize and of peanuts. greater<br />

driedfruiest<br />

the agricultural Great North zones Road in and South almost Africa, equidistant producing<br />

is covers the gateway a remarkably to the Kruger diverse National geographical Park. It has and a The Johannesburg bubbling hot and springs the neighbouring of Warmbaths countries (Bela-Bela) of<br />

good cultural airport landscape is a that tourism also hub. rich Palaborwa in minerals Mining and is Botswana, a popular Zambia, tourism destination, Zimbabwe and the Mozambique, district has<br />

Company agricultural (PMC) products. is the major economic driving force many Polokwane’s luxury golf upgraded estates. international The Legend airport Golf & plays Safari<br />

in the The area. N1 State-owned highway is phosphate a key reason and for phosphoric the province’s<br />

producer important Foskor role is in another nation’s major logistics employer. sector. The 18 holes Polokwane designed is the by province’s a different main famous centre golfer, for ind- and<br />

Resort an increasingly has the distinction important of regional having role. had each of its<br />

acid<br />

Marula It passes Festival through is held <strong>Limpopo</strong> in Phalaborwa from the every south year. to the an ustry, extra commerce, hole which education is very long and (360m) medical but services. also very<br />

border A subtropical town of climate Musina and and fertile on to soils Zimbabwe combine and to high: The city requires is close a helicopter to big concentrations ride to get to of the mineral tee-off<br />

make its neighbours greater Tzaneen in the very Southern productive African in Development<br />

and Community vegetables. (SADC). <strong>Limpopo</strong>’s The second busy N11 most highway pop-<br />

industries reflect this diversity. ■<br />

terms of point deposits 400m and up the to mountainside.<br />

fertile agricultural lands. Its<br />

fruit<br />

ulous links city the has province a population to Botswana of 80 to 000. the The west Letaba and<br />

Valley<br />

Mpumalanga<br />

produces<br />

Province<br />

a large proportion<br />

to the east.<br />

of South Africa’s<br />

mangoes,<br />

Most<br />

avocadoes<br />

of South Africa’s<br />

and tomatoes.<br />

logistics operators<br />

Forty sawmills<br />

have a<br />

presence in the provincial capital city of Polokwane<br />

operate in the area, drawing on the heavily forested<br />

and logistics hubs have been established in<br />

hills around the city.<br />

that city and in Musina. The province has a<br />

Vhembe sophisticated District rail network which Transnet Freight<br />

Rail aims to further expand, primarily to haul the<br />

The<br />

province’s<br />

Vhembe<br />

vast<br />

District<br />

reserves<br />

borders<br />

of coal away<br />

Zimbabwe<br />

to the coast<br />

and<br />

Botswana.<br />

at Richards<br />

The<br />

Bay.<br />

district’s administrative capital is<br />

Thohoyandou. Two of the Vhembe’s largest engineering vast bushveld projects supports in<br />

commercial the history and of game South farming Africa have and the recently district been has<br />

considerable undertaken cultural in <strong>Limpopo</strong>: and historical the Medupi assets. power Game station farming<br />

(at is a Lephalale growing subsector, in the far as west) is eco-tourism. and the De Beers’ Hoop<br />

Venetia Dam (in Mine, the situated south-east). just west of Musina, is South<br />

Africa’s largest diamond producer.<br />

LIMPOPO BUSINESS 2018/19<br />

11 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />



Transport is entering a new era<br />

Polokwane is rolling out a new public transportation system.<br />

Image: Leeto la Polokwane<br />

With the City of Polokwane in the<br />

final stages of preparation for<br />

the introduction of the Leeto<br />

la Polokwane public transport<br />

system and the Special Economic Zone at Musina-<br />

Makhado designed to become a logistics hub,<br />

the <strong>Limpopo</strong> Province is set to take full advantage<br />

of its strategic location.<br />

Logistics is a vital feature of the <strong>Limpopo</strong><br />

economy for another reason – the province has<br />

huge volumes of minerals and agricultural products<br />

to be transported to markets. In addition to the N1<br />

highway, the N11 is a primary road corridor and<br />

there are nine provincial road corridors.<br />

The building of the Musina-Makhado Special<br />

Economic Zone (MMSEZ) will further boost<br />

<strong>Limpopo</strong>’s importance as a transport and logistics<br />

hub. The official opening of the Musina Intermodal<br />

Terminal near the Beit Bridge Border Post is<br />

confirmation of <strong>Limpopo</strong>’s status as a leader in<br />

logistics. Located in the town of Musina on the<br />

N1 highway leading to Zimbabwe, the terminal is<br />

used to move cargo from road to rail.<br />

Warehousing facilities on-site make for<br />

loading efficiencies in the main cargoes such as<br />

chrome, fertiliser, coal, fuel and citrus. Bulk and<br />

containerised cargo are handled, with an annual<br />

capacity of three-million tons per annum.<br />

Major investments in transport infrastructure<br />

are being made in Polokwane. SANRAL is building<br />

a R640-million ring road and a bus rapid transport<br />

system is being introduced. The scheme is called<br />

Leeto la Polokwane. Within the province more<br />

broadly, 22.6% of households in <strong>Limpopo</strong> use bus<br />

transport and 45.8% use taxis (2013 Household<br />

Travel Survey).<br />

Apart from Polokwane and Musina, the towns<br />

of Tzaneen, Lephalale and Burgersfort are important<br />

in logistics. Roads Agency <strong>Limpopo</strong> (RAL),<br />

of which the provincial government is the sole<br />

shareholder, accounts for about a third of the<br />

budget of the <strong>Limpopo</strong> Department of Public<br />

Works, Roads and Infrastructure.<br />

The South African National Road Agency<br />

Limited (SANRAL) is involved in two major road<br />

projects in support of the Musina-Makhado<br />

SEZ. The N1 is to be re-routed and a new single<br />

carriageway created in the Musina CBD. A bypass<br />

into ZCC Moria has been completed.<br />

The Polokwane International Airport (PIA) is<br />

wholly owned by the provincial government and<br />

run by the Gateway Airports Authority Ltd (GAAL),<br />

an agency of the <strong>Limpopo</strong> Department Transport<br />

and Community Safety.<br />

SA Airlink caters mainly to the business market<br />

and offers <strong>21</strong> flights to Johannesburg six days<br />

a week. The airline also provides links between<br />

Phalaborwa and Johannesburg, and between<br />

Hoedspruit and Johannesburg and Cape Town.<br />

Great North Transport falls under the <strong>Limpopo</strong><br />

Economic Development Agency (LEDA). The<br />

company has more than 500 buses, covers about<br />

36-million kilometres every year on 279 routes and<br />

transports 37.6-million passengers.<br />

An amount of R814-million was budgeted in<br />

<strong>2020</strong>/<strong>21</strong> to support the public transport industry,<br />

including subsidies. ■<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />


Leeto la Polokwane opens new<br />

opportunities for local businesses<br />

Affordable transport set to transform the provincial capital.<br />

Citizens of Polokwane and surrounding<br />

areas are anticipating business growth,<br />

employment opportunities and affordable<br />

transportation as the city prepares<br />

to launch an Integrated Public Transport System<br />

(IPTS), Leeto la Polokwane.<br />

Leeto la Polokwane is the city’s road-based<br />

public transport that will ease the movement of<br />

people to all parts of the city quicker, ensuring<br />

they have easy access to educational institutions,<br />

healthcare facilities, and employment centres. The<br />

system is set to provide a high-quality transport<br />

service that is in line with the National Transport<br />

Act, integrating the different forms of public<br />

transport across the municipality.<br />

This transportation system has an important<br />

role in the development of a city and spurring<br />

economic growth. Public transport is the<br />

backbone of the economy as it allows workers to<br />

travel to their workplaces daily.<br />


• Reduce congestion on public roads<br />

• Improve the road networks<br />

• Create business opportunities<br />

• Employment with focus on the<br />

affected operators<br />

It is becoming increasingly<br />

clear that Leeto la<br />

Polokwane is crucial to<br />

socio-economic development<br />

as it provides a<br />

viable transport solution<br />

for commuters, something<br />

sorely lacking in the past.<br />

As milestones are achieved<br />

along the road to rolling out<br />

the system, so economic<br />

growth will follow. ■<br />

Tel: + 27 15 290 2324<br />

Email: leetolapolokwane@polokwane.gov.za<br />

Website: www.leetolapolokwane.co.za<br />

13 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>

FOCUS<br />

Exciting public transport system<br />

to be launched in <strong>2020</strong><br />

Phased approach to be adopted for maximum safety.<br />

The National Department of Transport visited the City of Polokwane to monitor the progress of the system.<br />

Leeto la Polokwane’s initial Phase 1A is<br />

expected to go operational in <strong>2020</strong>. Before<br />

the actual operations, the system will<br />

undergo trial operations to test the<br />

effectiveness of the system while at the same time<br />

training the drivers to efficiently run the buses.<br />

The system trial period will be guided by the<br />

Covid-19 regulations as tabled by the government.<br />

Precautionary measures have been put in place<br />

to ensure compliance with the Covid-19 Bus<br />

Transport Operators Guidelines.<br />

Phase 1A consists of two trunk extension<br />

routes and two complementary routes which will<br />

serve the Seshego, Flora Park and Westenburg<br />

areas. The complete system will be characterised<br />

by the dedicated bus lanes, smartcard payment<br />

systems, bus stops, a control centre, one median<br />

station, a layover facility, trunk extension routes<br />

and complementary routes.<br />

Construction of dedicated bus lanes along<br />

Nelson Mandela Drive from Zebediela Street<br />

to Seshego Circle has been completed. The<br />

dedicated lanes will fast-track the arrival times for<br />

passengers by separating the Leeto buses from<br />

the normal traffic.<br />

A median station and a bus depot are under<br />

construction. The station will be situated in the<br />

Central <strong>Business</strong> District (CBD) along General<br />

Joubert Street between Thabo Mbeki and Grobler<br />

Street. The bus depot which is situated in Zone 8<br />

on New Era Drive Street in Seshego will house 36<br />

Leeto la Polokwane buses for Phase 1A operations.<br />

Both the Bus Depot and the Bus Station will not be<br />

ready for Go-Live <strong>2020</strong>.<br />

In the meantime, operations will be on the<br />

kerbside (the side of a road or pavement that is<br />

nearer to the stop) and the buses will be operated<br />

from the layover facility. The buses will not be<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />


FOCUS<br />

picking up passengers during the trial period; the<br />

aim of this period is to ensure drivers are being<br />

trained appropriately.<br />

The following elements will be functional<br />

during Phase 1A Implementation:<br />

• Trunk Extension TE4 which runs through Zone 1<br />

and back into Nelson Mandela Street.<br />

• Trunk Extension TE5b which runs from Nelson<br />

Mandela Street onto Ditlou Street, Seshego B<br />

section and back into Nelson Mandela Street.<br />

• Complementary F1 which runs on Grobler,<br />

Webster, Marshall and Thabo Mbeki Streets.<br />

• Complementary F4b which runs on Grobler and<br />

Nikkel Streets and circulates through Nirvana and<br />

back into the CBD via Thabo Mbeki Street.<br />

• The Control Centre, New Peter Mokaba Stadium.<br />

• The layover facility located near Itsoseng Centre,<br />

on the corner of Fluorspar and Silicon Streets.<br />

Universal accessibility<br />

Leeto la Polokwane was built in line with Universal<br />

Access principles, to provide easy access to all<br />

people with a variety of needs, giving equal<br />

opportunity to have access to a safe, reliable and<br />

quality transport service.<br />

Features include the use of deployable<br />

boarding bridges to allow passengers in<br />

wheelchairs and mothers with baby strollers to<br />

enter and exit the buses safely. The other features<br />

are raised tactile (textured) paving, beeping alarms,<br />

and voice announcements that guide people who<br />

have reduced vision and who cannot read.<br />

Another important aspect is infrastructure<br />

for pedestrians and cyclists. About 18km of<br />

Non-Motorised Transport (NMT) facilities have<br />

been built which includes the walkways that are<br />

dedicated to human-powered means of getting<br />

around such as bicycles, skateboards, wheelchairs<br />

and handcarts.<br />

Cashless ticketing system<br />

For commuters to get in the Leeto la Polokwane<br />

buses, they will need to buy a Leeto Travel Card<br />

that will be loaded with cash, allowing commuters<br />

to plan and budget for trips. There will be no cash<br />

handling between the drivers and the passengers.<br />

The card will be available at local outlets, vendors<br />

and spaza shops. Commuters will not be charged<br />

for the first issue of the travel<br />

card. However, should the<br />

card be lost or damaged,<br />

a replacement fee will be<br />

charged. Commuters will<br />

register their cards with their ID numbers so that<br />

it can be blocked if it is lost, stolen or damaged.<br />

The card has no expiry date and can be used<br />

multiple times.<br />

Control centre<br />

The control centre, where all the operations for<br />

Leeto la Polokwane will be monitored and coordinated,<br />

is based at the New Peter Mokaba Stadium.<br />

It is connected to the buses and the station through<br />

the Intelligent Transport System (ITS), which updates<br />

passengers with information through audios and<br />

visual displays. All the buses and stations will be<br />

monitored through CCTV cameras.<br />

Urban traffic control (UTC)<br />

As part of the preparations to launch the Phase<br />

1A of the project, Leeto la Polokwane will install<br />

and test new traffic signals. Known as the Urban<br />

Traffic Control (UTC) system, it is a specialised form<br />

of traffic management that coordinates traffic light<br />

signals in a centralised location.<br />

The following intersections along Nelson<br />

Mandela Drive received new traffic signals in<br />

November 2019:<br />

• Madiba Park Street intersection.<br />

• Maropeng intersection.<br />

• Zebediela Street intersection.<br />

15 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>

FOCUS<br />

Leeto la Polokwane aims for safe<br />

public transport rollout<br />

Safety measures for Covid-19.<br />

In response to the current Covid-19 pandemic<br />

that has had an impact on every element of<br />

society in South Africa, the Leeto la Polokwane<br />

team has drafted measures to protect both its<br />

personnel and commuters to ensure a safe journey<br />

for everyone.<br />

One of the critical measures is the reduction<br />

of contact. It is challenging to reduce contact in a<br />

transport environment, but all precautions should be<br />

taken. The following measures as guided by Covid-19<br />

Bus Transport Operators Guidelines May <strong>2020</strong> have<br />

been adopted by Leeto la Polokwane and include:<br />

• Meetings should be replaced with Zoom (or<br />

similar) to limit contact between staff. If meetings<br />

must take place, a meeting room for 10 people<br />

should not have more than three people in the<br />

room with a distance between each person<br />

no less than 2m. The meeting room should be<br />

disinfected after each meeting.<br />

• Administration staff who can work from home<br />

should do so between Levels 2-5.<br />

• Customer service staff should be available to<br />

passengers from behind perspex or glass screens.<br />

• Security staff should be provided with full-screen<br />

face masks and sanitiser spray.<br />

• Drivers should have perspex or glass cabins<br />

installed to protect them. If this is not<br />

possible, rear boarding can be considered to<br />

protect drivers.<br />

• Automatic fare collection systems must be<br />

operational to ensure a contactless system.<br />

• Ticket booths should be cashless as far as<br />

possible.<br />

• Types of masks to be used should<br />

be clarified to ensure people touch<br />

their faces as little as possible. Masks<br />

worn should adhere to the national<br />

specifications. ■<br />

Leeto la Polokwane uses an automated<br />

fare collection systems to ensure a contactless<br />

payment system that is safe for everyone<br />

to use amid the Covid-19 epidemic<br />

and beyond.<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />


Empowering the minibus<br />

taxi industry and providing<br />

efficient public transport<br />


Polokwane Local Municipality’s Transportation Services Director Malose Lamola outlines<br />

the transition of the regional taxi industry to becoming a bus-operating company.<br />

Three taxi associations have registered a<br />

company which has signed agreements<br />

with the City of Polokwane to provide bus<br />

services on behalf of the city.<br />

The Leeto la Polokwane project has been<br />

planned in line with the 2007 Public Transport<br />

Strategy and Action Plan, under the guidance of<br />

the Department of Transport. One of the principles<br />

in implementing Integrated Rapid Public Transport<br />

Networks (IRPTNs) is that the incumbent public<br />

transport operators should not compete with<br />

the system to be implemented and should be<br />

compensated for their loss of business.<br />

In the case of Phase 1A of the Leeto la Polokwane<br />

project, the Polokwane Municipality has been negotiating<br />

and engaging with the Flora Park Pietersburg<br />

Taxi Association (FPTA), the Seshego<br />

Polokwane Taxi Association (SPTA) and the<br />

Westenberg Taxi Association (WTA), all of which<br />

are directly affected by the system footprint. The<br />

process has been finalised between the two parties<br />

in order to make way for the implementation of<br />

Leeto la Polokwane Phase 1A.<br />

Empowerment and training<br />

One of the main aspects of this project is to<br />

empower the minibus taxi industry and to assist<br />

it to make the transition from providing informal<br />

public transport services (unscheduled operations)<br />

to the provision of scheduled services. As<br />

part of the empowerment directive, which includes<br />

a capacitation programme, the three affected<br />

taxi associations have registered a Vehicle Operating<br />

Company called Esilux (Pty) Ltd. This company<br />

now has a full Board of Directors. The City of Polokwane<br />

and Esilux have also concluded an interim<br />

Vehicle Operating Company Agreement (VOCA).<br />

The municipality has started rolling out suitable<br />

training programmes to capacitate the Board of<br />

Directors to run the company sustainably. Other<br />

personnel that will be involved in the management<br />

of the company, as well as the operation of the<br />

Phase 1A of the Leeto la Polokwane system, will be<br />

recruited for the operationalisation of the system.<br />

Leeto la Polokwane is to be launched in the<br />

<strong>2020</strong>/<strong>21</strong> financial year. The<br />

following milestones have been<br />

reached since 2018:<br />

• Execution of supplementary<br />

market surveys for Phase 1A.<br />

• Sign off on the supplementary<br />

market surveys on Phase 1A.<br />

• Operating licence verifica-tion<br />

process for Phase 1A.<br />

• Signed process agreement<br />

on the Vehicle Operating<br />

Company Agreement (VOCA).<br />

• Signed process agreement on<br />

the compensation for affected Malose Lamola<br />

operators.<br />

• Delivery of universally compliant 12-Metre Buses.<br />

• Delivery of universally compliant 9-Metre Buses<br />

• Draft Vehicle Operating Company Agreement<br />

(three years).<br />

• Negotiations on VOCA, legal document.<br />

• Negotiations on VOCA, financial model<br />

(commercial contract) and approval by council.<br />

• Compensation negotiations for Phase 1A<br />

finalisation.<br />

• Signed vehicle removal agreement.<br />

• Signed restraint of trade and compensation<br />

agreement. ■<br />

By Malose Lamola: Director, Transportation Services,<br />

Polokwane Local Municipality.<br />

17 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>

FOCUS<br />

Special Economic Zones<br />

can be transformative<br />

Among the paucity of realistic intervention options, SEZs offer an opportunity to<br />

attract investment and build manufacturing capacity.<br />

Artistic impression. Credit: MMSEZ<br />

Since the beginning of <strong>2020</strong>, humanity was<br />

thrown into a tinderbox of tension characterised<br />

by anxiety, fear, frustration, agony,<br />

pain, anger and hopelessness. Status and<br />

class are unable to provide a shield to protect the<br />

elite and privileged and the working class are as<br />

hard-pressed as ever.<br />

The game of numbers and statistics, globally<br />

and nationally, has lost effect as daily shocks have<br />

become an integral feature of the new normal. The<br />

invisible enemy has struck again indiscriminately<br />

across the globe, affecting all nationalities, races,<br />

genders and classes. The fear of an imminent<br />

apocalypse as a consequence of climate change<br />

and natural disasters has been superseded by the<br />

catastrophe of a novel pandemic.<br />

A need to reinterpret the world<br />

We have observed airplanes grounded<br />

at airports across the globe, boats and<br />

oil tankers stranded outside harbours,<br />

the finest hotels deserted, and yet<br />

hospitals are overflowing. Humanity<br />

has entered a new paradigm.<br />

Life as we know it has drastically changed. Economic<br />

engines across global metropolises have taken an<br />

involuntary break and social distance separates<br />

families and prevents general human contact. One<br />

of the most quoted phrases by Karl Marx from his<br />

seminal work Thesis Eleven is “philosophers have<br />

hitherto only interpreted the world in various ways,<br />

the point is to change it”. Perhaps the time has<br />

come for modern philosophers to reinterpret the<br />

world concomitant with the process of changing it.<br />

Global economic meltdown<br />

Some economic commentators have asserted that<br />

the impact of Covid-19 on the world economy<br />

may be worse than the 1929 Great Depression and<br />

the 2009 Global Financial Crisis. According to<br />

Golding and Muggah (<strong>2020</strong>), it is estimated<br />

that the Covid-19 crisis will lead to losses<br />

exceeding $9-trillion or 10% of global<br />

GDP. As for the African continent, UNECA<br />

estimates that the continent’s growth is<br />

expected to drop from 3.2% to 1.8%. It also<br />

estimates a 48% decline in employment.<br />

The time for planning for a repackaged<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />


MMSEZ<br />


A world of game-changing opportunities<br />

What is Musina-Makhado Special Economic Zone (MMSEZ)?<br />

The Musina-Makhado SEZ is a flagship initiative of the <strong>Limpopo</strong><br />

Provincial Government implemented through the Musina-Makhado<br />

SEZ SOC in partnership with a Chinese Operator, Shenzhen Hoi<br />

Mor Resources Holding Company Ltd. The MMSEZ as an economic<br />

development tool aims to promote national economic growth<br />

and exports by using support measures in order to attract targeted<br />

foreign and domestic investments, research and development<br />

(R&D) and technology transfer.<br />

Where is the MMSEZ located?<br />

The Musina-Makhado SEZ is located in the vicinity of the Beit<br />

Bridge Border Post which is one of the busiest ports of entry in SA<br />

and an undisputable gateway to the South African Development<br />

Community (SADC) countries. The MMSEZ has the potential to<br />

become an inland intermodal terminal, facilitated by its anchor<br />

along the North-South Corridor, and directly connecting to the<br />

country’s major ports through both N1 road and the Johannesburg-<br />

Musina railway line, for the trans-shipment of sea cargo and<br />

manufactured goods to inland destinations and the SADC markets.<br />


• Metallurgy (Minerals Beneficiation)<br />

• Energy Generation<br />

• Manufacturing<br />

• Agro-Processing<br />

• Logistics<br />



• Preferential corporate tax<br />

• Building allowance and tax relief<br />

• Employment tax incentive<br />

• Customs-controlled area tax relief<br />

• Rental space discounts<br />

• Readily available infrastructure<br />

• Sufficient land for greenfield projects<br />

• Access to agricultural & mineral resources<br />

• Easy access to the up-north (SADC) market<br />

• Accessible logistics support for the<br />

movement of goods<br />


ENERGY &<br />


Power Plant<br />

Steel Plant<br />

Stainless Steel Plant<br />

Coking Plant<br />

Pig Iron Plant<br />

Ferromanganese Plant<br />

Ferrochrome Plant<br />

Chrome Plating<br />

Lime Plant<br />


Food Processing Facility<br />

Fresh Produce Handling<br />

Canning Facility<br />

Cotton Beneficiation<br />

Timber Processing<br />


Logistics Services<br />

Warehousing<br />

Distribution<br />

Container Yard<br />

Vehicle Distribution<br />

Cold Storage<br />

Bonded Warehouses<br />


Construction Services<br />

Engineering Services<br />

Real Estate<br />

Development<br />

Retail Property<br />

Hospitality Facilities<br />

Building Materials<br />

Manufacturing<br />

and Supply<br />


Light Industries<br />

Basic Assembly<br />

Automotive Manufacturing<br />

Electromechanical Operations<br />

OE Manufacturing<br />

Component Manufacturing<br />

Fertilisers<br />

Agro-chemicals<br />

Petro-chemicals<br />

ICT Solutions<br />

Furniture Manufacturing<br />

Packaging Services<br />



29 Market Street,<br />

Polokwane,<br />

<strong>Limpopo</strong> Province (RSA)<br />



Stakeholder Relations Manager<br />

Project Executive<br />

Tel: +27(0) 15 295 5120<br />

Tel: +27(0) 15 295 5120<br />

Cell: +27 (0)67 411 9192<br />

Cell: +27 (0)71 391 8188<br />

Tshamaano.Makuya@lieda.co.za<br />

19 LIMPOPO Richard.Zitha@lieda.co.za<br />

BUSINESS <strong>2020</strong>/<strong>21</strong>

FOCUS<br />

modern “Marshal Plan” for the new economic<br />

recovery plan is now. Post the 2009 global<br />

economic meltdown, the South African economy<br />

contracted by 1.8%. Countries need to recharge<br />

and embark on a new trajectory of normalising life<br />

and rebuilding their economies.<br />

The pandemic disrupted many industries yet<br />

created a window of opportunity for innovation and<br />

alternative strategies. A country such as Saudi Arabia<br />

will undoubtedly begin to think about economic<br />

development beyond oil. Similarly, tourism-based<br />

economies will be forced to think outside the box.<br />

Countries endowed with natural resources such as<br />

South Africa should consider strongly accelerating<br />

the pace of industrialisation through the production<br />

of value-added products for export.<br />

Artistic impression. Credit: MMSEZ<br />

Industrial activity through fiscal<br />

and regulatory incentives<br />

Among a plethora of potential economic recovery<br />

strategies and a paucity of realistic interventions is<br />

the phenomenon of Special Economic Zones (SEZs).<br />

SEZs are geographically delimited areas wherein<br />

governments facilitate industrial activity through<br />

fiscal and regulatory incentives and infrastructure<br />

support. SEZs can make important contributions to<br />

growth and development by attracting investment,<br />

creating jobs and boosting exports. They can build<br />

forward and backward linkages and support global<br />

value chain participation, industrial upgrading and<br />

diversification (UNCTAD, 2019). Globally, there is a<br />

boom of SEZs with over 5 400 operational in 147<br />

countries and over 500 in the pipeline.<br />

According to Bernard Hoekman, Director<br />

International Trade Department World Bank,<br />

China’s astonishing economic growth can be<br />

attributed to the use of Special Economic Zones.<br />

One of the striking examples is the transformation<br />

of Shenzhen, a former small fishing village in the<br />

1970s, into today’s city of over nine-million people,<br />

an illustration of the effectiveness of the SEZ<br />

model within the Chinese context.<br />

Hoekman asserts that SEZs offer a potentially<br />

valuable tool to overcome some of the existing<br />

constraints to attracting investment and growing<br />

exports for many African countries.<br />

Accelerating the pace of industrialisation<br />

The South African Industrial Policy Action Plan (IPAP)<br />

recognises the SEZ programme as one of the critical<br />

tools for accelerating industrialisation. As a result,<br />

eight Special Economic Zones were designated<br />

in six provinces as follows: Saldanha Bay (Western<br />

Cape), Dube TradePort (KwaZulu-Natal), OR Tambo<br />

(Gauteng), Coega (Eastern Cape), East London<br />

(Eastern Cape), Richards Bay (KwaZulu-Natal),<br />

Musina-Makhado (<strong>Limpopo</strong>) and Maluti-a-Phofung<br />

(Free State). By 2019, the number of operational<br />

investors in designated SEZs in the country increased<br />

from 72 to 85, with a total investment value of over<br />

R9-billion. The number of direct jobs created<br />

currently stands at 13 561, but this is expected<br />

to increase substantially as the new investments<br />

come on-stream (dtic, 2019).<br />

Growing industrial capacity has become a priority<br />

for the South African government to grow the<br />

economy. It is evident that the top four provinces<br />

(Gauteng, KwaZulu-Natal, Western Cape and<br />

Eastern Cape) enjoy the highest rate of industrial<br />

activities while the others experience relatively low<br />

manufacturing capacity (Stats SA). This is in contrast<br />

with the other five provinces having a plentiful<br />

endowment of primary resources such as minerals<br />

and agricultural produce, which are supposed to be<br />

the bedrock upon which industrialisation rests.<br />

<strong>Limpopo</strong>’s Musina-Makhado SEZ<br />

<strong>Limpopo</strong> province has a competitive advantage<br />

in mining, agriculture and tourism as the strategic<br />

pillars. Among its rich mineral deposits are<br />

platinum group metals (PGMs), iron ore, chrome,<br />

coal, diamonds, antimony, phosphate, copper,<br />

black granite, corundum, etc.<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />


FOCUS<br />

The bulk of these resources are extracted and<br />

exported to foreign markets as primary resources<br />

which deprives the province of an important<br />

opportunity to industrialise and develop. This is<br />

indeed a lost opportunity to build local industrial<br />

capacity, create much-needed employment<br />

opportunities and grow the SMME sector.<br />

Another lost opportunity has been within the<br />

agricultural sector. <strong>Limpopo</strong> is well endowed with<br />

agricultural resources, making it one of the key<br />

regions to produce fruits, nuts, vegetables, cereals<br />

and tea. Statistics from the Agricultural <strong>Business</strong><br />

Chamber South Africa indicate that <strong>Limpopo</strong><br />

accounts for approximately 19% of South Africa’s<br />

potatoes, 75% of mangoes, 65% of papayas, 36%<br />

of tea, 25% of citrus, 60% of litchis, 60% of avocados<br />

and 60% of its tomato production per<br />

annum. This abundance of agricultural products<br />

provides a great opportunity for agro-processing<br />

and production of value-added products for<br />

export markets.<br />

The designation of the Musina Makhado<br />

Special Economic Zone (MMSEZ) in 2016 heralded<br />

a window of opportunity to turn the province’s<br />

fortunes around.<br />

The SADC Industrialisation Strategy (2015-<br />

2063) emphasises the pursuit of targeted and<br />

selected industrial policies to create conditions<br />

for higher rates of investment, especially in valueadding<br />

manufacturing. The Strategy and Roadmap<br />

for implementation focuses on three potential<br />

growth paths for SADC economies namely, agroprocessing,<br />

minerals beneficiation and downstream<br />

processing; and enhanced and upgraded<br />

participation in regional and global value chains.<br />

The recently signed Africa Continental Free<br />

Trade Agreement (AfCFTA), promises to redefine<br />

trade relations among African states and beyond.<br />

It is envisioned that it will create a single market<br />

for goods and services across 55 countries. The<br />

Musina-Makhado SEZ is well-positioned to play a<br />

regional integration role in SADC and to take up<br />

opportunities that are presented by the AfCFTA.<br />

A vision for a futuristic Smart City<br />

The MMSEZ as an economic development tool<br />

aims to promote national economic growth<br />

and exports by using support measures to<br />

attract targeted foreign and<br />

domestic investments, research<br />

and development and technology<br />

transfer. With an anchor<br />

of investment pledges of about<br />

R150-billion, the Musina-<br />

Makhado SEZ will result in the<br />

establishment of an energy and<br />

metallurgical complex, a logistics hub, agroprocessing<br />

centre, light-to-medium manufacturing<br />

industries, SMME Incubation Centre, retail centres,<br />

hotels, residential and community facilities.<br />

All these investment opportunities will lay a<br />

solid foundation for the envisioned futuristic Smart<br />

City utilising the Internet of Things (IoT) anchored<br />

on a comprehensive ICT infrastructure for the<br />

realisation of a smart economy, smart governance,<br />

smart environment, smart mobility, smart living<br />

and smart people principles.<br />

The location of this flagship programme<br />

has been carefully chosen to meet the basic<br />

requirements of a successful SEZ initiative.<br />

Conclusion<br />

The envisaged job-creation opportunities,<br />

skills development, technology transfer, SMME<br />

empowerment and the socio-economic<br />

infrastructure development triggered by the<br />

MMSEZ will make a significant impact on the<br />

improvement of the quality of lives of many<br />

people and contribute to the provincial and<br />

national GDP.<br />

In the midst of this unprecedented global<br />

lockdown, we must afford ourselves an<br />

opportunity to reimagine the future and wake<br />

up from the dream. In the fullness of time, the<br />

morning after the night before shall be upon us<br />

and we dare not be found wanting. The time to<br />

concurrently reinterpret the world and change it<br />

has come and such a<br />

task cannot be left to<br />

philosophers alone.<br />

Article by Lehlogonolo<br />

Masoga, Chief Executive<br />

Officer of Musina-<br />

Makhado Special<br />

Economic Zone.<br />

<strong>21</strong> LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>


The Musina-Makhado Special<br />

Economic Zone will host an<br />

energy and metallurgical complex<br />

CEO Lehlogonolo Masoga explains how the MMSEZ is ideally placed<br />

to play a key role in regional integration.<br />

Lehlogonolo Masoga<br />


Lehlogonolo Masoga has more<br />

than 19 years of experience as<br />

an administrator and public<br />

servant, most recently as<br />

Deputy Speaker of the <strong>Limpopo</strong><br />

Provincial Legislature and MEC<br />

for Roads and Transport. He<br />

served on the <strong>Limpopo</strong> Youth<br />

Commission. Lehlogonolo<br />

holds three master’s degrees:<br />

Governance and Public<br />

Leadership (Wits), Development<br />

Studies (<strong>Limpopo</strong>) and an MSc<br />

in Leadership and Change<br />

(Leeds Beckett University, UK).<br />

He has diplomas in human<br />

resources and humanitarian<br />

assistance and is currently a<br />

registered PhD candidate in<br />

Administration.<br />

What locational advantages does the MMSEZ enjoy?<br />

The Musina-Makhado SEZ is located in the vicinity of the Beit Bridge<br />

Border Post which is one of the busiest ports of entry to South Africa<br />

and a gateway to the South African Development Community<br />

(SADC) countries. The MMSEZ has the potential to become an inland<br />

intermodal terminal, facilitated by its anchoring position along the<br />

North-South Corridor, and directly connecting to the country’s major<br />

ports through both N1 road and the Johannesburg-Musina railway line,<br />

for the trans-shipment of sea cargo and manufactured goods. Musina<br />

and Makhado municipalities are located in the Vhembe District.<br />

What industries will be established at the SEZ?<br />

An energy and metallurgical complex will include the following plants:<br />

Coal Power, Coke, Ferrochrome, Ferromanganese, Pig Iron, Carbon<br />

Steel, Stainless Steel, Lime, Silicon-Manganese, Metal Silicon and<br />

Calcium Carbide. This will be complemented by the logistics hub, agroprocessing<br />

centre, light-to-medium manufacturing industries, SMME<br />

Incubation Centre, retail centres, hotels and residential amenities.<br />

What is planned for the early phases?<br />

The planning phase has been complex. A rigorous and diligent<br />

planning process was undertaken which involved pre-feasibility,<br />

feasibility, licence application, operator appointment, stakeholder<br />

engagement, environmental impact assessment, clusters analysis,<br />

internal and external infrastructure master planning, entity<br />

corporatisation, etc. Despite the lengthy environmental impact<br />

assessment process affecting the Energy and the Metallurgical Cluster<br />

(South Site), we are confident that the light-to-medium industrial park,<br />

to be located in the North Site of the SEZ, will be operational by the<br />

end of 20<strong>21</strong>. Our infrastructure rollout plans are unfolding smoothly.<br />

What are the longer-term plans for the SEZ?<br />

The MMSEZ is an economic development tool which aims to promote<br />

national economic growth and exports by using support measures in<br />

order to attract targeted foreign and domestic investments, research<br />

and development and technology transfer. We are looking forward<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />



exploring various innovative engineering options,<br />

including cross-border water-transfer schemes.<br />

Will construction of the SEZ infrastructure be<br />

done by local companies?<br />

Local empowerment is at the centre of the MMSEZ<br />

business model. We are already at an advanced<br />

stage of completing a comprehensive Enterprise<br />

Development Strategy and the development of<br />

an SMME Incubation Centre. Local enterprises<br />

will undoubtedly enjoy preference in a variety of<br />

opportunities throughout the project development<br />

phases, including infrastructure roll-out.<br />

Furnace. Credit: Anglo Platinum<br />

to creating a minimum of 50 000 job opportunities<br />

in the next 10 years through this initiative and to<br />

turn around the economic fortunes of the <strong>Limpopo</strong><br />

Province. All these investment opportunities will lay<br />

a solid foundation for the envisioned futuristic Smart<br />

City and smart economy. When the High-Speed<br />

Train between Johannesburg and Musina comes to<br />

fruition, that will add impetus to the MMSEZ.<br />

How is pollution being mitigated?<br />

The MMSEZ SOC is committed to environmental<br />

and biodiversity protection. We fully appreciate<br />

and respect the Paris Agreement and our<br />

country’s commitment to ecological sustainable<br />

development and are already taking all reasonable<br />

measures to mitigate environmental concerns<br />

such as global warming, pollution, biodiversity loss,<br />

water scarcity and possible threats to food security.<br />

Substantial research is being conducted to mitigate<br />

such risks which will include the deployment of the<br />

best carbon capture and storage (CCS) technology<br />

to mitigate the greenhouse gas emissions.<br />

Specialist studies on climate change and<br />

pollution have been conducted to mitigate<br />

potential negative impacts. With regard to water<br />

scarcity, efforts are being made to avoid tapping<br />

into the already stressed water resources by<br />

With whom is the <strong>Limpopo</strong> Provincial Government<br />

partnering in the creation of the SEZ?<br />

Each SEZ project is regarded as a national asset<br />

located in a particular province. Such national assets<br />

are expected to attract foreign direct investment<br />

and technology transfer. This model warrants public<br />

and private partnerships at all levels. The <strong>Limpopo</strong><br />

Provincial Government has partnered with the<br />

national government through the Department<br />

of Trade, Industry and Competition (dtic), an<br />

international operator from China, Vhembe District<br />

and local municipalities, particularly Musina<br />

and Makhado municipalities, and the business<br />

fraternity to implement the MMSEZ.<br />

Where does the SEZ fit in regional strategies?<br />

The location of the Musina-Makhado Special Economic<br />

Zone makes it an ideal regional integration<br />

initiative. The SADC Industrialisation Strategy<br />

(2015-2063) emphasises the pursuit of targeted<br />

and selected industrial policies to create conditions<br />

for higher rates of investment by the public and<br />

private sectors to enable crucial sectors to<br />

prosper, especially value-adding manufacturing.<br />

The recently signed Africa Continental Free Trade<br />

Agreement (AfCFTA), promises to<br />

redefine trade relations among<br />

African states and beyond. The<br />

Musina-Makhado SEZ is well<br />

positioned to play a regional<br />

integration role in SADC and<br />

to take up opportunities<br />

that are presented by the<br />

AfCFTA.<br />

23 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>


Boosting manufacturing<br />

is a key priority for <strong>Limpopo</strong><br />

Special Economic Zones and industrial parks are being built<br />

to provide infrastructure.<br />

Westfalia fruit warehouse. Credit: Westfalia<br />

Getting more value for the minerals and<br />

agricultural crops that are extracted<br />

from the soil of <strong>Limpopo</strong> is a major goal<br />

of economic planners. A key component<br />

of the strategy to boost the value of the region’s<br />

products through manufacturing is to develop<br />

Special Economic Zones (SEZs) and industrial parks.<br />

Described as “major catalytic projects”, the<br />

Musina-Makhado SEZ (approved and forging<br />

ahead), the Tubatse SEZ (proposed) and<br />

several industrial parks (either being revived or<br />

established) are central to the strategy to grow<br />

<strong>Limpopo</strong>’s manufacturing capacity. As of February<br />

<strong>2020</strong>, Shaanxi CEI Investment Holdings had<br />

committed to a $5-billion investment in a vanadium<br />

and titanium smelter project at the Musina-<br />

Makhado SEZ (MMSEZ) and a further $1.1-billion<br />

had been pledged from other sources.<br />

The focus of the first phase of the SEZ is on<br />

energy and metallurgical processes but agriprocessing,<br />

logistics and general manufacturing are<br />

expected to follow in short order. An investment<br />

conference targeting the northern side of the SEZ<br />

was held in November 2019 and a South African<br />

company has announced it will manufacture<br />

products in the electric vehicle field, new energy<br />

solar system products, energy storage systems and<br />

high-density polyethylene water pipes.<br />

Most of the planning for both sections of the<br />

SEZ is complete and the Environmental Impact<br />

Assessments (EIA) are nearly finished. Projections<br />

for employment opportunities at the MMSEZ<br />

have been revised upwards to 26 000.<br />

The plans for the proposed Tubatse SEZ<br />

have been amended and will be submitted to<br />

national government in the course of <strong>2020</strong>. The<br />

SEZ in Tubatse will focus on the beneficiation of<br />

platinum group metals (PGM) and mining-related<br />

manufacturing. Phase one of the project would<br />

see a 280ha site developed to accommodate a<br />

mining suppliers park, light manufacturing, heavy<br />

manufacturing, logistics, a solar energy cluster and<br />

a PGM beneficiation cluster.<br />

A good example of an attempt to derive<br />

greater benefit from an agricultural product<br />

is the plan to create a Marula Industrial Park.<br />

The Marula Industrial Hub envisaged for the<br />

Phalaborwa area will provide a platform to further<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />


<strong>Limpopo</strong> United<br />

<strong>Business</strong> Forum<br />

The Forum provides local bodies with a single voice to talk to government.<br />

<strong>Limpopo</strong> United <strong>Business</strong> Forum (LUBF) is<br />

an overarching organisation comprising 10<br />

business and professional organisations in<br />

<strong>Limpopo</strong>. LUBF represents a united voice<br />

that advocates and lobbies for the interests and<br />

aspirations of businesspeople in <strong>Limpopo</strong>.<br />

Members<br />

NAFCOC, Black Management Forum (BMF),<br />

<strong>Business</strong>women’s Association (BWA), Progressive<br />

Professionals Forum (PPF), South African Women in<br />

Construction (SAWIC), Seshego <strong>Business</strong> Quorum,<br />

Forum of <strong>Limpopo</strong> Entrepreneurs (FOLE), Small<br />

<strong>Business</strong> Empowerment Unity (SBEU), <strong>Limpopo</strong> ICT<br />

Forum and the African Farmers’ Association of SA.<br />

Objective<br />

To collaborate and partner with public and private<br />

organisations in promoting and advancing the<br />

interests of members. LUBF further forms part<br />

of the social compact comprising business,<br />

government and civil society in order to grow the<br />

economy of <strong>Limpopo</strong>, contribute to the creation of<br />

jobs, reduce inequality and eradicate poverty.<br />

Programme of action<br />

Address challenges that affect small businesses.<br />

These include access to information, access to<br />

finance, access to markets and access to skills<br />

development and training. Late payments by<br />

government departments are a threat to the<br />

survival of small businesses. LUBF is lobbying the<br />

Provincial Treasury and the <strong>Limpopo</strong> Economic<br />

Development, Environment and Tourism<br />

Department (LEDET) to deal decisively with<br />

departments that continuously disadvantage<br />

small businesses. LUBF is looking forward to the<br />

Public Procurement Bill which will create a better<br />

legislative framework for local empowerment.<br />

In responding to the challenges that are currently<br />

facing SMMEs, LUBF has in the past two<br />


months engaged with the Minister of Small<br />

<strong>Business</strong> Development, Honorable Khumbudzo<br />

Ntshaveni, MEC for LEDET, Honorable Thabo<br />

Mokoni, CEO for Musina-Makhado SEZ, Lehlogonolo<br />

Masoga, and the MEC for Public Works,<br />

Honorable Dickson Masemola in his capacity as<br />

the Chairperson of the Economic Transformation<br />

Unit of the ANC in <strong>Limpopo</strong>.<br />

Survival and opportunity<br />

• <strong>Business</strong>es are struggling due to the stagnant<br />

economy, a situation that has now been<br />

exacerbated by the unprecedented pandemic.<br />

<strong>Limpopo</strong> has lower than average household<br />

income and low ICT connectivity. Small<br />

businesses have to continue creating jobs to save<br />

the economy.<br />

• LUBF has intensified its programme of action<br />

and has recently engaged many relevant<br />

stakeholders. The objective is to assist SMMEs to<br />

gain access to Covid-19 relief programmes and<br />

access business opportunities.<br />

• Intervention is vital for the survival of businesses<br />

but it is also true that the new economy presents<br />

opportunities for small businesses to create new<br />

jobs and maintain current ones.<br />

• LUBF’s role is therefore to ensure access to<br />

available programmes and assist entrepreneurs to<br />

take their space in the new normal of digitisation,<br />

innovation and manufacturing.<br />

• The leadership remain committed to uniting the<br />

voice of business. ■<br />

Contact details<br />

Address: 1st Flr, Terminal Bldg, Polokwane Airport,<br />

Gateway Drive, Polokwane Tel: +27 15 296 0654<br />

Administrator: Abram Luruli Cell: 084 451 9923<br />

Email: Lubfreception@gmail.com<br />

Facebook: <strong>Limpopo</strong> United <strong>Business</strong> Forum-LUBF<br />

25 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>


exploit the tasty marula fruit, which has a high<br />

vitamin C content and is already produced as a<br />

beer and a liqueur. The <strong>Limpopo</strong> Department of<br />

Economic Development and Tourism (LEDET) is<br />

encouraging research into the uses of marula and<br />

the development of commercial products such as<br />

cosmetics and jams. The University of <strong>Limpopo</strong> is<br />

making good progress with a marula wine.<br />

Facilities at the hub will include a centre for<br />

research and processing facilities to create more<br />

value from the raw product. Advisors will be<br />

available to help small-scale farmers and SMMEs<br />

enter the formal economy.<br />

The Marula initiative is consistent with the<br />

broader agricultural sector plans for <strong>Limpopo</strong>.<br />

The provincial government has identified five<br />

Agricultural Development Zones (ADZs) across<br />

the province, including the Mopani District within<br />

which the Marula Hub is located. Programmes<br />

to increase productivity have been presented<br />

to small-scale farmers. Small-scale producers<br />

are receiving support in the form of irrigation<br />

infrastructure, livestock infrastructure and other<br />

production inputs.<br />

The University of Venda has its own commercial<br />

offshoot, the Univen Innovative Growth Company<br />

(UIGC) which is solely owned by the university.<br />

Services are offered to the public by a range of<br />

consultants and trainers via five programmes,<br />

including the Animal Production Programme,<br />

the Farm Equipment Programme, the Univen<br />

Commercial Unit and the Univen Consultancy Unit.<br />

Targeted plans<br />

The SEZ and industrial parks being promoted in<br />

the province are conceptualised within a broader<br />

framework. The <strong>Limpopo</strong> Development Plan (LDP)<br />

targets three broad areas for improvement and<br />

development: socio-economic, infrastructural and<br />

institutional. Every department of the <strong>Limpopo</strong><br />

Provincial Government has targets within the LDP<br />

which are translated into actionable programmes<br />

to be implemented within time-frames.<br />

The plan is supported by strategies relating<br />

to a spatial investment framework in public<br />

and private sector infrastructure, an integrated<br />

public transport policy and policies on land<br />

development.<br />

Key elements of the <strong>Limpopo</strong> Development<br />

Plan are: industrialisation (beneficiation of<br />

mining and agricultural products and produce);<br />

mining (local suppliers, improved training and<br />

access to sector for entrepreneurs); infrastructure<br />

development; agri-processing; SMME promotion<br />

and ICT and the knowledge economy (establish a<br />

WAN footprint).<br />

The <strong>Limpopo</strong> Economic Development<br />

Agency (LEDA) is the key driver of the provincial<br />

government’s drive to boost the economy<br />

through investment. LEDA is an agency of LEDET.<br />

LEDA’s brief is to contribute to accelerated<br />

industrialisation in <strong>Limpopo</strong> by stimulating and<br />

diversifying the industrial base of the regional<br />

economy. The focus is on high-impact projects<br />

that will spark growth in a variety of sectors and<br />

create employment opportunities.<br />

Sawn timber. Image: Ludwig Sevenster/SA Forestry<br />

Land, property and infrastructure develop-ment<br />

(including business parks and industrial parks) are<br />

vital components of the plan. As these targeted<br />

areas grow, the infrastructure and associated<br />

industries should act as a magnet for other<br />

businesses and industries in the same sector, and<br />

service industries.<br />

Mining is currently the most important part<br />

of the provincial economy. Recent platinum<br />

mining developments on the eastern limb of the<br />

Bushveld Complex have increased this effect but<br />

global commodity prices have been uncertain in<br />

recent years. One of the goals of the LDP is to see<br />

more beneficiation from the mining sector, which<br />

will support the goal of further industrialising the<br />

province’s economy. Related to this is an emphasis<br />

on the goal of developing manufacturing capacity,<br />

and this is where the role of SEZs is so important. ■<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />


Accelerating<br />

empowerment erment through<br />

and sound sustainable<br />

and investments ents<br />

and partnerships<br />

ng<br />

in mining<br />

Services<br />

Accelerating<br />

empowerment through<br />

sound and sustainable<br />

investments<br />

and partnerships<br />

in mining<br />

Services<br />

Mining ineral and Beneficiation<br />

Mining Mineral and Mineral Beneficiation Beneficiation<br />

(coal and washing blending, (coal washing and blending, and blending,<br />

egate concrete crushing aggregate and crushing screening)<br />

and screening)<br />

concrete aggregate crushing and screening)<br />

Dr. Dr. John Mudau (CEO)<br />

(CEO)<br />

John.mudau@univen.ac.za<br />

Commodities<br />

Commodities<br />

Coal and Concrete aggregates<br />

crete Coal and aggregates<br />

Concrete aggregates<br />

Mr. Makhado Nengovhela (GM)<br />

makhado.nengovhela@univen.ac.za<br />

Cell: 071 616 0411<br />

Mr. Mr. Makhado Nengovhela (GM) (GM)<br />

makhado.nengovhela@univen.ac.za<br />

Cell: 071 616 0411


Univen Innovative Growth Company<br />

UIGC provides the University of Venda with an independent stream of income.<br />

The Univen Innovative Growth Company (UIGC) Pty (Ltd) is<br />

a company solely owned by the University of Venda. The<br />

company has a robust database of professional consultants<br />

and trainers who, respectively, provide quality services at<br />

competitive rates and offer accredited short courses.<br />

• UIGC GarCle has been<br />

providing independent<br />

cleaning and maintenance<br />

services since 2017.<br />

Vision<br />

To contribute to the field of skills development for<br />

South Africa and beyond and to be a sustainable<br />

third-stream income for the University of Venda.<br />

Mission<br />

To offer critical client-based services through<br />

short skills programmes, consultancy and<br />

commercial ventures in a financially viable and<br />

sustainable manner in pursuance of university<br />

strategic objectives.<br />

Mandate<br />

UIGC is tasked with the responsibility to generate third-stream<br />

income through the units. The UIGC units are:<br />

• Univen Commercial Unit.<br />

• Univen Consultancy Unit.<br />

• Editing and Proofreading Unit (EPU).<br />

• Statistics and Research Design Unit.<br />

• Univen Centre for Continuing Education (UCCE).<br />

In addition, the Univen Store sells university-related clothing such<br />

as golf shirts and caps, there are programmes covering animal<br />

production and farm equipment and five subsidiary companies<br />

operate under the UGIC banner. The companies are:<br />

• UIGC Securities, a security company registered with PSIRA. After<br />

the university terminated the contract with the private security<br />

company which was rendering security services, they partially<br />

insourced all security staff members to UIGC in 2016.<br />

• The UIGC Travel Agency started operating in 2017. It comprises two<br />

travel consultants and a general manager who provide services to<br />

Univen staff, government employees as well as the general public.<br />

• Tshakhuma Barotta UIGC Farm<br />

was launched in 2016 as a partnership<br />

between UIGC and<br />

the community with 49 fulltime<br />

employees. Due to the<br />

successful revitalisation of the<br />

farm, the Tshakhuma Community<br />

Trust has agreed to UIGC<br />

increasing its shareholding.<br />

• UIGC Mining: a partnership<br />

created the Duisend-UIGC<br />

Mining Consortium (DUMC)<br />

which processes and crushes<br />

aggregates from the mining<br />

of waste rock at Sibanye<br />

Stillwater’s Baobab Platinum<br />

Mine in the Lebowakgomo<br />

area. ■<br />

Contact details<br />

Address: Univen Innovative Growth Company (UIGC),<br />

University Road, Thohoyandou, <strong>Limpopo</strong> Province, 0950<br />

Email: info@uigc.co.za | Tel: +27 15 962 8761<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />


Leadership and management<br />

training are key<br />

functions of the UIGC<br />

FOCUS<br />

The Univen Innovative Growth Company earns revenue while building local capacity.<br />

One of the most important functions of<br />

the Univen Innovative Growth Company<br />

is to offer short courses and training.<br />

This not only passes on skills and helps<br />

local people who might not have had access<br />

to education in the past, it earns money for the<br />

institution which can then be deployed to help<br />

students in need.<br />

The training function is currently among the<br />

best revenue earners in the UIGC stable, with<br />

popular courses being offered and taken up by<br />

adults keen to improve their qualifications. The<br />

training division has also attracted funding from<br />

the private and public sectors.<br />

The local municipality has taken advantage<br />

of training courses in finance for non-finance<br />

managers, integrated development planning (IDP)<br />

and Local Economic Development (LED).<br />

UIGC venues are used as training sites for<br />

students from both the University of Venda and<br />

Vhembe TVET College. Profits generated from<br />

UIGC enterprises are ploughed back to help<br />

fund students attending the university, with<br />

an emphasis on assisting those in the “missing<br />

middle”. A sum of R8-million was contributed by<br />

UIGC in 2016 towards this cause.<br />

A large number of courses are offered by<br />

UGIC in a wide range of spheres, including local<br />

government and environmental management.<br />

Courses include:<br />

• Public Service and Administration<br />

By way of example, this popular course includes<br />

units such as the Municipal Finance Management<br />

Programme, Multi-Stakeholder Engagement<br />

Processes, Local Government Citizen Participation,<br />

Local Government Legislative Framework,<br />

Local Government Ethics, Values and Integrity,<br />

Community Development, Local Economic<br />

Development, Policy Management, Implementation<br />

and Analysis in the Public Sector and<br />

Public Financial Management.<br />

• General Management and Responsible<br />

Leadership.<br />

• Certificate for end-user computing.<br />

• Environmental Management.<br />

• Integrated Waste Management.<br />

• Envirotrac (Environmental Manager’s Certificate<br />

of Competency).<br />

• Catchment Management Strategy.<br />

• Safety Management courses.<br />

• Strategic Management.<br />

• Supervisory course.<br />

• Research Methodology.<br />

• Supply Chain and<br />

Logistics.<br />

• <strong>Business</strong> Management<br />

and Entrepreneurship.<br />

• Education and Teacher<br />

Development. ■<br />

Contact details<br />

Contact: Dr John Mudau, Chief Executive Officer<br />

Email: John.mudau@univen.ac.za<br />

Khathutshelo Ligege, Personal Assistant to CEO<br />

Tel: + 27 15 962 8754 / 61<br />

Email: Khathutshelo.ligege@univen.ac.za<br />

29 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>

FOCUS<br />

De Beers Venetia Mine<br />

unveils a testing laboratory<br />

Response to the Covid-19 pandemic is part of “Building Forever” commitment.<br />

De Beers Venetia Mine has unveiled a<br />

R10-million coronavirus (Covid-19) testing<br />

laboratory that will be utilised to test<br />

the mine’s employees and contractors.<br />

The laboratory will play a vital role in the diagnostic<br />

testing process of Covid-19 for employees and contractors<br />

and is expected to analyse at least 80 tests<br />

per day with a 24-hour turnout time for results.<br />

Operated by two technicians, the highthroughput<br />

laboratory is fully equipped with a<br />

Polymerase Chain Reaction (PCR) machine and<br />

other vital equipment including among others<br />

storage fridges, biosafety cabinet and centrifuges<br />

<strong>Limpopo</strong> Health MEC Dr Phophi Ramathuba and<br />

De Beers Group Managed Operations MD Mpumi<br />

Zikalala unveil the testing lab in Musina<br />

to increase testing capacity and analyse test<br />

samples to help speed up diagnoses and curb the<br />

spread of the virus.<br />

If aligned to the <strong>Limpopo</strong> Department of<br />

Health’s testing strategy, the laboratory will also<br />

analyse test samples from the Musina Hospital,<br />

Louis Trichardt Memorial Hospital and Helena Franz<br />

Hospital, which are the local health facilities<br />

identified for screening positive Covid-19 patients<br />

from Venetia and the communities surrounding<br />

the mine.<br />

Venetia Mine has also appointed three clinical<br />

associates and provided vehicles to allow them<br />

to conduct home-based responses as part of the<br />

company’s “WeCare” programme. The programme<br />

encourages employees and contractors to protect<br />

themselves from exposure and transmission of<br />

Covid-19, as well as monitor and manage their<br />

health should they test positive.<br />

Mpumi Zikalala, Managing Director, De Beers<br />

Group Managed Operations, said, “As a business,<br />

our first and most important value is to Put<br />

Safety First. We value the health and safety of our<br />

people above all else and are equally committed<br />

to delivering support to our host communities<br />

throughout this difficult period. The PCR laboratory<br />

is one element in our range of proactive response<br />

measures to support the fight against this global<br />

pandemic and through which we hope to increase<br />

access to testing, not only for our employees,<br />

but also communities in partnership with the<br />

Department of Health.”<br />

Dr Phophi Ramathuba, <strong>Limpopo</strong> MEC of<br />

Health, said, “We welcome this development as the<br />

Department of Health as it will go a long way in<br />

assisting us as government to deal with the current<br />

testing backlog. We do appreciate every single<br />

collaboration, especially the likes of this laboratory,<br />

which not only will focus on testing employees at<br />

Venetia Mine, but community members as well.” ■<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />


Venetia Mine brings community<br />

relief amid Covid-19 lockdown<br />

“WeCare” programme delivers vital medical equipment.<br />

FOCUS<br />

Venetia Mine and the Departments of<br />

Health and Social Development have<br />

rallied around efforts to provide support<br />

and relief to communities within the mine’s<br />

labour-sending areas of Musina and Blouberg.<br />

The mine has donated necessities such as maize<br />

meal, rice, oatmeal, tea, milk, canned foods and<br />

hygiene products including sanitisers, to ensure<br />

that those who are in hardship will have access to<br />

sufficient food during the nationwide lockdown.<br />

Medical equipment donated<br />

Through the Anglo-American Foundation, Venetia<br />

Mine is donating medical supplies to six clinics in<br />

the Blouberg area, namely: Alldays, Ga-Kibi, De<br />

Vrede, Kromhoek, Indermark and Taaibosch. These<br />

clinics will each receive the following supplies over a<br />

period of three months: N95 masks, surgical masks,<br />

disposable gowns, examination gloves, surgical<br />

gloves, paper towels, chlorhexidine solution,<br />

goggles and chlorhexidine scrub.<br />

They will also each receive the following onceoff<br />

medical items: blood-gas machine and noncontact<br />

thermometer. Hospitals and clinics will be<br />

equipped with medical equipment and supplies to<br />

support their efforts to prevent the spread of the<br />

Covid-19 virus and for treatment.<br />

More food parcels donated<br />

In a continued effort to help ease the burden for<br />

families during the Covid-19 pandemic, Venetia<br />

Mine, through the disaster relief organisation Gift<br />

of the Givers, has donated 1 000 food parcels to<br />

communities in Musina and Blouberg.<br />

The donation is part of the mine’s response to<br />

Covid-19, through which a total of R1.2-million will<br />

be used to purchase and distribute food parcels to<br />

indigent households over a period of three months.<br />

Mayor of Musina Local Municipality, Mihloti<br />

Muhlope, who accepted the food parcels on behalf<br />

of the Musina community ahead of the door-todoor<br />

deliveries, said the community was grateful<br />

for Venetia Mine’s efforts in helping fight food<br />

insecurity during the lockdown.<br />

“Government alone cannot win this difficult<br />

war against hunger and starvation. We need<br />

stakeholders like De Beers Venetia Mine and Gift<br />

of the Givers Foundation to come on board.<br />

As Musina Municipality, we are very humbled by<br />

this donation,” she said.<br />

Coordinating the<br />

deliveries of food parcels in<br />

Blouberg, Local Economic<br />

Development Manager<br />

at the Blouberg Local<br />

Municipality, Stanford<br />

Moremi, alongside Mayor,<br />

Solomon Pheedi, said,<br />

“We would like to extend<br />

our gratitude to Venetia<br />

Mine for this initiative. This<br />

food relief initiative has<br />

certainly touched the lives<br />

of many in our community<br />

considering the devastating<br />

Covid-19 impact on our<br />

communities.” ■<br />

31 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>


see money differently<br />


<strong>21</strong>ST CENTURY BANKING<br />


At the heart of Nedbank’s business<br />

strategy is its belief that its<br />

sustainability depends on its ability<br />

to integrate into the communities in which it<br />

operates.<br />

Juliana Selemela, Regional Manager for<br />

Retail <strong>Business</strong> Banking in <strong>Limpopo</strong>,<br />

explains: ‘Nedbank has continued to deliver<br />

on its brand promise, which is to use our<br />

financial expertise to do good for<br />

individuals, families, businesses and<br />

communities in which we operate. Our<br />

client-centred strategy has enabled us to<br />

reach out to our clients in time of need<br />

during the Covid-19 national lockdown.’<br />

The Nedbank Contact Centre and advanced<br />

digital innovation, including the awardwinning<br />

Nedbank Money app, enabled the<br />

bank to continue serving clients in the<br />

comfort of their homes. It brought<br />

convenience to clients and helped them to<br />

comply with lockdown regulations.<br />

Selemela says that for small- and mediumsized<br />

business clients, Nedbank continues to<br />

deliver end-to-end solutions through a<br />

dedicated business manager. ‘Our business<br />

managers are supported by a team of<br />

‘<br />

Our client-centred strategy<br />

has enabled us to reach out<br />

to our clients in time of need<br />

during the Covid-19 national<br />

lockdown.<br />

’<br />

experts across the bank to deliver seamless<br />

banking solutions. Our bigger-picture<br />

business approach ensures that we are able<br />

to take a holistic view of the business by<br />

understanding the vision, cashflow cycle,<br />

and transactional and capital expenditure<br />

needs of the business. This way, we become<br />

trusted advisors to the business owners who<br />

strive to grow their business.’<br />

If you are interested in taking your business<br />

to its next level or need information about<br />

Nedbank’s specialised service offering,<br />

please email Juliana Selemela at<br />

JulianaSe@Nedbank.co.za or visit<br />



see money differently<br />





Nedbank’s Support Manager for Small<br />

<strong>Business</strong> and Professionals for the<br />

<strong>Limpopo</strong> Province, Peteke Mojela,<br />

says that small businesses are the mainstay<br />

of the economy and Nedbank provides<br />

small-business owners with support that<br />

goes beyond banking.<br />

‘Covid-19 has dealt entrepreneurs a major<br />

blow and, naturally, they are overwhelmed<br />

and anxious about the future of their<br />

businesses. Nedbank is proud to be involved<br />

in various ways to help mitigate the<br />

economic impact of the crisis on this vital<br />

sector. For example, Backa<strong>Business</strong> is an<br />

innovative and relevant way in which people<br />

can show their support for small businesses<br />

to ensure their survival. Loyal customers,<br />

family and friends, and society at large can<br />

join the movement to pay now and redeem<br />

a reward from the business owner once<br />

trading resumes.’<br />

‘Beyond this Covid-19 relief, our experts are<br />

available to provide all the support you need.<br />

Nedbank offers simple, affordable banking<br />

solutions and value-added services to get<br />

and keep your business going,’ says Mojela.<br />

Initiatives such as our free-to-join<br />

networking portal SimplyBiz.co.za, The<br />

‘<br />

We provide our professional<br />

clients with banking at their<br />

fingertips, benefits that matter,<br />

expert savings …<br />

’<br />

Essential Guide for Small-business Owners,<br />

business registration services and free<br />

small-business seminars are all geared to<br />

support SMEs.<br />

Mojela adds that Nedbank’s Professional<br />

Banking solution is built on five pillars. ‘We<br />

provide our professional clients with banking<br />

at their fingertips, benefits that matter,<br />

expert savings and investment advice and a<br />

unique household banking approach, which<br />

allows them and their families to finance<br />

their dreams and growth.’ ‘With dedicated<br />

relationship bankers, tailored financing<br />

options and 24/7 service, the banking<br />

experience we offer is seamless, enables our<br />

clients’ financial aspirations and is flexible to<br />

grow as your needs grow,’ says Mojela.<br />

If you wish to tap into our small-business<br />

expertise to reach your business goals, please<br />

email Peteke Mojela at<br />

PetekeM@Nedbank.co.za or visit<br />



see money differently<br />




We are all aware of the individuals<br />

and businesses that have been<br />

adversely affected as a result of<br />

the chaos caused by the Covid-19 pandemic.<br />

Interest rates are at historical lows and<br />

Nedbank’s economic forecast for the next<br />

12 to 18 months predicts a sharp downward<br />

trend.<br />

In this challenging economic environment, it<br />

is more important than ever to manage and<br />

invest funds optimally in relation to cash flow<br />

needs. Cash flow is, without doubt, one of the<br />

most critical components of success for any<br />

business. In fact, according to a U.S. Bank<br />

study, 82% of business failures can be<br />

attributed to poor cash flow management.<br />

That being said, every growing business<br />

needs capital to invest in expansion – or to<br />

pivot to remain relevant in the extreme<br />

uncertainty we currently face. Every<br />

business has unique cash requirements, so<br />

how does a business owner ensure that<br />

surplus cash is managed in a manner that<br />

yields maximum returns in harmony with the<br />

company's liquidity requirements?<br />

Marcia Mathsa, Nedbank’s Corporate Saver<br />

and Investment Specialist for <strong>Limpopo</strong>, says<br />

that Nedbank <strong>Business</strong> Banking is<br />

‘<br />

Nedbank has made available a<br />

raft of relief measures to benefit<br />

clients across the bank.<br />

’<br />

committed to assisting its clients overcome<br />

their financial obstacles and provide sound<br />

financial advice in managing their funds.<br />

‘The pandemic and struggles of business<br />

highlight the need for expert advice, and a<br />

needs-based conversation with a Nedbank<br />

business manager can result in optimal<br />

financial solutions that make all the<br />

difference,’ says Mathsa.<br />

The investment sector will continue to be<br />

impacted for some time to come, but<br />

Nedbank has made available a raft of relief<br />

measures to benefit clients across the bank.<br />

We will continue to partner with our clients<br />

to provide expert advice on investments<br />

during what is a most challenging period<br />

not just for our country – but the world.<br />

To find out more about how Nedbank can<br />

partner with your organisation to grow a<br />

greater South Africa, please email<br />

Marcia Mathsa at MarciaMat@Nedbank.co.za<br />

or visit www.nedbank.co.za/business.


see money differently<br />




Innocent Mafahla, Provincial Manager for <strong>Business</strong> Banking<br />

in the <strong>Limpopo</strong> Province, says that a deep commitment to<br />

partnership is what underlies the team's personal and<br />

professional values.<br />

Our bigger-picture banking approach<br />

enables us not only to provide you<br />

with the banking solutions you need,<br />

but also to give you a holistic view of how<br />

our products are connected to create a<br />

framework that yields maximum impact<br />

across every facet of your business and<br />

beyond. We know that success in business is<br />

about partnerships, and that is why we put<br />

the building of deep, lasting, value-adding<br />

relationships at the centre of everything we<br />

do. This means your goals are our goals,<br />

your vision is our vision, and your success is<br />

our success – while you rely on our<br />

additional support that is most needed in<br />

times of change and uncertainty.<br />

The bank caters for all industries, but the<br />

<strong>Limpopo</strong> team has many clients in the<br />

franchising and agricultural sectors. 'The<br />

banking products and services tailored<br />

specifically for these sectors and designed<br />

to achieve overall business efficiency,<br />

profitability and sustainability make Nedbank<br />

one of the most franchise-friendly banks in<br />

South Africa and one of the market-leading<br />

banks in the agricultural space,' says Mafahla.<br />

Nedbank’s highly competitive pricing is<br />

structured to the needs and individual risk<br />

‘… Nedbank has developed innovative<br />

funding solutions designed to support<br />

farmers with sustainable farming<br />

interventions …<br />

’<br />

profile and track record of each particular<br />

franchise business. Products include<br />

POS devices and Nedbank’s POSPlus<br />

management system, e-commerce solutions<br />

and cash acceptance devices, aswellasa<br />

broad spectrum of tailored financing options.<br />

Nedbank understands that if the various<br />

challenges faced by the agricultural sector<br />

are not addressed, it will threaten economic<br />

growth, food security, employment and<br />

investment. To this end Nedbank has<br />

developed innovative funding solutions<br />

designed to support farmers with<br />

sustainable farming interventions, ranging<br />

from water efficiency mechanisms and<br />

cutting-edge irrigation to renewableenergy<br />

financing.<br />

If you are interested in taking your business<br />

to the next level, please email<br />

Innocent Mafahla at<br />

InnocentMa@nedbank.co.za or visit<br />

www.nedbank.co.za/business.<br />

Nedbank Ltd Reg No 1951/000009/06. Authorised financial<br />

services and registered credit provider (NCRCP16).<br />



Hot-air balloon in <strong>Limpopo</strong>. Pic: South African Tourism<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />




Overviews of the main economic sectors of <strong>Limpopo</strong><br />

Agriculture 38<br />

Mining 40<br />

Construction and property 50<br />

Energy 51<br />

Water 52<br />

Tourism 54<br />

Banking and financial services 56<br />

Development finance and SMME support 58<br />

Education 60<br />

37 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>


Agriculture<br />

Marula is <strong>Limpopo</strong>’s super fruit.<br />

Marula wine tasting laboratory.<br />

Image: University of <strong>Limpopo</strong><br />

A<br />

festival, an industrial park, the source of a world-famous<br />

liqueur and a centuries-old beer recipe – and now the fruit<br />

of the marula tree is inspiring an associate professor at the<br />

University of <strong>Limpopo</strong> to make a marula fruit wine.<br />

The women of <strong>Limpopo</strong> have been making beer from marula<br />

fruit for longer than records exist. They continue to make it in large<br />

quantities every year in February at the time of the Marula Festival, a<br />

major contribution to the arts and culture and tourism calendar. Distell<br />

makes and distributes Amarula cream liqueur around the world.<br />

The <strong>Limpopo</strong> Department of Economic Development and<br />

Tourism (LEDET) wants to see the University of <strong>Limpopo</strong> doing<br />

more research on the possible uses for the fruit, including jams<br />

and cosmetics. To that end, a Marula Industrial Hub at Phalaborwa<br />

is envisaged that will provide a platform to further exploit the tasty<br />

marula fruit, which has a high vitamin C content and is much loved<br />

by elephants. Facilities at the hub will include a centre for research<br />

and processing facilities to create more value from the raw product.<br />

Advisors will be available to help small-scale farmers and SMMEs<br />

enter the formal economy.<br />

One researcher already underway is Professor Kgabo Moganedi.<br />

Drawing on time-honoured (and organic) fermentation processes,<br />

Moganedi has created a clear alcoholic beverage and is reported<br />

to be almost ready to scale up production. The project has received<br />

Sector Insight<br />

Farmer Production Support<br />

Units are being rolled out.<br />

funding from National Research<br />

Foundation (NRF) under the<br />

Indigenous Knowledge Systems<br />

(IKS) and from the Technology<br />

Innovation Agency (TIA).<br />

Cotton growing is experiencing<br />

a renewal in <strong>Limpopo</strong>,<br />

and the Provincial Government’s<br />

programme for revitalising<br />

irrigation schemes is helping. In<br />

Ephraim Mogale Municipality<br />

about 345 hectares of cotton<br />

has been planted which will<br />

benefit 74 small-scale farmers in<br />

the area. The projected harvest<br />

is 522 tons and an estimated 300<br />

seasonal jobs are expected to<br />

be created during the harvesting<br />

period.<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />



Other schemes are at various<br />

stages of development: 100ha<br />

of land is being cleared for<br />

cultivation at the Mogalatjane<br />

Irrigation Scheme; 41ha has<br />

been identified at Tswelopele<br />

Irrigation Scheme in Fetakgomo<br />

Tubatse Municipality; and agreements<br />

are due to be signed at<br />

Kolokotela and Setlaboswana<br />

Irrigation Schemes.<br />

The provincial government<br />

sees the creation of infrastructure<br />

to support agriculture as<br />

part of its mandate. In the <strong>2020</strong><br />

State of the Province Address,<br />

Premier Chupu Mathabatha said<br />

that two important projects<br />

would be completed during<br />

<strong>2020</strong> (this was before the<br />

Covid-19 epidemic):<br />

• Matsika Pack House<br />

• Upgrading of Norjax Canning<br />

tomato paste processing facility.<br />

More than 1 000 small-scale<br />

farmers are being trained<br />

annually to improve their skills<br />

and to improve production.<br />

Various Farmer Production<br />

Support Units are due for<br />

completion in <strong>2020</strong> and 20<strong>21</strong>.<br />

These are situated at:<br />

• Masala in Mopani<br />

• Vleisboom in Sekhukhune<br />

•Tshiombo in Vhembe<br />

• Mapela in the Waterberg<br />

Wide variety<br />

The percentage contribution of<br />

<strong>Limpopo</strong> agriculture to national<br />

agriculture is 7.6% although its<br />

contribution to provincial GDP<br />

is just 2.3%. Agri-processing has<br />

enormous potential to expand<br />

in every subsector.<br />

<strong>Limpopo</strong>’s fruits and<br />

vegetables form an important<br />

part of South Africa’s export basket and more than 45% of the annual<br />

turnover of the Johannesburg Fresh Produce Market originates in the<br />

fertile province.<br />

Companies like ZZ2 are major contributors to the country’s<br />

annual production of 120 000 tons of avocados. Of the current crop,<br />

about half is currently produced in two <strong>Limpopo</strong> regions, Letaba and<br />

Tzaneen. Exports are rising exponentially. In response to this demand,<br />

and the potential of the Chinese market, almost 1 000ha per year of<br />

new land is being planted with avocados in South Africa.<br />

The same amount of new macadamia planting is underway every<br />

year, according to the Macadamias South Africa (SAMAC), adding to<br />

the existing 19 000ha.<br />

The other big sellers are mangoes and tomatoes. <strong>Limpopo</strong><br />

grows three-quarters of South Africa’s mangoes and two-thirds of<br />

its tomatoes. The Waterberg district<br />

produces large quantities of red meat,<br />

Capricorn has potatoes in abundance,<br />

Vhembe in the north specialises in citrus<br />

and subtropical fruits. Mopani has those<br />

fruits too – and the Mopani worm. The<br />

Sekhukhune region in the south-east<br />

produces grain and the marula fruit that<br />

goes into Amarula cream liqueur.<br />

Westfalia is another huge enterprise,<br />

part of the Hans Merensky Group, and<br />

it is the world’s largest avocado grower.<br />

It also produces significant quantities<br />

of mango, litchi, citrus and macadamia<br />

and has three agri-processing plants in<br />

the province. Greenway Farms supplies<br />

about 45% of the fresh-market carrots<br />

consumed in Southern Africa under the<br />

Rugani brand.<br />

The two most active agricultural<br />

companies in <strong>Limpopo</strong> are NTKLA (with<br />

its headquarters in Modimolle) and<br />

Online Resources<br />

Avocados harvested<br />

Afgri, South Africa’s biggest agricultural company, is headquartered<br />

in Centurion (Gauteng). NTKLA is a shareholder in Venda Roller Mills<br />

in Thohoyandou and operates 10 grain silos, 23 retail outlets, 28 flour<br />

depots and one cold-storage facility. ■<br />

Agro-Food Technology Station, <strong>Limpopo</strong> University: www.ul.ac.za<br />

Citrus Growers Association: www.cga.co.za<br />

Deciduous Fruit Producers Trust: www.dfpt.co.za<br />

<strong>Limpopo</strong> Dept of Agriculture & Rural Development: www.lda.gov.za<br />

Macadamias South Africa: www.samac.org.za<br />

South African Subtropical Growers’ Association: www.subtrop.net<br />

39 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>


Mining<br />

Industry analysts and miners are looking at new uses for PGMs.<br />

Image: Implats<br />

The mining sector in <strong>Limpopo</strong> lost nearly 20 000 jobs between<br />

the fourth quarter of 2018 and the fourth quarter of 2019. A<br />

key factor was the slump in the global price of platinum but a<br />

later surge in the price of other platinum group metals (PGM)<br />

such as palladium and rhodium offset this downturn.<br />

The fact that the mining industry was allowed to continue to<br />

operate through most of the lockdown that accompanied the<br />

Covid-19 outbreak helped to bring some stability back to the sector.<br />

In early <strong>2020</strong> rhodium rose to its highest price since 2008,<br />

$8 200/oz, and palladium achieved a new record high of nearly<br />

$2 150/oz. Some mining companies such as Ivanplats discovered<br />

that several of the other minerals that are present in their mines<br />

(gold, copper and nickel) were also surging in price, causing them to<br />

investigate the possibility of ramping up operations at a faster pace.<br />

Better prices led to companies such as Bushveld Minerals increasing<br />

production. Figures for the company’s Vametco vanadium mine in<br />

2019 were comparable to volumes previously reached two years earlier<br />

as they aimed to reach between 2 800 and 2 900 tons of vanadium for<br />

the year. With the largest primary vanadium resource base in the world,<br />

Bushveld’s long-term goal is to produce 8 400/mtpa. The company<br />

Sector Insight<br />

BASF is developing an<br />

auto catalyst that needs<br />

less palladium.<br />

runs its own processing and is<br />

busy with a feasibility study on a<br />

new mine at Mokopane.<br />

Investments covering the<br />

period to 2025 in the mining<br />

sector in <strong>Limpopo</strong> totalling<br />

more than R36-billion have been<br />

announced. All but one of the<br />

investments is in the Waterberg<br />

region. These include:<br />

• Modikwa mine (R1.6-billion),<br />

African Rainbow Minerals, PGM,<br />

Sekhukhune region.<br />

• Lejaja mine (R4.2-billion), Lejaja<br />

Coal (Resgen), coal.<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />



• Grootgeluk and Thabametsi<br />

mines (R5.1-billion), Exxaro, coal.<br />

• Lesego mine project (R5.4-<br />

billion), Lesego Platinum, PGM.<br />

• Platreef mine (R20-billion),<br />

Ivanplats, PGM.<br />

Other long-standing projects<br />

include<br />

• Venetia underground project<br />

(about $2-billion to 2023), De<br />

Beers Consolidated Mines, conversion<br />

of an open-pit operation<br />

to underground mining. The<br />

mine is the largest producer of<br />

diamonds in South Africa.<br />

• Booysendal South mine<br />

(R4.2-billion), Northam<br />

Platinum, PGM.<br />

The soils of <strong>Limpopo</strong> are rich<br />

in platinum group metals, coal,<br />

copper, diamonds, gold, iron ore,<br />

nickel, rare earth minerals and tin.<br />

<strong>Limpopo</strong> contributes 4% of coal<br />

mining in South Africa, according<br />

to the National Department of<br />

Mineral Resources and Energy,<br />

but it is likely that within the next<br />

three decades, the province will<br />

be supplying about half of South<br />

Africa’s coal. <strong>Limpopo</strong>’s Waterberg<br />

coal field is estimated to contain<br />

about 75-billion tons of coal.<br />

Exxaro’s two coal mines in<br />

the Waterberg represent threebillion<br />

tons of Measured Coal<br />

Resources and 1.8-billion tons<br />

of Indicated Coal Resources.<br />

This is where Exxaro operates its<br />

giant Grootegeluk mine. Nine<br />

plants serve a 4km-long and<br />

120m-deep opencast mine on<br />

a 1 200ha site. Originally intended<br />

to supply the nearby power<br />

plants, Exxaro is now eyeing the<br />

export market with countries<br />

such as Ethiopia, Egypt and<br />

Pakistan potential markets. By<br />

2023 Exxaro hopes to be producing 60-million tons of coal from its<br />

sites in <strong>Limpopo</strong> and Mpumalanga. Its current annual production is<br />

47-million tons.<br />

MC Mining has started selling hard coking and thermal coal from<br />

its Makhado coal project in the Soutpansberg coalfield. The mine is<br />

36km north of the town of Makhado and 80km south-east of the Vele<br />

Colliery. In 2019 the company signed an offtake agreement whereby<br />

Arcelor Mittal will buy between 350 000 and 450 000 tons of hard<br />

coking coal per annum.<br />

Mineral beneficiation is a key component of the newly accredited<br />

Musina-Makhado Special Economic Zone (SEZ) in the far north of<br />

<strong>Limpopo</strong> and coal is needed for the making of steel. In 2018 nine<br />

Chinese companies committed to investing more than $10-billion in<br />

projects related to the zone’s four main areas of activity: a coking plant,<br />

a power plant, an alloy factory and the manufacture of steel.<br />

The planned Tubatse Platinum SEZ will focus on mining, as its<br />

name implies. According to the <strong>Limpopo</strong> Economic Development<br />

Agency (LEDA), 17 new mines were established in the greater Tubatse/<br />

Burgersfort/Steelport area between 2001 and 2016, and a further 22<br />

new mines are planned.<br />

The focus at Tubatse will be on the beneficiation of platinum<br />

group metals, magnetite, vanadium and chrome. The other strong<br />

mineral focus in the eastern part of the province is at Phalaborwa<br />

where Palabora Copper, a subsidiary of Palabora Mining Company,<br />

produces about 45 000 tons of copper annually, most of which is sold<br />

domestically. It runs a smelter and a refinery and also mines magnetite,<br />

vermiculite sulphuric acid, and nickel sulphate.<br />

Projects and plans<br />

Important as the coalfields of the Waterberg are, the area is clearly<br />

not only about coal. A PGM project with enormous potential is also in<br />

preparation in the Waterberg, on the Northern Limb of the Bushveld<br />

Complex about 85km north of Mokopane.<br />

Image: Implats<br />

41 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>


Platinum Group Metals Ltd. is the operator of the Waterberg Project<br />

but the joint venture (JV) includes Impala Platinum Holdings (Implats),<br />

JOGMEC (Japan Oil, Gas and Metals National Corporation), Hanwa Co<br />

(a Japanese trading company) and Mnombo Wethu Consultants (the<br />

BEE partner). The shareholding agreement was amended somewhat<br />

in February <strong>2020</strong> when Implats agreed to fund 100% of a new<br />

implementation budget and work programme.<br />

Implats also has an interest in two big operations on the eastern<br />

limb of the Bushveld Igneous Complex. Marula (in which Implats<br />

is a 73% shareholder) is in <strong>Limpopo</strong> province, about 50km north of<br />

Burgersfort. South of the same town, in Mpumalanga, Implats (49%)<br />

is in a joint venture with African Rainbow Minerals (ARM) at the Two<br />

Rivers mine.<br />

south of Thabazimbi. By building<br />

a second furnace at the facility,<br />

Northam is making provision for<br />

reaching a goal of processing<br />

one-million ounces of PGMs.<br />

The cost of the expansion, which<br />

was partly born by Heraeus, is<br />

R900-million.<br />

Heraeus South Africa has<br />

offices in Gauteng and runs<br />

a precious metal chemical<br />

compounds production and<br />

refinery site in Port Elizabeth.<br />

Image: Anglo American<br />

The Waterberg reserves and resources of PGMs are 63% palladium.<br />

Mining Technology has previously reported that the developed mine<br />

could produce as much as 744 000oz platinum, palladium, rhodium<br />

and gold and 23Mlb of nickel and copper on an annual basis. This<br />

would make it one of the biggest PGM mines in the world.<br />

Impala Platinum has made a bid to add to its South African and<br />

Zimbabwean assets through the purchase of Canadian mining firm,<br />

North American Palladium. The bid for R11.4-billion would give Implats<br />

a pure palladium mine and increase its geographical footprint.<br />

The sale in late 2018 of Glencore’s stake in the Mototolo PGM<br />

mine and chrome plant marked the end of that company’s foray into<br />

platinum. The purchase of Glencore’s 39% stake takes Amplats share in<br />

the complex up to 89%, giving Amplats access to a further 130 000oz<br />

of platinum and improving the prospects of working on the adjacent<br />

Der Brochen. The deal was worth about R1.5-billion.<br />

Eland mine, after being put on care and maintenance, was sold<br />

in 2017 by Glencore to Northam for R175-million. In 2019 plans were<br />

being put in place to reopen the mine because of higher prices for<br />

rhodium. The company intends spending R300-million at Eland and<br />

R1.5-billion at Booysendal.<br />

Northam bought the Tumela block from Amplats and invested<br />

heavily in a smelter expansion project at its Zondereinde mine just<br />

The future of platinum<br />

Two of South Africa’s foremost<br />

platinum mining companies<br />

have joined forces to support<br />

BASF in the development of an<br />

automotive catalyst that uses<br />

less palladium. The research<br />

and development project is<br />

backed by Sibanye-Stillwater<br />

and Implats.<br />

The German chemical group<br />

has found a way to replace<br />

some of the palladium and the<br />

rhodium, both minerals that are<br />

in short supply globally, with<br />

platinum. Platinum is routinely<br />

used in diesel engine catalysts,<br />

but this latest adaptation<br />

will significantly increase its<br />

usefulness. The device is known<br />

as the tri-metal catalyst.<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />


Mothena Shirley Matlala,<br />

Mothena<br />

Diesel Mechanic,<br />

Shirley Matlala,<br />

Diesel Platreef Mechanic, Project<br />

Platreef Project<br />

On June 13, <strong>2020</strong>, Ivanhoe Mines’ South African subsidiary,<br />

Ivanplats, successfully completed the sinking of Shaft 1 to a final<br />

On June 13, <strong>2020</strong>, Ivanhoe Mines’ South African subsidiary,<br />

depth of 996 metres below surface, at the company’s palladium,<br />

Ivanplats, successfully completed the sinking of Shaft 1 to a final<br />

depth<br />

platinum,<br />

of 996<br />

nickel,<br />

metres<br />

copper,<br />

below surface,<br />

gold and<br />

at the<br />

rhodium<br />

company’s<br />

Platreef<br />

palladium,<br />

mining<br />

platinum,<br />

licence, near<br />

nickel,<br />

Mokopane.<br />

copper, gold and rhodium Platreef mining<br />

licence, near Mokopane.<br />

Ivanhoe is particularly pleased that the project remains ‘Fall-of-<br />

Ivanhoe<br />

Ground’<br />

is<br />

incident<br />

particularly<br />

free<br />

pleased<br />

since shaft-sinking<br />

that the project<br />

operations<br />

remains ‘Fall-ofbegan<br />

in<br />

Ground’<br />

July 2016,<br />

incident<br />

which<br />

free<br />

is a tribute<br />

since shaft-sinking<br />

to the excellent<br />

operations<br />

work by the<br />

began<br />

Platreef<br />

in<br />

July<br />

Project<br />

2016,<br />

team<br />

which<br />

and<br />

is<br />

its<br />

a tribute<br />

South African<br />

to the excellent<br />

sinking contractor,<br />

work by the<br />

Moolmans.<br />

Platreef<br />

Project team and its South African sinking contractor, Moolmans.<br />

The Platreef Project has long been recognized as one of<br />

The<br />

the<br />

Platreef<br />

world’s<br />

Project<br />

largest<br />

has<br />

deposits<br />

long<br />

of<br />

been<br />

high-grade<br />

recognized<br />

platinum-group<br />

as one of<br />

the<br />

metals,<br />

world’s<br />

(PGMs)<br />

largest<br />

nickel<br />

deposits<br />

and copper.<br />

of high-grade<br />

With the sinking<br />

platinum-group<br />

of Shaft 1<br />

metals, now complete, (PGMs) nickel Ivanplats and copper. is exploring With near-term the sinking development<br />

of Shaft 1<br />

now pathways complete, at Platreef. Ivanplats is exploring near-term development<br />

pathways at Platreef.<br />

We are confident that the project will, in time, become one of the<br />

We world’s are confident largest and that lowest-cost the project will, primary in time, producers become of one platinumgroup<br />

largest metals and provide lowest-cost long-lasting primary producers and meaningful of platinum-<br />

benefits<br />

of the<br />

world’s<br />

group to all metals of our and stakeholders, provide long-lasting including the and 20 meaningful local communities benefits −<br />

to comprising all of our approximately stakeholders, including 150,000 local the 20 Mokopane local communities area residents −<br />

comprising – that are our approximately equity partners. 150,000 local Mokopane area residents<br />

– that are our equity partners.<br />

Ivanhoe is not a conventional mining company. Our diverse team<br />

Ivanhoe is building is not something a conventional different mining and company. exciting. Our We are diverse committed team<br />

is to building discovering something and developing different and modern, exciting. leading-edge We are committed mines that<br />

to provide discovering secure, and socio-environmentally developing modern, leading-edge responsible access mines to that key<br />

provide raw materials secure, as socio-environmentally the world embraces an responsible electric future. access to key<br />

raw materials as the world embraces an electric future.<br />

<strong>Limpopo</strong> <strong>Business</strong> Journal - Platreef.indd 1<br />

<strong>Limpopo</strong> <strong>Business</strong> Journal - Platreef.indd 1<br />

<strong>2020</strong>-06-29 8:12:38 AM<br />

<strong>2020</strong>-06-29 8:12:38 AM


Bushveld Minerals, meanwhile,<br />

is exploring the potential<br />

of vanadium redox flow batteries<br />

(VRFB) where the focus is less<br />

on powering vehicles and<br />

more on creating stationary<br />

energy platforms. The group<br />

has companies in various<br />

minerals, including coal, iron<br />

and phosphate. The relevant<br />

companies in this instance are<br />

Bushveld Vanadium, which<br />

mines and processes vanadium,<br />

and Bushveld Energy, which is<br />

focussed on the manufacture<br />

of vanadium electrolyte and the<br />

future potential of VRFB.<br />

The fuel cell at the offices of<br />

Minerals Council South Africa.<br />

Finding new uses for<br />

platinum group metals (PGM)<br />

has been a focus of the industry<br />

for some time. The head office<br />

of the Minerals Council South<br />

Africa is powered by 40 ounces<br />

of platinum and natural gas,<br />

a concrete symbol of the<br />

industry’s interest in this issue.<br />

A fuel cell at the Johannesburg<br />

site of the national mine owners’<br />

association is South Africa and<br />

Africa’s first base load installation.<br />

The slow moves towards<br />

allowing South African mines<br />

to power their own operations is another spur for mining companies<br />

to explore power generation. The national energy plan, Integrated<br />

Resources Plan 2019, allocates 2 000MW for energy storage and this<br />

provides an opportunity for companies such as Bushveld Energy.<br />

South Africa produces the majority of the world’s platinum<br />

(4.4-million ounces compared to six-million ounces by the rest of the<br />

world). Only Russia (2.6-million ounces) produces more palladium than<br />

South Africa but in rhodium South Africa is also number one: out of the<br />

global supply of 746 000 ounces, South Africa’s share is 6<strong>21</strong> 000 ounces.<br />

The Mapungbuwe Institute for Strategic Reflection (MISTRA) hosts<br />

an annual PGM roundtable. Mining Weekly reported in December<br />

2019 that the institute’s latest report focuses on the potential for the<br />

creation of a PGM exchange in South Africa. In other presentations<br />

during the event, it was noted that while an exchange would not fix<br />

the price, it would help to reduce volatility.<br />

While there is broad agreement that the world needs to steer<br />

away from minerals that pollute the environment, the supply<br />

of minerals used in electric car manufacture (such as nickel<br />

and cobalt) is also finite. Speaking at the 2019 Investing in<br />

African Mining Indaba, Ford’s head of Energy Storage Strategy<br />

and Research, Ted J Miller, said that the motor industry was<br />

“uncomfortable driving these commodities”. He noted that<br />

Ford has already reduced cobalt production by two-thirds, but<br />

the challenge is scale.<br />

In 2012 Anglo Platinum launched an underground<br />

locomotive powered by a fuel cell. Platinum coating greatly<br />

enhances the hydrogen absorption capacity of fuel cells. In<br />

2016 Impala Platinum Refinery unveiled a fuel cell forklift and<br />

a hydrogen refuelling station in Springs. The editor of Mining<br />

Weekly, Martin Creamer, has published a series of articles and<br />

editorials extolling the virtues of what he calls the “best of two<br />

new carbon-reducing technology worlds”.<br />

Creamer notes that South Africa’s abundant supplies of PGMs<br />

and manganese ore can make the country a leader in battery electric<br />

vehicles (BEV) and fuel cell electric vehicles (FCEV). He further points<br />

to the work being done by Hydrogen South Africa (HySA) at three<br />

universities and the Council for Scientific and Industrial Research (CSIR).<br />

South Africa’s good supplies of sunshine and wind make it ideally<br />

suited to generate hydrogen and if the country could capture 25% of<br />

the world market, it would be worth $600-million (Mining Weekly). ■<br />

Online Resources<br />

Mapungubwe Institute for Strategic Reflection: www.mistra.org.za<br />

Minerals Council South Africa: www.mineralscouncil.org.za<br />

Mining Qualifications Authority: www.mqa.org.za<br />

Department of Mineral Resources and Energy: www.dmr.gov.za<br />

Geological Society of South Africa: www.gssa.org.za<br />

South African Institute of Mining and Metallurgy: www.saimm.co.za<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />


Focussed support<br />

for communities<br />


Venetia Mine General Manager Gerrie Nortje explains how a Community Response<br />

Plan is coordinating efforts in water provision, food security, health and safety in<br />

labour-sending areas.<br />

Venetia Mine General<br />

Manager, Gerrie Nortje<br />


Gerrie Nortje began his career<br />

with Anglo American in 1997<br />

as a bursar studying Mining<br />

Engineering. On completion of<br />

his degree, he worked at various<br />

Anglo American Thermal Coal<br />

operations before becoming<br />

Operations Manager at Xstrata.<br />

He rejoined Anglo American as<br />

Principal Mining Engineer and<br />

transitioned into a Lead Open<br />

Pit Mining role in 2014 as a<br />

member of the Technical and<br />

Sustainability team. At head<br />

office he was involved with a<br />

variety of projects across the<br />

group’s business units.<br />

What is the Community Response Plan?<br />

As a responsible corporate citizen and a long-term committed<br />

partner in the communities where we operate, we, as Venetia Mine,<br />

are actively and urgently supporting the efforts of the communities<br />

in our labour-sending areas during the Covid 19 pandemic.<br />

The Community Response Plan (CRP) helps us focus our efforts<br />

in addressing the most urgent needs first, while ensuring that where<br />

possible, projects benefit the communities over the longer term.<br />

Some of the support we have provided includes:<br />

• Provision of food: donation of food parcels to indigent households,<br />

hospitals, homeless shelters and GBV centres.<br />

• Water: the provision of water tanks, repair and maintenance of water<br />

infrastructure and the upgrading of infrastructure to sustain the<br />

supply of water to communities.<br />

• Hospital and clinic support: providing much-needed personal<br />

protective equipment (PPE) to hospitals and clinics, and providing<br />

hospitals with medical equipment including two ventilators.<br />

• Gender Based Violence: providing victim empowerment centres<br />

with hygiene packs for victims, communication material and posters<br />

and upgrading some of the facilities<br />

• SMEs: remote support to small businesses in dealing with the impact<br />

of the lockdown on their businesses and supporting them to apply<br />

for government-funded support programmes.<br />

• Testing facilities: making sure that our facilities are all available.<br />

The CRP is a living plan that changes as we navigate through the<br />

pandemic. Some of our contracting partners (Total and Sandvik) have<br />

agreed to support a small farmer rural development programme<br />

aimed at capacitating 500 small farmers in our host communities.<br />

What has been the impact on the number of people who work<br />

at the mine at any one time?<br />

We started developing and implementing measures to protect our<br />

employees and contractors since the pandemic became a public<br />

concern and we continue to enhance and improve these controls.<br />

Key to these measures is the education of our workforce on how the<br />

virus spreads and equipping them with the right information to continuously<br />

do the right things to protect themselves and others. A number<br />

of things had to be considered as we started to ramp up production:<br />

45 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>


• Employees that could work from home were<br />

allowed to and our processes were aligned.<br />

• Additional controls and measures were introduced<br />

on the mine including social distancing measures<br />

on busses, thermal scanning and continuous<br />

sanitising of the workplace.<br />

• A phased and controlled recall process was<br />

introduced to bring back employees over a period<br />

At Venetia Mine, we have put extensive safety,<br />

health and hygiene measures in place to combat<br />

the spread of the virus in the workplace and our<br />

communities. These measures are not limited to<br />

and include:<br />

• A comprehensive risk assessment to identify areas<br />

of potential exposure, including implementing<br />

the required policies, procedures and controls.<br />

Venetia Mine General Manager Gerrie Nortje with<br />

De Beers Group Managed Operations Managing<br />

Director Mpumi Zikalala and <strong>Limpopo</strong> Health<br />

MEC Dr Phophi Ramathuba at the Venetia Mine<br />

Testing Laboratory.<br />

of four to six months.<br />

• A new process was introduced with a telephonic<br />

Covid-19 screening assessment before employees<br />

were recalled.<br />

• Shift arrangements and working schedules were<br />

adjusted to ensure we maintain social distancing<br />

requirements.<br />

All these measures allowed us to recall more<br />

than 70% of our workforce. We are continuing to<br />

ramp up and have adjusted our measures.<br />

What are some of the specific steps to ensure<br />

the safety of staff?<br />

Our employees are at the heart of our business and<br />

we have taken decisive, wide-ranging measures<br />

that are stringently applied to protect both the<br />

health and well-being of them and their families.<br />

• All our employees undergo a mandatory Covid-19<br />

medical screening and induction session prior to<br />

returning to work.<br />

• Our Occupational Medical Practitioners assess and<br />

approve all employees returning to work.<br />

• All our employees have been issued with personal<br />

thermometers for them to monitor their<br />

own body temperatures as part of a daily selfassessment<br />

process.<br />

• The installation of Thermal Scanners at the<br />

entrance of the mine and on our buses to ensure<br />

that 100% of the employees’ body temperatures<br />

are assessed.<br />

• We are continuously educating, training and<br />

ensuring compliance to social distancing on site<br />

and on our vehicles.<br />

• Continuous sanitisation of biometric readers,<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />


handrails, workplaces and transport vehicles,<br />

including the installation of UV lights to disinfect<br />

areas within the mine.<br />

• All our employees have been provided with<br />

appropriate PPE and cloth masks.<br />

• Regular Visible Felt Leadership to focus on<br />

Covid-19 in addition to Safety, Health and<br />

Environmental performance.<br />

• A 24-hour call centre (on a toll-free number) for<br />

employees to call if they are displaying any<br />

Covid-19 symptoms or require any other relevant<br />

information.<br />

• Introduction of the WeCare programme for<br />

employees, their direct dependants and a<br />

community support programme through the<br />

<strong>Limpopo</strong> Department of Health.<br />

• Established and manage quarantine and isolation<br />

facilities in the town of Musina.<br />

Have you been able to get enough masks and<br />

other protective gear?<br />

Key to the CRP is supporting our host communities<br />

and suppliers. We are very proud that through our<br />

enterprise and supplier development programmes,<br />

we have been able to support a number of<br />

businesses. All our masks are manufactured locally<br />

by Dithebele Clothing, a company<br />

based in Bochum, a community<br />

in the Blouberg Municipality. The<br />

company is one of many that<br />

has enjoyed good local sales and<br />

is successfully acquiring clients<br />

since it started participating<br />

in our Enterprise and Supplier<br />

Development programmes.<br />

In addition, we have identified<br />

and approached a few other local<br />

suppliers manufacturing goodquality<br />

masks to supply to some<br />

of the schools we are supporting<br />

through our CRP.<br />

Since the start of the pandemic we have been<br />

engaging with the local hospitals and the<br />

Department of Health on a regular basis to<br />

understand their challenges during this difficult<br />

period and to understand how best we can<br />

support them and thank them for the work they<br />

are doing for all of us.<br />

We have donated medical supplies and<br />

equipment to hospitals and clinics in collaboration<br />

with the Department of Health. In addition, the<br />

<strong>Limpopo</strong> MEC of Health, Dr Phophi Ramathuba,<br />

recently unveiled the Venetia Mine PCR Covid-19<br />

Testing Laboratory in Musina. This laboratory will be<br />

utilised to test the mine’s employees, contractors<br />

and all the associated contacts.<br />

We are also in discussions with the Department<br />

of Health to make the laboratory available for the<br />

testing of community members through the local<br />

hospitals. The laboratory will play a vital role in<br />

the diagnostic testing process of Covid-19 and is<br />

expected to analyse at least 80 tests per day with a<br />

24-hour turnout time for results.<br />

In addition to this, we have established<br />

quarantine and isolation facilities for positive<br />

cases and contacts and are providing them with<br />

continuous healthcare support.<br />

Is the mine providing support<br />

in terms of clinics and local<br />

hospitals?<br />

Venetia Mine recognises the<br />

significant role of the hospitals<br />

and clinics in our communities.<br />

Villagers in Simpson Village, Blouberg, with a water tank provided by the<br />

De Beers water project.<br />

47 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>

FOCUS<br />

Weathering the Covid-19 pandemic<br />

Medical preparedness and safety are priorities at the Marula Platinum mine.<br />

As a member of the Implats Group, Marula supports the lockdown<br />

measures taken by national government to reduce<br />

the spread of the coronavirus and to mitigate the severe impact<br />

on the lives and livelihoods of employees, host communities<br />

and suppliers. Internal planning within the Group has focused<br />

on securing operational resilience during the pandemic based on the<br />

view that the virus will be a feature for some time and operating in a<br />

“business as usual” environment will not be possible in the near term.<br />

In addition, Implats has implemented and enforced several<br />

measures to provide protection to employees, rolling out a number<br />

of programmes across the group. Risk-based operating procedures<br />

were introduced specifically aimed at reducing the risk<br />

of viral infections in high-risk work areas and to vulnerable employee<br />

categories. These steps include improved hygiene, restrictions on<br />

the amount of work performed, social distancing while performing<br />

work and while travelling to and from work, the provision<br />

of additional personal protective equipment (PPE) and the<br />

implementation of screening and testing procedures.<br />

Stock levels of medical protective equipment and PPE were<br />

increased and regular large-scale disinfection of workplaces<br />

continues to be performed. A<br />

meaningful increase in medical<br />

care preparedness was also<br />

undertaken through increasing<br />

the capacity of internal medical<br />

facilities and through the<br />

coordinated collaboration with<br />

industry peers, public/private<br />

partnerships and both local and<br />

regional medical institutions.<br />

All employees are currently<br />

screened using questionnaires,<br />

thermo-scanning of<br />

skin temperature, and if necessary,<br />

core temperature screening,<br />

before entering their<br />

work areas. Employees with<br />

abnormal temperatures are<br />

isolated at dedicated areas<br />

and then transported to<br />

designated medical facilities<br />

for diagnosis and, if necessary,<br />

testing, quarantine and/or<br />

hospitalisation.<br />

Mogale Mashilane, Executive<br />

Marula Operations, notes, “As the<br />

pandemic progresses, we expect<br />

to face increasing challenges<br />

to our medical preparedness<br />

and operational resilience. The<br />

benefit of experience gained<br />

by our team over the past<br />

few months will prove vital to<br />

successfully navigating the nearterm<br />

operating environment and<br />

mitigating the impact on our<br />

employees and communities.” ■<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />



through our commitment to health<br />

Medical Preparedness<br />

High level of medical preparedness<br />

across all operations including screening<br />

and testing, isolation/quarantine facilities<br />

and equipment<br />

Education<br />

Intense effort to educate and<br />

prepare stakeholders for the<br />

Covid-19 pandemic<br />

Procedures<br />

Risk-based operating<br />

procedures to reduce<br />

infections in high-risk areas<br />

Marula is committed to the health, safety and<br />

wellbeing of all our employees and continually<br />

strives for zero harm in the workplace.<br />

49 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />

CooleAd 18533


Construction and property<br />

LEDA runs training for artisans in the building sector.<br />

Sector Insight<br />

More than 10 000 housing<br />

units have been pledged<br />

by provincial government.<br />

Military veterans housing. Image: Housing Development Agency<br />

The Provincial Government of <strong>Limpopo</strong> has built more than<br />

320 000 houses since 1994. A budget of R3.9-billion has been<br />

assigned by National Treasury for the <strong>Limpopo</strong> Academic<br />

Hospital. Clinics are also being built, providing more work<br />

opportunities in the construction sector. A start has been made on a<br />

provincial theatre, with R15-million allocated to planning.<br />

A commitment has been made to build 10 456 housing units by<br />

the end of the <strong>2020</strong>/<strong>21</strong> financial year, a figure that includes a rollover<br />

of nearly 4 000 from the previous year. This represents a further<br />

opportunity for contractors in the construction sector.<br />

The Enterprise Development and Finance Division of the <strong>Limpopo</strong><br />

Economic Development Agency (LEDA) offers loans to businesses in<br />

the construction and property sector and runs specialised training in<br />

vocational skills such as bricklaying, plastering, carpentry, plumbing,<br />

electrical and welding.<br />

The Risima Housing and Finance Corporation, another division<br />

of LEDA, is helping citizens of the province to become homeowners.<br />

Since 2014, Risima has assisted 1 037 beneficiaries with loans of up to<br />

R1.5-million. The gap market – people who earn too much to qualify<br />

for social (RDP) housing but don’t earn enough to be granted bonds<br />

– is a hot topic. Opportunities exist, but the risk profile is different. A<br />

new association caters for this subsector, the South African Affordable<br />

Residential Developers Association (SAARDA).<br />

Online Resources<br />

Black <strong>Business</strong> Council in Built Environment: www.bbcbe.org<br />

Construction Industry Development Board: www.cidb.org.za<br />

South African Affordable Residential Developers Association:<br />

www.saarda.co.za<br />

South African Property Owners Association: www.sapoa.org.za<br />

Risima has introduced<br />

the Finance Linked Individual<br />

Subsidy Programme, for those<br />

earning between R3 501 and<br />

R15 000 per month. Risima and<br />

the Department of Cooperative<br />

Governance, Human Settlement<br />

and Traditional Affairs<br />

(COGHSTA) distribute grants to<br />

cover a deposit or to make up<br />

the shortfall between an asking<br />

price and what the applicant<br />

can afford.<br />

A non-mortgaged financial<br />

product assists government<br />

employees to get a foot on<br />

the property ladder. Risima<br />

is also exploring cooperation<br />

with mining houses such as<br />

Exxaro, Amplats and Northam at<br />

Thabazimbi.<br />

Thavhani Mall is operating<br />

in Thohoyandou in a bigger<br />

development called Thavhani<br />

City. The 27ha site will eventually<br />

include an office park,<br />

automotive-related businesses,<br />

private healthcare, a library, an<br />

information centre and a sports<br />

stadium. Its anchor retail tenants<br />

include Woolworths, Edgars, Pick<br />

n Pay and SuperSpar.<br />

The partners in the R1-billion<br />

project are Thavhani Property<br />

Investments, Vukile Property<br />

Fund and Flanagan & Gerard<br />

Property Development. ■<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />


Energy<br />

The Musina-Makhado Special Economic Zone (SEZ) will use<br />

and create large volumes of energy.<br />


An Energy and Metallurgical Cluster is an important component<br />

of the Special Economic Zone (SEZ) under construction<br />

at Musina-Makhado in the far north of the province. A South<br />

African company has announced that it will manufacture<br />

new energy solar system products, energy storage systems and<br />

high-density polyethylene water pipes at the SEZ.<br />

The two local municipalities have been allocated R147-million<br />

by provincial government for infrastructure upgrades, including<br />

electricity. The National Department of Energy’s Renewable Energy<br />

Independent Power Producer Procurement Programme (REIPPPP) has<br />

been successful so far. The three photovoltaic solar projects located in<br />

<strong>Limpopo</strong> have a combined investment value of R3.6-billion.<br />

A new public-private planning exercise, known as Impact Catalyst,<br />

is working on focus areas which include biofuels and intends to<br />

prepare the province to deal with the emergence of new sectors such<br />

as renewable energy. The provincial government’s Green<br />

Economy Plan has identified solar and biomass as the main<br />

kinds of renewable energy for <strong>Limpopo</strong>. With huge silicon<br />

reserves in the province, there is also potential to produce<br />

solar panels and solar chargers for cellphones.<br />

Nine biogas digesters have been installed in the<br />

Vhembe District to be controlled by young entrepreneurs<br />

trained by the University of Venda. A group of 31 students<br />

is studying Energy Management Systems as part of the<br />

provincial plan.<br />

The Mogalakwena Mine run by Anglo American<br />

Platinum (Amplats) is a large energy user. The mine’s<br />

concentrator relies on constant and reliable electricity<br />

supply. With energy comprising a significant portion<br />

of costs and national utility Eskom experiencing<br />

difficulties in terms of its debt and its ability to supply reliable<br />

power, the mining company is investigating the installation of a<br />

large solar PV project. In early 2019 the project was at the “request<br />

for interest” stage. Anglo Platinum has pioneered an underground<br />

mining locomotive powered by a fuel cell. Platinum coating<br />

greatly enhances the hydrogen absorption capacity of fuel cells.<br />

Online Resources<br />

National Department of Minerals and Energy: www.energy.gov.za<br />

South African Photovoltaic Industry Association: www.sapvia.co.za<br />

Southern African Biofuels Association: www.saba.za.org<br />

Sector Insight<br />

New planning blueprint<br />

includes biofuels.<br />

Mining group Exxaro is sponsoring<br />

the roll-out of alternative<br />

energy near its remote Tshikondeni<br />

mine east of Musina.<br />

Implats is already using<br />

natural gas to supply its refinery<br />

in Springs. Phase one of the<br />

project will see 20 Doosan<br />

fuel cells generating 8MW of<br />

Rural digester. Image: BiogasSA<br />

power. The long-term goal is to<br />

generate 22-30MW.<br />

The huge Eskom project<br />

at Medupi power station is<br />

over budget and behind in<br />

implementation. Three of the<br />

plant’s six units are operating<br />

(although there have been many<br />

problems). When the plant is<br />

completed, the Lephalale area<br />

will become a petrochemical<br />

hub and energy complex. ■<br />

51 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>


Water<br />

Macadamia shells are filtering water for rural communities.<br />

Sector Insight<br />

Several large water schemes<br />

are close to completion.<br />

Mobile solar-powered water filtration system . Image: Kusini Water<br />

A<strong>Limpopo</strong> entrepreneur has found a way to safely filter water<br />

using macadamia shells. The brainchild of Murendeni Mafumo,<br />

the idea was first put into action in 2018 and has been<br />

used in schools and rural communities by Kusini Water.<br />

Powered by solar power, the purification system uses a carbon<br />

filter that is made from macadamia nut shells. With support from the<br />

National Research Foundation and six reputable partners, including the<br />

Innovation Hub and the Shuttleworth Foundation, the system seems<br />

destined for widespread use.<br />

The National Department of Science and Technology is piloting a<br />

Point-of-Use (POU) project in Malatane village in the Capricorn District.<br />

The project is part of the department’s Innovation Partnership for<br />

Rural Development Programme (IPRDP), which is supported by the<br />

European Union. <strong>Limpopo</strong> has markedly different rainfall patterns<br />

in its three main geographical regions: the escarpment (sub-humid<br />

with annual rainfall of more than 700mm); semi-arid middle veld and<br />

Highveld; and the arid and semi-arid Lowveld.<br />

The province’s rivers are under threat from the damaging effects of<br />

the mining industry, power stations, chemicals used in agriculture and<br />

from sewage treatment in catchment areas. Opportunities exist in this<br />

sector for innovative solutions. Concern about drought conditions and<br />

water quality under pressure from mines and industry has led to the<br />

calling of a Provincial Water and Sanitation Summit.<br />

Online Resources<br />

Innovation Hub: www.theinnovationhub.com<br />

National Department of Science and Technology: www.dst.gov.za<br />

National Department of Water and Sanitation: www.dwa.gov.za<br />

National Research Foundation: www.nrf.ac.za<br />

The Water and Sanitation<br />

Services branch of the Polokwane<br />

Municipality operates five waterpurification<br />

plants and three<br />

sewage-purification plants. As<br />

part of its Regional Water<br />

Scheme programme, Polokwane<br />

provides water to the residents<br />

of the rural areas of Mothapo,<br />

Mothiba and Makotopong.<br />

The Capricorn District<br />

Municipality funds a watertesting<br />

laboratory on the campus<br />

of the University of <strong>Limpopo</strong>.<br />

Providing water to the<br />

citizens of <strong>Limpopo</strong> has been a<br />

fraught process for many years.<br />

Schemes have come and gone<br />

and many local councils have<br />

not been up to the task. So it was<br />

significant that Premier Chupu<br />

Mathabatha announced the<br />

following markers of progress in<br />

his State of the Province Address<br />

in February <strong>2020</strong>: Polokwane Bulk<br />

Water Scheme 100% complete;<br />

Polokwane Regional Wastewater<br />

Treatment Works 74%; Mametja-<br />

Sekororo Bulk Water Supply 97%;<br />

Nebo Bulk Water Supply 90%;<br />

Moutse Water Treatment Works<br />

90%; Malekana Water Treatment<br />

Works 90%.<br />

The completion of the De<br />

Hoop Dam has provided goodquality<br />

water for the first time<br />

to many communities in the<br />

eastern part of <strong>Limpopo</strong>. ■<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />


Venetia Mine eases water<br />

shortage in Simson Village<br />

Pumps, pipes, valves and reservoirs are boosting services.<br />

FOCUS<br />

Amid the Covid-19 pandemic, good has<br />

come for the community of Simson Village,<br />

which had previously struggled<br />

with access to clean water. As an emergency<br />

interim measure, Venetia Mine has installed<br />

a 10 000-litre water tank with four additional taps<br />

and then cleaned, repaired and recommissioned<br />

the existing 100 000-litre reservoir, restoring access<br />

to sustainable water supply for the community.<br />

The initiative was in response to a plea from<br />

the community as the damaged communal<br />

reservoir full of debris had resulted in clogging<br />

the water supply. Residents were also left with no<br />

option but to retrieve and siphon water from the<br />

top of the reservoir.<br />

Ward 17 councillor in the Blouberg Local<br />

Municipality, Dan Mojodo welcomed the<br />

intervention and expressed great delight at finally<br />

having access to a clean supply of water. “As a<br />

community, we are very relieved and grateful<br />

to Venetia Mine for stepping in to assist our<br />

community in this very needy period and making<br />

a difference in our lives. We appeal to the mine<br />

to extend this great work to other vulnerable<br />

communities in the Blouberg region in need of<br />

support during this crucial period of the lockdown.”<br />

Other water projects currently underway in<br />

Blouberg include the following:<br />

The Taaibosch Groet Water Project<br />

The Taaibosch community is one of many villages in<br />

the Blouberg Municipal District that have massive<br />

shortages of water. Venetia Mine has, as a result,<br />

extended the current bulk water line to supply<br />

water to the Taaibosch Clinic, Sebeelwa crèche,<br />

the Taaibosch Community Hall and Taaibosch<br />

Disability Centre. An estimated 1.7km pipeline<br />

has been installed to ensure a sustainable supply<br />

of water to these surrounding facilities.<br />

The Kromhoek Village Water Project<br />

The current infrastructure in the Kromhoek Village<br />

is not sustainable to provide water to the community;<br />

the current infrastructure is aged and worn out,<br />

resulting in leakages and communities not being<br />

able to access water. As a result, Venetia Mine has<br />

repaired and restored one borehole, and has equipped<br />

the other borehole with new infrastructure<br />

to restore sustainable access and supply of water.<br />

The Donker Hoek, Ga-Raditshaba Village<br />

Water Project<br />

The Donker Hoek community has a water source<br />

but only 30% of the village has running water within<br />

a radius of 200m from their home. The other 70% of<br />

the community must fetch water from a communal<br />

water standpipe – about 6km away from their<br />

homes. As an intervention, Venetia Mine upgraded<br />

the current borehole and installed an additional<br />

90 000-litre reservoir. The mine has also extended<br />

the current water reticulation (pipeline) to bring<br />

water closer to communities – within a 200m radius<br />

of their homes. ■<br />

53 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>


Tourism<br />

International golf puts <strong>Limpopo</strong> on television screens.<br />

When golf’s Sunshine Tour descended on Modimolle<br />

in February, there was much more on offer than<br />

R3.5-million in prize money for the <strong>Limpopo</strong> Championship.<br />

Participants and followers were treated to<br />

evenings of comedy and jazz and could buy a wide range of goods<br />

from stalls set up at the Euphoria Golf and Lifestyle Estate; everything<br />

from beads and books to locally-made gin. The fact that this tournament<br />

is co-sanctioned by the European Challenge Tour increases<br />

the potential for marketing to a large audience and will raise awareness<br />

about the province as a golf destination.<br />

Armed Forces Day was held in and around Polokwane in<br />

February <strong>2020</strong>. Events included displays of military equipment, a<br />

career village for prospective recruits, arena events, a fun run and a<br />

flypast. Accommodation was at a premium in the provincial capital<br />

and the event proved a boost to local tourism. Armed Forces Day is<br />

held annually in commemoration of the sinking of the SS Mendi on<br />

<strong>21</strong> February 1917, one of the worst tragedies of the First World War<br />

(1914-1918) from a South African perspective.<br />

Tourism is a key sector in the economy of <strong>Limpopo</strong>, and as such<br />

is part of a new planning initiative called Impact Catalyst. In addition<br />

to a broad examination of the sector, specific thematic areas of<br />

focus include the game-farming sector, an important and lucrative<br />

subsector of tourism. Wildlife farming and hunting generates<br />

enormous amounts of money but South Africans who were<br />

previously excluded by law still have limited access to this sector.<br />

According to calculations done by a Professor in Tourism at the<br />

University of the North West, Peet van der Merwe, trophy and biltong<br />

hunters contributed a combined R13.6-billion to the South African<br />

economy in the 2016/17 season. The number of direct jobs created<br />

<strong>2020</strong> <strong>Limpopo</strong> Championship. Pic: Shaun Roy/Sunshine Tour<br />

Sector Insight<br />

Armed Forces Day was held<br />

in <strong>Limpopo</strong> in <strong>2020</strong>.<br />

in this period in <strong>Limpopo</strong> was<br />

17 806 (The Conversation).<br />

In 2018, the formal wildlife<br />

auction turnover for the whole<br />

of South Africa was R750-<br />

million, as reported by Yolande<br />

Groenewald in the Mail &<br />

Guardian. A buffalo bull was<br />

sold in 2016 for R178-million.<br />

The <strong>Limpopo</strong> Department of<br />

Economic Development and<br />

Tourism (LEDET) aims to create<br />

wider opportunities within<br />

these sectors via its Wildlife<br />

Transformation Policy.<br />

A total of 3.3-million people<br />

visited <strong>Limpopo</strong> in 2018, which<br />

number included an increased<br />

number of international tourists<br />

(2.2-million). In terms of<br />

domestic travel, <strong>Limpopo</strong> is the<br />

most-visited province in South<br />

Africa. According to the Premier’s<br />

office, the tourism sector<br />

employs about 22 414 people.<br />

The <strong>Limpopo</strong> Tourism<br />

Agency (LTA) has six focus areas:<br />

· Golf and game.<br />

· Hunting and safari.<br />

· Family and recreation.<br />

· Special interest.<br />

· Mega-conservation.<br />

· Meetings, Incentives, Conference<br />

and Events (MICE).<br />

A new event on <strong>Limpopo</strong>’s<br />

calendar caused great<br />

excitement in 2018 with the first<br />

riding of the Tour de <strong>Limpopo</strong>,<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />



a four-day UCI Africa Tour 2.2<br />

stage race which started and<br />

finished in Polokwane, with a<br />

stopover in Tzaneen. A range<br />

of sponsors enthusiastically<br />

endorsed the race, promoted<br />

by the LTA. Hotel@Tzaneen and<br />

Europcar South Africa were<br />

sponsors and race officials were<br />

provided with cars by Audi<br />

Centre Polokwane. Another<br />

kind of cycle race is the regular<br />

Kremetart Cycle Race, a popular<br />

family event that draws huge<br />

numbers of entries.<br />

Regular events are holding<br />

their own as well: the annual<br />

<strong>Limpopo</strong> Marula Festival in<br />

Phalaborwa attracts more<br />

than 20 000 participants and is<br />

estimated to inject upwards of<br />

R45-million into the provincial<br />

economy. Several neighbouring<br />

countries are well represented<br />

in the crowds and 13 cooperatives<br />

operating under<br />

the Mukumbi Industries brand<br />

normally brew about 12 000<br />

litres of marula beverages for<br />

the thirsty crowds. Other marula<br />

products are also sold such as<br />

nuts, body lotions, jam, cooking<br />

oil and soap.<br />

The Mapungubwe Festival<br />

is growing in stature every year.<br />

In addition to popular<br />

musical performances,<br />

crafters have an opportunity<br />

to display their crafts and<br />

generate good income<br />

during the festivities.<br />

Hotels and casinos<br />

The 160-room Park Inn by<br />

Radisson Polokwane has<br />

opened in the provincial capital.<br />

Located near the golf course<br />

Game drive, Kruger National Park. Image: SA Tourism<br />

and the Peter Mokaba Stadium, the hotel also has conference and<br />

event facilities. Tsogo Sun runs the Garden Court Polokwane, which<br />

has 180 rooms ranging from executive suites to family rooms.<br />

The Protea Hotel group has two hotels in the province.<br />

The Protea Hotel Landmark in Polokwane has 80 rooms and<br />

six conference venues. Just outside the city is the Protea Hotel<br />

Polokwane Ranch Resort where guests can walk with lions.<br />

The hotel is on a 1 000-hectare nature conservancy and specialises<br />

in weddings.<br />

In Mokopane near the Waterberg mountains, the family-run The<br />

Park Hotel Mokopane has 125 rooms and can cater for up to 400<br />

conference delegates. The three-star hotel recently added 25 selfcatering<br />

units.<br />

The Fusion Boutique Hotel in the provincial capital offers fivestar<br />

quality in 30 en-suite rooms and two exclusive suites.<br />

Sun International runs the Meropa Casino and Entertainment<br />

World near Polokwane. The Khoroni Hotel, Casino and Convention<br />

Resort is in Thohoyandou. A three-star Peermont Metcourt Hotel is<br />

in the same complex.<br />

The newest casino licence was awarded to Peermont Global<br />

Resorts for the official launch and operation of the Thaba Moshate<br />

Casino, Hotel and Conference Centre in the Greater Tubatse Local<br />

Munici-pality. There are 237 limited pay-out gambling machines<br />

in the province, and licences of one sort or another generate more<br />

than R50-million for the provincial government. ■<br />

Online Resources<br />

Confederation of Hunting Associations of South Africa:<br />

www.chasa.co.za<br />

<strong>Limpopo</strong> Tourism Authority: www.golimpopo.com<br />

Marula Festival: www.limpopomarulafest.co.za<br />

South African National Parks: www.sanparks.org<br />

55 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>


Banking and financial services<br />

Agricultural financing is in the spotlight.<br />

Mechanised harvesting equipment. Image: VKB<br />

The Provincial Government of <strong>Limpopo</strong> is in the process of<br />

re-examining the agricultural sector to better use the value<br />

chain and to expand agriprocessing in the province. One of<br />

the aspects under discussion is the model used in financing<br />

the sector and how partnerships are created. Related topics include<br />

land availability and access.<br />

The two most active agricultural companies in <strong>Limpopo</strong> are both<br />

registered financial service providers. NTK, a subsidiary of the Free<br />

State-based VKB, has access to lending for farmers and insurance<br />

products. Afgri offers the same services under the brand Unigro, and<br />

it has another service called Gro Capital Financial Services which<br />

offers more sophisticated products such as trade finance.<br />

South Africa’s four big retail banks (Nedbank, Absa, Standard Bank<br />

and First National Bank) have a solid presence in the major towns<br />

in the province. Agriculture is an important focus area for banks<br />

and so they have established specialised units such as Nedbank<br />

Agribusiness. Focus areas for this unit are agronomy (grain, oil seeds,<br />

sugar and cotton), livestock (including game farming), horticulture<br />

(fruit and vegetables, for example), and secondary agriculture which<br />

covers agricultural processing and storage.<br />

The biggest news in South African banking is the issuing of new<br />

licences, giving customers more choice. Most of these banks are<br />

making banking more accessible and the previously unbanked sector<br />

of society should now be in a better position to use banking services.<br />

In 2017 Tyme Digital received a licence to run a bank. By early<br />

2019, TymeBank was available in 500 Pick n Pay and Boxer stores and<br />

Sector Insight<br />

African Bank is offering new<br />

and flexible products.<br />

more than 50 000 customers<br />

around South Africa had an<br />

account. Tyme stands for<br />

Take Your Money Everywhere<br />

and refers to the fact that the<br />

bank does not have a branch<br />

network. The bank is targeting<br />

the lower-income segment and<br />

promises speedy transaction<br />

and approval times.<br />

Second to market among<br />

the country’s new banks was<br />

Discovery Bank, which officially<br />

launched in March 2019.<br />

Discovery Bank applies the<br />

behavioural model it uses in its<br />

health business to reward good<br />

financial behaviour.<br />

The revitalised African<br />

Bank, which was put under<br />

curatorship in 2014 by the<br />

Reserve Bank, is making a play<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />



for new customers with an<br />

interesting offering that does<br />

not rely so much on digital<br />

wizardry as on presenting<br />

the customer with enhanced<br />

banking facilities.<br />

African Bank has created<br />

an account that allows up to<br />

five additional accounts to be<br />

created in the name of the main<br />

account. Fees are only charged<br />

for drawing cash or at the time<br />

of a transaction. There are no<br />

monthly fees for any of the<br />

accounts which can be either<br />

for saving or transactional. Each<br />

user has his or her own card and<br />

monies can be moved between<br />

accounts, ideal for families.<br />

Sanlam has entered two<br />

partnerships in the insurance<br />

market. African Rainbow Life<br />

has launched life-cover policies<br />

in the low- and middle-income<br />

market, in association with<br />

Sanlam and African Rainbow<br />

Capital. Sanlam is also in a<br />

venture with Capitec. In 2019,<br />

Financial Mail quoted Capitec<br />

CEO Gerrie Fourie saying that<br />

the bank was selling 3 000<br />

funeral policies a day.<br />

The <strong>Limpopo</strong> Economic<br />

Development Agency (LEDA)<br />

intends establishing a local<br />

life insurance company.<br />

These initiatives aim to make<br />

banking more accessible for<br />

rural communities and to<br />

make finance more readily<br />

available to small and microsized<br />

businesses. Trying to<br />

integrate small business into the<br />

mainstream economy is a major<br />

goal of national and provincial<br />

governments in South Africa.<br />

VBS Mutual Bank, one of<br />

three mutual banks in South<br />

Africa, was placed under curatorship in 2018. The appointed curator<br />

was not able to confirm all deposits. In the lead-up to the bank not<br />

being able to meet its commitments municipalities had been making<br />

deposits to the bank although these violated restrictions put in place<br />

by the National Treasury. VBS began life as the Venda Building Society<br />

in 1982. The Public Investment Corporation held 34% of equity.<br />

To support entrepreneurial students, the University of <strong>Limpopo</strong><br />

has set up the <strong>Limpopo</strong> Student Seed Fund together with the SAB<br />

Foundation. Support will be offered to businesses that promise to find<br />

solutions to social problems such as unemployment and hunger.<br />

Ubank is owned by a trust that is managed by the Chamber of<br />

Mines and the National Union of Mineworkers (NUM). It has about<br />

100 branches and a strong presence in <strong>Limpopo</strong> because of its strong<br />

focus on the mining sector. Ubank has about half-a-million clients.<br />

Banks are actively working to sign up more of the unbanked<br />

population. Nedbank has Approve-it, which allows customers to<br />

accept or reject an Internet transaction by cellphone. Nedbank also<br />

has partnerships with shops such as Boxer Stores and Pick n Pay<br />

where customers can have access to financial services in previously<br />

unserviced areas.<br />

Image: African Bank<br />

Some of Nedbank’s other innovations include Home Loans Online<br />

Digital Channel and Market Edge, together with the Nedbank App<br />

Suite. The Keyona Plus account includes funeral cover, a loan facility<br />

and a method of transferring money. The Nedbank4me account is<br />

tailored to the youth market. ■<br />

Online Resources<br />

Financial Sector Conduct Authority: www.fsca.co.za<br />

National Credit Regulator: www.ncr.org.za<br />

Office of the Auditor-General of South Africa: www.agsa.co.za<br />

Public Investment Corporation: www.pic.gov.za<br />

South African Institute for Chartered Accountants: www.saica.co.za<br />

57 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>


Development finance and<br />

SMME support<br />

Small-scale farmers are getting support to connect to the value chain.<br />

Large companies in <strong>Limpopo</strong> support new business ventures<br />

by allocating service functions to local businesses and through<br />

training and mentoring. All of the province’s big mining concerns<br />

have significant budgets set aside for procurement from<br />

small businesses and work such as cleaning and transport is routinely<br />

allocated to small, medium and micro-enterprises (SMMEs).<br />

The Implats Group spent 36% of its procurement budget with<br />

<strong>Limpopo</strong> companies in 2017/18. During the 2018 financial year, the<br />

Marula Mine spent R101-million on goods and services purchased<br />

from local companies in<br />

the Sekhukhune District.<br />

The Supplier Development<br />

Programme of Implats<br />

(pictured) aims to make<br />

SMMEs more competitive and<br />

offers accredited training and<br />

mentoring.<br />

De Beers Consolidated<br />

Mines plays a big role in<br />

the economy of northern<br />

<strong>Limpopo</strong> through its Venetia<br />

Mine. The company has<br />

launched two business<br />

incubators in local<br />

Enterprise development. Image: Implats<br />

municipalities, Blouberg<br />

and Musina. The De Beers Zimele Venetia Mine <strong>Business</strong> Hub has<br />

created more than 495 jobs since it was established to support<br />

entrepreneurs through low-interest loans, mentorship, coaching and<br />

skills development. Local procurement has given chances to 15 local<br />

companies, in fields such as road maintenance, the canteen, small<br />

civils work and the supply of tyres and batteries.<br />

Anglo American Platinum has extended the contract with<br />

Online Resources<br />

Black Umbrellas: www.blackumbrellas.org<br />

Industrial Development Corporation: www.idc.co.za<br />

<strong>Limpopo</strong> Department of Economic Development, Environment<br />

and Tourism: www.ledet.gov.za<br />

Small Enterprise Development Agency: www.seda.org.za<br />

Sector Insight<br />

Over R100-million went to<br />

local business from one<br />

Implats mine.<br />

Zizwe Batlase for the provision<br />

of strip-mining services at<br />

its Amandelbult Complex.<br />

Zizwe Batlase is 51% owned<br />

by the local community<br />

of Baphalane through the<br />

Baphalane Community Trust,<br />

named Batlase. Since 2016,<br />

Zizwe Batlase has been<br />

providing employment, SMME<br />

development, infrastructure<br />

development and business<br />

opportunities to local and small<br />

businesses in the community.<br />

Vodacom reports that<br />

<strong>Limpopo</strong> has seen doubledigit<br />

growth in smartphone<br />

penetration, which undoubtedly<br />

benefits SMMEs. An<br />

investment by Vodacom’s<br />

Polokwane region of more than<br />

R170-million in the network<br />

in the 2019/20 financial year<br />

helped small business in that<br />

data speeds were increased and<br />

3G and 4G network coverage<br />

was increased.<br />

The major banks all have<br />

SMME offerings. Standard Bank<br />

runs a Community Investment<br />

Fund and Nedbank offers<br />

an enterprise development<br />

product for businesses with<br />

turnovers up to R35-million. ■<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />



Education<br />

The University of <strong>Limpopo</strong> celebrated 60 years in 2019.<br />

The University of <strong>Limpopo</strong> celebrated a significant milestone<br />

in September 2019, a 60th birthday. As part of the celebrations,<br />

Dr Nkosazana Dlamini-Zuma was installed as the<br />

university’s first female Chancellor.<br />

Early in <strong>2020</strong>, the university received a gift in the form of a R480-<br />

million loan from the Development Bank of Southern Africa (DBSA) for<br />

the construction of a 3 500-bed student residence. Other contributions<br />

will come from the Department of Higher Education and Training<br />

and the National Treasury Budget Facility for Infrastructure. This is<br />

the first phase of a longer-term project to provide 15 000 beds over<br />

the next 15 years.<br />

The University of Venda (UNIVEN) is making strides in the field<br />

of waste-to-energy. The Green Technologies Promotion Drive draws<br />

from the Department of Physics and the schools of Agriculture and<br />

Environmental Sciences with support from the National Research<br />

Foundation (NRF) and the Water Research Commission (WRC). One<br />

of its goals is to develop the biogas market.<br />

The Univen Innovative Growth Company offers professional<br />

services to the outside world through four units which cover<br />

areas such as statistics and design and editing. This not only<br />

creates another revenue stream for the University of Venda<br />

but links the academic institution to the commercial world.<br />

The Sefako Makgatho Health Sciences University<br />

(formerly part of <strong>Limpopo</strong> University) is now an<br />

independent university in Gauteng Province. University<br />

of South Africa (Unisa) has a regional support centre in<br />

Polokwane and agencies at Makhado and Giyani.<br />

The longstanding issue of school sanitation<br />

infrastructure is being tackled aggressively. A commitment<br />

was made in February <strong>2020</strong> that 515 schools in the province will<br />

benefit from new or upgraded infrastructure this year. Some of the<br />

funding for this programme comes from the Presidential School<br />

Sanitation Infrastructure Grant.<br />

A Coding and Robotic curriculum is to be introduced in 110<br />

primary schools in the 20<strong>21</strong> academic year. There are 15 secondary<br />

schools in <strong>Limpopo</strong> offering Information Technology at Grade 12<br />

Online Resources<br />

<strong>Limpopo</strong> Department of Education: www.edu.limpopo.gov.za<br />

National Education Collaboration Trust: www.nect.org.za<br />

Turfloof Graduate School of Leadership: www.ul.ac.za<br />

Sector Insight<br />

Energy research is going<br />

forward at the University<br />

of Venda.<br />

while 46 schools are offering<br />

Computer Applications<br />

Technology. During <strong>2020</strong>,<br />

a further 75 secondary and<br />

32 primary schools are to be<br />

provided with ICT equipment.<br />

The School Nutrition<br />

Programme in <strong>Limpopo</strong> feeds<br />

pupils in 3 795 public schools<br />

and the Scholar Transport<br />

Programme is active in 380<br />

schools. The No-Fee School<br />

Policy applies to more than<br />

UIGC graduation. Image: UIGC<br />

1.6-million pupils and more than<br />

231 000 children have been<br />

enrolled at Early Childhood<br />

Development (ECD) centres.<br />

There are seven Technical<br />

and Vocational Education<br />

and Training (TVET) colleges<br />

in <strong>Limpopo</strong>: Capricorn College,<br />

Lephalale College, Mopani<br />

East College, Mopani South<br />

College, Sekhukhune College,<br />

Vhembe College and Waterberg<br />

College. ■<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />



University of <strong>Limpopo</strong><br />

Finding solutions for Africa.<br />

The University of <strong>Limpopo</strong><br />

celebrated its 60th<br />

anniversary in 2019.<br />

With a strong history in<br />

the struggle against apartheid,<br />

the university counts among<br />

its alumni the current Minister<br />

of Finance Tito Mboweni and<br />

President Cyril Ramaphosa.<br />

Located in the rural township<br />

of Mankweng in the Capricorn<br />

District of the <strong>Limpopo</strong><br />

Province with an enrolment of<br />

22 000 students, the university<br />

plays a vital role in the region.<br />

New hostels are being built<br />

to accommodate increasing<br />

demand and the university is<br />

expanding its curriculum and<br />

the scope of its research.<br />

History<br />

The University College of the<br />

North was established in 1959<br />

in terms of legislation which<br />

aimed to create ethnicallybased<br />

institutions. However,<br />

the University of the North<br />

became a centre of resistance to<br />

apartheid. In 1972, Onkgopotse<br />

Tiro sharply criticised Bantu<br />

education in a graduation<br />

speech. He was expelled and<br />

later killed by a parcel bomb<br />

while exiled in Botswana.<br />

The University of <strong>Limpopo</strong><br />

is the result of a 2005 merger<br />

between the former Medical<br />

University of Southern Africa<br />

and the University of the<br />

North. In 2015 the University of<br />

<strong>Limpopo</strong> became a standalone<br />

institution with its own Faculty of Health Sciences, offering qualifications<br />

in medicine, nursing, dietetics and nutrition, pharmacy,<br />

optometry and medical sciences.<br />

The 60th anniversary celebrations coincided with the inauguration<br />

of the university’s first female Chancellor, Dr Nkosazanza<br />

Dlamini-Zuma. A qualified medical practitioner, she was the first<br />

Minister of Health in post-apartheid South Africa and is currently<br />

Minister of Cooperative Governance and Traditional Affairs.<br />

Vision: To be a leading African university focused on the developmental<br />

needs of its communities and epitomising academic<br />

excellence and innovativeness.<br />

Mission: A university which responds<br />

actively to the development needs of<br />

its students, staff and communities<br />

through relevant and higher-quality<br />

education and training, research and<br />

community engagement, and in<br />

partnership and collaboration with<br />

its stakeholders.<br />

Values: Accountability; Transparency; Integrity; Academic Freedom;<br />

Excellence and Professionalism.<br />

Faculties<br />

Health Sciences Schools of Health Sciences and Medicine.<br />

Humanities Schools of Languages and Communication Studies;<br />

Education; Social Sciences.<br />

Science and Agriculture Schools of Agricultural and Environmental<br />

Sciences; Mathematical and Computer Sciences; Molecular and Life<br />

Sciences; Physical and Mineral Science.<br />

Management and Law Schools of Economics and Management;<br />

Law; Accountancy; Turfloop Graduate School of Leadership ■<br />

Contact details<br />

Physical Address: C/O R71 Tzaneen Road and University Street,<br />

Mankweng Township, Polokwane, <strong>Limpopo</strong> Province<br />

Tel: +27 15 268 9111<br />

Enrolment email: enrolment@ul.ac.za<br />

Website: www.ul.ac.za<br />



New research units are<br />

finding new solutions<br />

The Vice-Chancellor and Principal of the University of <strong>Limpopo</strong><br />

(UL), Professor Mahlo Mokgalong, commits the university to more<br />

local engagement and building an international reputation.<br />

Professor Mahlo Mokgalong<br />


Professor Mokgalong’s<br />

speciality for his PhD (Zoology)<br />

was Parasitology while his<br />

MSc focused on Limnology.<br />

While completing his PhD<br />

he worked at the British<br />

Museum of Natural History<br />

and the Commonwealth<br />

Institute of Parasitology<br />

where he discovered his love<br />

of research. He has been<br />

Research Assistant, Senior<br />

Lecturer, Deputy Dean and<br />

Executive Dean of the Faculty<br />

of Science and Agriculture.<br />

He first enrolled at the<br />

University of the North (as UL<br />

then was) in 1972.<br />

Congratulations on UL’s 60th anniversary. Where to from here?<br />

The next chapter beyond this 60-year feat will be the building and<br />

sustaining of an international reputation. We have established<br />

a portfolio of “Research, Innovation and Partnerships” to begin<br />

positioning the university as a global player in knowledge generation.<br />

We want to remain as the University of <strong>Limpopo</strong> for human and<br />

environmental wellness, finding solutions for Africa. We are proud<br />

to have several health-related programmes. We are, so far, the only<br />

university to establish a medical school post-1994. We are also<br />

participating in the Nelson Mandela-Fidel Castro programme. The<br />

2018 cohort which we hosted secured a 100% pass.<br />

Is this giving life to UL’s motto “Finding solutions for Africa”?<br />

We have established a unit called the Rural Development and<br />

Innovation Hub (RDIH), which serves as the primary vehicle<br />

for innovation and the institutionalisation of our scholarship of<br />

engagement. Major projects such as the Faculty of Science and<br />

Agriculture’s “Science Centre”, the <strong>Limpopo</strong> Agro-Food Technology<br />

Station (LATS) and the <strong>Limpopo</strong> Co-Lab lead the way. Alongside<br />

these highly visible flagships are a myriad transdisciplinary projects,<br />

including Creative Waste Management, the Nguni Cattle Project,<br />

University of <strong>Limpopo</strong> campus<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />



Epigenetics and the In-Utero Environment, Adopt<br />

a School Projects, Space Week and Hydroponics.<br />

Is the environment a concern for researchers?<br />

We have various departments that participate<br />

in environmental wellness. The Department of<br />

Biodiversity researches on several issues, including<br />

riverine health which relates to a system of inland<br />

wetlands and deep-water habitats. They are also<br />

studying the effects of pollution on the health of<br />

aquatic life or fresh-water fish. We are succeeding in<br />

our research to make sure that we use extracts from<br />

indigenous plants as pesticides.<br />

Is climate change on the UL agenda?<br />

We host a Risk and Vulnerability Science Centre for<br />

<strong>Limpopo</strong> Province. Here we gather data on climate<br />

change and feed into the national atlas.<br />

How is UL’s collaboration with private and<br />

public partners progressing in agriculture?<br />

The Nguni Cattle Project is aimed at empowering<br />

rural small-scale livestock farmers and serves as a<br />

model for poverty reduction, promotion of economic<br />

growth, engagement with and development of rural<br />

communities. During 2019/20, the university further<br />

developed and implemented a formal training<br />

programme for emerging farmers to be trained in<br />

relevant business management skills.<br />

How do you help students adjust to university?<br />

We realised that some students came to the university<br />

underprepared, requiring additional assistance.<br />

We introduced them to a foundation programme<br />

in the sciences. The programme was conceived and<br />

delivered without any grant from the government<br />

and only survived through external funding. Donors<br />

such as the European Union ensured that the<br />

programme survived and delivered, and today, in<br />

the form of an Extended Curriculum Programme<br />

(ECP), it has become a tool to identify students with<br />

potential, with everybody in the sector pushing in<br />

the direction we took almost three decades ago.<br />

How does UL contribute to community health?<br />

We are not a rural university, but a responsive<br />

university in a rural setting. Certain issues like<br />

disease and the health of the population are often<br />

neglected because they are not understood. For<br />

the last 22 years, we have had a population health<br />

study. There has been an increase in diabetes<br />

among the rural<br />

population.We<br />

visit these households<br />

annually and<br />

conduct surveys.<br />

What has been<br />

the impact of<br />

the DIMAMO<br />

Population<br />

Health Research<br />

Big Walk<br />

Centre?<br />

We started in 2019 with a population of 40 000 and<br />

now we are at 100 000 at Dikgale and Mamabolo<br />

villages. We have included other communities as<br />

well. Every year we collect data with the same group<br />

of people to uncover any new developments. We<br />

also try to improve the lives of the people and lobby<br />

others to provide a solution.<br />

What measures are in place on campus for<br />

students with disabilities?<br />

As a caring institution that recognises that students<br />

with disabilities should enjoy the same rights as<br />

any other student, we have put measures in place<br />

to promote the quality of these students’ education<br />

and lives. A dedicated centre called the Reakgona<br />

Disability Centre, which is armed with a host of<br />

devices that help the disabled community, has<br />

been splendidly making the university experience<br />

liveable for students with disabilities.<br />

What other assistance is there for students?<br />

UL has introduced the Baditi Student Support<br />

Programme where senior students groom new<br />

students. The Sepedi name Baditi is derived from<br />

the African initiation school tradition and refers to<br />

graduates who train their successors. The mandate<br />

is to look after and mentor new students who have<br />

just enrolled so that they don’t get lost or discouraged.<br />

In addition, a programme targeted at female<br />

academics, University of <strong>Limpopo</strong> Women’s<br />

Academic Solidarity Association (ULWASA),<br />

encourages aspiring female researchers to gain<br />

support from senior female academics.<br />

63 LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong>

INDEX<br />

INDEX<br />

Africa Biomass Company (ABC) ............................................................................................................................3, 11<br />

De Beers Group of Companies (Venetia Mine)............................................................30, 45-47, 53, OBC<br />

Implats ......................................................................................................................................................................................... 48<br />

Ivanhoe Mines......................................................................................................................................................................... 43<br />

Leeta la Polokwane ......................................................................................................................................................13-17<br />

<strong>Limpopo</strong> Office of the Premier ..................................................................................................................................... 7<br />

<strong>Limpopo</strong> United <strong>Business</strong> Forum ............................................................................................................................. 25<br />

MTN .................................................................................................................................................................................................. 5<br />

Musina-Makhado Special Economic Zone (MMSEZ)............................................................................18-23<br />

Nedbank .............................................................................................................................................................................32-35<br />

SA Airlink....................................................................................................................................................................................IBC<br />

Univen Innovative Growth Company (UIGC) ............................................................................................27-29<br />

University of <strong>Limpopo</strong> ...............................................................................................................................................61-63<br />

Vodacom............................................................................................................................................................................IFC, 59<br />

LIMPOPO BUSINESS <strong>2020</strong>/<strong>21</strong><br />


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The future of South African<br />

diamond mining.<br />

The new US$2 billion Venetia underground mine<br />

ranks as the biggest single investment by De Beers<br />

Group in the South African diamond industry.<br />

Excavation work for the underground extension got<br />

under way in 2013, the year De Beers celebrated<br />

its 125th anniversary. Production is scheduled<br />

to begin in 2022, climbing to full production in<br />

2025. Over the course of its life, the underground<br />

mine will treat about 132 million tonnes of ore<br />

containing an estimated 94 million carats.<br />

The underground project will extend<br />

the life of Venetia mine to 2046,<br />

securing the future for our<br />

host communities.

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