North West
South Africa
Sector
Agriculture & Agri-processing
Agriculture and agro-processing opportunities
There has been rapid and significant development of agriculture-related clusters within the province over the past few years. A number of sub-sectors have been identified as being ideally suited for cluster development and, unlike many other opportunities, these clusters are not restricted to a particular area or province. The meat industry has the highest potential among these sub-sectors.
Beef beneficiation
Beef exports represent an attractive prospect for potential investors in agro-processing. There are currently good opportunities in Middle East and other niche markets for hormone-free beef. The local automotive industry is also a potentially lucrative market for quality hides, as is the international leather market. The province's Beef Beneficiation Programme will develop the entire value chain, which will convert every part of the animal into value-added product.
Meat processing plant and feedlot development
The project is a partnership between South African livestock producers, a black economic empowerment consortium and German technology partners. Total investment sought in the project is R900-million.
The plant intends handling 1 000 cattle and 500 pigs per day for slaughtering and is expected to fill a gap in the meat industry. Eighty percent of the output will be for export. There are five plants within the one project and will include, among other things, an abattoir.
Forms of collaboration include a joint venture (equity), loan, market access and buy-back arrangements, as well as management, technical and marketing expertise. Types of investment or co-operation sought from foreign sources include financial investment; equipment or technology contribution; and management or marketing expertise.
For more information on beef beneficiation in the province contact Elijah at Invest North West on +27 14 594 2570 or email elijah@inw.org.za .
Goat meat production
South Africa has over six-million goats that are owned by two distinct sectors, the commercial farmers and the small-scale, non-commecialised farmers. Commercial farmers keep Angora goats for mohair production with surplus stock being marketed in the goat meat sector, and Boer goat specifically for meat production. Non-commercial farmers use an informal marketing system, which is characteristic of developing economies.
Through Invest North West facilitation, a 2 000ha farm has been acquired by five black farmers for goat production. Negotiations for off-take agreements are currently underway between the farm and companies in the Middle East and the Indian Ocean Islands.
For more information on goat farming opportunities in the province contact Elijah at Invest North West on +27 14 594 2570 or email elijah@inw.org.za.
