Plans are afoot to establish a first-of-its-kind macadamia processing factory in the Eastern Cape with hundreds of jobs set to be created in the process.
Eastern Cape macadamia director Mkululi Pakade said the two sites in Ncerha and Mbhashe, at full production, collectively produced 2400 tons of nuts per year.
He was speaking on day two of the local economic development partnership summit at the East London ICC yesterday.
Pakade said that due to the volume of nuts produced, establishing a cracking factory in the province is in the pipeline.
“The factory establishment is subject to a feasibility study, which we are currently negotiating and discussing with the Industrial Development Corporation and other potential funding partners,” he said.
The turnaround time would be three to four years, Pakade said, with the feasibility study and fundraising set down for next year, the construction and setting up for 2019, and 2020 to begin operations.
“This will be a labour intensive operation, which is likely going to bring no less than 500 jobs during the initial stage. This will be adding to the combined 600 jobs which the two sites will generate at full production,” he said.
This news comes on the day the Daily Dispatch reported that there are 781000 unemployed people in the Eastern Cape with 216000 jobs having been lost between July last year and September this year. The figures are contained in the latest quarterly labour force survey.
At 35.5%, the Eastern Cape has the highest unemployment rate, with the national figure at 27.7%.
In Buffalo City Metro unemployment increased from 28.1% to 34.1% in the past year, while in the Nelson Mandela Bay Metro it went up to 36.0% from 31.8%. The plan, Pakade said, was to have the factory in East London. It would be supplied with macadamia nuts by growers from around the province and areas such as Knysna and George.
Pakade said partnerships at local level between stakeholders, traditional authorities and local government structures tended to speed up development.
He said about 150 jobs had already been created at each of the sites. The Ncerha and Mbhashe sites had macadamia trees planted on 215 and 205 hectares respectively.
“Each of the sites will generate no less than R40-million income to the community annually at full maturity for life,” Pakade said.
Jobs in the macadamia industry were “for life” as trees still produced after more than 100 years.
Economic development, environmental affairs and tourism MEC Sakhumzi Somyo said “the failure to take those decisions impacts negatively on the growth of business”.
Somyo said the province had to move away from being consumers to producers of energy. He said energy was the base for industrialisation and attracted investments.
“We have benefited from wind turbine partnerships in terms of development on the green energy side.
“This has improved our own contribution in energy generation.
“The problem with consumption only is you are not guaranteed sustenance such that it threatens your ability to develop in further heavy industries.” — zolilem@tisoblackstar.co.za
500 new macadamia jobs for EC
Eastern Cape macadamia director Mkululi Pakade said the two sites in Ncerha and Mbhashe, at full production, collectively produced 2400 tons of nuts per year.
He was speaking on day two of the local economic development partnership summit at the East London ICC yesterday.
Pakade said that due to the volume of nuts produced, establishing a cracking factory in the province is in the pipeline.
“The factory establishment is subject to a feasibility study, which we are currently negotiating and discussing with the Industrial Development Corporation and other potential funding partners,” he said.
The turnaround time would be three to four years, Pakade said, with the feasibility study and fundraising set down for next year, the construction and setting up for 2019, and 2020 to begin operations.
“This will be a labour intensive operation, which is likely going to bring no less than 500 jobs during the initial stage. This will be adding to the combined 600 jobs which the two sites will generate at full production,” he said.
This news comes on the day the Daily Dispatch reported that there are 781000 unemployed people in the Eastern Cape with 216000 jobs having been lost between July last year and September this year. The figures are contained in the latest quarterly labour force survey.
At 35.5%, the Eastern Cape has the highest unemployment rate, with the national figure at 27.7%.
In Buffalo City Metro unemployment increased from 28.1% to 34.1% in the past year, while in the Nelson Mandela Bay Metro it went up to 36.0% from 31.8%. The plan, Pakade said, was to have the factory in East London. It would be supplied with macadamia nuts by growers from around the province and areas such as Knysna and George.
Pakade said partnerships at local level between stakeholders, traditional authorities and local government structures tended to speed up development.
He said about 150 jobs had already been created at each of the sites. The Ncerha and Mbhashe sites had macadamia trees planted on 215 and 205 hectares respectively.
“Each of the sites will generate no less than R40-million income to the community annually at full maturity for life,” Pakade said.
Jobs in the macadamia industry were “for life” as trees still produced after more than 100 years.
Economic development, environmental affairs and tourism MEC Sakhumzi Somyo said “the failure to take those decisions impacts negatively on the growth of business”.
Somyo said the province had to move away from being consumers to producers of energy. He said energy was the base for industrialisation and attracted investments.
“We have benefited from wind turbine partnerships in terms of development on the green energy side.
“This has improved our own contribution in energy generation.
“The problem with consumption only is you are not guaranteed sustenance such that it threatens your ability to develop in further heavy industries.” — zolilem@tisoblackstar.co.za
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