“Magwa management and ECDRA [Eastern Cape Rural Development Agency] have developed a marketing and distribution strategy to guide its sales and broaden the product sales footprint across all sectors of the market inside and outside the province,” Lungisa said.
The Majola tea estate, near Port St Johns, was incorporated into the Magwa estate, which was placed under business rescue in 2015.
The merged plantations are known as Magwa Tea Estate.
The company is wholly owned by the state via its shareholder, the Eastern Cape Rural Development Agency.
The government has pumped more than R100m into the business rescue process over the past three years.
Meanwhile, Majola tea is sold as loose tea but only in Port St Johns, Tombo and surrounding villages.
“Procurement of a teabagging machine for Majola is currently under way to make it available to a broader teadrinking audience.
“Though the traditional market for Majola tea is in loose form, we believe teabags will allow the tea to reach markets outside these areas and help the Majola brand become more easily recognisable in the broader scheme of things,” Lungisa said.
While delivering his state of the province address, Mabuyane said tea factories needed to be refurbished.