KZN sugar cane farmers welcome payment plan for September bill

File Picture: A farmer with sugar cane in northern KwaZulu-Natal. Picture: African News Agency (ANA) Archives.

File Picture: A farmer with sugar cane in northern KwaZulu-Natal. Picture: African News Agency (ANA) Archives.

Published Nov 2, 2022

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Durban - KwaZulu-Natal sugar cane farmers who have been supplying troubled sugar giant Tongaat Hulett, say they are relieved at the news that they will be paid for the sugar cane which they had supplied to the company in September.

Last week the sugar industry and the rest of South Africa woke up to the news that Tongaat Hulett had applied for business rescue after encountering financial problems.

The company indicated that it would not be able to pay the farmers for the sugar cane supplied in September, prompting widespread panic from emerging sugar cane farmers across KZN.

This week a series of meetings have been held by different stakeholders in the sugar industry in a bid to find a solution to what has been described as the biggest crisis to hit the industry in years.

On Wednesday, South African Development Farmers Association CEO Dr Siyabonga Madlala announced that following a meeting with the Business Rescue Practitioners (BRP), a solution had been found which would see farmers getting paid for the September produce.

“We have just concluded a meeting with BRPs and they have given confirmation that everyone will be paid by no later than 11 November. So farmers please remain calm,” the CEO told members.

He told members that they would be given regular updates, and stressed on farmers to focus on their operations.

One of the farmers, Rodney Mbuyazi, said while there were no guarantees for the future, he was relieved that he would get paid for the sugar cane that had been supplied to the mill in September.

“It is obviously not enough, however in times like these every bit of help that comes really goes a long way,” said the Heatonville farmer.

Most farmers said their September payments would help them pay for bills such as water and electricity and give them time to figure out their future plans.

The sugar cane industry employs thousands of workers including seasonal labourers that work during the planting and harvesting seasons.