Tongaat Hulett, Ingonyama Trust Board sign agreement

Fundamental pillars of the co-operation agreement include: sugar cane development initiatives; socio-economic and rural development programmes; localisation; and capacity building.

The partnership, therefore, is well aligned with the National Development Plan, with the clear synergies between the respective organisation's development-oriented objectives creating a strong and sound basis for collaboration.

It is well documented that the ITB wishes to increase its outreach in rural areas and strives to enhance the quality of life of communities living in communal areas, whilst ensuring that this land is used for the benefit and well-being of the communities.

Similarly, Tongaat Hulett is acutely aware of the need for transformation and rural development in South Africa and has actively aligned its value system and operational ethos to meet this requirement.

Important catalysts for rural upliftment

The company views the development and expansion of sugar cane cultivation (coupled with a suite of social upliftment programmes, land management, and skills-transfer mechanisms), as important catalysts for rural upliftment and a stimulus of both direct and indirect economic activity.

The formalisation of the relationship seeks to meet a common goal of creating vibrant, capacitated, economically active and sustainable agriculturally-based communities in rural settings.

Tongaat Hulett's CEO, Peter Staude, said that Tongaat Hulett was proud to be the partner of choice with the ITB: "Tongaat Hulett has a strategic imperative to match sugar cane supplies to its existing milling capacity and to promote the company's renewable energy agenda.

"The business recognises that the major growth potential for these sugar cane supplies will originate from previously disadvantaged individuals and, in particular, rural communities living on ITB landholdings."

He said that comprehensive social responsibility programmes and effective stakeholder management were fundamental to the achievement of these objectives.

"Therefore, Tongaat Hulett believes that the signing of the co-operation agreement with the ITB represents an important landmark in these processes, and the partnership will support and augment national development agendas," said Staude.

ITB chairperson Judge Ngwenya articulated the board's sentiments: "The ITB is proud to announce the partnership it has formalised with Tongaat Hulett.

"This important milestone for the ITB will assist us to deliver on our mandate of improving the social well-being of people residing in traditional communities.

"The ITB firmly believes that the partnership is well aligned to the key objectives of the Integrated Rural Development Strategy as well as the National Development Plan, which promotes the implementation of programmes that will address historical issues, such as poverty alleviation, sustainable job creation and agricultural and physical infrastructure development.

"We are confident that the relationship with Tongaat Hulett will continue to strengthen in years to come."