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PROJECTS

 

Local Municipality Umzimkhulu Local Municipalites,Greater Kokstad Municipality
Project name Animal Feeds Plant in Sisonke (Manufacturing)
Project location and GPS coordinates Umzimkhulu
Ward
Brief Project description With Sisonke being an agricultural region, investment in dairy and livestock sector is increasing day by day and quality feed is a pre-requisite in profitable dairy and livestock farming.

The annual growth rate in livestock has created a demand for compound feed.

The increased productivity would require better feed utilization and increase in overall feed availability both from fodder crops and formulated compound feed. In order to meet the rapidly increasing demand for the various kinds of livestock products (Milk & meats), the better rations with improved feed formula are needed to get more meat and milk, for the same feed supplies. By increasing livestock numbers, rather than their average weight, the feed requirements are much larger.

Livestock production is an integral part of Sisonke’s agriculture sector and plays a vital role in national economy. The role of livestock in rural economy may be assessed by the fact the total rural population is engaged in livestock farming, having a minimum of at least 5 cattle and 5 to 6 sheep/goats per family deriving 30 to 40 per cent of income from it. Sisonke’s livestock population is supported by feed resources derived from the crops sector, rangelands, grazing areas and agro industrial by-products. The type, availability and utilization of these feed resources vary greatly in the region’s different agro ecological zones.

Objectives of project The SDA, the NEF, TIKZN and the SDA have decided to collaborate to investigate the possibility of setting up an animal feed mill with maize as a feed. This will be an agro-based project in which locally available feed resources rich in protein and carbohydrate are mixed according to nutritional formula in order to raise the livestock in such a manner that when fed to livestock, they get nutritionally balanced feed according to their body needs.

At present, Sisonke has no mill, compound feed for livestock comes from other far off area. The project will create 500 job opportunities, with an investment value of R10m. The SDA is currently conducting a feasibility study, which would be followed by a business plan. It is hoped that local black farmers would be approached to take up this investment opportunity.

Ownership and institutional arrangements of project It is envisaged that local co-ops will take ownership once the structure has been built, operating at full capacity and skills transferred to manage the facility
Key role players and responsibilities Amadlelo
Department of Agriculture
Department of Economic Development and tourism
Sisonke Development Agency
Beneficiaries and role players consulted in the conceptualisation of the project • Communities in and around the area
• Local municipality
• Agricultural Development Agency
Number and analysis of beneficiaries • 20 cooperatives are already on the ground, planting maize, each with a minimum number of 20 members, making it 400 direct beneficiaries
• Creation of 200 direct jobs and indirect jobs from animal car to dairy operations.
• UMzimkhulu Local Municipality consists of 18 wards. We were provided with a database of 17 co-operatives within 17 wards. Consultation with these communities has been concluded.
Anticipated benefits of project in line with PSEDS Based on the cost-benefit analysis undertaken by the SDA, this project had a potential to create real opportunity for poor communities. In the short term, jobs would be created and the longer term, thebenefits of skills transfer will lead to possible management positions for those with necessary aptitude.
Current situation or status quo of project/intervention Consultative process with the relevant representatives of each of these communities began on the 20th December 2011, wherein a briefing session with all parties was held and the objective of project was outlined.

It was in this meeting where the guideline for participation on this project was agreed. For instance, it was agreed that each household that originally had been given the right to use the land would cede those rights into a cooperative or association for the production of maize. Each household member that has a field in the agricultural area becomes a member of the co-operative. It was also agreed that the yields would belongs to the organisation and will be shared proportionately.

Subsequent to the project steering committee that was established, we then conducted direct discussions with local government officials responsible for LED, conducted further research about both LED and cooperative research, facilitated various interactions with different stakeholders involved on the Sihleza Maize Mill programme as well as formulated specific strategy work with key personnel from each of co-operatives.

Proposed plan of action including key activities and milestones with time frames Finalization of the business plan
Investment packaging and identification of the operator
Commission the turn-key operation.
Projected Completion Time & Final Deliverable Project envisaged for completion November 2013
Proposed budget breakdown per activity and cash flows R10 000 000
Other comments for motivation. Please attach supporting background documents, images and maps Business plan being prepared, would be submitted once ready
Support of local municipalities received. Attach motivation/resolution This is a project that would be implemented by the Sisonke Development Agency, and supported by the Sisonke District Municipality
District council resolution obtained (insert resolution number and date)
Date of approval by district workgroup June 2011, approved
District Municipal Manager signature and stamp

 

Local Municipality Ubuhlebezwe Local Municipality
Project name Sisonke Hydroponics Farming Project (Agriculture)
Project location and GPS coordinates Texas Valley
Ward
Brief Project description The purpose of the project is to develop and expand the infrastructure of the Sisonke Hydroponic Framing Programme
within Sisonke District by erecting greenhouses and related operations. This project aims to create a platform for small growers
to access economic opportunities available to them.
Objectives of project • The overall objective of the project is to establish a Sisonke Hydroponic Farming Project within Sisonke District Municipality.
• Production of High Value crops for both the internal and the export Market
Ownership and institutional arrangements of project It is envisaged that local co-ops will take ownership once the structure has been built, operating at full capacity and skills transferred to manage the facility
Key role players and responsibilities • Sisonke Development Agency to ensure that production, value-adding and marketing are undertaken.
Beneficiaries and role players consulted in the conceptualisation of the project • Communities in and around Texas Valley
• TIKZN
• NEF
• Agricultural Development Agency
• Department of Agriculture and Environment Affairs
Number and analysis of beneficiaries The project will create 120 jobs (farming) and 50 jobs on the pack house.
Anticipated benefits of project in line with PSEDS Beneficiation and downstream processing of primary agriculture
Current situation or status quo of project/intervention Though the area has reasonable infrastructure for successful implementation of the project, upgrading and modernisation is highly recommended.
Proposed plan of action including key activities and milestones with time frames A service provider has been appointed to develop a business plan from which implementation will be deduced from the findings of such a plan
Projected Completion Time & Final Deliverable July 2013
Proposed budget breakdown per activity and cash flows R13,000,000.00
Other comments for motivation. Please attach supporting background documents, images and maps Project supported by ADA,TIKZN and Dept. of Agriculture and Environmental Affairs
Support of local municipalities received. Attach motivation/resolution The project has support of UBuhlebezwe Local Municipality
District council resolution obtained (insert resolution number and date) Project approved as part of SDA package
Date of approval by district workgroup
District Municipal Manager signature and stamp
Other comments for motivation. Please attach supporting background documents, images and maps Business plan completed and approved by the PSC.Service provider on site since the 3rd September 2012 to make preparations for full implementation.
Support of local municipalities received. Attach motivation/resolution This is a project that would be implemented by the Sisonke Development Agency, and supported by the Sisonke District Municipality
District council resolution obtained (insert resolution number and date)
Date of approval by district workgroup June 2011, approved
District Municipal Manager signature and stamp

 

Local Municipality UMzimkhulu and UBuhlebezwe Local Municipalities
Project name Sisonke Essential Oils Project 9agri
Project location and GPS coordinates Nooitgedacht and Texas Valley
Ward Ward 11(to be expanded to other wards within the district)
Brief Project description Despite the fact that the district has agriculture as its main economic driver, existing evidence suggests that Sisonke has a large portion of its land unavailable for agricultural purposes. Although the land assessment shows the highest land utilisation being agriculture, it is evident that this sector is not producing enough employment opportunities at par with the extent of land used.

Most agricultural activities are undertaken at subsistence level, with only a few examples of commercial operations. The main agricultural activity within these areas is the traditional ranching of cattle in mountainous areas. Small holder agriculture consist of maize, potato and dry bean farming on arable allotments as well as vegetable production on a small scale, in home gardens and community gardens. These vulnerable agricultural farmers are the most in need of intervention from the district government.

Essential oils are generally extracted by distillation. Other processes include expression, or solvent extraction. They are used in perfumes, cosmetics, soaps and other products, for flavoring food and drink, and for adding scents to incense and household cleaning products.

Various essential oils have been used medicinally at different periods in history

Objectives of project To build a vibrant chemical industry in Sisonke,SDA,together with a local co-operative, will engage in

• Research studies
• Pilot projects
• Commercial planting
• Procurement of distillation plant
• Branding and marketing of products

Ownership and institutional arrangements of project There is a registered cooperative
Key role players and responsibilities • Sisonke Development Agency to ensure that production, value-adding and marketing are undertaken.
• DMT Co-operative to ensure ploughing,discing,spraying and planting of 100ha with the aim of scaling up essential oil project
Beneficiaries and role players consulted in the conceptualisation of the project • Cogta
• DAEAR
• Agricultural Development Agency
• SDA
Number and analysis of beneficiaries
Anticipated benefits of project in line with PSEDS Integrated approach is needed to maximize positive impact on poverty alleviation, job creation and economic growth.
Current situation or status quo of project/intervention Essential Oils have already been planted in some parts of the Nooitgedacht farm whilst land has been identified in Texas Valley for planting of crops such as:

• Rose Geranium
• Rosemary
• Lemon balm
• Tea Tree
• Lemon grass

Proposed plan of action including key activities and milestones with time frames The next phase is to plant crops such as Rose geranium, Rosemary and others in Texas Valley to scale up the essential oil project and procure a distillation plant for extraction
Projected Completion Time & Final Deliverable July 2012-March 2013
Proposed budget breakdown per activity and cash flows R12,000,000.00
Other comments for motivation. Please attach supporting background documents, images and maps
Support of local municipalities received. Attach motivation/resolution
District council resolution obtained (insert resolution number and date)
Date of approval by district workgroup
District Municipal Manager signature and stamp
Local Municipality Umzimkhulu and Greater Kokstad Local Municipalities
Project name SISONKE SHARE-MILK SCHEME (agri)
Project location and GPS coordinates TEXAS VALLEY,MAKHOBA
Brief Project description This project envisages the creation of 12 cooperatives, wherein an initial herd size of 25 animals will be contributed by each co-operative, which is economical to justify the overhead cost. The farm size will increase to 700 animals within 7 years. Herds mix of 80% cows and 20% buffaloes are recommended to get the maximum milk production round the year.
Objectives of project The purpose is to establish it as a share milking scheme, where 12 cooperatives will be established, with each coop contributing 25 cows. In a number of countries, this business model is used to establish a relationship between the land owner and the dairy operational entity that makes use of resources available on such land.

The basis is that the land owner provides the land, as well as fixed assets required for dairy farming operations and the share milker provides the cows and human resources for the scheme.

Based on the cost-benefit analysis undertaken by the SDA, this project has a potential to create real opportunity for the benefi-ciaries of land reform. In the short term, jobs would be created and the longer term, the benefits of skills transfer will lead to possible management positions for those with necessary apti-tude.

Ownership and institutional arrangements of project It is envisaged that local co-ops will take ownership once the structure has been built, operating at full capacity and skills transferred to manage the facility
Key role players and re-sponsibilities Department of Agriculture
Clover South Africa
Department of Economic Development and tourism
eMadungeni Tribal Authority
Makhoba Trust
Sisonke Development Agency
Beneficiaries and role play-ers consulted in the con-ceptualisation of the pro-ject • Communities in and around the area
• Clover South Africa
• Tribal Authorities
• Agricultural Development Agency
Number and analysis of beneficiaries • 12 cooperatives to be formed, each with a minimum number of 12 members, making it 144 direct beneficiaries
• Creation of 200 direct jobs and indirect jobs from animal care to dairy operations
Anticipated benefits of project in line with PSEDS During 2008, Clover Industries Limited commissioned the feasi-bility study for the establishment of a dairy farm in in Sisonke. Subsequently, the Sisonke Development Agency has identified communal farm with a carrying capacity of 300 for a broad-based community oriented sharemilk scheme.
Current situation or status quo of project/intervention Dairy animals, mainly buffaloes and cows are purchased from the animal markets or breeders. Dairy animals are fed on pro-tein sources (concentrate) along with plenty of green fodder. Animals are milked twice a day i.e. morning and evening. The milk is sold at the farm or may be directly sold in the urban mar-ket. The milk price varies according to its quality and the season
Proposed plan of action including key activities and milestones with time frames Formulation of the comprehensive business plan and the formation of 12 primary cooperatives
Land preparation
Technological installations and upgrading
Procure animals
Implementation
Projected Completion Time & Final Deliverable Project envisaged for completion June 2013
Proposed budget break-down per activity and cash flows R10 000 000
Other comments for moti-vation. Please attach sup-porting background docu-ments, images and maps Business plan being prepared, would be submitted once ready
Support of local municipali-ties received. Attach moti-vation/resolution This is a project that would be implemented by the Sisonke Develop-ment Agency, and supported by the Sisonke District Municipality
District council resolution obtained (insert resolution number and date)
Date of approval by district workgroup June 2011, approved
District Municipal Manager signature and stamp

 

Local Municipality Umzimkhulu Local Municipality
Project name Sisonke Cultural Village
Project location and GPS coordinates Ixopo (next to Farmer`s Market)
Ward
Brief Project description The primary aim of the village is to showcase the rich traditional histo-ry of the community through a state of art accommodation establish-ment. The establishment is meant to host conferences, meetings, weddings, etc. as well as provide accommodation for local and inter-national tourists who come to the community on an annual basis.The village will comprise of accommodation chalets to be rebranded and packaged as a tourism facility. The facility must have a 150-200 seater conference facility that will be used for wedding, conferencing and other income generation activities to create self-sustainability
Objectives of project Tourism development in Sisonke using community-based tourism as a strategy
Ownership and institutional arrangements of project Communities in and around Ixopo
Key role players and re-sponsibilities • Sisonke Development Agency, to ensure that management, branding and marketing of the village are undertaken.
• TKZN
Beneficiaries and role play-ers consulted in the con-ceptualisation of the project • Communities in and around the area(as beneficiaries)
• DEDT
• SDA
Number and analysis of beneficiaries
Anticipated benefits of project in line with PSEDS
Current situation or status quo of project/intervention The project is yet to get off the ground
Proposed plan of action including key activities and milestones with time frames SDA will come in and oversee proper management and maintenance of the village up until it is self-sustainable.
Projected Completion Time & Final Deliverable Ongoing
Proposed budget break-down per activity and cash flows R5000, 000.00
Other comments for moti-vation. Please attach sup-porting background docu-ments, images and maps
Support of local municipali-ties received. Attach moti-vation/resolution
District council resolution obtained (insert resolution number and date)
Date of approval by district workgroup
District Municipal Manager signature and stamp