How this joint venture is empowering rural communities through agriculture
A joint venture between a community farming group, Mawewe Communal Property Association, and JSE listed company Crookes Brothers South Africa has paid R37.7 million in dividends and R65 million in lease rentals to Mawewe. Mzamo Khuzwayo, Managing Director of Crookes Brothers joins CNBC Africa for more.
Fri, 19 Mar 2021 11:09:36 GMT
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AI Generated Summary
- The Mawewe Crook Joint Venture has empowered rural communities in Pumala through an inclusive partnership between the Mawewe CPA and Crookes Brothers South Africa, resulting in substantial financial benefits for the community.
- The joint venture's focus on skills development and community ownership has provided opportunities for community members to acquire farming expertise and take on leadership roles within the business, aligning with a long-term vision of self-sufficiency.
- With a core emphasis on banana production and a successful track record of over 800,000 cartons of premium bananas under the LeBombo brand, the joint venture has not only contributed to the agricultural sector but also created significant economic opportunities for farmers in various regions.
In a groundbreaking joint venture between the Mawewe Communal Property Association and the JSE listed company Crookes Brothers South Africa, rural communities in Pumala are experiencing a new era of empowerment through agriculture. The partnership, known as the Mawewe Crook Joint Venture, began several years ago when Crookes Brothers sold farms back to the government to facilitate the land restitution process. These farms were then handed over to the Mawewe community, leading to negotiations that resulted in the establishment of the joint venture. The business officially commenced operations in 2016, with the community owning 51% and Crookes holding the remaining 49% stake. Over the past five years, the venture has made significant financial strides, paying dividends of over R37 million and lease rentals totaling R65 million to the Mawewe CPA, underscoring a commitment to the community's economic development. Mzamo Khuzwayo, Managing Director of Crookes Brothers, discussed the venture's structure and operations in an interview with CNBC Africa, highlighting the vision of empowering community members through skills development and ownership. Khuzwayo emphasized the importance of providing opportunities for young community members to acquire farming skills and ultimately take charge of the venture's operations. By fostering an inclusive partnership, the joint venture aims to create sustainable economic growth and uplift rural communities. The venture's impact extends beyond financial figures, with a focus on empowering individuals and fostering economic self-reliance. With a core focus on banana production, the joint venture has become a beacon of success in the region, producing over 800,000 cartons of high-quality bananas under the LeBombo brand. The venture not only supplies premium bananas to the market but also creates meaningful employment opportunities for farmers who may have otherwise lacked access to income-generating activities. The joint venture's influence extends beyond South Africa, with operations in the Western Cape, Eswatini, Zambia, and Mozambique. The potential for replication in other geographies presents a significant growth opportunity for the venture, with Khuzwayo expressing optimism about expanding the model to additional communities. By engaging in inclusive partnerships with local communities, the joint venture exemplifies a sustainable approach to agricultural development that prioritizes community ownership, skills development, and economic empowerment. Through collaboration and commitment, the venture is paving the way for a more inclusive and prosperous agricultural sector that benefits rural communities across multiple regions.