In a powerful step towards uplifting South Africa’s rural farming communities, Kagiso Trust, through its Tyala Impact Fund, has awarded R3 million to support SPAR’s Rural Hub farmer development programme, empowering small-scale farmers and driving sustainable growth across the country.
Limpopo, South Africa (13 September 2024) – Farming is at the heart of our nation’s soul, feeding our people and fuelling our economy. In South Africa, where the agricultural landscape is often marked by both challenges and potential, empowering our rural farmers is key to ensuring sustainable growth and prosperity.
Recently, a significant step towards this vision was made as Kagiso Trust, through its Tyala Impact Fund, awarded R3 million to support rural farming communities. This generous contribution is set to make a meaningful impact, empowering ten rural hub farmers with R300,000 each as part of The SPAR Group’s Rural Hub farmer development programme.
Kagiso Trust’s Tyala Impact Fund has already begun to uplift rural communities by supporting small-scale farmers in South Africa. These funds will bolster the SPAR Group’s Rural Hub programme, which was initiated in 2016 in Ofcolaco, Mopani District, Limpopo. The programme supports farmers by providing a guaranteed market for their produce and essential training in technical skills and food safety while also facilitating access to funding. To date, it has created 103 direct jobs and 62 secondary jobs at packhouses and technical services in Limpopo. The new investment aims to further this success by enabling farmers to enhance their operations and increase their impact on local communities.
The ripple effects of this initiative are far-reaching. “We are immensely grateful to Kagiso Trust and the Tyala Impact Fund for this generous award,” said Kevin O’Brien, Group Sustainability Executive at The SPAR Group. “This recognition aligns with SPAR’s vision to enhance job creation, income generation, infrastructure development, skills transfer, and empowerment. The investment will enable our farmers to elevate their operations and contribute to food security and economic growth in their communities.”
The Rural Hub model is designed to focus on rural community development, addressing systemic issues such as food security by providing farmers with the resources they need to succeed. This includes support with net houses, funding for operational costs, and capital assets, all of which empower farmers to produce high-quality crops on a commercial scale. While SPAR remains the primary customer, some of the produce is sold to aggregators who distribute to other food retailers. Additionally, many farmers continue to grow crops for their local communities, enriching local food supplies.
Mankone Ntsaba, Chairperson of Kagiso Trust, reflected on the impact of this collaboration: “The SPAR Mopani Rural Hub initiative shows how working together can bring real change. By helping small-scale farmers become part of the main food supply and giving them the skills they need, Kagiso Trust and SPAR are creating a more inclusive and thriving agricultural sector. This partnership is a strong example of how we can build a better future for everyone in South Africa.”
This is more than just an investment; it’s an opportunity to transform lives. The award from Kagiso Trust will enable farmers to cultivate larger areas, improve crop yields, and increase their income, fostering sustainable development. Kagiso Trust’s Tyala Fund has consistently provided essential input and infrastructure finance to the Rural Hub farmers, addressing major challenges faced by South Africa’s new-era farmers. This ongoing support, alongside SPAR’s contributions, has elevated the quality of products from the Rural Hub, reflecting a commitment to excellence and sustainable farming practices.
Plans are already underway to increase SPAR’s support to meet 80% of their monthly demand by 2025. As farmers graduate from the programme in the next three to five years, they are expected to move on to sustainable and profitable enterprises, reducing their reliance on support and contributing to a vibrant agricultural sector.
The event also honoured several young people who are making strides in the farming sector. Nomsa Ngwenya was awarded Female Farmer of the Year. Ngwenya, the founder and owner of NTL Baraka Eco Farming, joined the SPAR Mopani Hub Programme in 2022 and supplied SPAR with 52 tons of cocktail tomatoes. Her farm provides young graduates with practical learning opportunities, creating a ripple effect of growth and development.
Craig Mashimbye of Mzamane & Remember, with eight years of farming experience, was recognised in the Best Youth-Owned category, while M Mohale SJ’s 7-hectare farm was awarded for Job Creation, having produced 16 tonnes of cocktail tomatoes in 2023 and maintained an average of 33 jobs annually.
Kevin O’Brien concluded with a call to action: “The SPAR Group is very serious and intentional about developing an ecosystem that is not exclusive to us alone but one where other retailers can also benefit. This demonstrates a clear passion for small-scale and rural farmers in our country. We therefore urge all stakeholders to commit to buying from the Rural Hub as part of our effort to ensure better circulation of resources, particularly in the agricultural sector. Working together with established NGOs like Kagiso Trust, we can ensure that food security is taken seriously. Our target is to develop 60 farmers by 2030.”
The future of rural farming in South Africa looks brighter with such collaborative efforts. Initiatives like these, where private companies and NGOs unite to support and uplift local communities, are paving the way for a more inclusive and thriving agricultural sector. By investing in the growth and empowerment of our farmers, we are investing in the future of our nation—one where every South African can flourish.