Vous êtes sur la page 1sur 158

AfricAn Business

november 2011 volume 2 Issue 11


www.tabj.co.za

The

Journal

IN THIS ISSUE

Business South Africa mining

deBate The argument for mining

Company foCus Mount Royal

GOLd

stiLL shininG

SECTION Title

maerskline.com

Proudly serving Africa


How do we serve Africa? With 22 brand new ships, for starters.
And believe us: Theyre not just any ships. With twice the capacity of the industry average in West Africa and their own on-board cranes, all 22 of these proud vessels are the largest ever to call at West African ports. They are also models of energy efficiency, helping to propel African exporters and importers to environmental leadership by slashing CO2 emissions from transport by 30% per container. Why are we making such a big deal about West Africa? Because Africa matters. To Maersk Line and to the world. And as a world leader in container shipping, we want to be your first choice. Every time.

West Africa services New & improved! 22 custom-built ships, the largest in West Africa The markets best network Unmatched schedule reliability Personalised service and strong local presence

eDiTOrs note

HellO, gOOD evening and, above all, welcome, As we accelerate into new and dazzlingly futuristic realms, it feels strangely reassuring to call myself the editor of a digital publication (Ive been called worse, believe me). Increasingly I see people stroking away at their tablets and think to myself, yeah, Im surfing the wave of a revolution here. By the very act of skimming over my carefully chosen words, reader, you are a small part of publishing historya tiny but noticeable blip on the evolutionary scale. This is the future, folks, and although I will always love the feeling of paper against my fingers on a Sunday morning (so to speak), I realise that touch screen and high-res screens are finally realising their potential; changing the way we read forever. My mums got a Kindle and so has yours; need I say more? In this months all-electronic, body-popping, cyber-tastic edition of TABJ, Ill be donning the trusty agent provocateur raincoat and explaining my argument for mining. There will also be an opportunity for you to share your mining experiences and opinions.

Other features include a South African mining special report, a whistle-stop tour of South Africas favourite regional snacks and a fascinating item by South African Association of Freight Forwarders CEO, David Logan. Meanwhile, the cover story invites you into the mysterious world of gold. I take a look at what makes gold so hopelessly desirable, chat to Sven Lunsche from Gold Fields and listen to a wise old North African gold miner from the good old days. Theres also the usual eclectic compilation of movers, shakers and hip swingers from the business community. Captivating company profiles come from all manner of industries including property development, electrical construction, private healthcare, boat building and, the coup de grce eggs! On that bombshell, Im signing off. Toodle-oo, John

An extraordinary firm, with extraordinary people, on an extraordinary continent.


Africa is complex. It is multi-cultural, multi-lingual, geographically vast and steeped in political history. At the same time, the modern business world is increasingly less interested in Africas past and primarily interested in working in a unified, seamless context. KPMGs organisational structure allows us to manage our operations in a way that makes the most sense in terms of the efficiency and effectiveness of our operations. Our business model, common tools and methodologies, as well as shared values allow us to work with our clients seamlessly across borders. kpmg.com
2010 KPMG Africa Limited, a Cayman Islands company and and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (KPMG International), a Swiss entity. All rights reserved. Printed in South Africa. mc6332

TABJ Team
John Pinching | Editor | johnp@tabj.co.za Ben Watts | Staff Writer | benwatts@aubj.com.au Laura Hedges | Editorial Assistant | laurah@tabj.co.za Vladimir Lukic | Creative Director | vladimirl@georgemedia.ca Chris Moore | Sr. Advertising Designer | chrism@georgemedia.ca Margaret Oldham | Sr. Graphic Designer | margareto@georgemedia.ca Wincy Law | Sr. Graphic Designer | wincyl@georgemedia.ca Tanya George | Advertising Designer | tanyag@georgemedia.ca Marc Mauricio | IT/Production Support | marcm@georgemedia.ca Natalie Edney | Head of Sales | nataliee@tabj.co.za Khayyam Darr | Research Director | khayyamd@tabj.co.za Andrew Miskin | Research Director | andrewm@tabj.co.za Brett Haigh | Research Director | bretth@tabj.co.za Justin Lejuene | Research Director | justinl@irjonline.com Hugh Braithwaite | Research Director | hughb@tabj.co.za Dee Nazer | Research Director | deen@tabj.co.za Michael Alexander-Jones | President | michaelaj@georgemedia.ca Linda Neal | Chief Executive Officer | lindan@georgemedia.ca Naveed Yusuf | Chief Information Officer | naveedy@georgemedia.ca Gemma Parkins | Executive Assistant | gemmap@tabj.co.za Heather MacPherson | General Accountant | heatherm@georgemedia.ca Simon Curran | Vice-President/Publisher | simonc@irjonline.com

South africa office GEoRGE MEDIA InC. 23 Wellington road Parktown, 2193 Johannesburg

uK office 2 Sheen road richmond Surrey uK TW9 1ae

Table of cOnTenTs
november 2011 | volume 2 | ISSue 11

036
cOver feATure Business

geTTing gOlD grAcefullY Muse news coming out of africa The freight of your life: sAAff interview with David logan sOuTH AfricAn Mining Digging up dissent JOHn PincHings sTreAM Of cOnsciOusness The argument for mining fOOD AwAkening South african food expert nina De Winter takes
us on a voyage through her nations rich tapestry of snacks.

010 022 030 036 042

DeBATe lifesTYle

048 056 062 074 082

invesTMenTs HeAlTHcAre cOnsTrucTiOn

MAkOYA grOuP Wise investments sTeve BikO AcADeMic hospital best practice s&B grOuP swAzilAnD Super group ciTrine cOnsTrucTiOn on your sparks

010

104

Table of cOnTenTs
november 2011 | volume 2 | ISSue 11

elecTricAl PrOPerTY

rOBBies elecTricAl Together in electric dreams


In-nOvATe The AMBer DAwn of a new era

086 092 098 104 112 124 134 138 146 152

PrOPrOP TrusT & MOunT rOYAl land of hope and glory TiMe PrOJecTs The right Time in botswana
Mining cOMMuniTY The diamond doyens OBlique engineering

swArTlAnD MuniciPAliTY The Swartland swing MuTuAl sAfe AnD securiTY grOuP locking good kiePersOl POulTrY fArM Good with the chicks AliBOATs all aboard

fOOD & Drink nAuTicAl

146

134

GettinG GOLd Gr
When your business deals with the shiniest of all natural resources its almost impossible not to smile. Why not, its the most precious metal known to man, bar none
gOlD HAs AlwAYs had a lot going for it. It makes men laugh, it makes women cry. It appears amidst great fanfare in the good book and, perhaps most notably, it is the name of Spandau Ballets second most famous hit! Gold has always been untouchable when it comes to kudos, mystery and sex appeal, but has it still got it? John Pinching heads for the hills!

racefuLLy

BY JOHN PINCHING

12

SECTION Title

chippinG away: GOLden GOssip w


HOw DiD YOu geT inTO THe Business? I worked as a journalist, writing about the industry for 25 years, then Gold Fields came along and offered me a great [golden, surely?] opportunity. After years being on the outside looking in, Im now very much on the inside looking out. HOw HAs Business Been recenTlY? Very good indeed. The gold price has soared; were in a very comfortable position and looking forward to a great future. DiD THe recessiOn HAve A Big iMPAcT? Not in the slightest. [See, I told you it was still No.1!] Being a significant player, weve got a solid reputation and all our major customers have complete faith in us. The recession really didnt touch us. sHOulD we All clOse Our BAnk AccOunTs AnD sTAsH gOlD unDer THe BeD? Peoples perception is that gold is a safe investment and thats the way its always been and always will be. If you go to the new emerging markets in China and India there wHATs iT like TO sTAnD nexT TO A lOAD Of gOlD BulliOn? First, I try and pocket one. Joking! Ive covered the industry for years so its not that special to me anymore. When I look at gold I am much more impressed by how it got there in the first place, the effort that goes into it and how the men create the finished product. Unlike us white collar bureaucrats, these are tough guys, working 3000 metres undergroundwhat they do is astonishing. wHAT MAkes gOlD sO DesirABle? I think its the legacy. Thousands of years ago some people saw the value in this beautiful metal, that glitters, and the world has been charmed ever since. As a result of it has maintained its asset value like no other material. Theres nothing fundamental that underlines itits just perception and history. is a huge demand for gold as a safe investment. Some people even prefer to deal with gold than cash in some areas. Storing it under a safe bed wouldnt be a completely reckless thing to do.

OCTOBER 2011 The African Business Journal

13

with GOLd fieLds sven Lunsche


HAve gOlD fielDs gOT AnY Big PlAns fOr THe neAr fuTure? We want to significantly increase diversification. The company is potentially going to open four new mines, adding to our existing portfolio of eight mines. In the next few years we want to become a truly global gold mining company. Its great to be in gold and these are exciting times for the business.

Thousands of years ago some people saw the value in this beautiful metal, that glitters, and the world has been charmed ever since. Theres nothing fundamental that underlines itits just perception and history.

14

SECTION Title

GOLd recOrd
At the time of writing South Africa holds an impressive 35 per cent of global gold resources, while exporting an incredible 99 per cent of all gold output. Despite not providing energy or fuel, Gold is still regarded as the most important mining sector, contributing 27.4 per cent in mineral revenues, and employing 56 per cent of mine labour force. Although production has been gradually declining, the industry has undergone some major changes to improve productivity and reduce costs. Evidence of this is shown by the dramatic decrease in working outgoings, from an average cost of over $US 300/oz to $US 246/oz. Although, in contrast, the cost of production in the USA is $US 189/oz, there are other factors such as the working hours of miners in a gold-rich environment, the notoriously fluctuating South African economy, working conditions and equipment, that drive costs higher than in other less productive regions. Some significant restructuring of South Africas major gold producers has resulted in AngloGoldrecently listed on the LSE and NYSEand Gold Fields becoming the countrys major producers. Other notable players in South Africa include DRD, Harmony, ARM Gold and Avgold.

OCTOBER 2011 The African Business Journal

15

Despite not providing energy or fuel, Gold is still regarded as the most important mining sector, contributing 27.4 per cent in mineral revenues, and employing 56 per cent of mine labour force.

16

SECTION Title

Our man in africaafrica man in Our


This gold merchant from northern africa explains why working with the most seductive substance in the history of mankind is everything its cracked up to be. We have decided not to name him because it will create an air of exotic mystery and, er, because he doesnt want to be named.
HOw lOng HAve YOu wOrkeD in THe inDusTrY? I started gold trading, in partnership with my father in the 1970s when, after going into decline, the gold price suddenly erupted. Back then I was involved in mining, selling or buying a bit of an opportunist. It was a more transient existence and we would travel 100s of miles, based on a whisper or an overheard rumour. Chasing riches was exciting. Finding them was a thrill you never grow tired of. Eventually, in the 1990s, I ended up in Tanzania where I started working for one of the bigger gold mining operations. Have you been able to make a living? In a way you dont choose gold it chooses you. Very early on I was awe-struck by it. I manwAs THe inDusTrY full Of sHADY cHArAcTers, BAck in THe DAY? I wouldnt use the word shady, but there were certainly characters, but thats what has made it so interesting. In the 1970s and early eighties there were more than there are now. People in beige suits would turn up in bars, looking for bars! They didnt seem to have aged to get my hands on a few considerable nuggets and, believe me, after holding a lump of solid gold in your hand you become hookedit transcends its monetary worth and becomes something you love for what it is. Anyone who has ever stood next to a pile of gold will know what it feels like. No one gets the same feeling from a stack of paper money. I have done okay but, for me, its not just the money. The life I have had, the people I have met and the places I have visited could only have materialised in the gold industry. I wouldnt do it again in the modern era because it is too driven by the big organisations. People like me are an endangered species. Were like gold dust!

OCTOBER 2011 The African Business Journal

17

People in beige suits would turn up in bars, looking for bars! They didnt seem to have a past and they didnt seem to have a future. They were there to get rich, live in the moment, and enjoy the mystery of it all.

a past and they didnt seem to have a future. They were there to get rich, live in the moment, and enjoy the mystery of it all. Youd get to know people from Iran, Afghanistan, Russia, America and there was even a guy from Scotland. After a while they would suddenly disappear and youd never see them again. wHAT is THe fuTure fOr gOlD in AfricA? As long as gold exists it will always have a future. Gold

mining in Africa generally is now very closely regulated. North Africa is coming into line with most of the South African legislation and, therefore, some of the smaller players have been wiped off the map. Legitimising mining activities into a highly legalised political framework has been positive, but when I look back to when I started, it seems like a golden age

18

SECTION Title

GOinG fOr GOLd news from the w

sAMArAnTA secures gOlD DeAl Samaranta Mining Corporation has secured negotiation rights to Gold and Platinum mining in Choc, Columbia. Columbia is seen as one of the most unexplored areas in the world for gold. The company have 90 days to execute an agreement with the Columbian Council.

lOMikO DiscOvers gOlD AnOMAlies The 2011 soil geochemistry survey has shown numerous gold irregularities with values of up to 0.279 g/t on Lomikos Vines Lake property. The survey covered a total area of 5,403 Ha, where Zinc and Silver curiosities were also found. Rock samples and drill results are pending confirmation.

OCTOBER 2011 The African Business Journal

19

worlds most precious industry


AusTrAliAn gOlD-Diggers Thor mining has commenced a 10-hole drilling programme at Australias Spring Hill Gold project, 150 km North of Katherine, in search of more gold. The project currently hosts 274,000 ounces and the first drill programme will investigate the immediate depth extensions, with north and west extension investigations to follow. gOlD BAr venDing MAcHines Gold-bar vendgOlD flOw frOM cOngO A new period for mining in Congo has begun as a $209 million gold mine has been opened in the hills of the Northeast. The mine lies on a 200km gold belt and hopes to produce 120,000 ounces every year. sAuDi TO reTurn gOlD-BAr MOneY - After borrowing USD$50million from Societe General in Australia to buy 12.5kg of gold bars, the Saad Group in Saudi Arabia has been ordered, by the High Court in London, to return the money. Although Australia sought and received a guarantee from Maan Abdul, he failed to comply with the terms made. ing machines are becoming increasingly popular and can now be found in China, Miami and several European countries, and there are plans for 2,000 more to be distributed worldwide. The machines produce gold bars, coins and wafers in exchange for cash or credit/debit payments, and the pricing is electronically updated every ten minutes. gOlD Mine POlisH - A goldmine in Gladstone, Colorado, has offered to pay more than $6million to help clean up former mines. The operation will focus on four mines in the area, which officials say are dumping more around 800 gallons of contaminated water into the nearby Cement Creek.

20

SECTION Title

GOLden nuGGets
In the Aztec language, teocuitlatl is the name for gold, and it means the excrement of the Gods. On the surface of the earth, the greatest concentration of gold is in the ocean, but the current cost of extracting it is more than the gold is worth. Absolute pure gold is so soft you can mould it with your hands. For day-today monetary use it is hardened by the addition of copper, silver or other base materials. Our bodies contain about 0.2 mg of gold; most of it is in our blood. Nearly 40 per cent of all gold ever mined was recovered from South African rocks. The largest gold nugget found to date was in Australia in 1869, and weighed over 78 kg. Intramuscular injections of liquid gold are a successful treatment for rheumatoid arthritis. One ounce nuggets of gold are rarer than five carat diamonds. Gold has always been recycled, so there is every possibility that any gold you own will be thousands of years old. Pure gold is non-toxic to humans and does not cause any irritation when ingested; some alcoholic drinks even contain metallic gold. Marilyn Monroe had a number of kitchen utensils made entirely from gold, including a cheese grater, spice rack, tin opener and surface protector.

OCTOBER 2011 The African Business Journal

21

Goldfinger (1964) Third in the James Bond franchise. Sean Connery tackles scarily empowered women. The Man with the Golden Gun (1974) Roger Moore targets a killer with a penchant for tight tracksuits GoldenEye (1995) Tie-adjusting Pierce Brosnan very nearly loses to a girl in his first 007 assignment The Golden Girls (1985) Co-habiting pensioners defiantly turn back the clock. Hilarity ensues, naturally. Gold (1983) Seminal chart-topper by new romantic kilt-wearing, eradefining Londoners, Spandau Ballet Golden Years (1975) Inventive, coke-inspired and nostalgic addition to the David Bowie canon. Abba Gold (1992) Compilation of the Scandinavian quartets ubiquitous dance floor masterpieces

GOLd in pOpuLar cuLture

22

Muse news coming out o

NEWS IN REVIEW SECTION Title

inDiAn uni AfTer AfricAn Business eTHOs fOr sTuDenTs Indias Gujarat Technological University (GTU) is encouraging more of its MBA programme students to take up case studies of African nations in order to gain a sufficient understanding of its trade practices. Dr Akshai Aggarwal, GTU VC, said that enough study and reference material has been completed on the UK and US markets, and stressed the importance of studying other nations. Hiren Thakerspecial officer for the project is said to have received positive feedback from countries worldwide to join the scheme. Students now have the choice of visiting 15 different countries, including Tanzania, Zambia, Australia, Canada, Russia and several countries across Asia and Europe. Thaker explained: Once selected, they will be travelling in groups of six and, when the nations are finalised, we will contact the respective embassies to help students once they land in the foreign country. Aggarwal wants his students to learn about nAirOBi sTill cHOcOlATe-cenTre Of cADBurYs kenYA Nairobi will remain the hub for the manufacture and distribution of Cadburys Kenya products, despite recently being bought out by US-based Kraft Foods. The factory in Nairobi is in the process of a major upgrade that will involve automated production lines of dry powder and food drink products, as well as an ultra-modern distribution centre. Marion Gathoga, the country director, would the growing business modules, trade practice and to get a feel for the general culture of the country they are assigned to, in order to present their findings back to tutors upon their return.

SEPTEMBER 2011 The African Business Journal OCTOBER

23

of africa
Despite the continuation of manufacturing in Nairobi, job cuts will occur asin order to achieve a high performancenew skills are due to be incorporated through internal training and recruitment. Last year, Kraft Foods announced that it would cut 10,000 jobs globally in order to reduce costs and improve cash flow. ziMBABwe secures suMMiT suPPOrT not reveal the budget for the upgrade, but said: The investment will position Kenya as a focused manufacturer of food and beverages, supplying the broader East Africa market. After fears that Cadburys Kenya would be relocated to other markets that offer greener operations, Gathoga also stated that the company will retain Kenya as its gateway to the region, because it is a key market in their business unit and has been consistently growing over the last two years. Last year the company dropped the manufacture of chocolate in Kenya and moved it to South Africa, meaning Kenya now depend on shipments either from South Africa or Egypt. At the US-Africa Business Summit in Washington DC, Charles RayUS ambassador to Zimbabwe has encouraged American businesses to carry out proper research and invest in the country. The Bankers Association of Zimbabwe, the Zimbabwe National Chamber of Commerce and Deloitte Zimbabwe were among the representatives for the Zimbabwean business community at the summit. Despite policy inconsistencies, the International Monetary Fund has noticed the expansion of Zimbabwes economy, which has been growing faster than any Southern African country since 2010. Zimbabwe is changing and it is changing relatively quickly. said Ray, Although it has

24

Muse news coming out o

NEWS IN REVIEW SECTION Title

investors from Russia, Brazil and China, Americas presence remains fairly limited, and I hope that situation changes soon. Ray highlighted his confidence in the opportunities available throughout Zimbabwe, and added that rather than spending time talking about past issues, the US should instead be focusing on moving towards a brighter future for both countries. Zimbabwes ambassador to the US, Machivenyika Mapuranga, was pleased with the outcome and said the summit marked a new chapter in the fundamental relationship between Zimbabwe and the US.

YOuD BeTTer Bee-lieve iT A Black Economic Empowerment (BEE) deal has been struck up between financial services group Aon and the Vurhonga Consortium. The dealwhich also involves backing from BEE Investment company Tamela Holdings and Precious Prospects; a womens empowerment groupwill see Vurhonga acquire a 25.1 per cent shareholding in Aons South African business for an anonymous sum. CEO and South African chairman of Aon, Anton Roux, said: We are delighted to be joining hands with two partners who are very competent in the corporate business and public sectors, and which have such a diverse group of women involved.

SEPTEMBER 2011 The African Business Journal OCTOBER

25

of africa
A segment of the shareholding held by the consortium will next year be allocated to an employee-share ownership scheme for historically disadvantaged Aon employees, in order to further enhance the extensive nature of the deal. Alongside Vusi Mahlangu and Makoler MaponyaChairpersons of Vurhonga Consortium Precious Prospect chairperson, Namane Magau, will join the board of Aon South Africa as part of the new proposal. Mahlangu spoke of her delight in partnering with such a reputable, international company like Aon in South Africa, and said: We look forward to a successful long-term relationship. The contract is expected to be finalised soon. sATAs zAMBiAn susPensiOn President Michael Sata has announced that metal export permits have been temporarily suspended in Zambia. The move comes after concerns were raised that Rupiah Bandaof the previous administrationhad neglected to properly regulate shipments abroad. In his newly elected position, Sata is acutely concerned with cleaning up corruption in Zambia after it was revealed that Banda paid little attention to where the countrys metal exports went. Sata has sacked the chief of the anti-corruption agency and the central bank governor, dissolved the boards of three state agencies and cancelled the sale of Zambias Finance Bank to South Africas FirstRand group, believing that the deal was counterfeit. The metal export suspension is temporary and it is expected that new regulations will require all copper exports to have certification from the central bank in order to improve taxation. Presently the mining industry only contributes about 10 per cent of tax revenue. Three-quarters of Zambias export earnings come from Copper distribution, but Mining Ministry official Godwin Beene said: This is just a temporary suspension, which will be lifted soon, so there is no need to panic. New regulations and permits are to be issued during October.

26

Muse news coming out o


opment Goals project, Jeffery Sachs, said: We are thrilled by the rapid gains that the Millennium Village communities are making in the fight against poverty, hunger and disease. wHen eAsT MeeTs eAsT Airtel Tanzania Limited has issued a statement announcing its new, lower rates for calls to Kenya and Uganda, with whom Tanzania shares a border. The rates, now at 2/50, are a direct result of discussions over unifying the relationship between the countries, in order to reach full regional integration. Sam ElangalloorAirtel Tanzanias Managing Directorsaid: We will lead from the front in providing affordable and innovative services while taking into cognisance that our consumers are embracing a borderless East African Community. He added that cross border interactions are growing exponentially, and that it is only natural that Airtel subscribe to this presence in order to connect people with their friends, family, and business partners, enriching peoples lives in the process.

NEWS IN REVIEW SECTION Title

BilliOnAires MilliOn DOllAr PrOMise Billionaire financier George Soros has promised $27.4m to aid a development project which target villages across rural Africa. Over the next five years he will also provide $20m in loans, supporting business efforts in those areas. Sorosfounder and chairman of the Open Society Foundationssaid that board members originally opposed his plans for donations, when he put forward the idea five years ago, but now has their support. The Millennium Villages project aims to help 500,000 people in ten countries across Africa, addressing issues such as child and maternal mortality, extreme poverty, primary education, gender equality and the ongoing HIV/AID pandemic. So far, the project has increased the number of houses with accessible, clean drinking water in the villages from 17 per cent in 2006 to 68 per cent today. The percentage of students benefiting from school meal programmes has also increased over the last five years from 25, to 75 per cent. Special advisor on the U.N. Millennium Devel-

SEPTEMBER 2011 The African Business Journal OCTOBER

27

of africa
He replaces Matthew Tagg, who will stay on as a non-executive director of the board, and remains majority shareholder of the company. Wyatt-Gunningwidely known for starting Storm Telecomhas been involved in the field since 1996, and joined the Web Africa Sales and Marketing team as the Chief Officer earlier this year. Founded by Tagg in 1997, Web Africa is now a multi-million Rand enterprise boasting 125 employees and thousands of ADSL and hosting customers. Wyatt-Gunning has highlighted his aim to continue the focus on small business and Standard Bank released a report revealing statistics of 15 million mobile subscriptions in Africa during 2000. For 2010 this figure was more than 500 million, making East and Central Africa the regions with the highest mobile subscription growth rates in the world. It is expected that 2015 will see nearly 800 million further subscriptions. wYATT On THe weB Tim Wyatt-Gunning has taken over the position of Web Africa CEO. high-end consumer markets. Alongside discussions regarding possible 3G and voice products, Wyatt-Gunning said that Web Africa is listening to customer feedback, and consumers can expect to access to more products in the coming months. Although Tagg remains majority shareholder of the company, Web Africa is now split between Rupert Bryant, Tim Wyatt-Gunning, Smartcom and Tim Parsonson; co-founder of Storm Telecom with Wyatt-Gunning.

28

Muse news coming out o

NEWS IN REVIEW SECTION Title

BcA fix On fOrnA fOr sierrA leOne The Business Council for Africa (BCA) West and Southern has elected a new in-country representative for Sierra Leone. Sheka FornaChairman of Splash Mobile Money and CEO of Elixir Groupaims to achieve better business in Africa through publicising commercial and economic opportunities in the country, promoting network opportunities and providing practical assistance to members currently doing business in the region. He hopes to use this knowledge and experi-

ence to support the BCA. The experience of returning from the UK and establishing several start-up businesses in Sierra Leon has made me very aware of the needs of potential investors, he explained. For the last seven years, the role has been occupied by David Johnson, who is now looking forward to retirement. The BCA provides tremendous insight into what is happening on the ground and an excellent forum for networking, he reflected. I wish Sheka the best of luck in moving Sierra Leones business economy forward, he added.

SEPTEMBER 2011 The African Business Journal OCTOBER

29

of africa

DOHA DiscussiOn Delivers DOssier fOr g20 A G20 meeting hosted by Sheikh Khalifa Bin Jassim Al ThaniChairman of ICC Qatar and Qatar Chamber of Commerce and Industry (QCCI)has allowed leading companies in the Middle East and North Africa to discuss important business messages for G20 leaders on stimulating economic growth and job creation . ICC Secretary General, Jean-Guy Carrier, has stated that worsening global economic conditions have renewed the urgency for governments to make job creation a priority,

regardless of stretched public finances. According to Carrier, solutions to the global debt crisis and unemployment rates involved reducing trade barriers, boosting domestic demand, empowering consumers and appreciating currencies. The meetingwhich was held in Doha, Qatar, was one of a serieswith others taking place in Mexico, Hong Kong and Zurich. The outcomes will form a basis for the G20 summit later in the year. TAB

THe freigHT O

030

SaaFF interview with D

Business

David logan

Of YOur life

32

BUSINESS SaaFF interview with David logan

Furthermore, the regulatory environment has brought its own set of challenges with the Consumer Protection Act, new Companies Act and Draft Customs Bills remaining major concerns for the South African freight forwarding industry.

Keep your head above water


Freight forwarders operate in an industry that is hugely dynamic and constantly undergoing changes that have a profound effect on the way that we do business. We operate in a

David logan, Ceo of the snappily-named South african association of Freight Fowarders (SaaFF), explains why the good health of his organisation is essential to the restoration of the economy
ecOnOMicAllY sPeAking 2010/2011 has been one of the most challenging in our countrys history. During this period many businesses have endured a bleak winter, which finally seems to be lifting. There should still, nevertheless, be a note of caution, as the fragile conditions in the USA and UK, European debt crisis and recent Japanese nuclear disaster, still suggest that industry leaders need to remain vigilant for some time. We should also remember the political challenges on the African continent, which continue to exert pressure on businesses.

pressure cooker environment that demands our forwarders remain ahead of regulatory changes and demands, surf increasingly volatile economic waves, compete for skilled staff and invest in technology and innovationall the while managing the business dynamics of running a successful business. Anyone who thought this was an easy entry industry needs to think againespecially if they want to last longer than a year! Despite the tough trading climate of the last three years, SAAFF, along with many of its members and providers, have enjoyed many successes and important achievements on behalf of the industry.

New horizons
With the assistance of strategy consultant Dr. Ray Eberlein SAAFF has undergone a dramatic

NOVEMBER 2011 The African Business Journal

33

reinvention including a new vision, mission and value system. During the process we analysed the forecasted political, economic, social, technological, environmental and legal arenas, over the next five years, and how changes in these areas would impact on business and the association. The result has been a reinvention of the association, and its board, as an internationally recognised professional members organisation that facilitates international trade. Its vital to note that the transformation of our association is on-going and will continue to evolve in order to meet market demands and dynamics. The main objective of this reinvention is to transform SAAFF into a professional association representative of the Southern African transport industry, facilitating trade into and out of Southern Africa and, ensuring that members receive a value added service.

Qualifying
In addition to these projects SAAFFs annual congress serves as amelting pot of all topical issues and challenges facing the industry, providing a platform to debate with renowned international and national speakers. This years conference was themed Embracing change through innovation, collaboration and education and proved a great success for delegates looking for thought leadership and input on business challenges currently facing the industry. SAAFF also launched a Learnership in 2010 that invites candidates to complete the level 3 and level 4 certificates in Customs Clearing and Forwarding, giving them an international qualification and global mobility. The association is also due to launch the Higher Diploma in Supply Chain Management for those with an even greater appetite for studying. The process of customs modernisation

34

BUSINESS SaaFF interview with David logan

continues at a rapid pace with SAAFF having played an important role in assisting SARS to bring about many improvements and enhancements. To assist our members, SAAFF fully sponsored a series of training sessions across the country during 2010, focussing on Customs Modernisation, all of which were oversubscribed. SAAFFs invaluable role in this process was acknowledged on World Customs Day with an award, from the World Customs Organisation, for exceptional service to customs administration in South Africa.

Staying afloat
SAAFFs many successes to date can be attributed to the incredible work of our Board members at national and branch levels, which freely give their time and expertise to execute the mandate of the association and deliver real, tangible business benefits to our members. They also liaise closely with many government departments and parastatal institutions, dealing with a vast array of matters such as customs, port health, trade permits, border controls, export control of perishable products, cargo handling, security at harbour terminals and airports, plant quality, railway services and road freight legislation. The Association also uses its collective voice to determine and recommend practical and effective

NOVEMBER 2011 The African Business Journal

35

responses to the many challenges in the business and regulatory frameworks which affect the commercial interests of clients. This would be impossible to achieve by only one individual company. SAAFF is the vehicle by which members can, in a cost effective manner, secure consistent and effective representation on forums which influence their business. The result is that technological and legislative developments do not compromise service quality and delivery, but rather enhance it, and that impediments to international trade are minimised. In the future, as much as we seem to have shaken off the worst of the economic slowdown, recovery is still painstakingly slower than anticipated. The market is certainly much smaller and there is significantly more competition among the key players. It makes perfect sense for the industry to be mobilised in a forum such as SAAFF, where it can collectively find solutions to challenges and resolve issues that, if tackled individually, would be virtually impossible. Even the most agile forwarders will need to be highly responsive to market conditions if they are to prosper in the new economic environment. Fortunately SAAFF is perfectly poised to keep providing pivotal support to our members in the months and years ahead. TAB

new sAAff iniTiATives*


Review and revise the current SAAFF constitution and restructure by outsourcing selected portfolios using both full-time and part-time consultants Improve relationships with members by meeting with senior management on a regular basis and better understand members requirements Develop collaborative and working relationships with government departments such as South African Revenue Services, Transnet, National Ports Authority, Department of Transport, Department of Trade and Industry, Department of Labour and Department of Public Enterprise Increase collaboration and working relationships with the Chambers of Commerce and other transport sector associations such as the South African Shippers Council and The Road Freight Association Carry out a feasibility study on training requirements within the industry and implement the results Increase communication with our members at all levels of management by using technological advances The SAAFF National website will be rewritten as part of improving communications with our members *Some of these projects have already been initiated and are nearing completion.

sOuTH Afric
Digging up dissent

036

Business

cAn Mining

38

BUSINESS South african mining

Since the discovery of diamonds in the 1860s South africa has been a major international player in the mining markets; but as tough market conditions and social issues take their toll on the economy, TabJ looks at some of the major problems facing the countrys mining sector.
BeHinD everY successful economic story stand one or two industries that helped transform and modernise a country. In the case of resource-rich South Africa it is the mining sector. While the southern tip of the African continent is well known for its 150-year-old diamond trade, it was in coal and gold that the country would find its industrial calling. South Africa is also a leading chromium, palladium and manganese producer, and is the planets principal producer of platinum. The mining industry accounts for 18.6 per cent of South Africas gross domestic product and in 2010 earned the country R17 billion in corporate tax revenues and R6 billion in royalties.

infrastructural problems. In more recent years striking workers have affected the countrys industrial efficiency. The 2007 strikes, coordinated by the South African National Union of Mineworkers (NUM), saw close to a quarter of a million workers putting down their tools to protest about unsafe working conditions at the countrys mines. Not helped by this years industrial strike season in South Africa, in the year up to June the output of the mining industry has contracted by 5.1 per cent in comparison with the previous years performance to June, according to figures released by Statistics South Africa. In July hundreds of thousands of workers across South Africa went on strike to demand higher salaries. Statistics SA says: Seasonally adjusted mining production decreased by 6.3 per cent for the three months ending July 2011 compared with the three months ended April 2011. The main contributors to the 6.3 per cent decrease were platinum group metals (contributing -4.7 percentage points) and coal (contributing -2.1 percentage points). Actual mining production was 1.4 per cent higher for the three months ended July 2011 compared with the three months ended July 2010. A year-on-year decrease of 5.1 per cent

Industrial strife
Despite being home to a host of resources within its borders the country has suffered from years of boycotts related to the apartheid era, a succession of internal economic crises and

NOVEMBER 2011 The African Business Journal

39

was recorded in July 2011 compared with a revised 0.1 per cent decrease in June 2011. The powerful NUM Union has also been active recently by warning that more checks need to take place regarding Chinese investment in the countrys mining sector. Its general secretary, Frans Baleni, says that Chinese investment in South Africa needs to be viewed with caution. The union released a statement saying: The NUM has reliably learnt that China is stockpiling chrome and ferrochrome in order to dictate prices in the future. This, the union believes, is tantamount to colonisation of a special type. Rob Davies, the trade and industry minister, has responded to concern over Chinese interests

by emphasising the fact that South Africa has been considering a number of ways in which the two countries can positively interact economically with each other. China, as the largest investor in this country, has undertaken to invest largely in mineral beneficiation and we have already submitted to them a list of what we want we are looking at their commitment on that, Davies remarks.

Unstable ground
The mining sector has been described as the heartbeat of South Africas economy, but the lack of a stable political situation is causing major problems to the industry. Many within

40

BUSINESS South african mining

the sector are concerned at the direction the current administration is taking in respect to its efforts to quell the effects of the global financial crisis, with nationalisation being promoted by many within the ANC. The powerful ANC Youth League, led by the controversial figure of Julius Malema, has even called for the introduction of a policy that would allow the State to take 60 per cent of all mining companies, while the senior party has appointed a task team to investigate the merits of nationalisation. Chamber of Mines of South Africa CEO Bheki Sibiya said recently that South Africas government should focus on bigger challenges, such as the high levels of unemployment, instead of the nationalisation of the countrys mining sector. There is too much at stake, Sibiya says. Investments in South Africa should be protected and a legacy needs to be saved for our children. The economies of the countries that have nationalised have suffered. South Africa may not be broke, but the country does not have sufficient liquidity, so the question becomes, how can we afford to nationalise with compensation? According to the Chamber, nationalisation without compensation would result in the downgrading of South Africas sovereign rating and would lead to a fall in foreign direct investment.

NOVEMBER 2011 The African Business Journal

41

A spike in illegal mining would also increase if mines were nationalised without compensation, Sibiya warns. Perhaps one of the larger short-term concerns for South Africas mining sector is the fear that international investors will begin to shift their focus to neighbouring developing markets. Botswana was recently placed joint fourth in ResourceStocks magazines annual World Risk Survey South Africa didnt even feature in the top ten. But unlike many of its neighbours the country has in place a comparatively strong infrastructural platform, enabling South Africa to present itself as an international mining giant. Success stories remain visible as evidenced by the countrys booming coking coal industry, which Coal of Africa (CoAL) CEO John Wallington says, along with deposits in Mozambique and Zimbabwe, has huge potential and could lead to an rise in exports from ten million tonnes of chocking coal a year to more than 50 million tonnes. Currently Australia supplies two-thirds of the coking-coal market at a rate of 170 million tonnes a year. But Wallington says that Southern Africa and Mozambique could be the next Queensland. If you add the three [countries] together, you are looking at something very significant, says

Wallington. As we develop and explore further, perhaps that ten million tonnes can be doubled over the next 20 years. Certainly, the potential is significant. The long-term gold outlook also looks positive with prices within the sector currently flying high and demand remaining steady. Research firm RCR says that gold equities have outperformed broader world markets over the past decade with the best performing index being that of South Africa, which has grown by 22 per cent over the last year and 35 per cent in the past three months. With prices close to the $2,500 an ounce mark, gold could lead play a vital role in stabilising South Africas economic and political situation. With a more established infrastructural system in place than any of its neighbours, and vast resources to hand in a variety of markets, South Africas position as Africas leading resource centre remains strong, even if domestic concerns over economic and social policies remain palpable. TAB

sTreAM Of cOnsciOusn
The argument for mining

JOHn PincHings

ness
i knOw THis is a bit of a sensitive subject, folks, so my hard helmet has been tightly securedalbeit at a jaunty angleand my rock hammer is poised. Im here to talk about why mining is ultimately a good thing. In the last couple of years mining has rarely been out of the news. Most notably among the column inches have been two very human stories; one of which would end in celebration, and the other, tragedy. Both, however, commanded a captivated global audience, which gradually became gripped, as multimedia platforms reported on what seemed like a very old fashioned nightmareminers trapped underground. The Chilean band of brothers remained entombed in the San Jos mine for 69 days and, of course, emerged to great fanfare, acclaim and, for one, a wife and mistress. Countless documentaries have followed and a film deal is imminent. Recently, thousands of miles away, in Wales, there would be no fairy tale ending for the four miners of the Swansea Valley Mine. All of the men were found dead after the pit became flooded. Although the consequences of these incidents were vastly different, there was a sub plot in the narrative of both that drew universal admirationthe courage, camaraderie and character of mining communities. Their quietand, at times, very louddignity, spoke volumes about, not just mining itself, but the social structure that is as much a by-product of the occupation as slate or iron or copper or gold.

Rock and role


In the last four decades a cornucopia of debates about mining, mines and miners have raged, often explosively. Moral, ethical and environmental disputes hover over this proud industry like an opaque cloud of coal dust. More often than not the voices shouting the loudest emanate from people who have never seen a mine, let alone been down one. Opponents are often a faceless majority within the mining debate, and will jump in to the melting pot (smelting pot?) without any real appreciation of the sociological complexity of the industry. The sceptics are holed up,

not underground with a pick axe, but in a basement, with a computer. Their Avatars stand up in defence of the so-called victims, preaching about the rights of a worker for whom they claim kinship, but with whom they have not even spoken. The truth is that a great many miners count the perceived risk to their health as one of the reasons they do the job; an adrenal kick which provides excitement rather than fear. While I appreciate that there are some miners whose human rights and working conditions need urgently addressing, there are many, many more who love their job and whose idea of hell

is actually much closer to the surface of the earth, sitting at a desk. On which point, it would be worth noting that there are many more disillusioned, disenfranchised and depressed people in the magnolia-coated safety of offices than there ever have been in the mines. Indeed, it is the pristine population looking lifelessly at their screens for eight hours who feel most disconnected with reality these days. Look again at the shell-shocked, ashenfaced bankers who trooped disconsolately from Lehman Brothers offices and compare them with the faces of those miners from Chile or, for that

Thatcher comes to power

Tories announce controversial mine closures

Miners take industrial action, resulting in strikes, demonstrations and riots

Unemployment rises steadily throughout UK; mining communities destroyed

1979

1984

1984 - 85

1986

NOVEMBER 2011 The African Business Journal

45

matter, the photos of smiling miners that don the walls of countless museums. There are also other aspects of mining to consider, like the social cohesion which is at the heart of this unique occupation. Lifelong friendships are forged, families bond, a support system emerges and, above all, men and women are afforded a certain amount of job security and a wage packet. Its easy to talk about the dangers of mining, but what job isnt without its inherent risks? As humans we thrive on the danger of existence. To eliminate risk is to eliminate life itself.

Working environment
The most volatile topic when it comes to mining is not directly connected with the perceived plight of the labourers, but the actual impact it has on the planet. Exhausting natural resources, polluting mother earth and causing untold damage to the landscape are all accusations levelled by mining sceptics. In the welter of finger pointing, perspective particularly with something as big and robust as the Worldis all but lost. Lest we forget; this mysterious place we call home is massive, gargantuan, impossibly huge. Through the haze of

Total mine closures reach 97

Culture of unemployment and lack of dignify emerges

Terms like chav surface to describe a disenfranchised sub-culture

Riots rage across Britain as feral groups tear up city centres in a frenzy of looting

1992

1999

2002

2011

these superlatives, the point Im trying to make is that our resources, while they are exhaustible, are still in huge supply. Even if they were to slowly disappear, shouldnt we show faith in mankind to overcome the quandary; especially one this distant? Homo sapiens have always had a penchant for creative solutions (and long before management jargon had rendered the term creative solutions meaningless). While were on the subject of creation, where on earth do the people who crucify mining think computers, televisions, houses, wedding rings and the ground beneath their feet come from? Hemp? Give me a break. Without many of their material goodsmany of which will contain a copper wire or twothey wouldnt

even be able to canvass their opinions in the first place. The truth is that there will be alternatives. Man will eventually make PCs out of egg shells. Who knows, perhaps a Steve Jobs clone will start fashioning Apple products out of, er, apples. In 400 years time someone will probably coin the phrase, which came first, the golden delicious, or the iphone. My great conviction is that man has the ability to adapt. Man is remarkable. Man is formidable. Man wont let something like a lack of coal or oil get in the way of him having a good time. We live in a society where, increasingly, instincts lean toward panic and hysteria rather than judgement and knowledge.

NOVEMBER 2011 The African Business Journal

47

Rest in pieces
Englandonce the jewel in the mining crownstill bears the wounds of a collapsed industry. Former Prime Minister Margaret Thatcher embarked on a ruthless crusade against mines and factories, severing a vital artery that has never healed. Thatchers capitalist vision was seen as the antithesis of a largely socialist mining workforce, whose pride in their jobs was a greater currency than right wing greed. The destructive tendencies of the Conservative government toward the mines exploded into the violent riots of 1984-85, during which minersbacked by union leader Arthur Scargillfought running battles with the police. It was a gallant and very public display of unity that would ultimately fail. The mines were closed and the men drifted home for the last time. Machinery ground to a halt and was left to decay, like ghostly epitaphs of a bygone age. Once the television cameras had departed, the abandoned workers were left without jobs and, in the case of many, barren of hope. One of the very foundations upon which Britain was built had beenquite literallyundermined. Without work many of the ex-miners took to

languishing on sofas (if they were lucky enough to have kept theirs) or the bottle. Their children the next generation of minerswere forced to witness at first hand, this disturbing sequence of events, and it is this stage in the domino effect that echoes through the towns and cities of 21st Century Britain. This seed of apathy has germinated in the form of antisocial behaviour and young people being caught in the slow tornado of the benefits system. Was it the doctrine of despondency, to which so many have been exposed in the eighties and nineties, which boiled over into the lawlessness and destruction that took place throughout Britain this summer? Those who doubt the place of mining in the world should, perhaps, take heed, and be very careful what they wish for. TAB if YOu HAve A view On THe Mining DeBATewHeTHer iT Be POliTicAl, sOciAl, envirOnMenTAl Or OTHerwisePleAse wriTe TO JOHnP@TABJ.cO.zA we will eiTHer Be HigH-fiving Or TrADing BlOws As YOur resPOnses Are incluDeD in nexT MOnTHs fOllOw-uP iTeM.

fOOD AwAke

South african food expert nin takes us on a voyage through rich tapestry of snacks.

lifesTYle

ening

na De Winter h her nations

048

50

LIFESTYLE South africas favourite snacks

wHen TrAversing cOnTinenTs and cultures, one common ground reaches beyond language, class and racefood. There is no better way to explore a country than through its eating habits. With this in mind, Id like to take you on a whirlwind journey of South Africas philosophy, people and history, through its wonderful snacks.

survive turbulent climates, while also providing vital nutrients. The even more experimental Local African tribes consumed dried worms. Yes, thats right, worms! More about that later Before we start our journey, lets take a peek inside our padkos basket. Most families heading on a holiday these days have the option of stopping off at a service station, but a few decades ago it was essential to have a basket packed with snacks. My familys hamper always had a selection of small cold beef meatballs (frikkadelle), grapes, cashew nuts, hard boiled eggs, dried beef sausage (dro wors), fresh buttered rolls with dried beef slices (biltong) and rusks to accompany that other essential item of luggage the coffee flask. Now, if youre sitting comfortably, lets take a trip.

History in the making


Going on a long journey or big trek has helped to form, not only South Africas cultural history, but its food history as well. Back in the days of ox-wagons and walking barefoot across mountains, there were no cooler boxes or ice-packs to keep travelling snacksor padkos as theyre fondly knownfresh. This led to pioneers drying meat, fruit and baked goods, naturally preserving them in the process. Consequently, these snacks could

NOVEMBER 2011 The African Business Journal

51

THe snAck HigHwAY


1. This brings me back to our pioneering forebears (Voortrekkers), who dried and salted game and beef to preserve it. This is known as Biltong (from the Dutch word). As dried meat is also lighter in weight and easy to transport it became the ideal protein to take on long journeys and is still one of the best loved snacks in South Africa. Now follow me up North to the Limpopo province.

2. Limpopo, home of Baobabs nature reserves and rich cultural heritage, is also home to the Mopane worm. This curious green and blue caterpillar is the larvae of the Emperor moth and feeds on the Mopane trees leaves. When theyve grown fat and juicy they are harvested and the juices extracted (squeezed out by hand!) so they can be dried. Once dried they are enjoyed as a high protein dry snack on the goworm biltong, yum! Those who dont like dry heat, endless bushveld or worms, should head for our national highway, the N1, to the Cape. This route is important for our snacking journey as, along the way you, will pass numerous road stalls that offer a selection of quintessential snacks.

52

LIFESTYLE South africas favourite snacks

3. My personal favourite is the guava roll, consisting of a large sheet of minced and pressed fruit with a slightly leathery consistency. Tear off a piece and let the fruity flavours envelop your tastebuds as it softens. Another great fruit fix are dainties, a colourful mixture of minced fruit squares rolled in granulated sugar. A little warning though, these are seriously addictive and too much dried fruit on a long stretch of road could cause a problem or two

4. As anyone that has made the long journey to the Cape can vouch, you drive and drive and then drive some more. Somewhere in the heart of the Karoo, with its endless stretches of arid landscape surrounding you, a coffee break essential and no coffee break is complete without a rusk. For anyone non South African, this is not a baby rusk, as most of my UK friends first assume. Made from bread type dough and twice-baked, these little beauties are great for rumbling tummies at any time of day or night. Most commonly available as buttermilk or aniseed rusks these crunchy, substantial snacks are a South African staple. Again, our heartfelt gratitude goes to those stalwart pioneers.

NOVEMBER 2011 The African Business Journal

53

5. Now weve made it over mountain passes and finally arrive in Cape Town. All that driving can work up a thirst, so time to unpack, grab a cold Castle beer and rustle up a Cape Malay favouritechilli bites. These deep fried, spicy chickpea flour balls are a fantastic savoury snack and usually have sweetcorn or onion and tomato added for variation.

54

LIFESTYLE South africas favourite snacks

6. The night after the long drive you will be rewarded with a delicious breakfast snack to set you up for a day of sightseeing. A light cinnamon Cape koeksister rolled in coconut should is just the ticket. This is akin to a donut, but has warm syrup poured over it and has mixed spice, cinnamon and ginger aromas. If you decide to browse the local markets you will most likely come across another typical Cape snack called Mebos. Also a fruity snack, it consists of whole apricots soaked in brine and then dried in the sun. They are then tightly packed with thick layers of sugar in between, giving them a lovely sweet and sour taste.

7. And so on to the last leg of our whistle stop venture, in Kwazulu Natal. Well be flying for this journey, as its far quicker than driving, but dont forget your snack. Salted cashews or chilli peanuts anyone? Say no more! Touching down on the tarmac in Durban humidity will hit you like a warm wet towel. The warm ocean and sticky heat lends itself perfectly to Indian inspired cuisine from the local Indian community. These snacks have become part and parcel of Kwazulu Natal and South Africano wonder this region is known as the land of curry.

NOVEMBER 2011 The African Business Journal

55

8. Some of my favourite holiday memories include eating a spicy vetkoek on the beach front in Amanzimtotia south coast townin the early evening. Vetkoek can roughly be translated as a fat cake, or deep fried dough ball, which is cut open and stuffed with savoury (usually curried mince) or sweet filling. Hot climates and spicy food go really well together and this brings me to the last spicy addition on the snack menu, the Samoosa. These filo pastry parcels are stuffed with a variety of fillings, before being fried, allowing a crispy outside with a warm gooey filling on the inside. Bliss!

I hope youve enjoyed our taste bud-tingling jaunt through South Africas compendium of culinary delights. Be sure to visit soon and try these timeless treats for yourself. TAB

056

MAk

Wise

invesTMenTs

kOYA grOuP

e investments

58

INVESTMENTS makoya Group

The makoya Group is giving blackoperated businesses in South africa the chance to succeed in a marketplace crying out for added value and innovation.
invesTMenT grOuP MAkOYA provides a range of investment opportunities designed to support the energy sectors and the rail industry. Established in 2000, the South African organisations core focus is on strategic investment opportunities for black-owned small, medium and micro enterprises (SMMEs). Consisting of three divisions (cargo services, supply chain holdings and investment holdings),

Makoyas initial focus was on the establishment of a development platform for SMMEs under the governments Black Economic Empowerment (BEE) reform policy. This entailed the management of a portal that would enable SMMEs to receive non-core services from their peers on a shared basis. This platform allowed SMMEs the freedom to operate and grow under a mentorship programme that gave such companies access to a range of management expertise. Having built on its experience and reputation over the past decade Makoya has developed a broad knowledge of both the domestic and foreign

NOVEMBER 2011 The African Business Journal

59

Building Our World Together

CSE is a distributor of capital equipment in South Africa, specically Case construction equipment among others, and has been well established in the local market for 51 years. CSE has an extensive distribution network of branches and dealers which cover the major centres of South Africa. Alex Ackron (National Manager) 011 922 2000 | www.cse.co.za

Johannesburg 011 922 2000 Cape Town 021 380 2600 Pinetown 031 705 3390 Port Elizabeth 041 484 6240

markets, combined with international legal expertise and extensive trade links, helping it become a true South African business leader. The company aims to ensure that all investment deals it carries out achieve a quick turnaround as the investment arm of the company grows to become a well-respected business partner to those who seek that professional approach to targeted investment opportunities. As it looks to build long-term, successful and collaborative business relationships, the group is able to deliver optimised solutions based on amicable business values that run throughout the companys day-to-day operations.

Making its mark


Since 2008 Makoya has been the preferred loading service providers for TFR and Eskom, and in July 2010 the group became involved in implementation of the Camden Coal Terminal (CCT) at Eskoms Camden Power Station. In 2009 the firm took on a key role in the Eskom Road to Rail Strategy and in December 2010, Makoya began operating as a Level 1 BB-BEE contributor, the highest achievable BB-BEE status. Makoya promises to add value to its customers businesses by continually improving and applying international best-practice principles, while at the same time ensuring its workforce is guaranteed job

60

INVESTMENTS makoya Group

NOVEMBER 2011 The African Business Journal

61

in Makoyas set of business values. We are an honest, just and caring company that integrates our business values with our dayto-day actions, the company proclaims on its website. Our commitment to integrity makes us an organisation that stakeholders trust and want to be associated with. To us, excellence means attaining peak performance levels, attention to detail and a better work environment for all. This contributes to our long-term competitive advantage. Makoya is also committed to assuring high levels of economic responsibility. Consistent with our values of integrity, excellence and teamwork, we believe in fair and profitsecurity and comfortable working conditions. Once it has completed operations at Eskoms Camden project, Makoya will have helped reduce traffic on South Africas roads by close to 400 truck trips per day. We have stringent quality and safety processes in place within our organisation, says Makoya Group CEO Kenny Malgas. In addition, our logistics partners who operate under the Makoya mantle are extremely dedicated to the task of streamlining the coal supply chain. able long-term economic returns for all, with a strong focus on advancing historically disadvantaged South Africans, asserts the company. By using the Makoya emblem the company is working to bring credibility to smaller entrepreneurs through a development concept entitled M-Powered. The aims of the branding is to adds the required class and assurance of operational competence to SMMEs in the transport and mining sectors to create even greater appeal with financiers and contract principals. TAB

Vital values
Integrity, excellence and teamwork all rank highly www.MAkOYAgrOuP.cOM

BesT PrAcTic

062

Steve biko academic hos

HeAlTHcAre

spital

ce

64

HEALTHCARE Steve biko academic hospital

healthcare provision has to be administered with patients in mind. When Steve biko academic hospitals staff arrive for work, its the first thing they think of.
THe sTeve BikO Academic Hospital is a tertiary healthcare institution, which provides a highly specialised range of services. Patients are referred to this famous and historical institution by their local clinics in South Africa. The newly erected building, with its modern fittings and extraordinary array of cutting edge gadgetry, has proved a great success and, due to this formidable blend of experience and fresh impetus, it has produced some of the most impressive results in the country. None of it would have been possible, however, without the legacy of its previous incarnation. Time to step back in time

NOVEMBER 2011 The African Business Journal

65

66

HEALTHCARE Steve biko academic hospital

History lessons
Long before the emergence of the Steve Biko building, the first hospital in Pretoria was in an old house near the military barracks in Potgieter Street. The institution offered 130 beds but, despite expansions in the early part of the new century, the hospital became too small for the growing population of the city. The brutal flu epidemic of 1918 underlined the need for a bigger

facility and, after becoming dilapidated, the old building was replaced. Patients and personnel occupied the new hospital on 14 March 1932. This momentous date began a magical mystery tour of different names, starting with the Pretoria General Hospital. A ground-breaking faculty of medicine was established in 1943 and, combined with the hospital, formed an academic institution. At that

NOVEMBER 2011 The African Business Journal

67

68

HEALTHCARE Steve biko academic hospital

NOVEMBER 2011 The African Business Journal

69

time, during World War II, it was only the third academic health establishment in South Africa, and the sixth in Africa. The academic institution grew over the years to include other facilities such as the maternity Hospital, ear, nose and throat Hospital and the orthopaedic hospital.

In 1967 it was renamed h F verwoerd hospital. after 30 years of that exotic title it became Pretoria academic hospital. In 2008 the hospital finally opted for the Steve biko academic hospital for the time being at least!
Modern medicine
A relocation programme for the new Steve Biko Academic Hospital, began in 2006. It is now situated about 800 meters directly north of its former location. The old site is now called Tshwane District Hospital; a modern community facility with 200 beds. Unique features of the new Steve Biko Hospital include state-of-the-art medical equipment with the total value of R442million. These revolutionary, state-of-the-art and life-changing resources include an MRI Scanner, two 64-Slice CT Scanners, digital radiology and a Picture Archiving Communication System (PACS).

70

HEALTHCARE Steve biko academic hospital

The modern design of the hospital lends itself to functionality, efficiency and productivity. Theatres, ICUs, X-rays and associated wards are located on the same floor, therefore being fully in tune with medical staff requirements and ensuring that theatre patients do not have to depend on lift transport.

Other notable facilities include the largest kitchen in South Africa (no more inedible hospital food!), 832 beds, 53 ICU beds, 21 high care beds, 61 observation places, 108 beds in the oncology complex, 22 theatres, 19 Lifts, 80 consulting rooms and a new computed tomography (PET-CT) scanner.

NOVEMBER 2011 The African Business Journal

71

Small cells dont have to lead to big problems.


Siemens answers help doctors detect diseases earlier, enabling affordable solutions and extending lives.

www.siemens.com/answers
When diseases are caught early, they make less of an impact on everyone. We offer innovative solutions to improve the quality of care and streamline hospital processes before, during and after treatment. With Siemens advanced diagnostics technology, doctors can accurately identify dangers earlier like cancer and heart disease, so patients can get the treatment they need sooner, enabling a healthcare , longer life expectancy. Wherever there are tough healthcare questions, were answering them.

Answers for life.

72

HEALTHCARE Steve biko academic hospital

NOVEMBER 2011 The African Business Journal

73

FOR A PERSONILIZED COMPLETE SOLUTION CONTACT US:


JHB (T) 011 869-7010 | DBN (T) 031 201 7958 CT (T) 021 555 4402 | PE (T) 082 744 4798

New Medica Endoscopy (Pty) Ltd is proud to be in association with Steve Biko Academic Hospital. We are pleased to announce that we have supplied and installed the following systems at Steve Biko for a complete endoscopic system: Confocal-, Safe-, EUS-, Gastroscope - and Colonoscope systems.

SOLE DISTRIBUTORS IN SA FOR:

New Medica Endoscopy intends to develop its sta with the agency and market needs, in a controlled and insightful manner to meet the market demands, that are constantly being demanded by the market

We of the Steve Biko Academic Hospital are one

Steve biko is also the only teaching hospital in South africa that accommodates a hospital and the university clinical departments offices in one building. This cohesiveness has galvanised communication between the sections and created very productive working relationships.
The staff are passionate about maintaining the inspiring philosophy that has been central to the institutions success. Dr. Ernest Kenoshi explains:

in spirit, and have the vision of a bird in flight. We serve our community with dedication and vigour, ensuring a service of unsurpassed excellence! Well, with that sort of approach, it comes as no surprise that Steve Biko Academic Hospital expects to be in rude health for another 100 years. TAB www.PAH.Org.zA

s&B gr
074

cOnsTrucTiOn

rOuP swAzilAnD
Super group

76

CONSTRUCTION S&b Group Swaziland

NOVEMBER 2011 The African Business Journal

77

It does its business on the land, on the Swaziland (and beyond), to be precise. S&b Swaziland Group has been building, assembling and variously constructing for thirty years, and just like its creations, the company is still going strong.
if YOu wAnT a job done properly, experience is the key, but sometimes, what you really want, is a bit of modernisation. Of course, in an ideal world, youd happily take an intoxicating fusion of both reliability and adventurousness. As the headline so boldly suggests, S&B Group Swaziland offer exactly that.

National hero
S&B Group Swaziland is a dynamic group of construction and engineering companies that deliver innovative, high quality and cost effective services. Like BMXs, Joy Division, ET, leg warmers and break dancing the company exploded onto the scene during the hedonistic 1980s. Its safe to say the company has been getting into the groove ever since. Indeed, its philosophy of continuous innovation and diversification, while embracing change and working as a team towards a common goal, has created a solid foundation for sustained success. S&B first opened its offices in Swaziland after the completion of the prestigious palace for King Mswatti III. Today, almost a quarter of a century later, the group has grown to become one of the biggest contractors in the country.

78

CONSTRUCTION S&b Group Swaziland

Cementing the name


The company is led by a highly versatile team of directors who, between them, have well over a century of industry experience in Southern Africa. Managing Director Derek Du Plessis thinks cohesion has been instrumental in the longevity of the company. At S&B we nurture a unified business mind-set and promote a culture based on entrepreneurial spirit and the constant pursuit of excellent performance levels, he said. The quality of our delivery is directionally proportionate to the well-being and job satisfaction of our employees, he added.

Through its hard-earned reputation as an investor in people, the company has created a culture that workers are proud to be associated with. This environment, along with the challenges and opportunities that S&B provide, has proved to be a great way to attract the highest calibre of talent. Once recruited, staff are put through development and training programmes to ensure they are armed with the knowledge and expertise which makes the company stand out from its rivals.

Heavy duty
S&B undertakes a compendium of large industrial

NOVEMBER 2011 The African Business Journal

79

80

CONSTRUCTION S&b Group Swaziland

construction projects such as mining infrastructure, factories, high-volume storage facilities, processing plants, smelters, furnaces, mills, petrochemical plants and auto industry facilities. The companys geotechnical operation also has the experience and expertise to design and construct deep level foundations and lateral support solutions in the most challenging geological conditions. Due to the broad range of assignments that S&B completes the company has accumulated all manner of construction equipment and vehicles. In order to uphold the high levels of efficiency

clients have come to expect, S&Bs policy is to continually invigorate its plant, equipment and fleet resources with new additions. An established network of workshops across Southern Africa, are devoted to the upholding and maintenance of the equipment and vehicles. Meanwhile, the plant is also regularly inspected and certified, ensuring complete compliance with all safety and operating standards. Our heavy industrial capabilities are so versatile and represent a pivotal part of the business. We take pride in ensuring that we stock the best equipment and make sure that

NOVEMBER 2011 The African Business Journal

81

across the full spectrum of power supply facilities, from the construction of stations, cooling towers and chimneys to mechanical, electrical and instrumentation work. As the world switches on to alternative power the company is also rapidly developing expertise in renewable energy generation via wind, solar and hydro power. Meanwhile, S&B has played a big part in the development of the Southern African transport infrastructure, including roads, freeways and major national transport nodes. The company is also the leading specialist in the construction of roads, freeways and bridges, helping to galvanise businesses throughout the country. The additional building of airports, railway technological advances are incorporated into the business, said Du Plessis. Over the years we have established longstanding and fruitful relationships with most of the major mining houses, he added. They include clients from the coal, diamond, gold and platinum industries. stations and port facilities has been instrumental in keeping the country moving and a vibrant place to trade. The company also facilitates the conveyance, storage and distribution of water to assist in urban development and have successfully constructed a variety of dams, irrigation schemes and water treatment plants. S&Bs broad and multifaceted operations have meant that it can witness the galvanising effect it has on people, communities and trade. There can be no greater reward for a company that gets its inspiration from transforming lives. TAB

Electrifying
The expertise, high standards of engineering and commitment to providing power for local communities has resulted in S&Bs involvement in many high profile power projects. It works tirelessly

082

ciTrine cOnsTrucTiOn
on your sparks

cOnsTrucTiOn

84

CONSTRUCTION Citrine Construction

Citrine Construction are a 100 per cent black owned company, but its staff arent the only ones feeling empowered by a well organised and fruitful business. The company empowers hundreds of buildings in its region every day
if YOure An electricity company, just starting out, you might be forgiven for beginning with a few plug changes. It was an indication, however, of Citrines ambition and confidence that its very first assignment was to electrify the enormous Gateway Housing Settlement Project. No wonder each and every one of Citrines workforce carry out their services with a high voltage smile.

pany with the platform to quickly grow its expertise and become a one of the Western Capes leading providers of electrification services. As Citrines reputation for turnkey electrical solutions has developed, so too has its product offering. Among its accreditations is the much prestigious Eskom EsCO, allowing the delivery of light voltage and medium voltage reticulation services.

Green practices
Established in 2005, Citirine is a 100 per cent black owned business. The company is driven by the original vision of Price, whose personal ethos and commitment to modernisation continues to shape the direction of the company. In its short but exciting history the company has taken a keen interest in sustainable energy and, in 2008, branched out into energy efficiency initiatives and renewable energy solutions. Inspired by sound environmental techniques and preserving the planet, Citrine has forged a number of key partnerships with photovoltaic energy, solar water heater and smart electrical and water meters suppliers. In addition the company is passionately committed to supporting the governments housing and infrastructure development objectives. Throughout its six years trading, a major goal

Scale electrics
Throwing ourselves straight in at the deep end proved to be a good move. Bringing together the people, processes, materials and funding to electrify homes was incredibly hard work but also very rewarding, enthuses founder Nazeem Price. It put us on the right track at the beginning of our journey and we have been thriving ever since. The experience of excelling in its inaugural project has provided this young, ambitious com-

NOVEMBER 2011 The African Business Journal

85

has been to keep engaging with social projects by delivering a brilliant service that will have long term benefits for local communities. This includes employment of local labour and helping to develop their skills. As South Africa goes through a property development boom the company is excited to be playing their part in some historic developments. We have a unique business model that enables us to work effectively with prime contractors as well as to merge our own technical staff with other service providers teams, says Price. We integrate third party resources into our working rhythms and this allows for the forming of these multi-disciplined teams. The ability to assemble reliable and highly skilled groups from a diverse pool of talent has enabled the company to take on all manner of projects, building a reputation for much soughtafter versatility in the process.

Project the company has experienced several other success stories. Other completed projects have included significant work for Eskom, Sobambisana Community Property Developments, Ibuyile, Seakay Property Developers, Power Construction and City of Cape Town. There have also been countless internal jobs including 400 homes in the Joe Slovo development, 3900 dwellings in the Delft 7-9 residence, 710 dwellings in Newrest development and many more. The companys contribution to the countrys reticulation works has also been considerable. Memorable projects include the installation of 2000 service connections for the Delft Precinct housing development, the installation of 500kva mini-subs in the area of Khayelitsha and the supply, installation and commissioning of 300 solar water heaters in the Darling Township. With so many other ventures taking place over the next few years, and a workforce that takes pride in every switch, wire and fuse it installs, the company is looking forward to surging into its seventh year. TAB www.ciTrine.cO.zA

Citrine chapel
During South Africas property industry boom in recent years and the need for multi-skilled workmanship has been reflected in the demand for Citrines services. As well as that first major construction assignment at the Gateway Housing Settlement

rOBBies el

Together in ele

elecTricAl

lecTricAl

ectric dreams

086

88

ELECTRIC robbies electrical

In this increasingly futuristic realm we call Planet earth, electrical construction has never been more essential. During many years of high voltage service robbies electrical has enjoyed the buzz of every projectno wonder it has sparked up such a great relationship with its customers
we live in a world where almost every activity involves power. Digital radio, laptop, HD ready, 3D telly, speakers, Playstation, train station, space station, imagination, camera, ipod, iphone, ipad, icantkeepup! Fortunately, Robbies Electrical keeps its finger firmly on the pulse and has been for nearly two decades!

Lets put it like this, said Robinson, Jnr. There are many more advantages than disadvantages, to working with your family. You know that there will be debates but youve all got the companys best interests at heart. Since those heady days in the early 1990s the company has expanded from a close knit few to an extended family of over 50. As the staff base has got bigger, so have the jobs and thats great news for a business that loves to light up peoples livesquite literally.

Surge spirit
The company started by carrying out construction work for Sun International, completing installation and maintenance work at Sun City where there are over 700 units. This is also where Robbies main branch is situated and its responsibilities include electrical improvements, carpentry and plumbing. For the last 15 years the company has also overseen the electrical management of Sun Internationals prestigious golf challenge. In addition Robbies has handled the recent hotel and golf club revamp, which includes a high voltage upgrade. This project alone was worth an electrifying R30 million. Another notable client is so loyal to the companys workmanship that they fly Donavan all the way to Nigeria to install 1500 kva and 1000 kva

Heres to you Mr. and Mrs. Robinson


When it comes to electricity, no one wants any nasty shocks. Getting the right service provider is the most important thing. Robbies electrical offer a friendly service which, literally, has electricity in its blood. Two generations of Robinsons can testify to that. Robbies Electricalss climb to the top of the pylon began 18 years ago. The company is run by Peter and Cheryl Robinson and their son Donavan, and from the very beginning it has been the epitome of the family businessfinely tuned machine that knows exactly where all those different coloured wires need to go.

NOVEMBER 2011 The African Business Journal

89

generators, both of which require Robbies expertise. The second branch is situated in the Northern Province at Thabazimbi Sishen Iron Ore Mine (Kumba). Robbies started the maintenance in February 2000 and, to this day, it continues to do electrical construction. The maintenance area at the mine consists of all of Kumbas buildings and administration offices, 120 mine houses in the town, several hostels, 200 staff houses, the holiday resort and the caravan park. There are also important responsibilities in the medical centre and hospital. Other notable customers are Grinika LTA, Marula Sun, WBHO, Gabarone Sun, Carousel Ca-

sino, Southern Sun, Mount Grace, WSP Consultants, BFBA Consultants, CKR Consultants, MLC Quantity Surveyors and Water World at Sun City. After his dads sterling years of service Donavan now runs most operations, and hes been happy to take on the leadership. The company is currently in the top five electrical companies in the region, with a very loyal customer base. Im starting to instigate a further expansion of the company and have been visiting the mines of the North West, where there are a lot of Anglo extractors. Ive already secured work and hope to launch further projects in the New Year, enthuses Robinson Jnr.

90

ELECTRIC robbies electrical

Spark
Donavan is also passionate about Black Empowerment (BE)the governments drive to give opportunity to previously disadvantaged, but highly talented people. In the last few years Robbies has added several black people to the workforce. The company puts a lot of guys through training to become qualifiedit doesnt matter what colour they are as long as they are good electricians! By overseeing quality control the company can impact on the overall skill level in South Africa. For the bigger projects the company often brings in temporary workers and the crew often amounts to over 200. As well as electricians the multi-skilled team consists of plumbers, carpenters, painters, pool cleaners and all manner of handy men. Even with so many people its a lot of fun because the company is run with a family ethos. I think a lot of the cohesion is generated because everybodys got so much passion and that is reflected in the projects we take on, whether the job is small or huge, explains Donavan. With several assignments ahead Robbies Electrical can certainly look forward to a bright future. No wonder its customers and staff have such great electricity. TAB www.rOBBieselecTricAl.cO.zA

NOVEMBER 2011 The African Business Journal

91

92

PROPERTY novate

In-no

09

NOVEMBER 2011 The African Business Journal

93

PrOPerTY

ovate

92

94

PROPERTY novate

NOVEMBER 2011 The African Business Journal

95

Through its Triple Point development, novate Property Investments is supplying South africas property market with residential and commercial options that provide homeowners and businesses with everything they need for a successful relocation.
DisPlAYing A fOrwArD thinking and innovative approach to commercial and residential developments in South Africas Eastern Cape, Novate Property Investments has found itself playing a major role in providing the local population and local businesses with great places in which to live and work. Since its formation in 1992, Novate has presented an eminent selection of value-generating opportunities to investors that seek a low-volatility appreciation of their assets.

96

PROPERTY Novate

F J

CONSULTING ENGINEERS cc

Civil, Structural Engineers & Project Managers

We are a small company of professional Structural and Civil Engineers that always gives a professional and personal service to our clients. We always spend time with the client to understand their needs and requirements before we start. By doing so we ensure that we have a satised client at the end of the project. No project is too small for us

Email address pieter.joost@mweb.co.za Pieter Jooste Pr Eng. 082 779 5221 or David Hickson 0825760067 Fax 042 7266256

Commercial and residential developments the company has delivered to date include Shangrila, Croyden Place, KFC and Ocean basket and My Pond Hotel properties in Port Alfred; Kwantu Shopping Centre in Alice; LaMpumalanga Shopping Centre in Mdantsane and an East London commercial development for Motorland Subaru (Beacon Bay Hub); Fiddlewood Lane in Cambridge and Triple Point in Beacon Bay. Through the conceptualisation and development of Triple Point, Novate has brought to market a brand that represents a live, work, play ethic to the property investment field at a

development similar in style to Johannesburgs successful Melrose Arch development. Consisting of three stylishly-designed apartment buildings, Triple Point Apartments Moya includes a collection of features ranging from views of the scenic Quenera River, north-facing apartments, state-of-the-art biometric access control, high-speed internet access and unique architectural features and trimmings surrounding each of developments building. Landscaped gardens, secure basement parking, private swimming pools and Rustenburg granite kitchen countertops are some of the other

NOVEMBER 2011 The African Business Journal

97

features that have grabbed the attention of buyers and investors. Investing into the development brings with it a five-year structural guarantee, while the apartments themselves come DSTV ready, with white aluminium door frames and sliding doors, ceramic floor tiles for bathrooms, carpets or laminates for living area, a Bosch under counter over and hob and an intercom system.

few minutes walk away from Triple Point piazza, office, gym and crche. Through this development Novate Property Investments the brains behind Triple Point has introduced what it describes as the next extension of space for inspired life. The companys approach to the Triple Point experience, it asserts, is dont work for inspiration make inspiration work for you.

The site also has CCTv and 24-hour manned security to provide residents with additional security.
Optional extras that bring addition value include biometric keyless entry, IP/SKYPE telephones, centrally-controlled alarm system, HDready TV installation, additional basement parking and storage units.

Respectable retail
Alongside the residential developments on the Triple Point site is 20,000 metres square of prime office and retail space. The space is available for rental or purchase, and comes with optional parking facilities. The modern retail, entertainment and conferencing facilities are just a few minutes walk away from the residential properties and bring with them the Triple Point quality stamp of approval. Their cutting edge design and close proximity to the Life Hospital give them both consumer appeal as well as access to an established customer base. Through its residential and office developments, Novate has turned the term Triple Point into an idiom for a quality, safe and inspired place to work, play and relax in comfort. TAB

Estate apart
Through the Triple Point development, Novate has brought to market Triple Point Estate, which features 35 luxury homes in a landscaped estate 16 of which have direct river access and all are available in four flexible designs. Customised interiors, double garaging and views of the Quenera River are other major selling points at the development, which sits just a

098

THe AMBer DA Of A new erA

PrOPerTY

Awn

100 PROPERTY amber Dawn

If you want to make a difference in this crazy world, you have to stand up and be counted. amber Dawn has stood up, walked around, breathed in the air and been amazed by the new horizons it has discovered
wHen AMBer DAwn decided it wanted to share its moral code and sense of social responsibility with fellow businesses, boss Ed Peen published his admirable manifesto. This light touch, as opposed to an aggressive marketing campaign, proves, once again, that the pen is mightier than the sword. By publishing his columnsaimed at people

involved in property development in Africa Peens has sought to educate, inform and encourage other businesses.

The haves and the have yachts


Amber Dawn was created after Ed Peen had emerged from retirement. Indeed, he had only just arrived back in his native South Africa after an extraordinary ten-year round-the-world hiatus. It should be pointed out that when he set sail he was still only 44! Peen takes up the story: I started in property back in 79 and took over as managing director of the company I was working for in 1980, and

NOVEMBER 2011 The African Business Journal 101

during the ensuing 12 months the company went from one office to 50 franchises, while the workforce rose to 500. After developing it into a major top-five company, I decided to retire in 1993. I needed a break, so my wife and I got on my yacht and went sailing! After a decade exploring all manner of exotic locations he decided to settle in his native South Africa. With the country he loves still in a transitional period, Peen was adamant that his company could contribute proactively to positive cultural changes. After such extensive traveling we decided to settle down for a bit and top up the old retirement fund again. We looked at all the countries that we visited, but decided to come back to South Africa, Peen added. opposite Ballito, which is the fastest growing area in South Africa. One of their first moves was to purchase 35 hectares of land which it converted into industrial parks and put on the market. The development included 22 mini-factories which were successfully sold and let. In the meantime, the small business started getting bigger, resulting in the formation of Amber Dawn. This initial activity had been an exciting experience for the company and, having weathered the storm from the economic downturn, Peen and his team have now set their sights firmly on phase 2 of the project. This next stage involves the develop-

Its a wonderful life


The pilgrimage back to the homeland proved to be an inspirational decision. South Africa is a wonderful country, with wonderful opportunities ahead and a wonderful future. Weve got our difficulties, the same as every country in the world, but as long as we can resolve those problems, the sky is the limit, says Peen. After getting his feet back onto dry land Peen was almost immediately seduced back into the property game, by some old partners. Initially, he got involved in a very big industrial development,

102 PROPERTY amber Dawn

ment of another 76 hectares and, at the time of writing, the team are already handling pre-sales.

in the population who were not maids, gardeners or bureaucratic officials. We were actually meeting genuine black businessmen with ambition, he says. It was a real revelation because these people owned businesses and had properties, but often had no idea how to unlock the value, simply because theyve never been trained. After encountering Princes of royal blood, mayors and agency officials throughout rural areas, the intrepid pair decided that they didnt want to be just another developer; they wanted Amber Dawn to get into ventures within the local communities and help them redevelop their properties. Consequently, joint partnerships with

Drive time
During the recession the company had a chance to refocus and at the beginning of 2011 an old of friend of Peens encouraged him to explore niche ventures. Peen explains: Peter and I got in a car and, over the last six months, weve travelled thousands of kilometres, visiting virtually every small, rural town in the area. Very quickly we came to an epiphany. For the first time in our lives we were meeting black people

NOVEMBER 2011 The African Business Journal 103

black businessmen have been the companys primary focus over the last six months. We value their property at a fair rate and then they come into our developments as shareholders, building their income in the process, says Peen. We also talk to municipalities and see what the needs are and work with them to develop the land that is available. The projects have significantly increased income for these rural towns and created many jobs.

that number 17 have become petrol filling station developments. From the remaining number Amber Dawn selected the top 30, which the team have started to develop those. Currently there are six shopping centres and eight petrol filling stations in the pipeline over the next few months. While changing the landscape, both culturally and physically, Peen continues to compose his digital newsletter, updating readers on his progress and also encouraging other property developers to work ethically with their countrymen. After all, building fairer partnerships actively galvanises, not only businesses, but the approach of an entire nation. TAB

Transformers
Since the ventures began 93 development opportunities in these rural areas have arisen. Of

Proprop Trust &

lAnD Of HOP 10

PrOPerTY

Pe AnD glOrY 04

& mount royal

106 PROPERTY Proprop Trust & mount royal

Proprop Trust and mount royal are c velvet-cushioned throne of property de have been crowned as some of the mo

NOVEMBER 2011 The African Business Journal 107

currently sitting proudly on the evelopment. Indeed, its structures ost impressive in South africa.

108 PROPERTY Proprop Trust & mount royal

wHen YOure invOlveD in the property game the old adage about not getting a second chance to make a first impression comes into very sharp focus. When Proprop Trust changes the landscape it puts its heart and soul into every brick. Consequently, its reputation has been built on classy, aesthetic buildings which embrace their surroundings.

This is how founder and entrepreneur Gerry Rehrl describes the events that led to the forming of Proprop Trust in 1996. Since those early days of an optimistic, post-apartheid South Africa, the company has had a steady rise to prominence with some sensational additions to its native landscape. Our activity is dictated by the property market. When we started the banks did not have a very optimistic view of the property market but after weathering the storm we were able to thrive during the boom years. The success weve had has

Foundations
It was a spontaneous reaction to a great opportunity, which arrived just at the right time.

NOVEMBER 2011 The African Business Journal 109

Security Forte cc
Electrified & perimeter fencing since 1982
Drew Bayly .. 08255 31676

drew@securityforte.co.za

UNASHAMEDLY ETHICAL

Fencing Since 1967


Originally introduced to professional fencing in Australia 1966/67. Installed the rst electried security fence in Cape Town for Beechams. Was responsible for design and installation of electried fences throughout S.A. for fuel industry as well as around many mines and key point installations. (Was dubbed by Kmdt Kitsho of ENGEN, as the father of electried fencing in S.A.)

Special Designs
Nondela Mountain Estate, Natal A barred (electried) panel fence which clips together (no welding) No stepping of panels ... the fence follows the slopes Electried strands also included ..... 5,130 mtrs installed

helped us to roll with the punches during the turbulence of the recent recession, explains Rehrl.
Examples of free standing electried fences

Seeds of success
Since starting 15 years ago Proprop Trust has delivered several memorable assignments. A notable early project was the incredibly impressive Vierlanden Heights. The complexa 32 hectare, mixed-residential developmentis located in the Northern most part of the Cape Metropole. This highly desirable environment is a good example of the companys determination to create a
Fence over a bridge, with special ood gates below ARABELLA GOLF ESTATE
We can highly recommend the services of Drew and his team who have provided the Estate with a very impressive fence solution. We have no reservations in our endorsement of Drew Bayly. -Terry Keller / Estate Manager Arabella Country Estate

110 PROPERTY Proprop Trust & mount royal

unique marriage between the elegance of nature and the ingenuity of modern design. As a project director, the highlight for me is walking on the virgin land before the transformation occurs. You experience the pristine, natural condition, and then afterwards, the satisfaction of having created a lovely area to live in, which really compliments the surroundings, enthuses Rehrl.

Its a tremendous thrill to be able to revisit these beautiful places and take pride in what youve brought to the scenery, he added.
The company tends to employ people on a contractual basis, depending on the size of the project and what sort of expertise is required. This has proved to be a candid approach, especially during the economic downturn, when many companies felt the constraints of long-term agreements. Rehrl explains that the practice of taking on bespoke workforces has been vitally important for the company, clients and staff alike. Teams are set up that are development specific. We now have a database of trustworthy expertise and from this pool of talent we select individuals, which form formidable groups, with excellent skill sets, he said. These relationships are then firmly established and carry on for many years.

Jewel in the Crown


In 2004 the company had the big break that would really put it on the map. It was given the responsibility for creating and ultimately overseeing the magnificent Mount Royal Golf and Country Estate, near Cape Town. With the scale of the project considered the company created Mount Royalan off shoot of Propropwhich has been tasked with the construction of this magnificent estate. Mount Royal provides its residents a blissful existence in breath-taking countryside, with unprecedented security and an 18-hole golf estate, all within easy reach of Cape Town.

NOVEMBER 2011 The African Business Journal 111

Well this writer is certainly convincedlove, have you seen my lucky putter!?

Cementing the future


The company could be forgiven for putting its feet up between rounds but its energy is still being invested in ambitious new projects. The next venturevery near the golf estate is currently in the advanced planning stage. It consists of over 200,000 square metres of land which will inhabit a state-of-the-art shopping centre, 150 bed private clinic, an office park and residential area. Like with Mount Royal, once the job has been completed many of the admin staff will be retained Rehrl describes how Mount Royals utopian vision has come to fruition. We have delivered a way of life that is almost idyllic. The tranquillity of beautiful surroundings, the sowing and harvesting of the land around you and the harmony of nature combine to provide an awe-inspiring experience. Mount Royal is now recognised as among the most stunning, modern and innovative golf estates in the world. It has emerged as a wonderful place to raise a family, launch a business or enjoy quality a retirement, a stones throw from Cape Town, the Winelands and the beautiful unpolluted West Coast Beaches. The company has certainly hit a hole in one that will never be forgotten. www.MOunTrOYAlesTATe.cO.zA to ensure the smooth running of the complex. With all this considered, the future certainly looks bright for a company that has always been keen, not just to talk the talk, but to walk the walkor the fairway, for that matter. TAB

TiMe PrOJecTs

The right Time in

PrOPerTY

n botswana

112

114 PROPERTY Time Projects

NOVEMBER 2011 The African Business Journal 115

botswana is one of africas fastest growing economies and, as money from the resource sector flows into the country, developments are springing up across the landscape. one company benefiting from the boom is project management and property developers Time Projects.

116 PROPERTY Time Projects

in AnY grOwing economy property developers and property managers are always going to be in demand; in Botswana, Time Projects has been providing both of these services in a country clocking up more than its fair share of economic success stories. Established in 1986, Time Projects has maintained a broad focus, delivering projects in the housing, commercial and property management sectors. Throughout its 25 years, the company has had a major impact on the changing landscape

of Gaborone, the capital city of Botswana, as well as other major commercial centres across the country. Recent additions to its ever-growing CV include projects in Botswana for the Bank of Gaborone, the South African High Commission, Deloitte and a selection of retail mall developments. The company has also worked closely with the Botswana Development Corporation (BDC), an autonomous government-owned body. A lot of our competitors will project manage or development manage projects, but we are

NOVEMBER 2011 The African Business Journal 117

118 PROPERTY Time Projects

actually happy to take the development risk on our jobs away from the client, says Time Projects director Brett Marlin. Time Projects also offers a turnkey project option whereby the company will guarantee the end cost of the development for the client.

There are only one or two other companies in this country that do property development, but I dont think there is anybody else that will do it on a turnkey basis like we have been doing, notes Marlin. Time Projects has been able to benefit from Botswanas economic situation, which continues to defy the global financial downturn, as development continues at a faster rate than for most of its neighbours. The only problem we had was about two years ago when the diamond mines closed, but that was really more of a slump than a downturn, says Marlin. But we certainly havent experienced

Booming Botswana
Despite development opportunities springing up across central and southern Africa, Marlin says that the company has restricted its business interests to within Botswanas borders, where it has what he describes as more than enough business to keep its hands full.

NOVEMBER 2011 The African Business Journal 119

275,803:
Monthly visitors. Executives and decision makers. Chances to promote your business.

TABJ is essential reading for Africas top business leaders who want to stay informed of current business news, industry topics and trends. The magazine offers readers a glimpse into major African industries including construction, energy, food and drink, healthcare, manufacturing and more, through comprehensive profiles of successful African companies. George Media is proud to promote business in Africa. Contact us today to advertise.

AFRICAN BUSINESS

THE

JOURNAL

www.tabj.co.za

120 PROPERTY Time Projects

NOVEMBER 2011 The African Business Journal 121

B&H ELECTRICAL

Construction and Electrical Contractors

Proud to be in association with Time Projects


B & H Electrical contractors has been providing electrical reticulation services in Botswana since 1989. From humble beginnings B & H has grown to be a respectable organisation in the electrical construction industry. This has been largely due to its dedicated sta who are determined to provide a professional service all the time.

Providing all your construction and electrical needs For more information please contact: Martin Venter martin@bh-electrical.com

anything like what has happened in South Africa and some other neighbouring countries. So were in a very lucky position at Time Projects. In Botswana we have historically steered away from high-rise, high-density buildings, and we have made our market in Botswana low-rise, low-density commercial office developments, he adds. A lot of companies want their own buildings and they would rather have a building that has their identity, which they can name, and that they dont have share with other businesses. Theres enough land in Botswana that we dont need to build massive high-rise buildings.

So weve really gone for low density, low-rise office developments, he notes. Time Projects provides a comprehensive project management service for both the housing and commercial markets. In Botswana people are perhaps not as used to developing property as much in other countries and they find it comfortable that they need to pay one person at the end of the month, Marlin notes. We take a raw piece of land and we will manage it from the development phase, to construction stage, and then hand over the building when it is finished.

122 PROPERTY Time Projects

We will appoint the contractor, the architect, the engineer and we will run that project for the client not only the day-to-day running of the site, but we will also run the account for them as well, he notes.

Engaging developments
One of Time Projects top developments is Prime Plaza, a four building, low-rise and low-density development with plenty of landscaping and seated areas around the exterior. The concept includes wide walkways between the buildings, a user-friendly office block,

NOVEMBER 2011 The African Business Journal 123


Exploiting technology to ensure innovative solutions to everyday structural and civil engineering problems

for the right reasons by ensuring value is added to the project. On the housing front, the company has undertaken a number of large jobs in Botswana, including a 400-house project in Kgale and a recentlyfinished 135-house project in Phakalane. We are probably one of the top two private housing developers in Botswana, Marlin boasts. Marlin says that over the next few years renovating and refurbishing existing buildings could be the next big trend in Botswana as

PROUDLY PROVIDING STRUCTURAL AND CIVIL ENGINEERING SERVICES TO PUBLIC &PRIVATE CLIENTS IN BOTSWANA

Exploiting technology to ensure innovative solutions to everyday structural and civil engineering problems
Tel : +267 3956753, Fax : +267 3972691, Email: admin@ada.co.bw, Private bag 0088, Gaborone, Botswana CELEBRATING 22YEARS (1989-2011)

people look to upgrade older building to topclass office accommodation. With 25 years experience combined with an eye on future trends it is perhaps little surprise that Time Projects is making the most of Botswa-

with a large amount of landscaping, says Marlin. The buildings are not crammed on top of each other and the space in between the buildings makes it a nice place to work. The company has even found itself embracing sustainability on the Prime Plaza development. Very few people in Botswana have taken on green building or adopted it into their buildings, so our vision is to take it to another level in Botswana, Marlin declares. Marlin says that he believes green building can and will catch on in Botswana, but only if the property sector remains careful and does it

nas economic awakening. TAB

OBlique engine

The diamond d
124

Mining

doyens

eering

126 MINING oblique engineering

NOVEMBER 2011 The African Business Journal 127

having built an impressive reputation within the diamond recovery industry, oblique engineering is now making a name for itself in the ore sector as the South african firm looks to make the most of its policy of diversification.

128 MINING oblique engineering

NOVEMBER 2011 The African Business Journal 129

Asgard Engineering

Specialising In Steel Structures Conveyors Tanks Pipes Plate work Sandblasting & Painting on Premises
Cc reg no: 2004/01350 Vat reg no: 456-0218-473 19 Forge Road Spartan stephen@asgard.za.com | tony@asgard.za.com | Tel: 011 394 6597 | Fax: 011 394 9428

fOunDeD in 1987 with an initial focus on the design and construction of diamond recovery plants, Oblique Engineering has continued to grow impressively, re-registered as Oblique Enterprises CC in 1988. More than a decade later in 2001 it was reregistered as Oblique Engineering (Pty) Ltd at a time when the company began to diversify its interests and undertake contracts for customers from outside of the diamond industry. Today Oblique specialises in providing turnkey engineering solutions for its clients, from the conceptual stage to the final handover and has

maintained a selection of strategic partnerships with companies from all major project disciplines from civil and structural engineering, to metallurgical engineering, and mechanical, electrical and instrumentation engineering. Working with some of the big names in the global mining industry, the companys main focus has shifted to manufacturing machines for the ore industries. When the market started wobbling we decided to diversify and when we diversified we entered into the chrome and PGM markets, says Oblique Engineering managing director Gary da Silva.

130 MINING oblique engineering

It was purely an economic thing as the market had gone flat and we decided we needed to diversify. Subsequent to our diversification weve found that the chrome and the PGMs markets have kept us alive.

At the moment were busy with the chrome and the PGM circuit near Rustenburg, where weve built a major chrome and PGM circuit for the client, says da Silva. Despite this, Oblique remains an experienced figure within the diamond recovery industry and has recently been in talks with a potential client to supply some of its machines into the Canadian market. When things went quiet in the diamond market Oblique decided not to terminate all interests

Rocking forwards from a hard place


Having overcome market downturns, Oblique today finds itself in a comfortable position with close to 95 % of the companys business coming from the chrome and platinum markets.

NOVEMBER 2011 The African Business Journal 131

in the sector, instead focusing its efforts in the industry on research and development. During the quiet period we redeveloped a diamond machine called the GB2.4; were now marketing the new machines we have developed and have been running them in our workshops, says da Silva. Were the only people now that build the GB2.4 in the world. The diamond industry is very small, he notes. Everybody seems to know everybody we dont advertise and its all based on word of mouth.

Da Silva says that there is a lot of trust involved in working in such an enclosed industry. All our projects are open book, he asserts. In other words we price the job and the client pays us according to the fee; were not a bank, we will not put heavy mark-ups on it, and anything we do is at any time open for audit. Working across so many fields, it is imperative that the company employees and commissions the right people for the right jobs. If we get a project or an enquiry on which

132 MINING oblique engineering

NOVEMBER 2011 The African Business Journal 133

we dont have the expertise in, we pull on resources from other people who will join us for the specific project, da Silva explains.

various mines for us logistics is not the do and die, asserts da Silva. As it looks to move further into the African continent Oblique has recently been looking at the possibility of building a copper plant in Zambia and is currently building a sort house in Botswana, which will act as a final recovery house for a new diamond mine in the country. The project will be commissioned and constructed in South African, before being dismantled and sent across the border to Botswana where it will be reassembled. With work continuing to flood into the companys inbox, and with diversification into other sectors working out as well as could of been hoped, it would seems that diamonds along with a few other minerals could see Oblique last forever. TAB www.OBlique.cO.zA

When the project is over, they will leave us and carry on with their own business, which allows us to be a small, dynamic company.
We dont recruit through brokers, he adds. We identify the person and we offer that person an employment contract for the duration of the project.

Diversifying its market bases


Known for its century-old diamond industry, South Africa is a bastion of knowledge when it comes to diamond technologies. As a result, Oblique has found itself providing key support to businesses from overseas markets. Many foreign companies also come to South Africa as it can be a lot cheaper to build something here than in Canada for example, says da Silva. The company has even been able to overcome the logistical problems associated with operating in South Africa and dealing with markets at the other end of the planet. If the client needs a machine, we will put it on a ship and then transport it by road to the

Swartland municipalit

THe swArTlAnD

north of Cape Town lies Swartland, an area rich in opportunity and flowing in the mellow population has access to the services it needs is Swartland municipality, one of the country

cOMMuniTY

D swing

ty

wness of rural life. ensuring its s most active local authorities.

134

136 COMMUNITY Swartland municipality

nesTleD On THe valley floor between two mountain ranges in the western coast of Cape Province is the picturesque region of Swartland. The area, home to some of South Africas most endearing rural towns, is recognised nationally for its agricultural output and the salt-of-theearth mentality of its locals. Ensuring that the local population has to hand all the services it requires is Swartland Municipality. Primarily based in the charming town of Malmesbury in the very heart of the region, Swartland Municipality is aspiring to be more than the average municipal authority. Dedicated to delivering excellence in all of its service, the Municipality believes in building and maintaining sustainable partnerships with it ratepayers. The services it provides range from water and electricity supply, to roads and public amenity maintenance, to the emergency services. The jurisdiction of the authority covers the towns of Abbotsdale, Chatsworth, Darling, Kalbaskraal, Koringberg, Moorreesburg, Riebeek Kasteel, Riebeek West, Riverlands and Yzerfontein, as well as its central base of Malmesbury, were its head office is based.

A helping hand
Whether its tariff information, official documentation, account payment options, or information about building plans, ratepayers are able to access information in person or online. Suppliers can also benefit from the authoritys online presence by accessing information on tenders and supply chain. The site carries the latest news, events, notices and vacancies at the Municipality. If you are a technophobe, do not fear, as each and every one of Swartland Municipalitys staff is individually and jointly responsible for keeping the authoritys wheels turning. In recent months the Municipality has been involved in implementing a high-tech sewerage works facility, which is currently under construction in the region, as well as working on a large community housing development. The authority has also worked with local developers Mount Royal and its CEO Gerry Rehrl the single largest property investor in the area. The Municipality is also dedicated to promoting the talent of tomorrow and has given young people a voice by setting up the Swartland Junior Town Council (JTC) back in 2007.

NOVEMBER 2011 The African Business Journal 137

Since its formation the JTC has been focused on the general welfare and social conditions of Swartlands younger generations. Throughout the several terms of office that have been undertaken by different JTC administrations a range of projects have been carried out including Mad about Me!, a campaign against teenage abuse, which ran in October 2008 and again in October 2009.

with members of the local population. Its mission, also stated on its online portal, is to ensure social and economic stability and growth through the sustainable delivery of all primary and secondary services to all the relevant parties. Along with its assertive mission and vision statements, the authority has published a Client Services Charter, which is also available to read on its website. The charter outlines the Municipalitys commitment to delivering excellent services to its ratepayers in a professional and transparent manner. Through the document, the authority promises to responsibly provide ratepayers with correct information, as well as promising to be reasonable and ensure its ratepayers interests are at the heart of its operation. With such a strong commitment to the people it is tasked with supplying everyday services for, and with a bold promise to uphold such obligations, those living under Swartland Municipalities jurisdiction will no doubt find they are free to get on with the trials and tribulations of their own lives. TAB www.swArTlAnD.Org.zA

In September of last year and october of this year a Youth Symposium under the theme b a gr8 u took place in malmesbury, which promoted entrepreneurial skills, and offering advice on topics such as healthy eating and teenage pregnancies.
Another successful project entitled Wheels of Caring took place earlier this year and encouraged local pupils to collect non-perishable items at their schools and in the community.

A vigorous vision
According to Swartland Municipalitys website, its vision is to build sustainable partnerships

MuTuAl sAfe AnD securiTY grOuP

lOcking gOOD

cOMMuniTY

138

140 COMMUNITY mutual Safe and Security Group

NOVEMBER 2011 The African Business Journal 141

South african security specialist mutual has more than 25 years of experience in providing businesses and individuals with the equipment they need to stay safe and secure.

142 COMMUNITY mutual Safe and Security Group

since iTs fOrMATiOn nearly three decades ago, safe and security manufacturer and supplier Mutual Safe and Security Group has seen South Africas political and social landscapes undergo huge changes. The company has, however, remained strong to its cause and grown to become one of the countrys leading players in the security industry. Founded in 1984, Mutual is today able to supply businesses with everything they need to ensure their premises remain safe, whether its safes and safety deposit lockers, or vault doors and bullet resistant pay windows, or even anti-bandit doors, fire resistant cabinets and fire extinguishers. South Africa has always been at the forefront of the security industry, because of the levels of crime we have experienced over many years, says Mutual Safe and Security Group marketing director Carol Green. We have had to stay ahead of the

criminals and advance our technology to the point where we are always one step ahead of them. About 20 years ago, the criminals were using fairly old-fashioned and forceful instruments, but that has changed and they have become more technologically advanced. The company has a manufacturing plant alongside its head office in Pretoria, with a second manufacturing plant located in the Southern Cape town of George, and branch offices in major centres across South Africa. Mutual also owns another business in California, run by Greens youngest son, which imports products from the South African entity and distributes them throughout the United States. We also export into many other areas such as the Middle East, across Africa and into Europe, says Green. We supply many banks throughout Africa and internationally, and petroleum is also a

NOVEMBER 2011 The African Business Journal 143

large part of our client base, but our largest client base lies in the retail and corporate sectors. As well as working closely with its clients the company ensures employees throughout the business remain committed to the task in hand. We encourage the employment of willing young individuals and were quite happy to train them up into whichever area of the business happens to be of interest to them, Green asserts. We have quite a number of staff members who, having started at a fairly low level, have risen up through the ranks to become managers today and its very rewarding to see that happen.

Crime stoppers
When it comes to tracking the changing trends of criminals, Mutual ensures it works closely with the police, who are also customers of the firm. We work closely with them, especially when it comes to burglary prevention, but they are also a customer, Green notes. We work with them as an education consultant and we work closely with the insurance industry as well. Weve also exposed ourselves internationally at trade shows for many years in many places and have noted international trends of crime. Crime levels in South Africa are among some of the highest in the world and therefore Mutuals work with the police and insurance firms helps it

144 COMMUNITY mutual Safe and Security Group

NOVEMBER 2011 The African Business Journal 145

stay ahead of technological advances made by savvy and unscrupulous criminals.

opening, notes Green. But the construction industry has certainly carried on and weve seen a lot of demand for things like record-room doors and strong-room doors from that sector. While there have been drops in some areas, there have been rises in others, and we have a division that manufactures highly-advanced electronic components for safes that are specially designed for the banking industry, and that is something that has also grown during the recession. We are definitely moving forward very positively into the future and there are a number of plans afoot for future growth, she states. These include new divisions within the business, new developments and a greater concentration on the electronic side of security. Green concludes by noting that a few years ago many so-called experts predicted that money would soon be obsolete due to technological advances. They said that we would all be living on credit, but money is still very much around, so until things change then I guess well still be around as well. TAB www.MuTuAl.cO.zA

breaking into safes is big business in this country, which is why I think the security industry has continued to grow through recessions and poor economic conditions that have affected other industries, says Green.
With this in mind, because of the services provided by many of Mutuals products, the company could be viewed as an additional emergency service. Everyone and every business, no matter what type of business it is, needs protection, says Green. It is not only money that needs to be protected, but also valuables, assets, computer technology and so on. It all needs protection and we offer many and varied forms of security for everything that needs to be locked away or kept private.

Locked into growth


In times of recession opportunist crime often rises leading many businesses to ensure their assets are adequately protected. I wouldnt say our industry was recessionproof, because with the recession fewer businesses have opened and there are less outlets

146

kieP POu

Good

fOOD & Drink

d with the chicks

PersOl ulTrY fArM

148 FOOD & DRINK Kiepersol Poultry Farm

NOVEMBER 2011 The African Business Journal 149

There are some companies who know what theyre good at and stick to it. Forty-five years ago Kiepersol Poultry hatched a plan to supply the best quality eggs in South africa and its been doing precisely that ever since.
Of All THe millions of food products it is by far the most diverse. Whether its part of a starter, main course, dessert, picnic or sandwich, without eggs, culinary masterpieces would be a thing of the past. Even on their ownboiled, fried, poached, scrambledthere is nothing as majestic as the humble egg. When it comes to providing some of the best eggs around Kiepersol have certainly cracked itnaturally!

Not all eggs are created equal


Meadow Feeds range of layer feeds have been scientically researched and formulated to provide our clients with superior feed that they can depend on for the optimum production of their layer birds. Because we understand that traceable quality, consistency and excellent customer service is important to our clients, we apply proven research and technology to produce feed products that deliver superior yields. There is more to an egg than meets the eye!

Egg timer
Based in Randburg, South Africa, Keipersol Poultry was founded by the Du Plessis family way back in 1966 and, after nearly half a century of egg production and distribution, it is still being run by Managing Director, Derek Du Plessis, a proud descendent of the founding members. This continuity has meant that Dereks knowledge about his product is second to none. Yep, you could say hes a good egg! The family business has continued through the generations from father to son. During this process vital training is delivered and priceless skills are passed on, explains Du Plessis. After

www.meadowfeeds.co.za

Meadow_Egg_Half_Page_Vertical.indd 1

9/26/11 10:32 AM

150 FOOD & DRINK Kiepersol Poultry Farm

keiPersOls eggs
Free range organic eggs Laid by free range hens, which are allowed to roam outdoors, and feed freely on a certified 100 per cent organically grown wheat based diet. Free range eggs Produced by free range hens that are allowed to roam outdoors and feed on a vegetarian diet of grains and pulses. Free range omega-3 eggs Produced by free range hens that are allowed to roam outdoors and feed on a vegetarian diet of grains and pulses, enriched with omega-3 fatty acids and vitamin E.

so many years concentrating on eggs and making sure that everybody gets their fair share, I doubt its possible to be better qualified! The companys operation remains very traditional and friendly relationships with its customers are as important as the hens that lay the eggs. Everyday Keipersol is on the road, delivering delicious eggs to both individual households and convenience stores, such as Spar shops. Its reputation for supreme quality has ensured

that, over the years, the business has grown steadily, with new orders joining the satisfied band of existing customers. This popularity has been reflected in the expanding workforce, which has risen from a few family members, to todays grand total of 138. All the workers are instilled with the same values that has made the Du Plessis family such a notable egg provider. Kiepersol places a very high emphasis on family values and hard work. We pride ourselves on our business ethics and

NOVEMBER 2011 The African Business Journal 151

Of course, other than the 138 staff, there are around 50,000 employees who are also very high up
Barn eggs Laid by barn-based hens that consume a vegetarian diet of grain and pulses. Their feed contains no animal by-products or fishmeal. Grain fed battery eggs Laid by caged hens that consume a vegetarian diet of grain and pulses. Their feed contains no animal by-products or fishmeal. Pasteurised Eggs Treated with a heat process that kills any possible pathogenic bacteria like Salmonella; the most common cause of food poisoning.

in the pecking order. The chickens! Although not paid quite as handsomely, these happy hens are by far the most important production line at the company. These feathered friends have to deliver the highest quality table eggs and thankfully, thats exactly what theyve been doing for five decades. When it comes to laying, Keipersols hens are in a league of their ownand their eggs are simply delicious. A cluck above the rest you might say. The health and happiness of its livestock is part of the companys sacred manifesto to promote health and vitality through the highest standards of egg production, food safety standards and distribution. In order to guarantee its eggs are perfect every time the hens are fed, exercised and kept at the optimum temperature. The eggs that follow

were one of the earliest signatories on the South African Poultry Associations code of conduct for poultry and egg production, added Du Plessis.

have a superior taste, appearance and consistency which add kudos to every meal. The Du Plessis family have every intention of maintaining their reputation for providing the finest eggs around and, with so many satisfied customers, its no surprise the company has turned out to be a superb nest egg for the future. Great news if you like eggs, eggs-ellent news if you love em! TAB www.kiePersOlPOulTrY.cO.zA

Eggs-perts
All the eggs begin their journey onto South African dining tables at one of two farms, where they are collected and crated ready for the distribution centre. From there the fresh eggs are transferred all over the country.

nAuTicAl

152

AliBOATs
all aboard

154 NAUTICAL aliboats

TABJ takes a trip along the okavango Delta to find out how one firm from landlocked botswana is making a splash in africas boating industry.
cruising inTO BOTswAnAs boating market in 1986, Aliboats has become one of Africa leading manufacturers of purpose-built aluminium boats. The companys formation derived from a surge in interest in the scenic wetland of Botswana. We started as a business to cater for the tourism industry on the Okavango Delta when tourism there was blossoming and there was a need for boats, says Aliboats managing

director Rod Bateman, who purchased the company in 2003. We set up a Yamaha dealership and the business grew from there to the extent that we saturated the market in Botswana, he adds. As a result of flooding the marketplace the company entered the exports field and today exports 89% of its boats. Whether it is a punt you are after or a fishing boat, Aliboats is able to build and deliver it, no matter where you are in the world. Most are exported to neighbouring countries and a few go overseas we have even sent a canal boat to the UK, Bateman boasts.

N0VEMBER 2011 The African Business Journal 155

From bass boats to swamp cruisers, and river runners to patrol boats, the company has delivered them all.

company it made sense to start building boats in that area. Despite the companys proximity to the core of the countrys tourism market, it still has to compete with the type of infrastructural problems associated with a region still developing its logistical network. As were based in Maun, our biggest problem is transporting larger boats that measure ten metres and above in length, says Bateman. Maun is a small place and the roads and infrastructure make its very difficult to transport big boats. As a result, if we lose a sale it will normally be due to transport costs and the logistics, but we remain a lot cheaper than the overseas aluminium

High tide tourism


Based in Maun in Botswanas North-West District, Aliboats is a proud of its heritage and its roots. The guys that build the boats are all Botswana citizens who were originally trained by Zimbabwean coach builders, because back in the early days the aluminium manufacturing skills werent too great in Botswana, says Bateman. All the tourism businesses for the Okavango Delta are based in Maun, so when we started the

156 NAUTICAL aliboats

N0VEMBER 2011 The African Business Journal 157

boat manufacturers we tender against. Bateman remarks that the logistical frustrations are simply a part of what it means to be an Africa company. Its just Africa, he jokes. Instead of it taking two weeks to deliver a boat from A to B, it takes a month, so we have to deal with it.

markets north of Botswana, such as Namibia, Mozambique, Kenya, Tanzania and Zambia. The further north you go from Botswana the more water there is, so it makes sense to head north where they also need boats, says Bateman. As the leading aluminium boat manufacturer in the region, the company has opened up three branches in Zambia, situated in the towns of Lusaka, Livingstone and Kitwe, which Bateman hopes will become boat-building bases for the company as it continues to navigate north. We have also just opened a branch in Windhoek in Namibia and we have plans to start manufacturing there as well, but our main focus at the moment is Zambia where the economy is really taking off, he states. Aliboats has even moved into steel manufacturing and recently built a 56 metre-length ferry for the Botswana government that is able to carry 108 tonnes and has also built a smaller 26 metre-length ferry for use in southern Botswana. In times of recession many businesses across the African have struggled and sank, but the wetlands will always require boats and as tourism and infrastructural development remain strong, it seems business will continue to go swimmingly for Aliboats. TAB

Staying afloat
Despite the effects of the global financial crisis on African economies, demand has remained strong for boat manufacturers across the continent. Bateman cites the growing demand for game viewing boats in countries focusing on the development of their tourism sectors, such as Zambia, Kenya and Tanzania. Another vessel in demand at the moment is the landing craft, notes Bateman, who says that a lot of African governments are purchasing smaller eight-, nine- and ten-metre boats. These governments seem to have suddenly realised that the easiest way to transport people and cart goods around in areas where the roads are not fantastic is by river, he remarks. Recently we have received some huge orders for landing craft from Angola, Zambia, and Tanzania.

Sailing ahead
Moving forward the company is focusing on the www.AliBOATs.cOM

The new logistics helps your business grow.


It gives a small business as much power as a global chain. UPS gives you 400,000 dedicated staff, the worlds largest transportation network and an investment of millions of dollars in technology every year. But not everythings bigger. Theres less form filling, less paperwork, less fuss. So you can spend time on what you know best.

Sign up today to take advantage of UPS shipping discounts. Visit www.discountpartnerships.venngo.net and use promo code Canadian Business. For more information on UPS products and services, please visit UPS.com or call 1-800-Pick-UPS.
2010 United Parcel Service of America, Inc. UPS, the UPS brandmark and the colour brown are registered trademarks of United Parcel Service of America, Inc. All rights reserved.

Vous aimerez peut-être aussi