With more than 1.5 tons of steel and a design that encompasses 17 buildings, the International Fresh Produce Market (IFPM) built for the Mpumalanga Economic Growth Agency (MEGA) will make a big impact on the agricultural sector in the province.
As of April 2024, site progress achieved was reportedly 97% (The Citizen), and the 29 000m² floor area will soon be put to use trading the province’s produce. Enza Construction, a wholly owned subsidiary of Crowie Holdings, was the main contractor on the project, and Orbic Architects designed the market.
The IFPM is in Mbombela (formerly Nelspruit), less than 10km from the Central Business District. It is situated within the Maputo Development Corridor (MDC), linking Mpumalanga, Gauteng Province and the Nkomazi Special Economic Zone with the deepwater Port of Maputo in Mozambique.
Agri-hubs throughout the province, led by co-operatives, will be encouraged to supply produce to the IFPM which will give them direct access to new markets and opportunities. In this way, small-scale growers will be better incorporated into the mainstream economy.
Mpumalanga cultivates predominantly tropical and subtropical crops and vegetables such as avocados, bananas, citrus, ginger, granadillas, guavas, litchis, macadamia nuts, mangoes, papayas and pineapples.
Agri-hubs throughout the province, led by co-operatives, will be encouraged to supply produce to the IFPM which will give them direct access to new markets and opportunities.
Among the facilities that the market will offer are open trading halls for fruit and vegetables, a meat, fish and flower market, cold storage, ripening facilities and pallet handling, processing facilities, an export hall and bulk-breaking facilities for retail outlets. Linked services such as customs, transport and logistics, banks and restaurants will support the main activities of the IFPM.
More agricultural infrastructure in the form of an agro-processing facility is planned for the area near the Kruger Mpumalanga International Airport (KMIA) and private investors are being approached.
The Mpumalanga Green Cluster Agency, a new body set up to promote the green economy, has published a series of briefing documents on opportunities in various sectors. The Cluster has representatives from government, business and the academic world. With coal mining and coal-fired power stations likely to play a reduced role in the future, Mpumalanga is looking to its other abundant resources for economic growth. The Mpumalanga Department of Economic Development and Tourism has initiated the Agency to look for increased opportunities in the green economy.
In the Sustainable Agriculture briefing, the Agency identifies investment opportunities in five broad categories within the province:
- renewable energy applications
- regenerative agriculture
- controlled environment agriculture
- smart farming
- agri-waste management
The South African macadamia industry produced 83 556 tons in 2023, a better crop result than 2022 and much better than the 53 000 tons achieved in 2021. Fully 97% of the crop is exported. Thousands of new trees are being planted every year. In 2022, Mpumalanga was responsible for 37% of the country’s 6 235 new hectares. There are more than 65 000 hectares planted to macadamias in the country. Sophisticated machinery is increasingly being used and data usage is becoming vital for sustainability.
Avocados are not as widespread, but the planting of 800 new hectares annually suggests that global markets are responding well to farms in Mpumalanga and elsewhere. The website of the South African Avocado Growers Association lists 25 companies that export the fruit.
Mpumalanga accounts for about 21% of South Africa’s citrus production and a third of its export volumes, with Valencias being the province’s most popular varietal and Mbombela being the centre of the sector.
Litchis, mangoes and bananas also thrive in the province. Hazyview is an important source of bananas, with 20% of South Africa’s production originating there.
Phez’ Komkhono Mlimi is a provincial government assistance programme providing mechanisation and input support to small-scale and new farmers. Since its inception, the programme has overseen the cultivation of 199 169ha of land and 12 720 food gardens. In the five years to 2024, 37 733 farmers benefitted from the programme, of which 22 505 are women.
Beefing up exports
A major decision for South Africa’s beef exporters was announced in 2024; Saudi Arabia agreed to import again after a long break. Exports for the month of January 2024 represented a seven-year high of 3 225 tons.
Several factors conspired to keep exports down in the years before 2024, but the conditions to grow the market are very favourable. South Africa has achieved the remarkable feat of switching from being a net importer of beef to an exporter and the beef sector is well segmented with excellent infrastructure all along the value chain.
One of the country’s biggest beef producers and traders, Karan Beef, runs an abattoir in Balfour and in the neighbouring Gauteng province, the company’s Heidelberg farm feedlot is, at 2 330ha, the largest in the world.
The Mpumalanga Department of Agriculture, Rural Development Land and Environmental Affairs is supporting livestock farmers through the Masibuyele Esibayeni Programme (MESP). Applicants can receive four kinds of livestock, including up to four bulls and 100 heifers for commercial farmers who meet the criteria. In the smallholder category the limit is one bull and 25 heifers whereas communal farmers are entitled to one bull only.
An indication of the suitability of the province for a variety of cattle breeds can be gleaned from the fact that Ntaba Nyoni Cattle runs studs for five breeds, Ankole, Boran, Bonsmara, Nguni and Wagyu. The 5 100ha farm, located near Badplaas, is owned by current South African President Cyril Ramaphosa.
Relevant online resources
- Mpumalanga Economic Growth Agency (MEGA): www.mega.gov.za
- Mpumalanga Green Cluster Agency: www.mpumalangagreencluster.co.za
- Citrus Growers Association: www.cga.co.za
- Red Meat Producers’ Organisation: www.rpo.co.za
- South African Subtropical Growers’ Association: www.subtrop.co.za