BERRIES:S U P E R F R U I TP R O D U C T I O NI N T H E E A S T E R N C A P E

With a land area measuring close to 170,000 square kilometres and largely rural, the province has a formidable pedigree in agriculture and agro-processing such as livestock, dairy and fruit. Furthermore, it has 100,000 square kilometres of lands available for afforestation, by far the largest in South Africa.

However, this has not stood in the way of investigating new crops such as essential oils and bamboo, and natural fibres such as pineapple and agave, to name only a few.

The Eastern Cape Development Corporation (ECDC), the province’s 15 year old development financier, responsible for promoting economic development, in the rural and urban surrounds, is helping to shape a new future for a population which is plagued by unemployment and who need to leverage resources in rural areas.

The vision for the Eastern Cape berry initiative is to be the leading southern hemisphere production area of several varieties of berries, which meet international quality standards, creates wealth in a safe, sustainable manner for all participants throughout the full value chain.

ECDC sees berries as one of the crops which could act as an economic driver and aims to grow as many varieties and types as possible in the province and increase the value of the crops through beneficiation. The corporation believes that the province’s producers could become major producers of organically grown berries in southern Africa in a way which is sustainable and benefits key role players.

It’s an initiative which is already under way and will pave the way for a crop well suited to the province’s moderate temperatures along the coast and somewhat colder temperature inland.

Already the Eastern Cape Berry initiative has several farms growing blueberries, raspberries, strawberries and blackberries. A cornerstone of this initiative is Amathole Berries, a multi-million rand investment in a farm outside Stutterheim and about 70 km from East London.

As the world enters into the second decade of the 21st century towards a growing world population that seeks food that is healthy, environmentally friendly as well as sustainable, the trend is promising for the Eastern Cape, the second largest province by land mass in South Africa.

1. South African berry fruit production has increased about 20% since 1994.2. South Africa is ideally suited to the production of all the major berry crops. The export infrastructure and the producers are first world. Climatic regions allow for the production of a range of berry-fruits - strawberries, raspberries, blueberries, blackberries, young berries, English gooseberries and blackcurrants. There has been substantial investment in strawberry, raspberry and blueberry in various parts of South Africa. 3. Improved varietal selection has extended the South African blueberry season from October to April. These climatic zones and varieties have created a mid season peak. This coincides with the lowest price marketing period. Correct varietal choice and improved production enables the fruit to flourish on the local market.4. The rand strengthening has had a positive effect on the local retail sector. More consumers can afford to purchase traditional luxury items, that is, fruit and more specifically, berries. 5. The Eastern Cape has the capacity and climatic diversity to provide fresh and processed berries into the global markets. 6. Government has provided support by providing infrastructure which has improved the price competitiveness of the berry fruit. 7. Further opportunity exists for foods grown organically, using sustainable methods of production.8. South Africa has cheaper sea-freight rates into Europe than other southern hemisphere berry producing countries. 9. The proximity of ports and the shorter sailing time to major markets reduces freight costs. 10. The Eastern Cape has a competitive harvesting labour cost which is a limiting factor in other producing countries.

for farming berries

As healthy eating continues to increase, consumption of produce such as berries has increased. In particular, blueberries are very low in fat and sodium, rich in Vitamin A and C.

It is also the number one antioxidant, reduces bad cholesterol and is known for its anti-aging properties. Other benefits include reducing urinary tract infections, improving memory, fighting Alzheimer’s and heart disease. It is also known to reduce eye fatigue and improve eyesight.

Strawberries, raspberries, blueberries and blackberries are members of the elite superfruits group for their exceptional, nutrient richness and antioxidant qualities. By far, the greatest uptake of berries in all world markets has been in a processed form; in excess of 65%. For blueberry producers, in particular, this is good news as berry processing is light and the inherent properties of blueberries, for instance, are not destroyed by the processing action. Products which are likely to be produced through the pack shed and processing facility are wines, juices, vinegars, jams, concentrates, purees, individual quick freezing and freeze-dried products. Other by-products include organic compost making and beekeeping.

ECDC estimates that the new job opportunities created by the initiative within the next 10 years is likely to be in the region of 30,000 jobs (direct and indirect).

BENEFITS

Products

As a development financier, ECDC continues to successfully stimulate economic activity by, amongst others, focused investment in vital sectors of the Eastern Cape economy and establishing integrated partnerships with stakeholders to ensure maximum leverage of resources and development outcomes.

For more information about how ECDC can assist you, contact Mlamli Nodada or Ken Bern on (telephone) 043 704 5600.

South Africa’s footprint in this area of production began in earnest in 2003. The distribution of blueberry producers has grown and can now be found throughout the Western Cape, Free State and the Eastern Cape.

LocaL competitors

PRODUCERS IN THE EASTERN CAPE

The United States of America (USA) is the largest global producer of berry fruits and has seen a 50% increase in the consumption of processed blueberries over the past five years. In the case of the USA, it is the largest market for berry fruits from the southern hemisphere with producers supplying this area in the counter season.

Annual global consumption is on the increase with Japan importing 15,000 tons of processed fruit, the United States 48,000 tons and the European Union 5,000 tons.

Local consumption through specialist food stores such as Woolworths and Spar is on the increase. Currently, the main destination for South Africa’s berries is its long time trading partner, the United Kingdom.

MARKETS

While the USA, Canada and Poland are the three largest producers, these countries remain net importers of processed blueberries throughout the year.

Australia and New Zealand have geared their plant breeding programme to suit the taste of the Far East consumer. The late ripening Polish crop in the European Union inhibits high prices achieved in the past seasons.

Chile, South Africa’s only serious southern hemisphere competitor and main supplier of counter seasonal fruit to the USA, is battling to maintain profitability, meeting the demand from the rapidly urbanising population, increasing wages and an appreciating currency.

Global competitors

SMG

AFRI

CA_

6876

Blueberries

Raspberries

Strawberries

N2

N2

N9

N9 N10

N10

N9

East LoNdoN

Nelson Mandela BayPort Elizabeth

Graaff-Reinet

Port Alfred

Grahamstown

Bhisho

QueenstownPort St Johns

Mthatha

stuttErhEiM CENtaNE

tarKastad

MoLtENo

BarKLy East

hogsBaCK KwELEra

KEisKaMMahoEK

Development partners