The African Business Journal Nov 2011 - John Pinching

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AfricAn Business Journal

Business

South Africa mining

deBate

The argument for mining

Company foCus

Mount Royal

november 2011 v 2 Iss 11 www.tabj.co.za

IN THIS ISSUE►

GOLd stiLLshininG



2 SECTION � Title

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eciency, helping o propel

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o environmenal leadership by

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eDiTOr’s nt

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 (I’ve

been called worse, believe me). Increasingly I

see people stroking away at their tablets and

think to myself, yeah, I’m surng 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 history—a 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

ngers on a Sunday morning (so to speak), I

realise that touch screen and high-res screens

are nally realising their potential; changing the

way we read forever. My mum’s got a Kindle and

so has yours; need I say more?In this month’s all-electronic, body-popping,

cyber-tastic edition of TABJ, I’ll 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 Africa’s favourite regional snacks and a

fascinating item by South African Association o

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’.

There’s also the usual eclectic compilation

of movers, shakers and hip swingers from the

business community. Captivating company

proles come from all manner of industries

including property development, electrical

construction, private healthcare, boat building

and, the coup de grâce… eggs!

On that bombshell, I’m signing off. Toodle-oo

John



© 2010 KPMG Arica Limited, a Cayman Islands company andand a member frm o the KPMG network o independentmember frms afliated with KPMG International Cooperative(“KPMG International”), a Swiss entity. All rights reserved.Printed in South Arica. mc6332

An extraordinaryfrm, withextraordinarypeople, on an

extraordinarycontinent.

Arica is complex. It is multi-cultural,multi-lingual, geographically vast andsteeped in political history. At thesame time, the modern businessworld is increasingly less interested

in Arica’s past and primarilyinterested in working in a unifed,seamless context.

KPMG’s organisational structureallows us to manage ouroperations in a way that makesthe most sense in terms o theefciency and eectivenesso our operations. Our

business model, commontools and methodologies,as well as shared valuesallow us to work with ourclients seamlessly acrossborders.

kpmg.com



cOnTenTs november 2011 | volume 2 | ISSue 11

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TiMe PrOJecTs T igt i i btsw 112

T did dys OBlique engineering 124

swArTlAnD MuniciPAliTY T Swtd swig 134

MuTuAl sAfe AnD securiTY grOuP lckig gd 138

kiePersOl POulTrY fArM Gd wit t cicks 146

AliBOATs a d 152



134

146



GettinG GOLd GWhen your business deals with theshiniest of all natural resources it’s

almost impossible not to smile. Whynot, it’s the most precious metalknown 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 nota-

bly, it is the name of Spandau Ballet’s second mostfamous 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!



acefuLLy BY JOHN PINCHING



12 SECTION � it

chippinG away: GOLden GOssipHOw 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, I’m now

very much on the inside looking out.

HOw HAs Business Been recenTlY? Very good

indeed. The gold price has soared; we’re 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!] Be-

ing a signicant player, we’ve got a solid reputa-

tion and all our major customers have complete

faith in us. The recession really didn’t touch us.

sHOulD we All clOse Our BAnk AccOunTs AnD

sTAsH gOlD unDer THe BeD? People’s perception is

that gold is a safe investment and that’s the way

it’s always been and always will be. If you go to the

new emerging markets in China and India there

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

wouldn’t be a completely reckless thing to do.

wHAT MAkes gOlD sO DesirABle? I think it’s th

legacy. Thousands of years ago some people sa

the value in this beautiful metal, that glitters,

and the world has been charmed ever since. As

result of it has maintained its asset value like n

other material. There’s nothing fundamental tha

underlines it—it’s just perception and history.

wHAT’s iT like TO sTAnD nexT TO A lOAD Of gOlD

BulliOn? First, I try and pocket one. Joking! I’ve

covered the industry for years so it’s not that

special to me anymore. When I look at gold I am

much more impressed by how it got there in the

rst place, the effort that goes into it and how

the men create the nished product. Unlike us

white collar bureaucrats, these are tough guys,

working 3000 metres underground—what they d

is astonishing.



OCTOBER 2011 � The African Business Journal

ith GOLd fieLds’ sven LunscheHAve gOlD fielDs gOT AnY Big PlAns fOr THe

neAr fuTure? We want to signicantly increase

diversication. 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. It’s 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. There’s nothing

fundamental that underlines it—it’s justperception and history.”



14 SECTION � it

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 no-

toriously uctuating South African economy, working conditions and equipment, that

drive costs higher than in other less productive regions.

Some signicant restructuring of South Africa’s major gold producers has result-

ed in AngloGold—recently listed on the LSE and NYSE—and Gold Fields becoming thecountry’s major producers. Other notable players in South Africa include DRD, Har-

mony, ARM Gold and Avgold.

GOLd recOrd




“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 56per cent of mine labour force.”



16 SECTION � it

Tis gd ct nt aic

xpis wy wkig wit t st

sdcti sstc i t isty

kid is ytig it’s cckd p t .

W dcidd t t i cs

it wi ct i xtic ysty d,

, cs ds’t wt t d.

HOw lOng HAve YOu wOrkeD in THe inDusTrY?

I started gold trading, in partnership with my fa-

ther 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 nevergrow 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 don’t choose gold – it chooses

you. Very early on I was awe-struck by it. I man-

aged to get my hands on a few considerable

nuggets and, believe me, after holding a lump o

solid gold in your hand you become hooked—it

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, it’s not just the money. The life I hav

had, the people I have met and the places I hav

visited could only have materialised in the gold

industry. I wouldn’t do it again in the modern

era because it is too driven by the big organisa-

tions. People like me are an endangered specie

We’re like gold dust!

wAs THe inDusTrY full Of sHADY cHArAcTers

BAck in THe DAY? I wouldn’t use the word shady

but there were certainly characters, but that’s

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 didn’t seem to have

Our man in africaOur man in africa




a past and they didn’t seem to have a future.

They were there to get rich, live in the moment,

and enjoy the mystery of it all. You’d get to know

people from Iran, Afghanistan, Russia, Americaand there was even a guy from Scotland. After a

while they would suddenly disappear and you’d

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 reg

ulated. North Africa is coming into line with mos

of the South African legislation and, therefore,

some of the smaller players have been wipedoff 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…

“People in beige suits would turn

up in bars, looking for bars! They

didn’t seem to have a past and

they didn’t seem to have a future.They were there to get rich, live

in the moment, and enjoy the

mystery of it all.”



18 SECTION � it

sAMArAnTA secures gOlD DeAl – Samaranta

Mining Corporation has secured negotiationrights to Gold and Platinum mining in Chocó,

Columbia. Columbia is seen as one of the most

unexplored areas in the world for gold. The com-

pany have 90 days to execute an agreement with

the Columbian Council.

lOMikO DiscOvers gOlD AnOMAlies – The 201

soil geochemistry survey has shown numerousgold irregularities with values of up to 0.279 g/t

on Lomiko’s Vines Lake property. The survey

covered a total area of 5,403 Ha, where Zinc an

Silver curiosities were also found. Rock samples

and drill results are pending conrmation.

GOinG fOr GOLd — o




AusTrAliAn gOlD-Diggers – Thor mining has

commenced a 10-hole drilling programme at

Australia’s Spring Hill Gold project, 150 km North

of Katherine, in search of more gold. The project

currently hosts 274,000 ounces and the rst drill

programme will investigate the immediate depth

extensions, with north and west extension inves-

tigations to follow.

gOlD flOw frOM cOngO – A new period for min-

ing in Congo has begun as a $209 million gold

mine has been opened in the hills of the North-

east. The mine lies on a 200km gold belt and

hopes to produce 120,000 ounces every year.

sAuDi TO reTurn gOlD-BAr MOneY - After bor-

rowing USD$50million from Societe General inAustralia 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 guar-

antee from Maan Abdul, he failed to comply with

the terms made.

gOlD Mine POlisH - A goldmine in Gladstone,

Colorado, has offered to pay more than $6mil-

lion to help clean up former mines. The opera-

tion will focus on four mines in the area, which

ofcials say are dumping more around 800

gallons of contaminated water into the nearby

Cement Creek.

gOlD BAr venDing MAcHines – Gold-bar vend-

ing machines are becoming increasingly popu-

lar 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

exchange for cash or credit/debit payments, an

the pricing is electronically updated every ten

minutes.

ol’ o o



20 SECTION � it

GOLden nuGGets• IntheAzteclanguage,teocuitlatl isthenameforgold,anditmeans“the

excrementoftheGods.”

• Onthesurfaceoftheearth,thegreatestconcentrationofgoldisintheocean,

butthecurrentcostofextractingitismorethanthegoldisworth.

• Absolutepuregoldissosoftyoucanmoulditwithyourhands.Forday-to-

daymonetaryuseitishardenedbytheadditionofcopper,silverorother

basematerials.

• Ourbodiescontainabout0.2mgofgold;mostofitisinourblood.

• Nearly40percentofallgoldeverminedwasrecoveredfromSouthAfricanrocks.

• ThelargestgoldnuggetfoundtodatewasinAustraliain1869,andweighed

over78kg.

• Intramuscularinjectionsofliquidgoldareasuccessfultreatmentfor

rheumatoidarthritis.

• Oneouncenuggetsofgoldarerarerthanfivecaratdiamonds.

• Goldhasalwaysbeenrecycled,sothereiseverypossibilitythatanygold

youownwillbethousandsofyearsold.

• Puregoldisnon-toxictohumansanddoesnotcauseanyirritationwhen

ingested;somealcoholicdrinksevencontainmetallicgold.

• MarilynMonroehadanumberofkitchenutensilsmadeentirelyfromgold,

includingacheesegrater,spicerack,tinopenerandsurfaceprotector.




GOLd in pOpuLar cuLture

Goldfinger (1964)ThirdintheJamesBondfranchise.SeanConnerytackles

scarilyempoweredwomen.

The Man with the Golden Gun(1974)RogerMooretargetsakillerwitha

penchantfortighttracksuits

GoldenEye(1995)Tie-adjustingPierceBrosnanverynearlylosestoagirl

inhisfirst007assignment

The Golden Girls (1985)Co-habitingpensionersdefiantlyturnbackthe

clock.Hilarityensues,naturally.

Gold (1983)Seminalchart-topperbynewromantickilt-wearing,era-

definingLondoners,SpandauBallet

Golden Years (1975)Inventive,coke-inspiredandnostalgicadditiontothe

DavidBowiecanon.

Abba Gold (1992)CompilationoftheScandinavianquartet’subiquitous

dancefloormasterpieces



22 SECTION � it22 NEWS IN REVIEW

Muse ws cig

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 ndings back to tutors upon their return.

nAirOBi sTill cHOcOlATe-cenTre Of cADBurY’s kenY

Nairobi will remain the hub for the manufacture

and distribution of Cadbury’s Kenya products,

despite recently being bought out by US-basedKraft Foods.

The factory in Nairobi is in the process of a maj

upgrade that will involve automated production line

of dry powder and food drink products, as well as a

ultra-modern distribution centre.

Marion Gathoga, the country director, would

inDiAn uni AfTer AfricAn Business eTHOs fOr

sTuDenTs

India’s Gujarat Technological University (GTU) is

encouraging more of its MBA programme stu-

dents to take up case studies of African nations

in order to gain a sufcient 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 impor-

tance of studying other nations.

Hiren Thaker—special ofcer 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 na-

tions are nalised, we will contact the respective

embassies to help students once they land in the

foreign country.”

Aggarwal wants his students to learn about



OCTOBER 2011 � The African Business JournalSEPTEMBER 2011 � The African Business Journal

aic

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 Cadbury’s 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 manufac-

ture of chocolate in Kenya and moved it to South

Africa, meaning Kenya now depend on shipments

either from South Africa or Egypt.

Despite the continuation of manufacturing in

Nairobi, job cuts will occur as—in order to achieve

high performance—new skills are due to be incorp

rated through internal training and recruitment.

Last year, Kraft Foods announced that it

would cut 10,000 jobs globally in order to reduc

costs and improve cash ow.

ziMBABwe secures suMMiT suPPOrT

At the US-Africa Business Summit in Washington

DC, Charles Ray—US 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 Internation

Monetary Fund has noticed the expansion of Zim-

babwe’s 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




Muse ws cig

investors from Russia, Brazil and China,

America’s presence remains fairly limited, and I

hope that situation changes soon.”

Ray highlighted his condence in the op-

portunities 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.Zimbabwe’s ambassador to the US,

Machivenyika Mapuranga, was pleased with the

outcome and said the summit marked a new

chapter in the fundamental relationship be-

tween Zimbabwe and the US.

YOu’D BeTTer Bee-lieve iT

A Black Economic Empowerment (BEE) deal has

been struck up between nancial services group

Aon and the Vurhonga Consortium.

The deal—which also involves backing from

BEE Investment company Tamela Holdings and

Precious Prospects; a women’s empowerment

group—will see Vurhonga acquire a 25.1 per cent

shareholding in Aon’s South African business foran anonymous sum.

CEO and South African chairman of Aon, Anto

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.”




aic

A segment of the shareholding held by the

consortium will next year be allocated to an em-

ployee-share ownership scheme for historically

disadvantaged Aon employees, in order to further

enhance the extensive nature of the deal.

Alongside Vusi Mahlangu and Makoler Ma-

ponya—Chairpersons 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 nalised soon.

sATA’s zAMBiAn susPensiOn

President Michael Sata has announced thatmetal export permits have been temporarily

suspended in Zambia. The move comes after

concerns were raised that Rupiah Banda—of

the previous administration—had neglected to

properly regulate shipments abroad.

In his newly elected position, Sata is acutely

concerned with cleaning up corruption in Zam-

bia after it was revealed that Banda paid little

attention to where the country’s metal exports

went.

Sata has sacked the chief of the anti-corru

tion agency and the central bank governor, dis

solved the boards of three state agencies and

cancelled the sale of Zambia’s Finance Bank t

South Africa’s 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 certication

from the central bank in order to improve taxa-

tion. Presently the mining industry only contrib

utes about 10 per cent of tax revenue.

Three-quarters of Zambia’s export earnings

come from Copper distribution, but Mining Min

istry ofcial Godwin Beene said: “This is just a

temporary suspension, which will be lifted soo

so there is no need to panic.”

New regulations and permits are to be is-

sued during October.




Muse ws cig

BilliOnAire’s MilliOn DOllAr PrOMise

Billionaire nancier George Soros has promised

$27.4m to aid a development project which tar-

get villages across rural Africa. Over the next ve

years he will also provide $20m in loans, sup-

porting business efforts in those areas.

Soros—founder and chairman of the Open

Society Foundations—said that board members

originally opposed his plans for donations, when

he put forward the idea ve 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 beneting from

school meal programmes has also increased over

the last ve years from 25, to 75 per cent.

Special advisor on the U.N. Millennium Devel-

opment Goals project, Jeffery Sachs, said: “We

are thrilled by the rapid gains that the Millen-

nium Village communities are making in the gh

against poverty, hunger and disease.”

wHen eAsT MeeTs eAsT

Airtel Tanzania Limited has issued a statement an

nouncing its new, lower rates for calls to Kenya an

Uganda, with whom Tanzania shares a border.

The rates, now at 2/50, are a direct result o

discussions over unifying the relationship be-

tween the countries, in order to reach full region

al integration.

Sam Elangalloor—Airtel Tanzania’s Managing

Director—said: “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

order to connect people with their friends, fam

ily, and business partners, enriching people’s

lives in the process.




aic

Standard Bank released a report revealing

statistics of 15 million mobile subscriptions in Af-

rica during 2000. For 2010 this gure 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.

He replaces Matthew Tagg, who will stay on

as a non-executive director of the board, and

remains majority shareholder of the company.

Wyatt-Gunning—widely known for starting

Storm Telecom—has been involved in the eld sinc

1996, and joined the Web Africa Sales and Marke

ing team as the Chief Ofcer 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 an

high-end consumer markets.

Alongside discussions regarding possible 3G

and voice products, Wyatt-Gunning said that We

Africa is listening to customer feedback, and co

sumers can expect to access to more products

the coming months.Although Tagg remains majority shareholde

of the company, Web Africa is now split between

Rupert Bryant, Tim Wyatt-Gunning, Smartcom

and Tim Parsonson; co-founder of Storm Teleco

with Wyatt-Gunning.




Muse ws cig

BcA fix On fOrnA fOr sierrA leOne

The Business Council for Africa (BCA) West and

Southern has elected a new in-country represen-

tative for Sierra Leone.

Sheka Forna—Chairman of Splash Mobile

Money and CEO of Elixir Group—aims to achievebetter business in Africa through publicising com-

mercial and economic opportunities in the coun-

try, promoting network opportunities and provid-

ing 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 m

very aware of the needs of potential investors,”

he explained.

For the last seven years, the role has been oc-cupied by David Johnson, who is now looking for-

ward to retirement. “The BCA provides tremendou

insight into what is happening on the ground and

an excellent forum for networking,” he reected.

“I wish Sheka the best of luck in moving Sierra

Leone’s business economy forward,” he added.




aic

DOHA DiscussiOn Delivers DOssier fOr g20

A G20 meeting hosted by Sheikh Khalifa Bin Jas-

sim Al Thani—Chairman 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 businessmessages for G20 leaders on stimulating eco-

nomic 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 nances.

According to Carrier, solutions to the global

debt crisis and unemployment rates involved redu

ing trade barriers, boosting domestic demand, em

powering consumers and appreciating currencies

The meeting—which was held in Doha,Qatar, was one of a series—with others taking

place in Mexico, Hong Kong and Zurich. The

outcomes will form a basis for the G20 summ

later in the year. TAB



THe freigHTSaaFF itiw wit

030



f YOur lifeid lg

Busine



32 BUSINESS � SaaFF itiw wit Did lg

Did lg, Ceo t sppiy-d

St aic assciti Figt

Fwds (SaaFF), xpis wy t gd

t is gisti is ssti t t

stti t cy

ecOnOMicAllY sPeAking 2010/2011 has been one

of the most challenging in our country’s history.

During this period many businesses have endured

a ‘bleak winter’, which nally seems to be lifting.

There should still, nevertheless, be a note of

caution, as the fragile conditions in the USA andUK, European debt crisis and recent Japanese

nuclear disaster, still suggest that industry lead-

ers 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.

Furthermore, the regulatory environment ha

brought its own set of challenges with the Con-

sumer Protection Act, new Companies Act and

Draft Customs Bills remaining major concerns f

the South African freight forwarding industry.

Keep your head above water

Freight forwarders operate in an industry that

is hugely dynamic and constantly undergo-

ing changes that have a profound effect on

the way that we do business. We operate in a

pressure cooker environment that demands

our forwarders remain ahead of regulatory

changes and demands, surf increasingly vola

tile economic waves, compete for skilled staff

and invest in technology and innovation—all

the while managing the business dynamics of

running a successful business. Anyone who

thought this was an easy entry industry needs

to think again—especially 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 membeand providers, have enjoyed many successes and

important achievements on behalf of the industry

New horizons

With the assistance of strategy consultant D

Ray Eberlein SAAFF has undergone a dramat



NOVEMBER 2011 � The African Business Journal

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 pro-

fessional members’ organisation that facili-

tates international trade.

It’s vital to note that the transformation of

our association is on-going and will continue to

evolve in order to meet market demands anddynamics. The main objective of this reinvention

is to transform SAAFF into a professional asso-

ciation representative of the Southern African

transport industry, facilitating trade into and out

of Southern Africa and, ensuring that members

receive a value added service.

Qualiying

In addition to these projects SAAFF’s annual co

gress serves as amelting pot of all topical issue

and challenges facing the industry, providing a

platform to debate with renowned international

and national speakers. This year’s conference

was themed “Embracing change through innova

tion, collaboration and education” and proved a

great success for delegates looking for thought

leadership and input on business challenges cu

rently facing the industry.

SAAFF also launched a Learnership in 2010

that invites candidates to complete the level 3

and level 4 certicates in ‘Customs Clearing andForwarding’, giving them an international quali-

cation and global mobility. The association is

also due to launch the Higher Diploma in Supply

Chain Management for those with an even grea

er appetite for studying.

The process of customs modernisation



34 BUSINESS � SaaFF itiw wit Did lg

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. SAAFF’s invaluable role in this

process was acknowledged on World Customs

Day with an award, from the World Customs

Organisation, for exceptional service to custom

administration in South Africa.

Staying afoat

SAAFF’s many successes to date can be attribut

ed 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 bus

ness benets to our members.

They also liaise closely with many government

departments and parastatal institutions, dealing

with a vast array of matters such as customs, porthealth, trade permits, border controls, export con-

trol of perishable products, cargo handling, securit

at harbour terminals and airports, plant quality,

railway services and road freight legislation.

The Association also uses its collective voice t

determine and recommend practical and effective




new sAAff iniTiATives*

• ReviewandrevisethecurrentSAAFF

constitutionandrestructureby

outsourcingselectedportfoliosusingbot

full-timeandpart-timeconsultants

• Improverelationshipswithmembers

bymeetingwithseniormanagementon

aregularbasisandbetterunderstand

membersrequirements

• Developcollaborativeandworking

relationshipswithgovernmentdepartment

suchasSouthAfricanRevenueServices,

Transnet,NationalPortsAuthority,

DepartmentofTransport,Departmentof

TradeandIndustry,DepartmentofLabour

andDepartmentofPublicEnterprise

• Increasecollaborationandworking

relationshipswiththeChambersofCommerc

andothertransportsectorassociationssuch

astheSouthAfricanShippersCouncilandThe

RoadFreightAssociation

• Carryoutafeasibilitystudyontraining

requirementswithintheindustryand

implementtheresults

• Increasecommunicationwithour

membersatalllevelsofmanagementby

usingtechnologicaladvances

• TheSAAFFNationalwebsitewill

berewrittenaspartofimproving

communicationswithourmembers

*Someoftheseprojectshavealreadybeen

initiatedandarenearingcompletion.

responses to the many challenges in the business

and regulatory frameworks which affect the com-

mercial interests of clients. This would be impos-

sible 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 inu-

ence their business. The result is that technologi-

cal and legislative developments do not com-

promise service quality and delivery, but rather

enhance it, and that impediments to internation-

al 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 antici-

pated. The market is certainly much smaller and

there is signicantly more competition among the

key players. It makes perfect sense for the in-

dustry to be mobilised in a forum such as SAAFF,

where it can collectively nd solutions to chal-

lenges and resolve issues that, if tackled indi-

vidually, would be virtually impossible.

Even the most agile forwarders will need tobe 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



sOuTH AfriDiggig p disst

036



An Mining

Busine



38 BUSINESS � St aic miig

Sic t discy dids i t

1860s St aic s j

itti py i t iig kts;

t s tg kt cditis d sciisss tk ti t t cy, abJ

ks t s t j ps cig

t cty’s iig sct.

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 conti-

nent is well known for its 150-year-old diamond

trade, it was in coal and gold that the country

would nd its industrial calling.

South Africa is also a leading chromium,

palladium and manganese producer, and is the

planet’s principal producer of platinum.

The mining industry accounts for 18.6 per

cent of South Africa’s gross domestic product

and in 2010 earned the country R17 billion in

corporate tax revenues and R6 billion in royalties.

Industrial strie

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

infrastructural problems.

In more recent years striking workers have

affected the country’s industrial efciency.

The 2007 strikes, coordinated by the South

African National Union of Mineworkers (NUM),

saw close to a quarter of a million workers put-

ting down their tools to protest about unsafe

working conditions at the country’s mines.

Not helped by this year’s industrial ‘strike

season’ in South Africa, in the year up to June

the output of the mining industry has contracte

by 5.1 per cent in comparison with the previous

year’s performance to June, according to gures

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 min

ing 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 (contribuing -4.7 percentage points) and coal (contributin

-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




was recorded in July 2011 compared with a re-

vised 0.1 per cent decrease in June 2011.”

The powerful NUM Union has also been ac-

tive recently by warning that more checks need

to take place regarding Chinese investment in

the country’s 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: “TheNUM has reliably learnt that China is stockpil-

ing 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 economica

with each other.

“China, as the largest investor in this countr

has undertaken to invest largely in mineral ben-

eciation and we have already submitted to the

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 Africa’s economy, but the

lack of a stable political situation is causing

major problems to the industry. Many within



40 BUSINESS � St aic miig

the sector are concerned at the direction the

current administration is taking in respect to

its efforts to quell the effects of the global

nancial crisis, with nationalisation being

promoted by many within the ANC.

The powerful ANC Youth League, led by the co

troversial gure 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 t

investigate the merits of nationalisation.

Chamber of Mines of South Africa CEO Bheki

Sibiya said recently that South Africa’s governmen

should focus on “bigger” challenges, such as the

high levels of unemployment, instead of the nation

alisation of the country’s mining sector.

“There is too much at stake,” Sibiya says.

“Investments in South Africa should be protecte

and a legacy needs to be saved for our children

The economies of the countries that have natio

alised have suffered.

“South Africa may not be broke, but the cou

try does not have sufcient liquidity, so the ques tion becomes, how can we afford to nationalise

with compensation?”

According to the Chamber, nationalisation

without compensation would result in the down

grading of South Africa’s sovereign rating and

would lead to a fall in foreign direct investment.




Wallington. “As we develop and explore further,

perhaps that ten million tonnes can be doubled

over the next 20 years. Certainly, the potential is

signicant.”

The long-term gold outlook also looks posi-

tive with prices within the sector currently ying

high and demand remaining steady.

Research rm 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 i

the past three months.

With prices close to the $2,500 an ounce

mark, gold could lead play a vital role in stabilising

South Africa’s economic and political situation.

With a more established infrastructural

system in place than any of its neighbours, an

vast resources to hand in a variety of markets

South Africa’s position as Africa’s leading re-

source centre remains strong, even if domest

concerns over economic and social policies

remain palpable. TAB

A spike in illegal mining would also increase

if mines were nationalised without compensa-

tion, Sibiya warns.

Perhaps one of the larger short-term con-

cerns for South Africa’s 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 magazine’s annual World Risk

Survey — South Africa didn’t even feature in the

top ten.

But unlike many of its neighbours the country

has in place a comparatively strong infrastruc-

tural platform, enabling South Africa to present

itself as an international mining giant.

Success stories remain visible as evidenced by

the country’s 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 signicant,” says



JOHn PincHing’ssTreAM Of cOnsciOus

Th amt o m



ess

i knOw THis is a bit of a sensitive subject, folks, so

my hard helmet has been tightly secured—albeit at

a jaunty angle—and my rock hammer is poised.

I’m 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 sto-

ries; one of which would end in celebration, and

the other, tragedy. Both, however, commanded a

captivated global audience, which gradually be-

came gripped, as multimedia platforms reported

on what seemed like a very old fashioned night-

mare—miners trapped underground.

The Chilean band of brothers remained en-

tombed in the San José mine for 69 days and, of

course, emerged to great fanfare, acclaim and,for one, a wife and mistress. Countless documen-

taries have followed and a lm 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 ooded.

Although the consequences of these inci-

dents were vastly different, there was a sub plot

in the narrative of both that drew universal ad-

miration—the courage, camaraderie and charac

ter of mining communities. Their quiet—and, at

times, very loud—dignity, spoke volumes about,

not just mining itself, but the social structure th

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, ofte

explosively. Moral, ethical and environmental dis

putes hover over this proud industry like an opaqu

cloud of coal dust. More often than not the voice

shouting the loudest emanate from people whohave never seen a mine, let alone been down on

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 complex-

ity of the industry. The sceptics are holed up,



not underground with a pick axe, but in a base-

ment, 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 spo-

ken. 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 min-

ers 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 disil-

lusioned, disenfranchised and depressed peopl

in the magnolia-coated ‘safety’ of ofces 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 discon-

nected with reality these days.

Look again at the shell-shocked, ashen-

faced bankers who trooped disconsolately from

Lehman Brothers ofces and compare them wit

the faces of those miners from Chile or, for that

1979 1984 19861984 - 85

Thatcher comes

to power

Tories announce

controversial

mine closures

Miners take

industrial action,

resulting in strikes,

demonstrations

and riots

Unemploym

rises stead

throughout

UK; mining

communiti

destroyed




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 friend-

ships are forged, families bond, a support sys-

tem emerges and, above all, men and women

are afforded a certain amount of job security

and a wage packet.

It’s easy to talk about the dangers of mining,

but what job isn’t 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 plig

of the labourers, but the actual impact it has on

the planet. Exhausting natural resources, pol-

luting mother earth and causing untold damage

to the landscape are all accusations levelled by

mining sceptics.

In the welter of nger pointing, perspective

particularly with something as big and robust

as the World—is all but lost. Lest we forget; this

mysterious place we call home is massive, gar-

gantuan, impossibly huge. Through the haze of

1992 1999 2002 2011

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

Total mine

closures reach 97



these superlatives, the point I’m trying to make

is that our resources, while they are exhaust-

ible, are still in huge supply. Even if they were

to slowly disappear, shouldn’t 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 we’re on the subject of creation,where on earth do the people who crucify min-

ing think computers, televisions, houses, wed-

ding rings and the ground beneath their feet

come from? Hemp? Give me a break. Without

many of their material goods—many of which

will contain a copper wire or two—they wouldn’t

even be able to canvass their opinions in the

rst 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, ap-

ples. In 400 years’ time someone will probably

coin the phrase, ‘which came rst, the golden

delicious, or the iphone’.

My great conviction is that man has the ability to adapt. Man is remarkable. Man is formi-

dable. Man won’t let something like a lack of co

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.




Rest in pieces

England—once the jewel in the mining crown—still

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.

Thatcher’s 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 tenden-

cies of the Conservative government toward the

mines exploded into the violent riots of 1984-85,

during which miners—backed by union leader

Arthur Scargill—fought 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 abygone age. Once the television cameras had de-

parted, 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 been—quite literally—undermined.

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 miners—were forced to

witness at rst hand, this disturbing sequence o

events, and it is this stage in the domino effect

that echoes through the towns and cities of 21s

Century Britain. This seed of apathy has germi-

nated in the form of antisocial behaviour and

young people being caught in the slow tornado

the benets system.

Was it the doctrine of despondency, to whic

so many have been exposed in the eighties and

nineties, which boiled over into the lawlessness

and destruction that took place throughout Brit-

ain 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 DeBATe—wHeTHe

iT Be POliTicAl, sOciAl, envirOnMenTAl Or

OTHerwise—PleAse wriTe TO [email protected]

we will eiTHer Be HigH-fiving Or TrADing

BlOws As YOur resPOnses Are incluDeD in nex

MOnTH’s fOllOw-uP iTeM.



fOOD AwAkSt aic d xpt ntks s yg t

ic tpsty scks.



ning

lifesTYl

048

D Wit ti’s



50 LIFESTYLE � St aic’s it scks

wHen TrAversing cOnTinenTs and cultures, one

common ground reaches beyond language, class

and race—food. There is no better way to explore

a country than through its eating habits. With

this in mind, I’d like to take you on a whirlwind

journey of South Africa’s philosophy, people and

history, through its wonderful snacks.

History in the making

Going on a long journey or ‘big trek’ has helped

to form, not only South Africa’s cultural history,

but its food history as well. Back in the days of

ox-wagons and walking barefoot across moun-

tains, there were no cooler boxes or ice-packs

to keep travelling snacks—or ‘padkos’ as they’re

fondly known—fresh.

This led to pioneers drying meat, fruit and

baked goods, naturally preserving them in the

process. Consequently, these snacks could

survive turbulent climates, while also providing

vital nutrients. The even more experimental Loc

African tribes consumed dried worms. Yes, that

right, worms! More about that later…

Before we start our journey, let’s 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 family’s hamper always

had a selection of small cold beef meatballs (fri

kadelle), grapes, cashew nuts, hard boiled eggs

dried beef sausage (droë wors), fresh buttered

rolls with dried beef slices (biltong) and rusks to

accompany that other essential item of luggage

the coffee ask.

Now, if you’re sitting comfortably, let’s take

a trip.




THe snAck HigHwAY

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 tree’s leaves. When they’ve 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 go—worm biltong, yum! Those who don’t like dry heat, endless bushveldor 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.

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.




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 rst 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.

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

avours envelop your tastebuds as it softens. Another great fruit x 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…




5. Now we’ve made it over mountain passes and nally 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 favourite—chilli bites. These deep fried, spicy chickpea

our balls are a fantastic savoury snack and usually have sweetcorn or onion and

tomato added for variation.




7. And so on to the last leg of our whistle stop venture, in Kwazulu Natal. We’ll be

ying for this journey, as it’s far quicker than driving, but don’t forget your snack.Salted cashews or chilli peanuts anyone? Say no more! Touching down on the tar-

mac 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 Africa—no wonder this region is known as the ‘land of curry’.

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 typi-

cal 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.




I hope you’ve enjoyed our taste bud-tingling

jaunt through South Africa’s compendium of cu

nary delights. Be sure to visit soon and try these

timeless treats for yourself. TAB

8. Some of my favourite holiday memories include eating a spicy ‘vetkoek’ on the beach front in

Amanzimtoti—a south coast town—in 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 lling. 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 lo pastry parcels are stuffed

with a variety of llings, before being fried, allowing a crispy outside with a warm gooey lling on

the inside. Bliss!



MA

Wi056



OYA grOuP

istts

invesTMenT



58 INVESTMENTS � mky Gp

T mky Gp is giig ck-

ptd sisss i St aic t

cc t sccd i ktpc cyig

t ddd d iti.

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 or-

ganisation’s 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),

Makoya’s initial focus was on the establishment

of a development platform for SMMEs under the

government’s 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. Thi

platform allowed SMMEs the freedom to operatand grow under a mentorship programme that

gave such companies access to a range of man

agement expertise.

Having built on its experience and reputation

over the past decade Makoya has developed a

broad knowledge of both the domestic and foreign




markets, combined with international legal exper-

tise and extensive trade links, helping it become a

true South African business leader.

The company aims to ensure that all invest-

ment deals it carries out achieve a quick turn-

around as the investment arm of the company

grows to become a well-respected business

partner to those who seek that professional ap-proach 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 company’s day-to-day operations.

Making its mark

Since 2008 Makoya has been the preferred loa

ing service providers for TFR and Eskom, and in

July 2010 the group became involved in imple-

mentation of the Camden Coal Terminal (CCT) a

Eskom’s Camden Power Station.

In 2009 the rm took on a key role in the Es-

kom Road to Rail Strategy and in December 2010Makoya began operating as a Level 1 BB-BEE con

tributor, the highest achievable BB-BEE status.

Makoya promises to add value to its customer

businesses by continually improving and applying

international best-practice principles, while at the

same time ensuring its workforce is guaranteed jo

Building Our World Together

CSE is a distributor of capital equipment in South Africa, specifically Case

construcon equipment among others, and has been well established in

the local market for 51 years. CSE has an extensive distribuon network of

branches and dealers which cover the major centres of South Africa.

Johannesburg 011 922 2000

Cape Town 021 380 2600

Pinetown 031 705 3390

Port Elizabeth 041 484 6240

Alex Ackron (Natonal Manager) 011 922 2000 | www.cse.co.za



60 INVESTMENTS � mky Gp




security and comfortable working conditions.

Once it has completed operations at Eskom’s

Camden project, Makoya will have helped reduce

trafc on South Africa’s roads by close to 400

truck trips per day.

“We have stringent quality and safety pro-

cesses in place within our organisation,” says

Makoya Group CEO Kenny Malgas. “In addition,our logistics partners who operate under the Ma-

koya mantle are extremely dedicated to the task

of streamlining the coal supply chain.”

Vital values

Integrity, excellence and teamwork all rank highly

in Makoya’s set of business values.

“We are an honest, just and caring compan

that integrates our business values with our day

to-day actions,” the company proclaims on its

website. “Our commitment to integrity makes us

an organisation that stakeholders trust and wan

to be associated with.

“To us, excellence means attaining peak pe

formance 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, exce

lence and teamwork, we believe in fair and pro

able long-term economic returns for all, with a

strong focus on advancing historically disadvan

taged South Africans,” asserts the company.

By using the Makoya emblem the company

is working to bring credibility to smaller entrepre

neurs through a development concept entitled

‘M-Powered’.

The aims of the branding is to adds the re-quired class and assurance of operational com-

petence to SMMEs in the transport and mining

sectors to create even greater appeal with nan

ciers and contract principals. TAB

www.MAkOYAgrOuP.cOM



BesT PrAcTSt bik acdic h

062



epit

HeAlTHcAr



64 HEALTHCARE � St bik acdic hspit

THe sTeve BikO Academic Hospital is a tertiaryhealthcare institution, which provides a highly

specialised range of services. Patients are re-

ferred to this famous and historical institution by

their local clinics in South Africa.

The newly erected building, with its mod-

ern ttings and extraordinary array of cutting

edge gadgetry, has proved a great success andue to this formidable blend of experience and

fresh impetus, it has produced some of the

most impressive results in the country. None o

it would have been possible, however, without

the legacy of its previous incarnation. Time to

step back in time…

htc pisi s t diistd wit ptits i id. W St bik

acdic hspit’s st i wk, it’s t st tig ty tik .




History lessons

Long before the emergence of the Steve Biko

building, the rst hospital in Pretoria was in anold 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 u epi-

demic of 1918 underlined the need for a bigger

facility and, after becoming dilapidated, the old

building was replaced.

Patients and personnel occupied the newhospital on 14 March 1932. This momentous da

began a magical mystery tour of different name

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 tha




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.

I 1967 it ws d ‘h Fvwd hspit’. at 30ys tt xtic tit it c‘Pti acdic hspit’. I2008 t spit y ptd t St bik acdic hspit… t ti ig t st!

Modern medicine

A relocation programme for the new Steve Biko

Academic Hospital, began in 2006. It is now situ-

ated about 800 meters directly north of its for-

mer location. The old site is now called Tshwane

District Hospital; a modern community facility

with 200 beds.

Unique features of the new Steve BikoHospital include state-of-the-art medical equip-

ment 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 Ar-

chiving Communication System (PACS).




The modern design of the hospital lendsitself to functionality, efciency and productivity.

Theatres, ICU’s, X-rays and associated wards are

located on the same oor, therefore being fully in

tune with medical staff requirements and ensur-

ing that theatre patients do not have to depend

on lift transport.

Other notable facilities include the largestkitchen in South Africa (no more inedible hospi-

tal food!), 832 beds, 53 ICU beds, 21 high care

beds, 61 observation places, 108 beds in the

oncology complex, 22 theatres, 19 Lifts, 80 con

sulting rooms and a new computed tomography

(PET-CT) scanner.




Answers for life.

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, we’re answering them.

Small cells don’t have to lead to big problems.Siemens answers help doctors detect diseases earlier, enabling affordable solutions and extending lives.




St bik is s t y tcigspit i St aic ttccdts spit d tisity ciic dptt’s csi idig. Tis csiss

s gisd cictitw t sctis d ctd y pdcti wkig tisips.

The staff are passionate about maintaining the

inspiring philosophy that has been central to the

institution’s success. Dr. Ernest Kenoshi explains:

“We of the Steve Biko Academic Hospital are one

in spirit, and have the vision of a bird in ight. We

serve our community with dedication and vigour

ensuring a service of unsurpassed excellence!”

Well, with that sort of approach, it comes as n

surprise that Steve Biko Academic Hospital expec

to be in rude health for another 100 years. TAB

www.PAH.Org.zA

New Medica Endoscopy (Pty) Ltd is proud to be in associaon 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.

New Medica Endoscopy intends to develop its staff with the agency and

market needs, in a controlled and insighul manner to meet the market

demands, that are constantly being demanded by the market

SOLE DISTRIBUTORS IN SA FOR:

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



s&B g074



cOnsTrucTiO

OuP swAzilAnDSp gp



76 CONSTRUCTION � S&b Gp Swzid




It ds its siss t d, t Swzid (d yd), t

pcis. S&b Swzid Gp s idig, ssig

isy cstctig tity ys, d jst ik its ctis, t

cpy is sti gig stg.

if YOu wAnT a job done properly, experience is the key, but sometimes, what yo

really want, is a bit of modernisation. Of course, in an ideal world, you’d happ

take an intoxicating fusion of both reliability and adventurousness. As the hea

line so boldly suggests, S&B Group Swaziland offer exactly that.

National hero

S&B Group Swaziland is a dynamic group of construction and engineerin

companies that deliver innovative, high quality and cost effective service

Like BMXs, Joy Division, ET, leg warmers and break dancing the compa

exploded onto the scene during the hedonistic 1980s. It’s safe to say th

company has been getting into the groove ever since.Indeed, its philosophy of continuous innovation and diversication, wh

embracing change and working as a team towards a common goal, has create

a solid foundation for sustained success.

S&B rst opened its ofces in Swaziland after the completion of the pre

tigious palace for King Mswatti III. Today, almost a quarter of a century late

the group has grown to become one of the biggest contractors in the countr




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 longev-

ity of the company. “At S&B we nurture a uniedbusiness mind-set and promote a culture based

on entrepreneurial spirit and the constant pur-

suit of excellent performance levels,” he said.

“The quality of our delivery is directionally

proportionate to the well-being and job satisfac-

tion of our employees,” he added.

Through its hard-earned reputation as an

investor in people, the company has created a cu

ture that workers are proud to be associated with

This environment, along with the challenges and

opportunities that S&B provide, has proved to be

great way to attract the highest calibre of talent.

Once recruited, staff are put through development and training programmes to ensure they ar

armed with the knowledge and expertise which

makes the company stand out from its rivals.

Heavy duty

S&B undertakes a compendium of large industri




construction projects such as mining infrastruc-

ture, factories, high-volume storage facilities,

processing plants, smelters, furnaces, mills, petro-

chemical plants and auto industry facilities.

The company’s geotechnical operation also

has the experience and expertise to design and

construct deep level foundations and lateralsupport solutions in the most challenging geo-

logical 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 efciency

clients have come to expect, S&B’s policy is to

continually invigorate its plant, equipment and

eet resources with new additions.

An established network of workshops acros

Southern Africa, are devoted to the upholding

and maintenance of the equipment and vehicle

Meanwhile, the plant is also regularly inspectedand certied, ensuring complete compliance wit

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




technological advances are incorporated into

the business,” said Du Plessis.

“Over the years we have established long-

standing and fruitful relationships with most

of the major mining houses,” he added. “They

include clients from the coal, diamond, gold and

platinum industries.”

Electriying

The expertise, high standards of engineering and

commitment to providing power for local commu-

nities has resulted in S&B’s involvement in many

high prole power projects. It works tirelessly

across the full spectrum of power supply facili-

ties, from the construction of stations, cooling

towers and chimneys to mechanical, electrical

and instrumentation work.

As the world switches on to alternative powe

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 o

roads, freeways and bridges, helping to galvanis

businesses throughout the country.

The additional building of airports, railway

stations and port facilities has been instrumen-

tal in keeping the country moving and a vibrant

place to trade.

The company also facilitates the convey-

ance, storage and distribution of water to assist

in urban development and have successfully

constructed a variety of dams, irrigation schemeand water treatment plants.

S&B’s 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 th

gets its inspiration from transforming lives. TAB



ciTrine

cOnsTrucTiOno y spks

082



cOnsTrucTiO



84 CONSTRUCTION � Citi Cstcti

Citi Cstcti 100 p ct

ck wd cpy, t its st ’tt y s ig pwd y

w gisd d it siss. T

cpy pws dds idigs

i its gi y dy

if YOu’re An electricity company, just starting

out, you might be forgiven for beginning with a

few plug changes. It was an indication, however,

of Citrine’s ambition and condence that its very

rst assignment was to electrify the enormous

Gateway Housing Settlement Project. No wonder

each and every one of Citrine’s workforce carry

out their services with a high voltage smile.

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 alsovery 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-

pany with the platform to quickly grow its exper-

tise and become a one of the Western Cape’s

leading providers of electrication services.

As Citrine’s reputation for turnkey electrical

solutions has developed, so too has its product of-

fering. Among its accreditations is the much pres-

tigious 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 b

the original vision of Price, whose personal etho

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 efciency

initiatives and renewable energy solutions. Inspire

by sound environmental techniques and preserv-

ing the planet, Citrine has forged a number of keypartnerships with photovoltaic energy, solar water

heater and smart electrical and water meters sup

pliers. In addition the company is passionately com

mitted to supporting the government’s housing an

infrastructure development objectives.

Throughout its six years trading, a major goal




has been to keep engaging with social projects

by delivering a brilliant service that will have long

term benets 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 contrac-

tors as well as to merge our own technical staff

with other service providers’ teams,” says Price.

“We integrate third party resources into our work-

ing 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 sought-

after versatility in the process.

Citrine chapelDuring South Africa’s property industry boom in

recent years and the need for multi-skilled work-

manship has been reected in the demand for

Citrine’s services.

As well as that rst major construction

assignment at the Gateway Housing Settlement

Project the company has experienced several

other success stories. Other completed projects

have included signicant work for Eskom,

Sobambisana Community Property Development

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 developmen

3900 dwellings in the Delft 7-9 residence, 710

dwellings in Newrest development and many more

The company’s contribution to the country’s

reticulation works has also been considerable.

Memorable projects include the installation of

2000 service connections for the Delft Precinct

housing development, the installation of 500kv

mini-subs in the area of Khayelitsha and the su

ply, installation and commissioning of 300 sola

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 in-stalls, the company is looking forward to surging

into its seventh year. TAB

www.ciTrine.cO.zA



rOBBie’s egt i



ecTricAlctic ds

elecTric

086



88 ELECTRIC � ri’s ectic

I tis icsigy tistic w

c Pt et, ctic cstcti

s ssti. Dig

y ys ig tg sic ri’sectic s jyd t zz y

pjct— wd it s spkd p sc

gt tisip wit its csts

we live in a world where almost every activity in-

volves power. Digital radio, laptop, HD ready, 3D

telly, speakers, Playstation, train station, space

station, imagination, camera, ipod, iphone, ipad,

icantkeepup! Fortunately, Robbie’s Electrical

keeps its nger rmly on the pulse and has been

for nearly two decades!

Here’s 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. Robbie’s electrical offer a friendly

service which, literally, has electricity in its blood. Two

generations of Robinsons can testify to that.

Robbie’s Electricals’s climb to the top of thepylon began 18 years ago. The company is run by

Peter and Cheryl Robinson and their son Dona-

van, and from the very beginning it has been

the epitome of the family business—nely tuned

machine that knows exactly where all those dif-

ferent coloured wires need to go.

“Let’s put it like this,” said Robinson, Jnr.

“There are many more advantages than disad-

vantages, to working with your family. You know

that there will be debates but you’ve all got the

company’s best interests at heart.”

Since those heady days in the early 1990s

the company has expanded from a close knit fe

to an extended family of over 50. As the staff

base has got bigger, so have the jobs and that’s

great news for a business that loves to light up

people’s lives—quite literally.

Surge spirit

The company started by carrying out constructio

work for Sun International, completing installa-

tion and maintenance work at Sun City where

there are over 700 units. This is also where Rob

bie’s main branch is situated and its responsibi

ties include electrical improvements, carpentry

and plumbing. For the last 15 years the compan

has also overseen the electrical management o

Sun International’s prestigious golf challenge.

In addition Robbie’s has handled the recenthotel and golf club revamp, which includes a hig

voltage upgrade. This project alone was worth a

electrifying R30 million.

Another notable client is so loyal to the

company’s workmanship that they y Donavan all

the way to Nigeria to install 1500 kva and 1000 kva




generators, both of which require Robbie’s expertise.

The second branch is situated in the North-

ern Province at Thabazimbi Sishen Iron Ore Mine

(Kumba). Robbie’s 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 Kumba’s buildings and administration of-ces, 120 mine houses in the town, several hos-

tels, 200 staff houses, the holiday resort and the

caravan park. There are also important responsi-

bilities 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 Consul-

tants, BFBA Consultants, CKR Consultants, MLC

Quantity Surveyors and Water World at Sun City

After his dad’s sterling years of service Do-

navan now runs most operations, and he’s been

happy to take on the leadership. The company i

currently in the top ve electrical companies in

the region, with a very loyal customer base.“I’m starting to instigate a further expansion

of the company and have been visiting the mine

of the North West, where there are a lot of Anglo

extractors. I’ve already secured work and hope t

launch further projects in the New Year,” enthus

es Robinson Jnr.



90 ELECTRIC � ri’s ectic

Spark

Donavan is also passionate about Black Empow-

erment (BE)—the government’s drive to give op-

portunity to previously disadvantaged, but highly

talented people. In the last few years Robbie’s

has added several black people to the workforce.

“The company puts a lot of guys through train-

ing to become qualied—it doesn’t matter what co-

lour 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 it’s a lot of fun

because the company is run with a family ethos. I

think a lot of the cohesion is generated because

everybody’s got so much passion and that is

reected in the projects we take on, whether the

job is small or huge,” explains Donavan.

With several assignments ahead Robbie’sElectrical can certainly look forward to a bright

future. No wonder its customers and staff have

such great electricity. TAB

www.rOBBieselecTricAl.cO.zA



92 PROPERTY � nt

I-n

0




tPrOPerT

2



94 PROPERTY � nt




Tg its ip Pit dpt, nt Ppty Istts is

sppyig St aic’s ppty kt wit sidti d cci

ptis tt pid ws d sisss wit ytig ty

d sccss cti.

DisPlAYing A fOrwArD thinking and innovative approach to commercial and

residential developments in South Africa’s Eastern Cape, Novate Property Invest-

ments 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

Commercial and residential developments

the company has delivered to date include

Shangrila, Croyden Place, KFC and Ocean bas-

ket and My Pond Hotel properties in Port Alfred;

Kwantu Shopping Centre in Alice; LaMpumalan-

ga 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 devel-

opment of Triple Point, Novate has brought to

market a brand that represents a ‘’live, work,

play” ethic to the property investment feld at a

development similar in style to Johannesburg’s

successful Melrose Arch development.

Consisting of three stylishly-designed apart

ment 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 surroundin

each of development’s building.

Landscaped gardens, secure basement park

ing, private swimming pools and Rustenburg

granite kitchen countertops are some of the othe

CONSULTING ENGINEERS ccCivil, Structural Engineers & Project Managers

F J

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 me with the client to understand their

needs and requirements before we start.

By doing so we ensure that we have a sasfied client at the

end of the project.

No project is too small for us

Email address [email protected]

Pieter Jooste Pr Eng. 082 779 5221

or David Hickson 0825760067

Fax 042 7266256




features that have grabbed the attention of buyers

and investors.

Investing into the development brings with it

a ve-year structural guarantee, while the apart-

ments themselves come DSTV ready, with white

aluminium door frames and sliding doors, ceram-

ic oor tiles for bathrooms, carpets or laminates

for living area, a Bosch under counter over and

hob and an intercom system.

T sit s s CCv d 24-d scity t pid sidtswit dditi scity.

Optional extras that bring addition value

include biometric keyless entry, IP/SKYPE tele-

phones, centrally-controlled alarm system, HD-

ready TV installation, additional basement park-

ing and storage units.

Estate apart

Through the Triple Point development, Novate

has brought to market Triple Point Estate, whichfeatures 35 luxury homes in a landscaped estate

— 16 of which have direct river access — and all

are available in four exible designs.

Customised interiors, double garaging and

views of the Quenera River are other major sell-

ing points at the development, which sits just a

few minutes’ walk away from Triple Point piazza

ofce, gym and crèche.

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 company’s approach to the Triple Point

experience, it asserts, is “don’t work for inspira-

tion —make inspiration work for you”.

Respectable retail

Alongside the residential developments on the

Triple Point site is 20,000 metres square of

prime ofce and retail space.

The space is available for rental or purchase

and comes with optional parking facilities.

The modern retail, entertainment and confe

encing facilities are just a few minutes’ walk awa

from the residential properties and bring with

them the Triple Point quality stamp of approva

Their cutting edge design and close proxim

ity to the Life Hospital give them both consume

appeal as well as access to an establishedcustomer base.

Through its residential and ofce develop-

ments, 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



THe AMBer D

Of A new erA

098



wn

PrOPer



100 PROPERTY � a Dw

I y wt t k dic i tis czy

wd, y t std p d ctd.

a Dw s std p, wkd d,

td i t i d zd y t

w izs it s discd

wHen AMBer DAwn decided it wanted to share

its moral code and sense of social responsibilitywith 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 columns—aimed at people

involved in property development in Africa—

Peens has sought to educate, inform and encou

age other businesses.

Te 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 Africaafter an extraordinary ten-year round-the-worl

hiatus. It should be pointed out that when he

set sail he was still only 44!

Peen takes up the story: “I started in proper

back in ’79 and took over as managing director

of the company I was working for in 1980, and



1NOVEMBER 2011 � The African Business Journal

during the ensuing 12 months the company went

from one ofce to 50 franchises, while the work-

force rose to 500. After developing it into a major

top-ve 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 Af-

rica. 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 retire-

ment fund again. We looked at all the countries

that we visited, but decided to come back to

South Africa,” Peen added.

It’s a wonderul lie

The pilgrimage back to the homeland proved to

be an inspirational decision.

“South Africa is a wonderful country, with won-

derful opportunities ahead and a wonderful future.

We’ve got our difculties, 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,

opposite Ballito, which is the fastest growing are

in South Africa.

One of their rst moves was to purchase 35

hectares of land which it converted into industr

parks and put on the market. The development

included 22 mini-factories which were success-

fully sold and let. In the meantime, the small

business started getting bigger, resulting in theformation of Amber Dawn.

This initial activity had been an exciting experi

ence for the company and, having weathered the

storm from the economic downturn, Peen and his

team have now set their sights rmly on phase 2

of the project. This next stage involves the develop



102 PROPERTY � a Dw

ment of another 76 hectares and, at the time of

writing, the team are already handling pre-sales.

Drive time

During the recession the company had a

chance to refocus and at the beginning of

2011 an old of friend of Peen’s encouraged

him to explore niche ventures.Peen explains: “Peter and I got in a car and,

over the last six months, we’ve travelled thou-

sands of kilometres, visiting virtually every small,

rural town in the area.”

“Very quickly we came to an epiphany. For the

rst time in our lives we were meeting black people

in the population who were not maids, gardeners

or bureaucratic ofcials. We were actually meet-

ing genuine black businessmen with ambition,” he

says. “It was a real revelation because these peop

owned businesses and had properties, but often

had no idea how to unlock the value, simply be-

cause they’ve never been trained.”

After encountering Princes of royal blood,mayors and agency ofcials throughout rural

areas, the intrepid pair decided that they didn’t

want to be just another developer; they wanted

Amber Dawn to get into ventures within the lo-

cal communities and help them redevelop their

properties. Consequently, joint partnerships wit




black businessmen have been the company’s

primary focus over the last six months.

“We value their property at a fair rate and

then they come into our developments as share-

holders, 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 projectshave signicantly increased income for these

rural towns and created many jobs.”

ransormers

Since the ventures began 93 development op-

portunities in these rural areas have arisen. Of

that number 17 have become petrol lling station

developments. From the remaining number Amb

Dawn selected the top 30, which the team have

started to develop those. Currently there are six

shopping centres and eight petrol lling stations

the pipeline over the next few months.

While changing the landscape, both cultura

and physically, Peen continues to compose hisdigital newsletter, updating readers on his prog-

ress and also encouraging other property devel-

opers to work ethically with their countrymen.

After all, building fairer partnerships actively ga

vanises, not only businesses, but the approach

of an entire nation. TAB



lAnD Of HOPpp st1



PrOPerT

e AnD glOrY mt ry4



106 PROPERTY � Ppp st & mt ry

Ppp st d mt ry

t-csid t pp

cwd s s




ty sittig pdy t

pt. Idd, its stcts

ipssi i St aic.




wHen YOu’re invOlveD in the property game the

old adage about ‘not getting a second chance

to make a rst 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 beenbuilt on classy, aesthetic buildings which em-

brace their surroundings.

Foundations

“It was a spontaneous reaction to a great oppor-

tunity, which arrived just at the right time.”

This is how founder and entrepreneur Gerr

Rehrl describes the events that led to the form

ing 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 tits native landscape.

“Our activity is dictated by the property marke

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 dur

ing the boom years. The success we’ve had has




helped us to roll with the punches during the tur-

bulence of the recent recession,” explains Rehrl.

Seeds o success

Since starting 15 years ago Proprop Trust has

delivered several memorable assignments.A notable early project was the incredibly

impressive Vierlanden Heights. The complex—a 32

hectare, mixed-residential development—is located

in the Northern most part of the Cape Metropole.

This highly desirable environment is a good ex-

ample of the company’s determination to create a

Security Forte ccElectrified & perimeter fencing since 1982

UNASHAMED

[email protected]

Originally introduced to professional fencing in Australia

1966/67. Installed the first electrified “security” fence in Cape

Town for Beechams. Was responsible for design and

installaon of electrified fences throughout S.A. for fue

industry as well as around many mines and key point

installaons. (Was dubbed by Kmdt Kitshoff of ENGEN, as the

father” of electrified fencing in S.A.)

Fencing Since 1967

Special Designs

Examples of free standing electrified fences

Fence over a bridge, with special flood gates below

ARABELLA GOLF ESTATE

Nondela Mountain Estate, NataA barred (electrified) panel fence

which clips together (no welding)

No stepping of panels

... the fence follows the slopes

Electrified strands also included

..... 5,130 mtrs installed

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

Drew Bayly .. 08255 31676




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 transforma-

tion 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.

“It’s tds ti t t isit ts ti pcs dtk pid i wt y’ gtt t scy,” ddd.

The company tends to employ people on a con-

tractual 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. “Teamsare set up that are development specic. 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 rmly

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 over-

seeing the magnicent Mount Royal Golf and

Country Estate, near Cape Town. With the scale

of the project considered the company created

‘Mount Royal’—an off shoot of Proprop—whichhas been tasked with the construction of this

magnicent estate.

Mount Royal provides its residents a blissfu

existence in breath-taking countryside, with un-

precedented security and an 18-hole golf estate

all within easy reach of Cape Town.




Rehrl describes how Mount Royal’s 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 es- tates in the world. It has emerged as a wonderful

place to raise a family, launch a business or enjoy

quality a retirement, a stone’s 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.

Well this writer is certainly convinced—love,

have you seen my lucky putter!?

Cementing the utureThe company could be forgiven for putting its fe

up between rounds but its energy is still being

invested in ambitious new projects.

The next venture—very near the golf estate

is currently in the advanced planning stage. It

consists of over 200,000 square metres of lan

which will inhabit a state-of-the-art shopping

centre, 150 bed private clinic, an ofce park

and residential area.

Like with Mount Royal, once the job has bee

completed many of the admin staff will be retaine

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

walk—or the fairway, for that matter. TAB

www.MOunTrOYAlesTATe.cO.zA



TiMe PrOJecTT igt i



112btsw

PrOPerT




btsw is aic’s stst gwig cis d, s y t

sc sct fws it t cty, dpts spigig p css

t dscp. o cpy tig t is pjct gt

d ppty dps i Pjcts.



116 PROPERTY � i Pjcts

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 manage-

ment 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 in-

clude projects in Botswana for the Bank of Gabo

rone, the South African High Commission, De-loitte and a selection of retail mall development

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




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.

Booming Botswana Despite development opportunities springing up

across central and southern Africa, Marlin says

that the company has restricted its business

interests to within Botswana’s borders, where

it has what he describes as “more than enough

business” to keep its hands full.

“There are only one or two other companies

in this country that do property development, bu

I don’t 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 benet from

Botswana’s economic situation, which continue

to defy the global nancial 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 haven’t experience




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anything like what has happened in South Africa

and some other neighbouring countries. So we’re

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 ofce developments,” he

adds. “A lot of companies want their own build-

ings and they would rather have a building that

has their identity, which they can name, and that

they don’t have share with other businesses.

“There’s enough land in Botswana that we

don’t need to build massive high-rise buildings.

So we’ve really gone for low density, low-rise of-

ce developments,” he notes.

Time Projects provides a comprehensive

project management service for both the housin

and commercial markets.

“In Botswana people are perhaps not as

used to developing property as much in other

countries and they nd 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 nished.

B&H ELECTRICAL

Proud to be in association with Time Projects

Construction and Electrical Contractors

For more information please contact:

Martin Venter

[email protected]

Providing all your construction andelectrical needs

B & H Electrical contractors has been providing electrical reculaon

services in Botswana since 1989. From humble beginnings B & H has

grown to be a respectable organisaon in the electrical construcon

industry. This has been largely due to it’s dedicated staff who are

determined to provide a professional service all the me.




“We will appoint the contractor, the architec

the engineer and we will run that project for th

client — not only the day-to-day running of the

site, but we will also run the account for them a

well,” he notes.

Engaging developmentsOne of Time Projects’ top developments is Prim

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 be-

tween the buildings, a user-friendly ofce block,




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 takenon ‘green building’ or adopted it into their build-

ings, 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

for the right reasons by ensuring value is adde

to the project.

On the housing front, the company has unde

taken a number of large jobs in Botswana, includ

ing a 400-house project in Kgale and a recently-

nished 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

people look to upgrade older building to top-

class ofce accommodation.

With 25 years’ experience combined with a

eye on future trends it is perhaps little surprise

that Time Projects is making the most of Botswa

na’s economic awakening. TAB

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

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: [email protected], Private bag 0088, Gaborone, Botswana

C E L E B R AT I N G 2 2 Y E A R S ( 1 9 8 9 - 2 0 1 1 )



OBlique engin

T did

124



ering

ys

Minin



126 MINING � oiq egiig




hig it ipssi ptti witi t did cy idsty,

oiq egiig is w kig its i t sct s t

St aic ks t k t st its picy disicti.




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 ata 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 turn-

key engineering solutions for its clients, from the

conceptual stage to the nal handover and has

maintained a selection of strategic partnerships

with companies from all major project discipline

from civil and structural engineering, to metallu

gical engineering, and mechanical, electrical an

instrumentation engineering.

Working with some of the big names in the

global mining industry, the company’s main fo-cus has shifted to manufacturing machines for

the ore industries.

“When the market started wobbling we decid

ed to diversify and when we diversied we entere

into the chrome and PGM markets,” says Oblique

Engineering managing director Gary da Silva.

Asgard Engineering

Specialising In

• Steel Structures • Conveyors • Tanks • Pipes • Plate work • Sandblasng & Painng on Premises

Cc reg no: 2004/01350 • Vat reg no: 456-0218-473

19 Forge Road Spartan

[email protected] | [email protected] | Tel: 011 394 6597 | Fax: 011 394 9428




“It was purely an economic thing as the market had

gone at and we decided we needed to diversify.

“Subsequent to our diversication we’ve

found that the chrome and the PGMs markets

have kept us alive.”

Rocking orwards rom a hard place

Having overcome market downturns, Oblique

today nds itself in a comfortable position with

close to 95 % of the company’s business coming

from the chrome and platinum markets.

“At the moment we’re busy with the chrome

and the PGM circuit near Rustenburg, where

we’ve built a major chrome and PGM circuit for

the client,” says da Silva.

Despite this, Oblique remains an experi-enced gure within the diamond recovery indu

try and has recently been in talks with a poten

tial client to supply some of its machines into

the Canadian market.

When things went quiet in the diamond mar

ket Oblique decided not to terminate all interest




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; we’re now

marketing the new machines we have developedand have been running them in our workshops,”

says da Silva. “We’re 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 don’t

advertise and it’s all based on word of mouth.”

Da Silva says that there is a lot of trust in-

volved 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; we’re not a bank,we will not put heavy mark-ups on it, and any-

thing we do is at any time open for audit.”

Working across so many elds, it is impera-

tive that the company employees and commis-

sions the right people for the right jobs.

“If we get a project or an enquiry on which




we don’t have the expertise in, we pull on re-

sources from other people who will join us for

the specic project,” da Silva explains.

“W t pjct is , ty wi s d cy wit ti wsiss, wic ws s t s, dyic cpy.

“We don’t recruit through brokers,” he adds.

“We identify the person and we offer that per-

son an employment contract for the duration of

the project.”

Diversiying 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 over-

come the logistical problems associated with op-

erating 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

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 Zam

bia and is currently building a sort house in Bo-

tswana, which will act as a nal recovery house

for a new diamond mine in the country.

The project will be commissioned and con-

structed in South African, before being disman

tled and sent across the border to Botswana

where it will be reassembled.

With work continuing to ood into the com-

pany’s inbox, and with diversication into othe

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



THe swArTlAnSwtd micipnt Cp w is Swtd, ic i pptity d fwig i t

ppti s ccss t t sics it ds is Swtd micipity, t c



swingy

cOMMuniT

134s i. esig its

st cti c titis.



136 COMMUNITY � Swtd micipity

nesTleD On THe valley oor between two moun-

tain ranges in the western coast of Cape Province

is the picturesque region of Swartland.

The area, home to some of South Africa’s

most endearing rural towns, is recognised nation-

ally for its agricultural output and the salt-of-the-

earth mentality of its locals.

Ensuring that the local population has to

hand all the services it requires is Swartland Mu-

nicipality. 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 ame-

nity maintenance, to the emergency services.The jurisdiction of the authority covers the

towns of Abbotsdale, Chatsworth, Darling, Kal-

baskraal, Koringberg, Moorreesburg, Riebeek

Kasteel, Riebeek West, Riverlands and Yzerfon-

tein, as well as its central base of Malmesbury,

were its head ofce is based.

A helping hand Whether its tariff information, ofcial documen-

tation, account payment options, or information

about building plans, ratepayers are able to ac-

cess information in person or online.

Suppliers can also benet from the author-

ity’s online presence by accessing information o

tenders and supply chain.

The site carries the latest news, events, no-

tices and vacancies at the Municipality.

If you are a technophobe, do not fear, as

each and every one of Swartland Municipality’s

staff is individually and jointly responsible for

keeping the authority’s wheels turning.

In recent months the Municipality has been

involved in implementing a high-tech sewerage

works facility, which is currently under construc-

tion in the region, as well as working on a large

community housing development.

The authority has also worked with localdevelopers Mount Royal and its CEO Gerry Rehr

— the single largest property investor in the area

The Municipality is also dedicated to promo

ing the talent of tomorrow and has given young

people a voice by setting up the Swartland Junio

Town Council (JTC) back in 2007.




Since its formation the JTC has been focused

on the general welfare and social conditions of

Swartland’s younger generations.

Throughout the several terms of ofce that

have been undertaken by different JTC adminis-

trations 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.

I Spt st y d oct tis y Yt Sypsi dt t “b g8 u” tk pc

i msy, wic ptdtpi skis, d igdic tpics sc s ty tig d tg pgcis.

Another successful project entitled ‘Wheels

of Caring’ took place earlier this year and encour-aged local pupils to collect non-perishable items

at their schools and in the community.

A vigorous vision

According to Swartland Municipality’s website,

its vision is to build sustainable partnerships

with members of the local population. Its mis-

sion, also stated on its online portal, is to ensur

social and economic stability and growth throug

the “sustainable delivery of all primary and sec-

ondary services” to all the relevant parties.

Along with its assertive mission and vision

statements, the authority has published a Clien

Services Charter, which is also available to read

on its website.

The charter outlines the Municipality’s com-

mitment to delivering excellent services to its rat

payers in a professional and transparent manner

Through the document, the authority promis

es to responsibly provide ratepayers with correc

information, as well as promising to be reason-

able 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 upholdsuch obligations, those living under Swartland

Municipalities jurisdiction will no doubt nd the

are free to get on with the trials and tribulation

of their own lives. TAB

www.swArTlAnD.Org.zA



MuTuAlsAfe AnD

securiTY

grOuPlOcking gOOD



cOMMuniT

138



140 COMMUNITY � mt S d Scity Gp




St aic scity spciist mt s t 25 ys

xpic i pidig sisss d idiids wit t

qipt ty d t sty s d sc.




since iTs fOrMATiOn nearly three decades ago,

safe and security manufacturer and supplier

Mutual Safe and Security Group has seen South

Africa’s political and social landscapes undergo

huge changes.

The company has, however, remained strong

to its cause and grown to become one of the

country’s leading players in the security industry.

Founded in 1984, Mutual is today able to sup-

ply 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,re resistant cabinets and re 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 direc-

tor Carol Green. “We have had to stay ahead of the

criminals and advance our technology to the poin

where we are always one step ahead of them.

“About 20 years ago, the criminals were us-

ing 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 ofce in Pretoria, with a sec-

ond manufacturing plant located in the Souther

Cape town of George, and branch ofces in maj

centres across South Africa.

Mutual also owns another business in Cali-

fornia, run by Green’s youngest son, which im-

ports 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




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 we’re quite happy to train

them up into whichever area of the business hap-

pens 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 it’s 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 rm.

“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.“We’ve also exposed ourselves international-

ly 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 Mutual’s

work with the police and insurance rms helps it




stay ahead of technological advances made by

savvy and unscrupulous criminals.

“bkig it ss is ig sissi tis cty, wic is wy I tik t scity idsty s ctidt gw tg cssis dp cic cditis tt ctd t idstis,” sys G.

With this in mind, because of the services

provided by many of Mutual’s 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 pro-

tected, but also valuables, assets, computer tech-

nology and so on. It all needs protection and we

offer many and varied forms of security for every-

thing that needs to be locked away or kept private.”

Locked into growthIn times of recession opportunist crime often

rises leading many businesses to ensure their

assets are adequately protected.

“I wouldn’t say our industry was recession-

proof, because with the recession fewer busi-

nesses have opened and there are less outlets

opening,” notes Green. “But the construction

industry has certainly carried on and we’ve see

a lot of demand for things like record-room door

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 elec

tronic components for safes that are specially de

signed for the banking industry, and that is some

thing that has also grown during the recession.”

“We are denitely moving forward very posi-

tively into the future and there are a number of

plans afoot for future growth,” she states. “Thes

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 techno-

logical 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 we’ll still bearound as well.” TAB

www.MuTuAl.cO.zA



ki

POG

146



PersOl

lTrY fArMwit t cicks

fOOD & Drin



148 FOOD & DRINK � Kips Pty F




T s cpis w kw wt

ty’ gd t d stick t it. Fty-

ys g Kips Pty tcd p t

sppy t st qity ggs i St aicd it’s dig pcisy tt sic.

Of All THe millions of food products it is by far the

most diverse. Whether it’s part of a starter, main

course, dessert, picnic or sandwich, without eggs,

culinary masterpieces would be a thing of the

past. Even on their own—boiled, fried, poached,

scrambled—there is nothing as majestic as the

humble egg. When it comes to providing some

of the best eggs around Kiepersol have certainly

cracked it—naturally!

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 produc-

tion and distribution, it is still being run by Manag-

ing Director, Derek Du Plessis, a proud descendent

of the founding members. This continuity hasmeant that Derek’s knowledge about his product is

second to none. Yep, you could say he’s 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

Meadow Feeds’ range of layer feeds have been

scientifically 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!

Not all eggs arecreated equal

www.meadowfeeds.co.za

_ _ l _ _ i l i



150 FOOD & DRINK � Kips Pty F

so many years concentrating on eggs and mak-

ing sure that everybody gets their fair share, I

doubt it’s possible to be better qualied!”

The company’s operation remains very tradi- tional and friendly relationships with its custom-

ers are as important as the hens that lay the

eggs. Everyday Keipersol is on the road, deliver-

ing 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 stead

ly, with new orders joining the satised band of ex-

isting customers. This popularity has been reecte

in the expanding workforce, which has risen from few family members, to today’s grand total of 138

All the workers are instilled with the same

values that has made the Du Plessis family suc

a notable egg provider. “Kiepersol places a very

high emphasis on family values and hard work.

We pride ourselves on our business ethics and

keiPersOl’s eggs

Free range organic eggs

Laidbyfreerangehens,whichareallowed

toroamoutdoors,andfeedfreelyona

certified100percentorganicallygrown

wheatbaseddiet.

Free range eggs

Producedbyfreerangehensthatare

allowedtoroamoutdoorsandfeedona

vegetariandietofgrainsandpulses.

Free range omega-3 eggs

Producedbyfreerangehensthatare

allowedtoroamoutdoorsandfeedon

avegetariandietofgrainsandpulses,

enrichedwithomega-3fattyacidsand

vitaminE.




were one of the earliest signatories on the South

African Poultry Association’s code of conduct for

poultry and egg production,” added Du Plessis.

Eggs-perts

All the eggs begin their journey onto South Afri-

can dining tables at one of two farms, where they

are collected and crated ready for the distribu-

tion centre. From there the fresh eggs are trans-

ferred all over the country.

Of course, other than the 138 staff, there are

around 50,000 employees who are also very high u

in the pecking order. The chickens! Although not pa

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, that’s

exactly what they’ve been doing for ve decades

When it comes to laying, Keipersol’s hens are in

a league of their own—and their eggs are simply

delicious. A cluck above the rest you might say.

The health and happiness of its livestock is

part of the company’s sacred manifesto to pro-

mote health and vitality through the highest stan

dards of egg production, food safety standards

and distribution.

In order to guarantee its eggs are perfect ev

ery time the hens are fed, exercised and kept at

the optimum temperature. The eggs that follow

have a superior taste, appearance and consis-

tency which add kudos to every meal.

The Du Plessis family have every intention of

maintaining their reputation for providing the nesteggs around and, with so many satised customers

it’s no surprise the company has turned out to be a

superb nest egg for the future. Great news if you lik

eggs, eggs-ellent news if you love ‘em! TAB

www.kiePersOlPOulTrY.cO.zA

Barn eggs

Laidbybarn-basedhensthatconsumea

vegetariandietofgrainandpulses.Their

feedcontainsnoanimalby-productsor

fishmeal.

Grain fed battery eggs

Laidbycagedhensthatconsumea

vegetariandietofgrainandpulses.Their

feedcontainsnoanimalby-productsorfishmeal.

Pasteurised Eggs

Treatedwithaheatprocessthatkills

anypossiblepathogenicbacterialike

Salmonella;themostcommoncauseof

foodpoisoning.



AliBOATs a d

nAuTicA

152



154 NAUTICAL � aits

TABJ tks tip g t okg

Dt t d t w

dckd btsw is kig sps i

aic’s tig idsty.

cruising inTO BOTswAnA’s boating market in

1986, Aliboats has become one of Africa leading

manufacturers of purpose-built aluminium boats.The company’s 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 ooding the marketplace the

company entered the exports eld and today

exports 89% of its boats.Whether it is a punt you are after or a shin

boat, Aliboats is able to build and deliver it, no

matter where you are in the world.

“Most are exported to neighbouring countrie

and a few go overseas — we have even sent a

canal boat to the UK,” Bateman boasts.



1N0VEMBER 2011 � The African Business Journal

From bass boats to swamp cruisers, and river

runners to patrol boats, the company has deliv-

ered them all.

High tide tourism

Based in Maun in Botswana’s North-West District,

Aliboats is a proud of its heritage and its roots.

“The guys that build the boats are all Botswa-

na citizens who were originally trained by Zimba-

bwean coach builders, because back in the early

days the aluminium manufacturing skills weren’t

too great in Botswana,” says Bateman.

“All the tourism businesses for the Okavango

Delta are based in Maun, so when we started the

company it made sense to start building boats i

that area.”

Despite the company’s proximity to the core o

the country’s tourism market, it still has to compet

with the type of infrastructural problems associate

with a region still developing its logistical network.

“As we’re based in Maun, our biggest prob-

lem is transporting larger boats that measure ten

metres and above in length,” says Bateman. “Mau

is a small place and the roads and infrastructure

make it’s very difcult 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



156 NAUTICAL � aits



1N0VEMBER 2011 � The African Business Journal

boat manufacturers we tender against.”

Bateman remarks that the logistical frustra-

tions are simply a part of what it means to be an

Africa company.

“It’s just Africa,” he jokes. “Instead of it tak-

ing two weeks to deliver a boat from A to B, it

takes a month, so we have to deal with it.”

Staying afoat

Despite the effects of the global nancial 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 devel-

opment 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 re-

alised that the easiest way to transport people and

cart goods around in areas where the roads are notfantastic 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

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 manufacture

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 Wind

hoek 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 manu-

facturing and recently built a 56 metre-length

ferry for the Botswana government that is able t

carry 108 tonnes and has also built a smaller 2

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

www.AliBOATs.cOM

The African Business Journal Nov 2011 - John Pinching

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Transcript of The African Business Journal Nov 2011 - John Pinching