Advertise with fastmoving.co.za
 
 

A structural approach and strategic business model could see South Africa’s honey industry turnover reach R20bn, according to experts.
A structural approach and strategic business model could see South Africa’s honey industry turnover reach R20bn, according to experts.

How SA honey production could see R20bn turnover

ECONOMIC NEWS

By Kyle Venktess - Oct 23rd 2017, 09:12

A structural approach and strategic business model could see South Africa’s honey industry turnover reach R20bn, according to experts.  

Rishad Ahmed, project funding expert, and specialist from Incentives SA said the inclusion of various industry stakeholders in a combined effort could aid in the growth of the industry.

The local honey industry currently sees an average annual turnover of R3.2bn, producing 2 000 tonnes per annum, according to the South African Biodiversity Institute. Ahmed, however, believes these numbers could drastically increase, given a proper business model and investments made.

“Various stakeholders need to be involved to ensure projects such as this one take off. Projects need to be packaged and project managers need to engage with the stakeholders and those in industry to join the dots in the honey productions industry,” says Ahmed

However, Ahmed said there were numerous factors that needed to be considered and which affected the honey industry locally.

Shortage of beekeepers

Since 1980 there has been a massive decline in the number of South African beekeepers, according to SA Honeybee Foundation’s Dominique Marchand.

“South Africa has never had any formal training schools, unlike the majority of countries with strong commercial farming output. Even Tanzania, Kenya and Ethiopia have them,” Marchand said.

“There has been a shortage of beekeepers, down from 25 000 in 1980 to less than 2 000 in 2017,” says Marchand.

Buy local

Ahmed said another issue plaguing the industry was that many retailers were not retailing honey from local suppliers.

“Much of the honey we buy from local retailers is supplied by international companies. Local retailers need to partner with local bee farms to ensure aid in the growth of the honey production industry,” he said.

Exterminations

Ahmed saidthe local honey bee population was dwindling due to the extermination of the insects.

“It is barbaric to kill species by terminating them. The more bee hives we keep, the more we can collect honey and be able to process honey and supply a larger amount,” he said.

Unifying sectors

Key to the growth of the industry is to seek investment from government, the private sector and abroad, according to Ahmed.

This week, the Norwegian-African Business Association (NABA), which seeks to promote business opportunities in Africa and serve as a bridge between Norwegian and African business communities, will host its annual conference. Ahmed will attend.

“It is opportunities like these that South Africa, and projects like growing the bee population for a higher yield in the production of honey, can benefit from,” Ahmed said.
Fin24.com 

Read more about: sa economy | honey | business | bees | agriculture

Related News

Walmart reveals plans for a new corporate campus
20/05/2019 - 17:04
Corporate America has been under political pressure to ramp up investments at home.

5 critical steps for a successful BI implementation
20/05/2019 - 09:55
Decision-makers understand that data drives the digital business. And one of the most efficient ways to extract value out of this is through business intelligence (BI). But in a real-time world, companies can ill afford to spend months on an implementation. However, by following several essential steps, turnaround time can dramatically improve, yielding results faster.

Contraction in economy looms in the first quarter
17/05/2019 - 09:16
Weak performances in the retail, mining and manufacturing sectors, which bore the brunt of the most severe power cuts the country has experienced yet, indicates that the economy contracted in the first quarter of the year.

Richemont lifts dividend 5% as online platforms boost sales
17/05/2019 - 08:52
Richemont chair John Rupert says group sales rose 27%, 'reflecting growth across all business areas and distribution channels.'

Retail sector barely budged in March
16/05/2019 - 09:54
Consumers were under pressure in March with a 74c/l hike in the petrol price and slightly higher inflation.