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Ukuthanda Ukukhanya Community Farm

Submitted by mahesh_admin on July 11, 2023

Goal

Ukuthanda intends to build adequate capacity to provide a broad range of services in livestock, bio-prospecting, vegetable and packing facilities. The aim is also to leverage supply chain opportunities with partners as part of the broad sales & marketing strategy.

Investment Range / ROI

R5 Million - R20 Million
ROI - 12% pa

Public or Private Sector

This is a Private Sector Opportunity

Investment Readiness

Environment & Social Impact

• Job Creation
• Skills Development
• SMME Development
• Expansion of Protected Areas
• Net Biodiversity Gains 

SDGs

Investment Opportunity at a Glance

 

Land Ownership and Governance

Land Ownership

Fully Restituted land with title deeds
The land is owned by the Ukuthanda Ukukhanya Communal Property Association (the CPA) representing 62 claimants and their families.

 

Governance Structure

Community Property Association
The community has signed a Biodiversity Agreement with WWF and Mpumalanga Tourism and Parks Agency under the Biodiversity Stewardship Programme.

Land Size

751 Hectares

Location

Mpumalanga

 

Investment Opportunity Assessment

Wildlife Economy

 

Core Operations

  • Ranching and related value chain

 

Activities

Cattle ranching - The CPA benefited from the UNDP Small Grants.

 

Bioprospecting

 

Core Operations

  • Cultivation and Harvesting
  • Natural product manufacture
  • Natural produce retail


Activities

Maize and soya bean cropping.
The community has vegetable gardens from which produce is sold to surrounding markets.

 

Investment Opportunities

 

  • Grain production with organic methods for stockfeed production
  • Building a pack house for organic stockfeed processing for poultry production
  • Installation of a greenhouse with irrigation for horticulture
  • Wetland conservation management
  • Grassland restoration & fire control teams
  • Production, processing and packing of poultry (meat and eggs)
  • Establishing a bird sanctuary for ecotourism venture to include walks and picnics
  • Upgrading perimeter fencing, irrigation and roads
  • Purchase 100 head of cattle to be fed, sold and slaughtered, per annum
  • Training, skills development and capacity building for the community

 

Investment Requirements

 

Investment Range Required
R20 million - R50 million

Type of Investment Required
Capital Expenditure
Infrastructure Funding
Working Capital

Funding Type for Financial Requirements
Equity, Debt, Grant

Non-Financial Requirements
Capacity building

Value Proposition and Enablers

 

Value Proposition

  • Strong market for meat and vegetables
  • Protected Biodiversity Stewardship site with unique bird and plant life
  • Keen support from partners including WWF
  • Community-owned land with a strong governance structure

 

Key  Enablers

  • Motivate the conservation efforts for the bird sanctuary and wetland protection for promoting ecotourism
  • The cross-cutting infrastructure needed for the development of solar infrastructure, gravel roads, 5-metre fireguard around the property, security for livestock and farm working vehicles, and expansion of the current herd from the UNDP program to establish an operation to sell 100 cattle per annum
  • Inject capital and technical resources to enhance the capacity of the CPA to deliver on its conservation and socio-economic development goals

Business Operations

Ecotourism

Bioprospecting

Primary Customers

 

Local community, local and national market channels, national retail network, Afgri and partners.

Active Business Entities

 

Ukuthanda Ukukhanya CPA

About this Opportunity

 

The land is owned by the Ukuthanda Ukukhanya  Communal Property Association (the CPA), representing 62 claimants and their families. Spanning 751 hectares, the land is largely grassland and carries livestock and crop farming lots that are currently outsourced to private farmers on a short term lease. It is also a wetland that provides a good habitat for creatures of different species and attracts a wide range of rare birds.

Current operations include vegetable gardens, maize and soya bean farming. The community have vegetable gardens from which produce is sold to surrounding markets. The CPA Cattle ranching has benefited from the UNDP grants programme and was able to purchase Nguni cattle.

The investment opportunities include:

  • Poultry farming;
  • Sustainable agriculture (maize, soya bean production & horticulture); and
  • Eco-tourism (bird sanctuary).

Opportunities also exist for investment in their respective value chains. The sustainability of the biodiversity economy must be supported by investment in sustainable agriculture & eco-tourism.

Gallery

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