Agri-financing scheme aims to promote inclusive growth

South Africa’s deciduous fruit and wine industry, in collaboration with the Jobs Fund and the Land Bank, has launched a R600 billion blended financing scheme called Hortfin.

This ring-fenced loan facility for the fruit and wine industry value chains was expected to provide innovative and comprehensive financing and support systems to promote job creation, transformation and sustainability in the sector, according to the CEO of Hortgro, Anton Rabe.

The fund would mostly target agricultural entrepreneurs from previously disadvantaged groups, and their businesses would have to adhere to various criteria, of which at least a 51% black ownership was one, he said.

According to the head of the Jobs Fund, Najwa Allie-Edries, the fruit industry generated R30 billion in income annually and provided more than 130 000 jobs. “However, it has the potential for further growth – growth that should be inclusive.”

Allie-Edries said the scheme would focus its attention on emerging farmers who had struggled to move up the deciduous fruit value chain.

Provisional board members of Hortfin are Willem Bestbier, CEO of the South African Table Grape Industry; Rico Basson, CEO of Vinpro; Sunil Kooverjee, manager of structured investments at the Land Bank; Tshililo Ramabulana, CEO of the National Agricultural Marketing Council; André Smith, chairperson of the Deciduous Fruit Producers Trust; Louis van Zyl, general manager of Hortgro; and Ismail Motala, president of AFASA Western Cape. – Jeandré van der Walt