SA cane growers urge government to intervene in Tongaat Hulletts matter

Amid Tongaat Hullett’s financial struggles, the South African Cane Growers Association has urged the government to intervene with an aim to save jobs.

SACGA released a statement on Thursday urging the South African government to intervene and save more than 14 000 jobs.

The farmers are contracted to Tongaat Hullett Limited, a sugar company that is financially struggling to pay its workers and farmers.

The cane growers association said they wrote to the South African government as the best way to save the jobs would be to intervene and help Tongaat Hullett with financial assistance from the Department of Agriculture.

SA Cane Growers Association’s Andrew Russel said according to EWN: “We believe it is essential that government intervenes to ensure that we protect the livelihoods of growers, workers, and communities that rely on the sugar industry.”

The website further reports that SACGA also met with Tongaat Hullet’s business rescue practitioners to discuss the outstanding R400 million owed to farmers as operations have also come to a standstill at the sugar company’s mills.

The South African Cane Growers Association (SACGA) announced on Wednesday that almost 15,000 jobs hang in the balance as company Tongaat Hulett Limited missed its deadline to pay them.

The company admitted to financial distress last week, saying that it would be beginning a voluntary business rescue process.

Furthermore, BusinessTech Africa has gathered that the sugar company was supposed to pay R400 million to farmers for a sugarcane delivery that was made in September.