20.02.2026
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SAFDA determined to prevent Tongaat-Hulett shutdown

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  • A tractor carries harvested sugar cane to be processed

The South African Farmers’ Development Association (SAFDA) says it’s determined to ensure that South Africa’s sugar giant, Tongaat-Hulett is not shut down.  

This comes despite the fact that business rescue practitioners have filed for the company’s provisional liquidation, which has put thousands of jobs at risk.

An accounting fraud scandal rocked the more than 130-year-old company in 2019. 

Tongaat-Hulett processes nearly 30% of the country’s sugar with the production in KwaZulu-Natal worth billions of rand. 

The association chairperson Dr Siyabonga Madlala says the matter is being addressed at the highest echelons they are confident that the mills will open on time. 

“We want to make call for all farmers and employees of Tongaat-Hulett to remain calm at this trying times because the matter is being addressed at the highest echelons and we are getting confirmation and confidence that the mills will open in the time they have to open and also farmers will be paid at the end of March for their monies. This comes after we have engaged Vision Group, uBab’ Gumede who has given us the same undertaking as the IDC who’s also said their mandate is to save and rescue Tongaat-Hulett. Plus also the rescue practitioners and management of Tongaat-Hulett have indicated that this is a funded liquidation process. We hope that soon sanity will prevail.”      

Meanwhile, Madlala says shutting down the company would have a significant impact on towns including Melmoth, Gingindlovu, Matigulu and Tongaat.

“In actual fact, if Tongaat-Hulett were to close down, we see more than five towns that will be affected because Tongaat really spans to more than five towns. It will even affect the CBD at some point because the refinery of Tongaat-Hulett is right at Merebank.”  

COSATU KZN Provincial Secretary Edwin Mkhize has condemned the collapse of Tongaat Hulett. 

 

 

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