Enterprise Africa December 2020

AFRICA

THE BUSINESS MAGAZINE FOR AFRICA’S INDUSTRY LEADERS

December 2020

www.enterprise-africa.net

Giant Leap for Local Manufacturing as CPT Celebrates Milestone Exclusive interview with Chemical Process Technologies (CPT) Finance Director, Anton Steyl

ALSO IN THIS ISSUE:

GoGo Group-EKM Exports / E&C Charcoal / Eskom / Eddels Shoes

EDITOR’S LETTER

//

EDITOR Joe Forshaw  joe@enterprise-africa.co.za SENIOR PROJECT MANAGER Sam Hendricks  sam@enterprise-africa.co.za SENIOR PROJECT MANAGER Tommy Atkinson  tommy@enterprise-africa.co.za PROJECT MANAGER James Davey  jamesd@enterprise-africa.co.za PROJECT MANAGER Chris Wright  chrisw@enterprise-africa.co.za PROJECT MANAGER Chris Fairhurst  chrisf@enterprise-africa.co.za FINANCE MANAGER Chloe Manning  Chloe@enterprise-africa.co.za SENIOR DESIGNER Liam Woodbine  liam@enterprise-africa.co.za CONTRIBUTOR Manelesi Dumasi CONTRIBUTOR Karl Pietersen CONTRIBUTOR David Napier CONTRIBUTOR Timothy Reeder CONTRIBUTOR Colin Chinery CONTRIBUTOR Benjamin Southwold CONTRIBUTOR William Denstone

One topic has dominated the news worldwide this month, as it emerges that several candidates in the COVID-19 vaccine trials are proving far more effective than first hoped.

This could be the month that marks the major turning point against the pandemic which has caused so much damage to economies globally.

South Africa’s finance minister confirmed that over R5bn has been allocated to accessing vaccines as early as possible, as the attention turns to how quickly these can be distributed to the highest priority demographics.

For businesses, this represents a light at the end of the tunnel – some hope that affected markets can begin to recover early in 2021.

This months issue explores several companies leading South Africa’s manufacturing industry, and how they are looking to consolidate and then thrive as we head towards a new year. Chemprotech, Eddels Shoes, E&C Charcoal and EKM Exports talk to us about their plans, while we continue our financial focus by revisiting the stories of Crossfin and Sureswipe.

This signs off 2020, our next edition will be in the new year so on behalf of all at Enterprise Africa, we thank and send best wishes to all of our clients, featured companies and readers. We hope that our next issue is packed full of positivity as the vaccine developments pick up pace!

Joe Forshaw EDITOR Published by Chris Bolderstone – General Manager E. chris@cmb-media.co.uk Rouen House, Rouen Road, Norwich NR1 1RB +44 (0) 1603 855 161 E. info@cmb-media.co.uk www.cmb-media.co.uk CMB Media Group does not accept responsibility for omissions or errors. The points of view expressed in articles by attributing writers and/ or in advertisements included in this magazine do not necessarily represent those of the publisher.

Whilst every effort is made to ensure the accuracy of the information contained within this magazine, no legal responsibility will be accepted by the publishers for loss arising from use of information published. All rights reserved. No part of this publication may be reproduced or stored in a retrievable system or transmitted in any form or by any means without the prior written consent of the publisher. © CMB Media Group Ltd 2020

GET IN TOUCH  +44 (0) 1603 855 161  joe@enterprise-africa.co.za www.enterprise-africa.net

www.enterprise-africa.net / 3

8/ CHEMICAL PROCESS TECHNOLOGIES (CPT) Giant Leap for Local Manufacturing as CPT Celebrates Milestone After receiving its licence from the South African Health Products Regulatory Authority (SAHPRA), Pretoria’s CPT Pharma is ready to drive a local active pharmaceutical ingredient (API) manufacturing industry that will bring South African-made medicines for human consumption to the market. Financial Director Anton Steyl talks to Enterprise Africa about the major landmark in this exciting company’s history.

8/ 4 / www.enterprise-africa.net

CONTENTS

34/

26/ INDUSTRY FOCUS:MANUFACTURING

INDUSTRY FOCUS:ENERGY

14/E&C CHARCOAL Balancing Export and Local Markets Assists KZN Manufacturer

34/ESKOM A Tide Turning Step Change at Eskom?

20/EDDELS SHOES /CELROSE CLOTHING Localisation is Key in Economic Recovery

40/CROSSFIN TECHNOLOGY Crossfin Enters Level 1 in ‘Really Promising’ State

INDUSTRY FOCUS:FINTECH

INDUSTRY FOCUS:FRUIT

INDUSTRY FOCUS:FINANCE

26/GOGO GROUP/EKM EXPORTS Picky About Fruit so you Don’t Have to be

46/SURESWIPE Safe Cashless Virtual Vouchers to help Revive Retailers www.enterprise-africa.net / 5

MINISTER LINDIWE SISULU - PHOTO: DIRCO

MINISTER HANDS OVER BULK WATER SCHEME IN KZN Human Settlements, Water and Sanitation Minister Lindiwe Sisulu has handed over the uMshwathi Bulk Water Supply Scheme to water stressed areas in KwaZulu-Natal.

More than 3 000 households in the areas of Albert Falls, Mpolweni, Trustfeed and Nadi amongst others are set to benefit from the scheme.

“Over and above the uMshwathi Regional Bulk Water Supply Scheme we are launching today, which is being implemented by Umgeni Water, the Department of Water and Sanitation is funding various other regional bulk water supply projects to better the lives of people of KwaZulu-Natal.

“These projects are funded through the Regional Bulk Infrastructure Grant (RBIG) and they span across the seven District Municipalities namely, Zululand, King Cetshwayo, iLembe District, uThukela, uMgungundlovu and Harry Gwala,” the Minister said on Sunday. uMgungundlovu recently awarded

6 / www.enterprise-africa.net

reticulation upgrade projects which were for Mpolweni and Greater Efaye.

“Other reticulation upgrade projects soon to be awarded are Thokozani and Swayimane Umbhava reticulation upgrades. All these projects combined will be worth more than R500 million funded jointly by my Department through Water Services Infrastructure Grant (WSIG) and the Department of Cooperative Governance and Traditional Affairs (COGTA) through Municipal Infrastructure Grant (MIG) implemented over a three-year period,” the Minister said.

Upon completion of these projects, all households will have metered connections.

“I have noted with interest that 30% of all projects executed and currently underway have been allocated to emerging contractors.

It is my wish that we increase this allocation to 40% and ensure that women and youth are at the centre of

economic empowerment,” Sisulu said.

In an effort to ensure there is water security for eThekwini, ILembe, uMgungundlovu and Msunduzi Municipalities by 2030, the Department of Water and Sanitation has issued a directive to TransCaledon Tunnel Authority (TCTA) and Umgeni Water to fund and implement the Umkhomazi Water Project.

“I am told that at this stage no Municipal Councils have resolved to sign water user agreements. This is something my office will ensure that the affected Water Service Authorities (WSAs) sign these water user agreements before the end of 2020 so that the project can commence,” the Minister said.

Other directives that have been issued to Umgeni Water is to fund and implement the Stephen Dlamini Project in Harry Gwala District.

This project is expected to be completed by 2023 and will benefit over 113 000 people living in the area.

NEWS SNAPSHOT ETHIOPIA TO HOST A VIRTUAL TRADE INVESTMENT SEMINAR The Department of Trade, Industry and Competition (dtic) will host a virtual Outward Trade and Investment Mission with Ethiopia this week.

The department says the objective of the seminar, which will take place from 25 - 26 November, is to increase bilateral trade and investment between South Africa and Ethiopia.

“The mission is an ideal platform for South African companies that would like to export value-added products to Ethiopia, as well as those that would like to pursue investment opportunities in the East African country,” said dtic Deputy Minister, Nomalungelo Gina.

Gina said South Africa’s exports to Ethiopia are diversified, covering a number of the department’s re-imagined industrialisation policy sectors.

“This presents potential to increase the volume of valueadded products, as well as investments in Ethiopia by South African businesses looking to expand their footprint into the largest market in East Africa.”

Agricultural products, chief among these, are coffee and spices, which dominate the country’s imports from Ethiopia.

Gina believes that South Africa’s exports to Ethiopia in 2019 indicate demand and potential for exports expansion, and investment in industrial and agriculture sector inputs.

Meanwhile, the targeted sectors for the trade and investment webinar are agro-processing; chemicals and pharmaceuticals; energy and electro-technical, and footwear and leather products.

“A Memorandum of Understanding between South Africa and Ethiopia was amended in 2015 to allow for the establishment of a Joint Trade Committee (JTC). One of its tasks is to facilitate structured and regular engagements to discuss trade and economic issues, as well as address any market access issues,” said Gina.

According to the Deputy Minister, the Trade Invest Africa Chief Directorate is assisting the South African business community to establish and expand its presence on the African continent.

SA COVID-19 DEATH TOLL EXCEEDS 21 000 The COVID-19 death toll has topped the 21 000 mark after 115 more people lost their lives on Tuesday.

Of the additional deaths, 45 were recorded in the Eastern Cape, 20 in Free State, 19 in Gauteng, 16 in the Western Cape, 10 in Kwa-Zulu-Natal and five in the Northern Cape.

This brings the total number of fatalities to 21 083 since the COVID-19 pandemic started in March.

Also, 2 493 people were confirmed to have contracted the virus, which brings the number of COVID-19 cases to 772 252 to date.

The Coronavirus continues to spread across the nation, with the Eastern Cape recording the most active actives.

According to the Health Minister’s latest statistics, the Eastern Cape has the highest number of active cases at 8 512, followed by the Western Cape 7 880 and Free State 7 280.

KwaZulu-Natal has 5 645 active cases, Northern Cape 3 269, North West

1 230, Mpumalanga 373, Limpopo 373 and Gauteng 243.

Meanwhile, 716 444 patients have been healed which translates to a recovery rate of 92.8%.

“The cumulative number of tests conducted to date is 5 325 631 with 20 288 new tests conducted since the last report,” said Minister Zweli Mkhize.

The World Health Organisation (WHO) is reporting 58 900 547 global confirmed cases of COVID-19, including 1 393 305 deaths.

According to WHO, the “rapid acceleration” of COVID-19 cases have slowed down, with about 4 million new cases reported in the past week.

However, not the same can be said about the death rate, which continued to surge, with over 67 000 new additional fatalities recorded.

“The European and South East Asia regions continued downward trends in weekly cases; however, the European Region remains the largest contributor to new cases and new deaths in the

past seven days,” the WHO added.

In America, the agency noted a peak in both new cases and deaths, while the region continues to account for the greatest proportion of cumulative cases and deaths.

“While cases numbers remain relatively low, the African region reported the highest increase in new cases (15%) and deaths (30%) this week,” the WHO said, adding that the highest new case and death counts were reported in South Africa, Algeria and Kenya.

The Eastern Mediterranean and Western Pacific regions also reported a rise in new cases and deaths this week.

In the past week, the United States reported the highest number of cases (over 1.1 million cases, 14% increase from the previous week), India (over 280 000 cases, 8% decrease), Italy (over 230 000 new cases, 3% decrease), Brazil (over 200 000 new cases, 17% increase) and France (over 170 000 new cases, 16% decrease).

www.enterprise-africa.net / 7

Endo plant warehouse

CHEMICAL PROCESS TECHNOLOGIES (CPT) Giant Leap for Local Manufacturing as

CPT Celebrates Milestone PRODUCTION: David Napier

After receiving its licence from the South African Health Products Regulatory Authority (SAHPRA), Pretoria’s CPT Pharma is ready to drive a local active pharmaceutical ingredient (API) manufacturing industry that will bring South African-made medicines for human consumption to the market. Financial Director Anton Steyl talks to Enterprise Africa about the major landmark in this exciting company’s history. www.enterprise-africa.net / 9

INDUSTRY FOCUS: MANUFACTURING

//

In June 2018, Dr Hannes Malan – Managing Director of South Africa’s Chemical Process Technologies (CPT) – told Enterprise Africa that the company was formulating a plan to expand into the manufacture of medicines for human use. Founded in 2001, already an expert in the manufacture and production of active pharmaceutical ingredients (APIs) for use in the animal health and research industries among others, the company established CPT Pharma with support from the Industrial Development

// IT’S BEEN A LONG JOURNEY TO GET HERE BUT WE FINALLY HAVE THE LICENCE AND WE ARE VERY HAPPY //

Corporation (IDC) and the Technology Innovation Agency (TIA), an entity of the Department of Science and Innovation. The goal for CPT Pharma has always been to react to the opportunity of import replacement of APIs. APIs are the component in a medicine which provide the medical benefit. For many years, South Africa has been a mass importer of API’s with as much as 90% of APIs used in 2018 coming from foreign markets (mainly China and India). APIs make up 50-60% of the total manufacturing cost, so producing API’s in South Africa provides major benefits.

In 2015, CPT Pharma broke ground on a pilot plant to prove that APIs could be successfully produced locally on a commercial scale. Construction of the pilot plant was completed in 2017 and CPT Pharma has since received Good Manufacturing Practice (GMP) approval by the South African Health

Products Regulatory Authority (SAHPRA) for the manufacturing of four APIs. “CPT Pharma was identified as an ideal partner for TIA’s intentions to support development and commercialisation of technologies to enable local API manufacturing. The success to date has also positioned the company as a key partner in ongoing collaboration initiatives within the National System of Innovation to stimulate the local pharmaceutical industry,” says Dr Vuyisile Phehane, Executive: Bioeconomy at TIA. FULLY LICENCED In August, CPT announced that it had achieved a major milestone when it was granted a licence by the SAHPRA to manufacture APIs for human medicine.

“We are honoured as a company at being able to take the lead in advancing the South African

Pharma pilot plant

10 / www.enterprise-africa.net

CHEMICAL PROCESS TECHNOLOGIES (CPT)

Packing area in Endo plant

// BUSINESSES THAT CAN BEST SATISFY THAT DEMAND WILL THRIVE. WE ARE SEEING VERY STRONG ORDERS COMING IN AND THAT GIVES US CONFIDENCE // pharmaceutical industry through obtaining this licence. While we appreciate the milestone, we acknowledge that there’s still a lot of work to be done in this space,” says Dr Malan.

Initially, the company will focus on proofing the in-house developed technology for four APIs before expanding the plant to semicommercial production capacity. Two of the APIs are used in the treatment

of tuberculosis, and one is used for the treatment of epilepsy as well as neuropathic pain.

Financial Director, Anton Steyl tells Enterprise Africa that obtaining this licence is an impressive coup for the business, and will help catapult it to the top of the health manufacturing industry on the continent.

“Our audit and receipt of the license makes us one of only two companies on the continent that can manufacture active pharmaceutical ingredients for medicines. This means we have the go ahead to register the drug master files.

“Two years ago, we had opened the plant after construction. From then until now, we have been commissioning and installing all of the equipment and making sure everything works.

It’s been a long journey to get here but we finally have the licence and we are very happy,” he says.

The next stage in the company’s

development involves partnering closely with customers to ensure products are of the highest standard and perfect for their intended markets.

“We now need to undertake stability tests and prove that the products we are making are within the required qualities before we hand over to our customers who will also perform stability tests and incorporate into their drug master file before we can start full production.

We are still around two years away from full production but the biggest hurdle of gaining the license is now out of the way,” says Steyl.

JUMPING HOOPS CPT will continue its work with animal health products and, currently exporting various products to more than 15 countries across five continents, the hope is that the CPT reputation of reliability and worldclass quality will spread. With minimal

www.enterprise-africa.net / 11

INDUSTRY FOCUS: MANUFACTURING

interruption over the past two years, the company has performed exceptionally well during the build up to audit and has successfully overcome all hurdles.

“One of the things we found while working through the process was the massive amount of documentation requirement – I think we underestimated that,” admits Steyl. “The processes that you need to have in place are tremendous.

“We’ve been able to solve all of the challenges we’ve faced, and we continue to learn as we go. The next and more commercial phase of the plant will hopefully go even better and quicker.”

Understandably, the Covid-19 pandemic has thrust a spotlight on those in the pharmaceutical manufacturing industry. With demand for inoculations far outstripping supply, the large multinationals involved in the development of novel vaccines have been redirecting all resources to research and development, and

involving smaller local players in supply of existing, ongoing demands in the market is vital.

“The decision in 2012 by CPT to get involved in the local manufacturing of APIs has been validated by the onset of the Covid pandemic which emphasised the dependence of the world on geographically concentrated pharmaceutical manufacturers in the East. Having our facility GMP approved is a major achievement for the company and confirmation that we are well on our way to achieving what we set out to do in 2012,” says Dr Malan.

“Local production of APIs not only shortens the supply chain for local pharmaceutical companies but also provides more sustainable access to medicines since it eases the industry’s reliance on imports for critical products. Moreover, it opens up a whole new sector for employment growth and skills development in the country,” adds Nelis Geyer, Acting Head of Industry

// WE BELIEVE THERE IS A MAJOR OPPORTUNITY TO ESTABLISH A LOCAL API MANUFACTURING INDUSTRY IN SOUTH AFRICA // Planning and Project Development at the IDC. Dr Gerrit van der Klashorst, Director of Business Development at CPT, is also keen on developing a local industry: “We believe there is a major opportunity to establish a local API manufacturing industry in South Africa. We import more than R20 billion worth of APIs and need to start by replacing imports with locally produced material. The manufacturing technology must be world competitive and requires contemporary and locally developed solutions,” he says.

From Left to right: Anton Steyl CA(SA) - Finance Director, Llewellyn Strydom - Operations Director, Dr. Gerrit van der Klashorst - Founder & Director, Dr Hannes Malan - Managing Director

12 / www.enterprise-africa.net

CHEMICAL PROCESS TECHNOLOGIES (CPT)

// WE HAVE EXECUTED WELL OVER THE PAST TWO YEARS AND NOW IS A VERY EXCITING TIME FOR THE COMPANY //

CPT Pharma Plant

COVID RESILIENT Like all companies, CPT has had to adjust during the pandemic. New working patterns and a quickly changing environment has meant the business had to be nimble.

“During the harsh lockdown, CPT Pharma was offline and then we spent a considerable amount of time and energy getting our processes Covid resilient and thinking about how we would deal with outbreaks,” details Steyl. “We adjusted how we do things to take the virus into account. CPT is in the food supply industry and was classified as an essential service and we had all personnel that were not physically required on the premises working from home. We worked out a different shift system for those that had to be in the factory to optimise working safely and healthily.”

Fortunately, the company has weathered the Covid storm well and has not been forced to close or reduce output. Also, the agricultural industry in which CPT supplies has been largely uninterrupted and enquiries

have continued to roll in.

“The agricultural industry in South Africa has been doing very well this year so there has been no shortage of orders. The only way we were negatively affected was during the period where India was in lockdown and getting raw materials became more difficult,” says Steyl.

He is confident that going forward, the business can continue to solve problems and remain relevant while others continue to deal with medium-term fall out.

“Business has been impacted around the world. It has accelerated the movement towards flexibility around working from home for employees that can do their duties in that manner. I don’t think working from home will be a permanent fixture but there will be a hybrid model going froward. At the end of the day, businesses are quite resilient but there are those that will not make it and that will leave spaces for new businesses to grow into. Each business has a function and if your

function has not disappeared then the demand will remain. Businesses that can best satisfy that demand will thrive. We are seeing very strong orders coming in and that gives us confidence.”

At HQ in Waltloo, Pretoria, CPT is buoyant following its licence win – a perfect antidote after months of general business negativity. There is no doubt that this innovative organisation is one to watch and will continue to be a shining light for South Africa.

“We have a very strong and very experienced management team with input at non-executive directorship level from the IDC for CPT Pharma. We have executed well over the past two years and now is a very exciting time for the company,” concludes Steyl.

WWW.CHEMPROTECH.CO.ZA

www.enterprise-africa.net / 13

E&C CHARCOAL Balancing Export and Local Markets

Assists KZN Manufacturer PRODUCTION: David Napier

Big braais with large numbers of family and friends might still be a way off in South Africa, but as the country turns the corner from relief to recovery, Pietermaritzburg-based charcoal manufacturer E&C Charcoal is still producing great products to help light up the barbecue and cook fantastic food this summer. www.enterprise-africa.net / 15

INDUSTRY FOCUS: MANUFACTURING

//

Summer is here and as the weather changes, the sun shines harder and hotter, South Africans pick up the tongs and uncover the BBQ – it’s time to braai. Of course, many don’t stop cooking over flame all year round, but when the sun is high and the temperature rockets, many are quickly moved outside for a season of chargrilled delight.

But with the turmoil induced by a global pandemic that has been ongoing for nine months and counting – and still raging in many parts of the world – this summer is set to look different to perhaps all that we have known before.

While President Ramaphosa stated at the start of November that the country was on the road to recovery from a health perspective, the economic picture remains ugly.

Shrinking by 7.8% in 2020, GDP

16 / www.enterprise-africa.net

// THE WELL-ESTABLISHED RELATIONSHIPS IN THE ABOVE EUROPEAN COUNTRIES GIVE E&C CHARCOAL SUBSTANTIAL MARKET DIVERSITY // in South Africa has been decimated by the Covid-19 outbreak and subsequent lockdown. Manufacturing in particular has been hit hard.

Retailers have been happy to support the population during lockdown, but with employment creeping even higher, and spending ability diminishing, non-essential products have been downgraded on the shopping list.

When it comes to the braai, despite its deep tradition in South African culture, consumers are being forced to make difficult choices and eventually something may have to give.

For E&C Charcoal, a leading South

African manufacturing and export business, the fact that the country has achieved around 92% recovery from Covid-19 brings hope that positivity might be cooking up this summer.

WELL-ESTABLISHED Founded in 1976, E&C Charcoal has always focussed on this important product, used in cooking and as a fuel. Headquartered for the past 44 years in Pietermaritzburg, the company supplies branded products for South Africa’s big retailers. The likes of Spar and Woolworths have been long time clients, and exports to Europe and the Middle East have been brand boosting for this local manufacturer.

Chief in the company’s strategy is quality and sustainability. FSC (Forest Stewardship Council) certified, E&C Charcoal uses timber from manmade, commercial plantations that are regenerated. The company does not use wood from endangered or protected forests and every tree that falls for production is replaced.

Wattle and eucalyptus are the main inputs, and the saying of ‘the harder the wood, the better the charcoal’, is certainly supported by E&C Charcoal which ensures its raw materials are hard and high quality, producing a premium product.

“E&C Charcoal is Africa’s largest manufacturer and exporter of superior charcoal, briquettes and lumpwood, having twice won the highly prestigious State President’s Award for export achievement,” the company states. “Apart from the South African market our products are also in demand internationally and nearly half is exported to almost every European country, due to our reputation for quality, service and reliability.”

E&C CHARCOAL

RESTAURANT GRADE In 2016, annual production of Charcoal briquettes was around 12,000 tons, and lumpwood charcoal was around 8000 tons, requiring 40,000 tons of timber. The company was also preparing a new product range – restaurant grade charcoal, which lights very quickly, has no smoke, achieves highest heat, and has almost zero ash after cooking.

Leftovers can also be reused. This represented a return to more of a high-quality charcoal product which had been edged out of the market because of its higher price. But with a renewed focus on quality of food and ingredients, and investments into highly efficient modern barbecues, European customers in particular started to warm up to the idea of restaurant grade charcoal. At

the time, a Dutch customer of E&C Charcoal introduced the product with “astonishing results”.

For export, E&C Charcoal is well-placed. With close links to international trade corridors, the company is able to ship product worldwide very quickly.

“Situated 30 kilometres from a major national road and 120 kilometres from Durban, Africa’s largest port, we are well-suited to supply the local and export markets,” the company states. “With this location and an abundance of timber, we have grown into Africa’s largest manufacturer of lumpwood charcoal and charcoal briquettes. E&C Charcoal currently exports both lumpwood charcoal and charcoal briquettes to Sweden, Norway, Denmark, Germany, the

Netherlands, Belgium, Switzerland and France, as well as across the channel in the United Kingdom.

We also have markets in the Mediterranean countries of Greece and Israel.”

Charcoal is relatively easy to export and complements shipments of other exports as container and freight companies look to fill space and maximise capacity with exactly this type of product.

“The well-established relationships in the above European countries give E&C Charcoal substantial market diversity. The exported charcoal is a finished product; packaged and palletised for display and sale in retailers.

Other than distribution costs, there are no further expenses incurred in Europe,” the company says.

www.enterprise-africa.net / 17

INDUSTRY FOCUS: MANUFACTURING

// THE UTILISATION OF PRODUCTION CAPACITY BY LARGE MANUFACTURERS WAS 72.9% IN AUGUST 2020 COMPARED WITH 80.3% IN AUGUST 2019, A DECREASE OF 7.4 PERCENTAGE POINTS //

18 / www.enterprise-africa.net

ACTIVATED CHARCOAL A key use for charcoal, especially in Europe – going beyond that of food preparation – is in air purification.

Activated charcoal is created by heating regular charcoal in the presence of certain gases, creating pores within. These pores capture chemicals from air and the process has been developed to make the use of activated charcoal very efficient. For E&C Charcoal, this market continues to offer up major opportunities.

As demand for this product increases, Africa as a whole could benefit from export opportunities but those companies that are FSC certified and work to proven environmental standards will be first in line. Currently, around 90% of wood consumed in Africa is used for wood fuel and charcoal (East Africa 94%, North Africa 96%, Central Africa 87%, South Africa 49%, West Africa 92%). Africa’s multimillion-ton charcoal industry is a multibilliondollar industry at the point of sale, with Nigeria, Ethiopia, South Africa, the DRC and Ghana among key manufacturing countries.

Of course, key in the continued growth of this rural job-creating industry is the ongoing ability of manufacturers to operate restriction free, and the demand from retailers in a tough trading environment.

Pre-Covid-19 South Africa’s economy was on a knife edge and this is why E&C Charcoal is very happy to be operating in the export market.

According to Stats SA, manufacturing as a whole was down year-on-year in August. “The utilisation of production capacity by large manufacturers was 72.9% in August 2020 compared with 80.3% in August 2019, a decrease of 7.4 percentage points,” the government body stated. “All of the manufacturing divisions showed decreases in utilisation of production capacity in August 2020 compared with August

E&C CHARCOAL

2019. Wood and wood products, paper, publishing and printing decreased by 10.1 percentage points.”

However, manufacturing remains the country’s fourth largest industry, and a major employer. Government will not allow this vital sector to fail

// E&C CHARCOAL IS AFRICA’S LARGEST MANUFACTURER AND EXPORTER OF SUPERIOR CHARCOAL, BRIQUETTES AND LUMPWOOD //

and, despite challenges thrown up by the pandemic, economic packages to ensure important manufacturing businesses continue to operate will come into force. The largest spending plan in SA history has already been issued by Ramaphosa’s government and for many manufacturers, as this money filters into the system, the hope is that confidence can return to markets so that consumers can spend and retailers can support a tested value chain.

On the ground, braai culture is unlikely to be reduced to a memory and many will soon begin uncovering the grills. For Charles Holley, E&C Charcoal CEO, a braai remains a perfect way to relax.

“I braai probably twice a week and I don’t just use our product. I like to know what’s out there. Our focus as a company is all about quality so it’s nice to know the advantages that we have in the marketplace. I love braaing; I find it creative and relaxing – it’s great for family and friends. There’s a changing attitude towards eating and food and people want quality with everything they do so that can only be good for our business.”

WWW.CHARCOAL.CO.ZA

www.enterprise-africa.net / 19

EDDELS SHOES/ CELROSE CLOTHING

Localisation is Key in

Economic Recovery PRODUCTION: Manelesi Dumasi

Local manufacturing must be a part of the South African government’s economic recovery strategy. Manufacturing creates jobs and drives wealth creation in a country that is in desperate need for stimulus. For Eddels Shoes and Celrose Clothing, two of the country’s most historic and important fashion makers, now is the time for retailers to look internally for quality and flexibility. www.enterprise-africa.net / 21

INDUSTRY FOCUS: MANUFACTURING

//

Truly African manufacturers will have welcomed President Cyril Ramaphosa’s economic reconstruction and recovery plan, and the sentiment he stitched into his announcement, claiming that the economy can be better than it was pre-Covid, and not just return to futile growth and stagnation. His idea is to rebuild and grow, becoming the world’s partner in Africa. By focusing on infrastructure development, localised manufacturing, improvements in energy production and reversing unemployment, Ramaphosa will look to reinstate the country as Africa’s largest economy, and combat the economic fallout of the global pandemic.

Following the election in the USA, SA’s President spoke at a virtual business and investment roundtable where he told attendees that America was South Africa’s third largest trading partner, South Africa is the largest source of African imports to the United

22 / www.enterprise-africa.net

States, and the country is home to more than 600 American firms.

“We look forward to further strengthening our ties of friendship and cooperation with the incoming administration,” he said.

South Africa’s growers, producers, makers, creators and manufacturers have had a tough time of late. With retailers forced to close - locally and around the world - and consumers forced to buy online only, for those not providing ‘essential items’ (food and medicines) demand had dipped.

News that government plans to boost manufacturing and local industrialisation as well as stimulating exports to key wealthy markets like the US is much welcomed.

Ramaphosa’s government announced in April a plan to plunge R500 billion into economic stimulus.

Key in his message was localisation. South Africa imports around R1.1 trillion of goods each year and a small change,

// AS A BUSINESSMAN, A CAPTAIN OF INDUSTRY, AND AS A CITIZEN, YOU’VE GOT TO DETERMINE YOUR OWN SUCCESS // manufacturing just 10% of these imports locally, would add an estimated 2% to annual GDP figures.

In the textile sector, this is only too well known. For many years, the industry has been flying the South African flag high, stating clearly that its products are higher in quality, affordable, flexible, and job creating, but the lure of basement pricing from the East has been too much for some retailers to overlook.

Perhaps now, with the country looking for something of a reset, local clothing manufacturers can thrive.

EDDELS SHOES/CELROSE CLOTHING

MANUFACTURING IN KZN In Tongaat KZN, 40 minutes north of Durban, John Comley – CEO of Eddels Shoes and Celrose Clothing is clear about the importance of manufacturing locally.

“Manufacturing and great manufacturing companies are vitally important for the future of this country,” he told us. “We need manufacturing to get back to 25% of our GDP contribution.

“Yet ironically every year we are seeing manufacturing shedding jobs and becoming a smaller part of the GDP contribution, and all the time unemployment growing.”

By the end of 2020’s third quarter, unemployment in South Africa reached 30.8% with 2.2 million jobs shed as a result of the Covid-19 pandemic.

Eddels Shoes and Celrose Clothing hopes to lad the fightback, bringing jobs to South Africa, creating products that the country can be proud of, while contributing to economic development.

“We work very hard with our customers to prove to them that we are a value-added supplier and offer a point of difference.

“We work extremely hard on product diversity, flexibility, and become that first name or phone number in the customer’s mind. Not only will they get top service quickly, they will get guaranteed quality and after sales service and support,” said Comley.

This is a business with a long and rich South African history. Founded

by Charles Eddels as a shoe and boot retailer in 1904. Becoming a limited company in 1913, the company went on to become fully constituted as Eddels Shoes in 1948. After years of growth and a subsequent slowdown, by 1999 it was time for a change and John Comley took over the business in 2000, installing new ideas and processes. By offering ownership to employees, Comley quickly improved productivity and the business became more efficient.

CHAMBERLAIN PHIPPS CC

SUPPLIERS TO THE SHOE INDUSTRY

• Textiles For Linings and Uppers • 100% Wool Fur • Preforming Jersey Backers and Plumper’s • PVC Binding • Reinforcing and seaming Tapes

• Counter Lining Material • Cutting of Customers Materials •

Hand Lacing Thread

• Microfibre

• Shankboard

CP CP

CONTACT US TODAY

 031 705 6975  champhip@hit.co.za

www.enterprise-africa.net / 23

INDUSTRY FOCUS: MANUFACTURING

Celrose Clothing was established in KZN in 1975 as the manufacturing arm of the Edcon group. In 2006, Edcon divested and Comley came in as CEO. By 2015, he helped turn the company from substantia losses to profit, by investing in technology, modern processes and new managerial thinking.

“Interestingly enough, Edcon decided to open its own manufacturing division. There were a number of unemployed ladies in the Tongaat area and they thought it would be an ideal opportunity to create work for these ladies – that was the birth of Celrose.

“We have chosen to take on board and become the custodians of the South African retailer’s own brands,” he says.

24 / www.enterprise-africa.net

CASH RELIANT But despite historic success, and even with a loyal labour force and modern facilities, the company has come under pressure like most as retailers were forced to close during lockdown and the supply chain was halted.

“In the manufacturing environment, it is very cash reliant, particularly as you start expanding.

Your volumes grow, you need capital equipment, you need to employ people to meet the expansion, you need funding for raw materials, and all these things come long before you actually get paid for the turnover you have committed,” explains Comley.

“The South African industry is highly competitive, and since 1996 our industry has been under particular pressure having to compete against international competition.”

For many in the industry, the hope is that short term relief will come from government as it injects cash into the economy to drive out of the downturn. In turn, this should drive confidence and encourage people to spend, which will result in retailers calling on manufacturers to supply in large quantities again. In the midterm, positive news of investment into the sector will be welcomed.

Longer-term, the hope must be that government and businesses align to aid local manufacturers and avoid mass imports, creating a sustainable and self-sufficient industry for all manufacturing.

In September, the Foschini Group announced it would purchase 382 Jet stores from Edcon, saving thousands of jobs. This was a real positive for South Africa’s fashion industry and

EDDELS SHOES/CELROSE CLOTHING

many see the deal as a saving grace for Jet which faced potential closure if a sale could not be reached. In November, Secha Capital – a South African investment firm – said that it sees major opportunities in what it called ‘boring’ sectors such as footwear, hair and food.

“We see the most opportunities in the sectors of agribusiness, healthcare, manufacturing, energy and business-enabling services,” MD Brendan Mullen told How We Made It In Africa. “We also see localisation as an important global trend; we look for sectors where South Africa can leverage local resources to provide import substitution. For instance, there used to be a lot of footwear and textile manufacturing in South Africa and as tariffs increased elsewhere and China became a

less secure production source, we saw a massive opportunity to grow existing companies here. Offering a locally designed shoe allows us to charge a higher price and expand our profit margins.”

MAKE YOUR OWN SUCCESS For Comley and Eddels and Celrose, the news that investment companies see the value of local manufacturing will be a boost after what has been a difficult year, and unlike many before.

“In the last couple of years we have managed to show some considerable growth which has been very exciting and we have created a large number of jobs over the past four or five years.

“This company really started to find itself. For the first time in 2011, we did R240 million turnover and that

has steadily grown to R745 million in 2018 which is exceptional when one considers the amount of competition out there,” he details.

Reports from the likes of Citi Economics and others suggest that South Africa should see an improvement in its economic position through the third quarter and into the final quarter of 2020, and then longerterm growth potential remains the same as it always has been: enormous.

“As a businessman, a captain of industry, and as a citizen, you’ve got to determine your own success,” he said.

WWW.EDDELS.CO.ZA

www.enterprise-africa.net / 25

GOGO GROUP/EKM EXPORTS

Picky About Fruit

so you Don’t Have to be PRODUCTION: Karl Pietersen

South African citrus fruits have become a product in demand around the world as buyers look to fill gaps in supply and sell to consumers desperate for the vitamins hiding within the country’s lush crops. EKM Exports and the GoGo Group are leading the way in getting South African produce, in record numbers, to markets all over the world.

26 / www.enterprise-africa.net

INDUSTRY FOCUS: FRUIT

//

The sour taste left by the Covid-19 pandemic, as President Ramaphosa describes the country moving from relief to recovery, has resulted in a lack of zest across major industries in the country. At the beginning of 2020, the economy sat stagnant – zero growth and the disease of corruption still clear for all to see. Once the ripe and ready African partner of the world, South Africa’s position was ailing like a dead fruit falling from a tree. But promises of improvement, and a history of overcoming challenges, left many with hope.

When the virus hit, it became clear that economic plans had to shifted to deal with the fallout. Now, meaningful growth is not expected to return for some time, but not all industries have been allowed to decay.

Citrus farming has long been a staple of the South African agricultural scene. After Jan van Riebeeck planted citrus trees in Cape Town in the 1600s,

28 / www.enterprise-africa.net

the industry blossomed and the farming of citrus spread across the country, reaching Limpopo – now citrus heartland. A perfect climate for growing citrus - with warm temperatures, dry seasons, and well-drained soils – South Africa has positioned itself among the world’s top players, alongside Brazil, China, the USA, Mexico, India and Spain.

Thankfully, this juicy-sweet industry has managed to avoid the relative darkness of Coronavirus and is growing, picking, packaging and shipping to all corners of the world as people’s insatiable appetite for citrus booms.

// THE FRUIT GOES STRAIGHT FROM THE PACK HOUSE INTO THE COLD-ROOM AND WE LOAD THE CONTAINERS, SEAL THEM, AND THE NEXT TIME THE CONTAINER IS OPENED IS BY THE CLIENT OVERSEAS //

HUNGRY In October, the Citrus Growers Association (CGA) announced that South Africa was on track to export a record number of cartons. By the start of the month, the industry had moved 148.8 million cartons – 20 million more than the previous year – with all

fruits except grapefruit performing above predictions.

By mid-October, the country was heading towards 170 million cartons exported, using reefer containers and refer vessels to fill gaps in the supply chain, helping to avoid slowdowns at big ports around the world.

One of the largest companies involved in this major push is the GoGo Group. Headquartered in Pretoria, the GoGo Group and EKM Exports (the group’s international sales arm) is a major citrus farming operation with many producers working to a model which maximises returns while ensuring fruits of the highest quality.

‘The quest for fruit excellence’ is the vision the group lives by. Since Eben Kruger founded the business alongside his brother and farmer Tian in 1998, his goal has always been to lead the industry by doing things right for farmers and buyers.

Today, the GoGo group farms massive swathes of land across Limpopo and Mpumalanga.

Sometimes reaching as far as the eye can see, and continuing beyond the horizon, this green ocean of fruit trees is expertly cultivated by farmers with years of experience.

The size of the operation is clearly demonstrated by the numbers.

Growing Every Day Mr Avocado is an exciting global joint venture from Mission Produce, Pagoda and Lantao International. The key focus for Mr Avocado is readyto-eat product, and the brand was the first to introduce this to the Chinese market.

The business is home to the first and only, state-of-theart avocado ripening centre in China, and Mr Avocado regularly produces marketing material to assist in promotion and education surrounding this delicious and healthy fruit, tailoring recipes and ideas to Chinese tastes.

With a complete distribution system and sales network that spans more than 85% of online and offline retail in China, Mr Avocado is growing every day.

www.mr-avocado.com info@mr-avocado.com

INDUSTRY FOCUS: FRUIT

// NOW THAT WE HAVE THE PACK HOUSE RIGHT NEXT TO THE COLD-ROOM, WE ARE MUCH MORE EFFICIENT // Currently, the GoGo Group has 1400 hectares of citrus and 130 hectares of grapes in production, it boasts

a 22,000m2 world class cold store facility where 7500 pallets can be stored and the only inland cold treatment facility in South Africa where 1000 pallets per cycle can be processed, and a 17,000m2 world class packing facility where 90 tonnes are packed each hour. New cold room and packhouse facilities are now operational and state-of-the-art electronic sorting and quality control machines (providing weight and density measurements and taking multiple high resolutions images

of each fruit) ensures high quality produce at all times. Provided by MAF RODA AGROBOTIC, an innovative French machine engineering company specialising in food processing, the technology installed at the GoGo packhouse is some of the most advanced in Southern Africa and this helps to drive interest from customers around the globe.

“We’re the only inland coldroom facility in South Africa that is approved for phytosanitary inspections as well as doing the

Having experience in the arboreal sector since 1905, MAF RODA AGROBOTIC innovates continuously to provide efficient integrated post-harvest solutions and services to the global fresh produce industry with electronic grading, automation and packing robotics equipment. This French family group is active in South Africa with its subsidiary MAF RODA RSA located in Cape Town region.

Its latest external quality control system for blemish grading, GLOBALSCAN 7, analyzes and sorts all types of fruits such as citrus, apples, avocados, stone fruits or mangoes according to their surface blemishes, color and morphology.

The combination of information from visible spectrum and wavelengths in the infrared enhances the defects detection with higher accuracy and precision in sorting. Thanks to dimensional analysis using HD cameras, GLOBALSCAN 7 also determines the diameter, length and shape of the products.

With its VIOTEC 7 option, it can benefit from a finer detection of external surface defects of citrus fruit (small wounds and surface damage), but also areas of rot, and specific defects for lemons, limes and grapefruits as spots on the epidermis due to Oleoscellosis.

This external quality control can be optimized by additional use of internal quality control systems: IDD, which will eliminate products with internal browning or water core, and INSIGHT, which gives measurement of BRIX and specifically acidity level for citrus.

In 2020, a third MAF RODA packing line has been installed at GOGO GROUP with the sizer equipped with GLOBALSCAN 7 external quality electronic sorting system.

“Thanks to improved RGB, infrared and ultraviolet cameras we can detect imperfections that is invisible to the naked eye. Weight sorting in conjunction with GLOBALSCAN 7 external sorting allows us to class our fruit continuously on internal and external qualities”, says JP VILJOEN – Managing Director at GOGO FRUIT EXPORTS. “This has enabled us to pack only the best citrus for our clients, no matter the variables of the season.”

Since the first installation in 1975 and the establishment in 2011 of MAF RODA RSA, this French world leading group has expanded its business in South Africa with now more than 100 installations for apples, citrus, tomatoes and avocados.

30 / www.enterprise-africa.net

Benefit from MAF RODA advanced electronic sorting technologies

We see a lot more than you can imagine

GLOBALSCAN 7

IDD 8V

All types of fruits and vegetables

Apple, Pear, Avocado, Onion, Mango,...

External measurements Quality selection

Internal measurements Internal Browning Defect Detection

INSIGHT T

INSIGHT RH

Citrus, Apple, Melon,...

Avocado, Mango, Kiwi, Tomato,...

Internal measurements Sugar rate - Brix Index, Acidity level

Internal measurements Brix Index, Dry matter, Internal colour

SORTING

HANDLING

GRADING

ROBOTICS

MAF RODA RSA Unit 4 E - Quantum Park 2 Quantum Road - Firgrove - 7110 South Africa Tel: (+27) 21 851 85 03 - Fax: (+27) 21 851 83 64 email: info@mafroda.co.za - website: www.maf-roda.com / www.mafroda.co.za

PACKING

INDUSTRY FOCUS: FRUIT

pre-cooling for special markets like China, India, and Taiwan,” EKM Exports Director, Brendon Kruger told Enterprise Africa in 2016. “In the past, any grower or exporter would have to send containers of fruit to the port and at the port they would do the inspections and this caused congestion and delays as everyone is harvesting at the same time and everybody is sending their fruit to the port at the same time. Now that we have the pack

32 / www.enterprise-africa.net

house right next to the cold-room, we are much more efficient.

“The fruit goes straight from the pack house into the cold-room and we load the containers, seal them, and the next time the container is opened is by the client overseas.”

TRULY GLOBAL Currently, EKM Exports on behalf of the GoGo Group is moving product heavily into China and the Far East but India

remains a major target area. To bolster its brand in India, the company began a high-profile marketing campaign back in 2015 making use of a major South African export to India. Cricket legend AB de Villiers was photographed in full GoGo cricket uniform and printed on boxes, cartons, packaging, and digitally through website and social media channels. The batsman, at the time playing for Royal Challengers Bangalore, was keen to help promote a South African success story.

“It’s definitely a positive thing in the market, especially in places like India and Bangladesh. We are going to carry on with this campaign and push it harder than we have before,” said Kruger.

Wherever the demand comes from, the GoGo Group and EKM Exports stand ready to deliver.

For South Africa’s fruit industry as a whole, the pandemic has been another factor in a long line that have boosted exports. An exchange rate which sees a very favourable Rand for exporters combined with a market left bare, after European and northern hemisphere stocks were depleted,

GOGO GROUP/EKM EXPORTS

// WE ARE PROUD TO SAY THAT, THROUGH OUR CONSISTENCY AND DEDICATION, GOGO HAS NOW GAINED A REPUTATION AS ‘THE ROLLS ROYCE OF FRUIT // has provided South African growers with an open goal – especially while consumers look to traditional fruits, rich in vitamins, to bolster their immune systems.

The 2020 export crop for the USA has been a bumper. CGA Chief Executive Justin Chadwick said at a recent digital event that the numbers were staggering.

“In March 2020, when the Covid-19 situation was really bad in the US, sales increased by 84% compared to the same time last year.

Over the year, there has been a 29%

increase in navel sales. It has been a massive positive for South African citrus in the US.” He added that the same was true for red grapefruits and lemons with sales increasing by 11% and 17% respectively.

China and East Asia accounts for around 20% of all citrus exports and this is major milestone for the industry.

In 2004, when South African citrus was first allowed into the Chinese market, the country was shipping around 10,000 tonnes. Today that figure is higher than 140,000 tonnes.

While the export figures have been good for the year, it has not come easily. The need for innovation has been strong thanks to a slowdown at the bottlenecks in the chain – the ports. Some of South Africa’s ports had to close to be deep cleaned before reopening with fewer staff and reduced capacity. At the GoGo Group, this challenge was hurdled through the use of rail.

The company’s position, close to rail links allowed loading reefer containers that headed straight for Durban very convenient. Loading

at Bela Bela, Tzaneen, Musina and City Deep before being sent out on reefer vessels from Transnet’s Port of Durban, the GoGo group railed 70% of all the containers destined for shipment through Durban this season, and 100% of all exports. With limited road capacity in Limpopo, rail links are a major hope for the future as more citrus farmers in the region are encouraged to use the tracks to access lucrative export markets.

By 2021, EKM Exports forecasts 3.7 million cartons of South African produce will head for international markets. By 2022, four million cartons will be moved. This demand will emerge from a consistently first-class product, and a seamless link between producer and consumer.

“We are proud to say that, through our consistency and dedication, GoGo has now gained a reputation as ‘the Rolls Royce of fruit’,” the company states.

WWW.GOGOFRUIT.CO.ZA

www.enterprise-africa.net / 33

ESKOM

A Tide Turning Step

Change at Eskom?

PRODUCTION: Karl Pietersen

Eskom is doing good things despite being surrounded, constantly, by negative headlines.

Work is underway on the transition to utilisation of more renewable resources, and improvements are being made to the network every day. But building trust – a much more difficult task – is now a major focus for the country’s powerhouse.

34 / www.enterprise-africa.net

Š Richard van der Spuy / Shutterstock.com

INDUSTRY FOCUS: ENERGY

//

Embattled Eskom remains one of the most powerfully charged topics across customers, municipalities, businesses and government. The power utility that has, for years, been unable to maintain a sustainable grid regularly causes sparks in debate thanks to the ongoing saga that is load shedding. Bad for business and bad for lives, and potentially a shock for investors looking into South Africa, something has to change within this melting organisation.

After years of malpractice and high-voltage corruption, topped off by a state capture investigation, Eskom moved for a change at the very top to, hopefully, change the direction of the current. André de Ruyter – senior management extraordinaire – was welcomed as Group Chief Executive in January 2020 and his ambition is the flip the switch on Eskom, moving it from a stain on the country’s landscape to a reliable partner of society that helps drive economic development.

But the former Nampak CEO and Sasol executive committee member has accepted perhaps one of the most challenging roles in Africa. He must significantly improve supply, address a major debt crisis, root out corruption, begin a long transition towards cleaner fuels and renewable energy, end destruction of property and theft of power, cast load shedding to memory, and do it all while a global pandemic and a local economic crisis still rage.

All sizeable jobs must first be broken into smaller tasks. For Eskom, this means projects across all of South Africa that address the organisation’s dire need for improvement.

RENEWABLE FUTURE A positive story for Eskom came in October when the Perdekraal East Wind Farm was launched in the Western Cape. Located in the Witzenberg local municipality in the Cape Winelands, the 110 MW wind farm is home to 48 turbines atop 115m towers. It can produce 368.8 GW hours per year – enough to power more than 111,000 South African homes. This addition to the Eskom grid, that also created 70 permanent jobs in the area, was hailed by local government as an important milestone.

Cape Winelands mayor Helena von Schlicht said: “Besides job creation, it has contributed to Eskom’s capacity to respond to the energy needs of households.”

Vice-president of Agri Western Cape and famer in the area, Heinie du Toit added: “We farm with fruit and vegetables in this region. There is scope to expand our farming operations, but to do so we need a reliable, sustainable energy source. The wind farm highlights what is possible.”

Agri Western Cape Chief Executive, Jannie Strydom said: “Renewable energy is essential. The agricultural sector is dependent on a reliable, sustainable source of energy. We have approximately 240,000 hectares of agricultural land under irrigation in the Western Cape. The province exports 45% of all agricultural products. A reliable, sustainable source of energy is of great importance to the sector and critical to ensure rural safety in the province.”

The project is part of the ANC’s renewable energy Independent Power Producer Procurement programme.

In November, the Kangnas Wind

// THERE IS A CLEAR AND COMPELLING CASE FOR SIGNIFICANT TRANSMISSION NETWORK EXPANSION CRITICAL FOR THE CONNECTION OF UTILITY-SCALE RENEWABLE GENERATION PROJECTS, MAINLY WIND AND SOLAR // 36 / www.enterprise-africa.net

// THE ECONOMY, HOPEFULLY, WILL GROW AND, AS THE ECONOMY GROWS AND DEMAND INCREASES, WE WILL NEED TO POSITION OURSELVES TO KEEP ON SUPPLYING ELECTRICITY TO SOUTH AFRICA // Farm in the Northern Cape came online, adding a further 140 MW to the grid. A project from Lekela - the renewable power generation company that delivers utility-scale projects across Africa - Kangnas consists of 61 Siemens turbines erected close to the town of Springbok in the Nama Khoi Local Municipality.

During the busiest period of construction, 550 jobs were created and long-term opportunities have also been created in the rural area.

The clean power from the turbines helps to reduce carbon emissions from generation by 450,000 tonnes each year and provides Eskom with yet another source of clean energy to aid a stretched network.

“Just five years after Lekela was created, this is a significant milestone for us all,” said Chris Antonopoulos, Chief Executive Officer at Lekela. “Kangnas completes what only existed as ideas on a piece of paper just a few years ago. We now have over 600MW of wind power in operation, which will supply clean electricity to hundreds of thousands of South Africans, at an affordable price for the next two decades.

“Kangnas’ success supporting local manufacturing and jobs is an indicator of how low-carbon technologies can drive renewed

ESKOM

economic growth in the wake of Covid. No other source of energy has the pace of development, nor the backing of governments, communities and companies that wind and solar do.

We have to capitalise on this appetite to ensure the number of Africans without access to electricity continues to fall, not rise, in the next decade.”

In the Eastern Cape, Enel Green Power has commissioned the 140MW Nxuba wind farm which will deliver 460 GW hours per year to the grid.

At the third investment summit hosted by South Africa in November, Mineral Resources Minister Gwede Mantashe reiterated the desire of government for the country to rely less on Eskom as a sole provider of power.

He also reminded the 175 delegates in attendance that South Africa has procured 2000 MW of additional energy supply.

“If you look at what we are implementing, we have opted for a mixture of technologies and a mixture of sources of energy. We are making provisions for that,” he said. “Other sources of energy are still needed to contribute so that there is stability, and so that we don’t have problems that are a function of one sort of energy,” he added.

INCREASING CAPACITY Unfortunately, there is no quick fix for the increasing capacity within Eskom.

Much of the generating plant is old and has been poorly maintained, and the Medupi and Kusile are not expected to bring their full clout – finally – until Q2 2021. The renewable contribution remains low and, still, the company is forced to turn to expensive dieselfuelled open-cycle gas turbines (OCGTs).

But de Ruyter and the executive team have signalled their intent. In October, Segomoco Scheppers, Group Executive for Transmission, said that major improvements and expansion was needed to ensure reliable supply.

“There is a clear and compelling case for significant transmission network expansion critical for the connection of utility-scale renewable generation projects, mainly wind and solar,” he said.

From 2021 to 2030, the new Eskom Transmission Development Plan (TDP) states the need for 30 GW to be added to the grid.

“In order to provide an adequate and reliable transmission system, the total transmission capital plan in this period amounts to approximately R118 billion,” Scheppers said.

Strengthening existing generation

LOCAL DESIGN AND MANUFACTURE FOR OVER 30 YEARS Switch-mode Power Supplies

Isolating DC-DC Converters S008

S119

S004 S111

S004 in Rack

S213

DC Distribution Panels ESK031

SPECIALS ARE OUR SPECIALITY!

Made in South Africa | BBBEE Level 1 Certified

S.O.S.

INDUSTRIAL ELECTRONICS

See our online catalogue www.sos-ind.co.za

Tel: +27 (0)12 661 6295 Fax: +27 (0)12 661 3990

PO Box 10150, Centurion, 0046 | 32 Panorama Road, Rooihuiskraal x1, Centurion, 0154, South Africa

www.enterprise-africa.net / 37

INDUSTRY FOCUS: ENERGY

capacity will happen slowly and this means there will be no end to load shedding anytime soon. As the State of the System briefing at the end of October, de Ruyter said that even the 11.8 GW of promised capacity addition from sources outside of Eskom would not be enough to stabilise supply.

“We shouldn’t stop at the 11.8

// WE BELIEVE THAT THE SUCCESS OF ANY PROJECT DEPENDS ON THIS KIND OF PARTNERSHIP HENCE THIS IS AN IMPORTANT DAY FOR ALL OF US // 38 / www.enterprise-africa.net

GW. We believe that more is required, because the economy, hopefully, will grow and, as the economy grows and demand increases, we will need to position ourselves to keep on supplying electricity to South Africa,” he said.

He added that much of the country’s generating plant would require maintenance soon and some plants will need to be decommissioned, leaving further gaps in supply. The result – an Energy Availability Factor (the amount of the time the fleet is able to produce power) of 68% for the 2020/21 financial year, increasing to just 70% and 72% in the next two years.

Eskom’s total 44,000 MW capacity will be bolstered in April 2021 when what de Ruyter calls a step change - the maintenance programme and progress at Medupi and Kusile are completed.

At the end of October, Unit 2 at Kusile attained commercial operation status, bringing a potential 800MW to the grid.

“The commercial operation of Unit 2 is a major milestone that signifies the progress being made by Eskom towards the completion of the Kusile Build Project, on which lie the nation’s best hopes to bring stability and ensure security of electricity supply to power the South African economy,” said Bheki Nxumalo, Eskom’s Group Executive for Capital Projects.

Progress is also planned at the Koeberg Nuclear Power Plant in Cape Town where a R20 billion life extension project is under way, with the first new steam generators on site and ready for installation during a planned 2021 shutdown.

ESKOM

© Sunshine Seeds / Shutterstock.com

At the beginning of November, a new 282km 400kV transmission line running from Gromis substation in the Northern Cape near Kleinsee to Juno substation in the Western Cape close to Vredendal was discussed as the company went to communities alongside contractors to complete feasibility research.

The line will bolster the network as part of the Namaqualand Strengthening Phase 2 scheme which is a multi-million Rand project to improve supply in the area. The meeting with communities, municipalities and partners resulted in support from all groups a pledge to act effectively as the project is completed.

“We believe that the success of any project depends on this kind of partnership hence this is an important day for all of us,” said Eskom’s General

Manager for Project Stability, Matome Makwela. “The key objective for us is to construct and finish this 282km 400kV line within schedule, budget and with minimal instability incidents and we believe that through these engagements we will be able to execute this project successfully.”

Matzikama Local Municipality Mayor, Councillor Mathilda Bains said the municipalities look forward to working with Eskom and its contractors.

During this tough time for Eskom, progress is certainly underway.

Whether it is fast enough and clean enough for everyone is yet to be seen.

Perhaps now, the challenge equal to that of stabilising supply is to restore public trust that has been eaten away over the past two decades.

For de Ruyter and team, a very difficult but interesting time lays ahead.

The next few years have the potential to start a bright new chapter for one of the country’s most recognisable brands, but it is going to take a significant amount of involvement and hard work.

Does the company have the power to succeed? It has no choice, failure is no longer an option.

WWW.ESKOM.CO.ZA

www.enterprise-africa.net / 39

CROSSFIN TECHNOLOGY

Crossfin Enters Level 1 in

‘Really Promising’ State PRODUCTION: Manelesi Dumasi

After finally entering lockdown Level 1 in a strong position, Crossfin Technology is taking the ‘glass is half full’ approach to business, choosing to be optimistic about the future. This ambitious fintech investment company is refusing to let negativity dampen its spirits and is planning for a strong end to 2020.

40 / www.enterprise-africa.net

INDUSTRY FOCUS: FINTECH

//

In the second quarter of 2020, the South African economy contracted by 51%.

This represented one of the largest shrinkages ever recorded. The national lockdown put in place to curb the spread of coronavirus was the key driver, with household spending slumping by almost 50% while stores and other businesses were forced to close. The environment was similar around the world, but South Africa’s already weak economy was ill prepared for such a drastic contraction.

Many jumped on the news and tried to contextualise to demonstrate that the situation is not as bad as it seems and that the figures must be viewed as part of a wider picture, but most agreed with Statistician-General Risenga Maluleke who descried the development as a severe punch in the gut for the country’s economy.

However, while times are certainly challenging for many, those that have been nimble and prepared effectively are already beginning to see green shoots. Crossfin Technology, a leading African independent fintech group that backs innovative companies focussed on solving specific everyday pain points that are not adequately covered by existing products in the market, has felt the impact of lockdown and has had to make changes within its portfolio. But Chief Operating Officer, Anton Gaylard is positive about the future and tells Enterprise Africa that Crossfin is already seeing an upswing.

// IT GOES TO SHOW THAT WHEN YOU HAVE TO WORK, YOU WORK REGARDLESS – THERE WAS ALWAYS ACTIVITY GOING ON TO FEED MOUTHS AND PAY BILLS // 42 / www.enterprise-africa.net

HOPE FOR THE BEST “We were quite fortunate as we took the stance of ‘plan for the worst, hope for the best’,” he says.

“Coming through the Covid experience as the lockdown levels are reduced, all of our businesses are doing better than the worst-case scenario, and some are already back to the budget levels of pre-Covid. Those that were most effected are now back to 80-90% of pre-Covid volumes. It has been a nice bounce back, and we are happy and comfortable with where every one of the businesses are.”

South Africa entered Level 1 lockdown on September 21 and the subsequent freedom restored movement and activity which has helped businesses to rebuild. Although Stats SA suggested that even finance – usually a robust sector, able to weather many storms - did not escape the contraction. “The finance industry, which includes banking, insurance services, real estate and business services, fell by 28.9%,” Stats SA said.

“The businesses in our group that were focussed on serving SMEs have felt the brunt of lockdown, particularly those in the payments and lending side of the business,” admits Gaylard. “The SMEs that they would normally service were either completely shut down or trading way below par.

“Those that service enterprise clients and the financial services sector were able to weather Covid a lot more resiliently than those that service the SME sector, but across the board are trading really well at the moment.

Funnily enough, those that trade in the informal market are actually trading ahead of budget. It goes to show that when you have to work, you work regardless – there was always activity going on to feed mouths and pay bills.

In the main, we are very happy with how the portfolio has performed in these trying times and there seems to be a lot of activity, interest and opportunity in the different businesses – particularly in the last month. Things

// ALL OF OUR BUSINESSES ARE DOING BETTER THAN THE WORST-CASE SCENARIO, AND SOME ARE ALREADY BACK TO THE BUDGET LEVELS OF PRE-COVID // are boding really well for the financial year that is coming.”

Moving forward and Crossfin is choosing to be optimistic. The group made up of Retail Capital, Adumo (which includes SureSwipe, Innervation and iKhokha), Saratoga, Crossgate Holdings (which includes Crossgate Technologies, Kinektek and Efficacy Payments) and Crossfin Ventures (which includes TrueID, Atura, BXchange iMali, Nobuntu and Clandestine) - is emerging from lockdown slowly but in a secure position as it continues to serve clients without interruption. Although the daily activities of the portfolio never ceased, operations behinds the scenes had to change.

“We only started to lift our heads as we came into Level 2 as we started seeing the return of SMEs to trading. 85% plus of those are now back trading and those that are still closed are waiting for Level 1 to fully materialise. Of course, there will be some fallout, but the glass is either half full or half empty. You have to be cautious in your outlook and we will take the glass is half full view but be cautiously optimistic. We understand that the Covid situation will not be over anytime soon, we are trying to manage the risk and look at the opportunities that present themselves, because there are many opportunities,” says Gaylard.

“Most businesses moved to a work from home mode, except where there was a call centre involved. There, it

CROSSFIN TECHNOLOGY

was reduced to rotational teams, and offices have been reduced to a place where people are looking for space, connectivity and quiet times where they can go to work if they want to rather than feeling compelled to go.

“We have been able to work really well remotely,” Gaylard adds. “In fintech, we are used to making the most of technology, we are used to working remotely, and if you look at our business at Crossfin group level, all of the company’s primary home bases are in South Africa with head offices in Cape Town, Johannesburg and Durban so we were invariably operating remotely at some point in time pre-Covid.”

He says that the key to switching working environments is a change in mindset. If this can be achieved, then success in a remote working set up is easy to come by. He even suggests that,

in the future, Crossfin could downscale its office presence significantly and operate any shared working space as more of a social space, more as a ‘club house’ where people can come together to share ideas and engage pro-actively, rather than somewhere people are forced to attend between certain hours each week.

12 TO 18 MONTH’S INTERRUPTION The positivity experienced by Crossfin is certainly welcome, but the difficulty of 2020 so far has, as with all businesses, pushed out the company’s strategy timeline. Pre-Covid, Crossfin had set itself the target of becoming the leading independent fintech provider in Africa by volume and value by 2022.

“We have taken a view that it could take 12 to 18-month’s longer to reach our big hairy audacious

goal (BEHAG) because of the Covid situation but we are not phased, there’s a lot of positive momentum.

“We are beyond worst case scenarios that we had planned for.

None of the businesses will perform as badly as what we had put down as a worst- case scenario and from a shareholder perspective, we have made sure that each of the businesses were supported and well-funded should they have experienced a worst case scenario. The fact that they have all well outperformed that worst case scenario is really promising,” says Gaylard.

For Crossfin, the realisation that its businesses have come through the challenges reasonably unscathed (so far) is very welcome. During the early stage of lockdown, the board came together to look at what the organisation as a whole could offer to

www.enterprise-africa.net / 43

INDUSTRY FOCUS: FINTECH

support the country. The government was looking for support in distribution of funding, the public were desperate for money to flow, and businesses were eager for some sort of support. By grouping the service provisions across the Crossfin portfolio, a comprehensive package of support was proposed but ultimately not utilised.

“Certain bits of the portfolio participated in certain elements of relief type solutions, but nothing came through in mass from a national or governmental level where we could really put clout behind something to help out, and that was a little disappointing,” admits Gaylard. “They relied on incumbents to deliver what was required and the result was long delays initially. If they had of turned to some new independents that were well positioned and ready to help, we could

44 / www.enterprise-africa.net

have done things very quickly. A lot of passion, time and effort was put out to say that we are here to help but it wasn’t taken up in the volumes we would have hoped for but the intent was good and the teams helped where they could.”

ACQUISITION TRAIL After acquiring SMME funding business Retail Capital in 2018 and card payment acceptance company Sureswipe in 2019 and fintech start-ups BxChange iMali and truID earlier in 2020, Crossfin remains hungry for growth and, after coming out of lockdown successfully, is on the lookout for further acquisition opportunities in the short-term and long-term future.

“There are three transactions underway at the moment,” explains Gaylard. “One material transaction at a Crossfin portfolio level, one within

a portfolio company and one at a Ventures level but I cannot talk about those yet. Two we started working on before Covid and we put them temporarily on hold so that we could understand where things were going and have now picked up again. The other, we started engaging as we entered lockdown and we continued throughout as it is an opportunity which we are excited about. They will all be finalised this year.”

In order to achieve its vision of

// ACROSS THE PORTFOLIO, WE ARE ACTIVE IN 13 AFRICAN COUNTRIES IN SOME SHAPE OR FORM //

CROSSFIN TECHNOLOGY

being the leading independent African fintech group, Crossfin is also looking across the continent for opportunity.

“We have been looking at a couple of investments outside of South Africa and we did get quite far down the road with one but Covid has slowed that down. Our strategy for next year will be to make one or two acquisitions outside of South Africa but in Africa.

It has always been part of our general strategy. Across the portfolio, we are active in 13 African countries in some shape or form. With the networks that we have here in South Africa, there are so many opportunities that come knocking on our door so it can become hard to lift our heads and look north of the border but it is certainly our intent.”

Of course, before any major progress can be made, advancements must be made globally to eradicate the Covid-19

issue. While South Africa has moved down through lockdown levels, there remains a high number of people testing positive for the virus and this continues to strangle the movement of money within the economy, albeit at a slower rate compared to the first half of the year.

However, all at Crossfin can rest assured that the senior management team has been through tough trading conditions before and has experience in navigating the most difficult of environments.

“As a team, the first was the 2000 dotcom crash. The second was the major 2007/08 financial crisis, and now we have this. There have also been a few storms in-between. We have been together in some shape or form through all of those and we have always been very quick to respond,” confirms Gaylard.

“We got the portfolio planning and prepping within a week and ensured

we had the hatches battened down. It was also a great opportunity to ensure businesses were streamlined and were thought through in terms of processes and efficiency. Then we had to hunker down and support businesses as best as we could until we got into Level 4 and Level 3 so we could plan to come out on the front foot.”

While the stories and figures spark fear regarding the economic picture in South Africa, Crossfin acts as an example and proves that there are still shining lights in the market. Now more than ever, it is important to plan as much as possible while seeking out and taking advantage of opportunities, and that is exactly what Crossfin is doing.

WWW.CROSSFIN.CO.ZA

www.enterprise-africa.net / 45

Sureswipe Managing Director - Paul Kent

SURESWIPE

Safe Cashless Virtual Vouchers to

help Revive Retailers PRODUCTION: David Napier

Many independent retailers and businesses desperate for quick cash generation have been given a lifeline by Sureswipe. The country’s largest distributor of card acceptance devices is delivering innovation and hope when businesses need it most. “It is not too late to support a local business,” says Managing Director Paul Kent. www.enterprise-africa.net / 47

INDUSTRY FOCUS: FINANCE

//

Operating in retail, one of the industries hardest hit by lockdown and the Covid-19 pandemic, Sureswipe – South Africa’s largest independent card payment acceptance company – has proven itself innovative as it looks to support its clients and retain its position while the flow of money in the economy has changed.

Featured in Enterprise Africa in April 2019, Sureswipe was growing at pace. The company had already secured more than 8500 customers with 10,000 devices in the market.

Managing Director, Paul Kent was keen on growing market share and helping the economy to transition to a safer, more efficient card transacting society.

48 / www.enterprise-africa.net

But with the closure of many stores due to lockdown and the dreary economic climate that has plagued the country for some time, Sureswipe’s growth ambition has been slowed and the business has been forced to look at how it can best serve its customers during these tough times.

// IT WAS REALLY AN AMAZING JOB TO MAKE SURE WE GET THROUGH AND SUPPORT OUR CUSTOMERS //

VIRTUAL VOUCHERS “When we went into a full lockdown, only some essential businesses were up and running and the bulk of our customers and the bulk of retailers had no ability to earn income,” Kent tells Enterprise Africa.

“We looked at ways of how we could help retailers and help our customers and many ideas came

across the desk. One was morphed from an idea where customers could donate to their favourite store, but in a time where people weren’t earning, we thought donations could be a bit of an ask. We thought that if people could buy a voucher online and then go and redeem that when the economy opens was a better idea.

It was about giving consumers the

SURESWIPE

ability to support their favourite local businesses but by doing more than just a donation. It provides muchneeded cashflow to our customers and retailers out there.

“A few businesses had this up and running and we looked at how we could do it differently and how we could do it so there is not a rush on the stores when they reopened. We wanted to use the current payment rails to make it secure and safe, and that added a couple of weeks to the deliver time. We use the card rail so the voucher is redeemed through the card machine, making it very safe.

Some of the vouchers out there right now are still paper based and we want to make sure we are providing cashflow in a safe a secure way.”

The system was introduced as a lifeline for retailers during lockdown. SMEs could very quickly and easily sign up to the service and start selling vouchers immediately.

For Sureswipe, the impact of the lockdown measures became apparent very quickly with a number of small retailers facing business closure early on in the process. Small retailers and SMEs represent a major part of the SA economy and are the backbone of job creation – without them the economic picture would worsen even further rapidly. This is why Sureswipe knew something had to be done.

“We had a soft launch in June and around 60 vouchers were sold which we thought was good considering we had no marketing at the time.

Many businesses remain closed and many are looking at ways they can buy stock etc so it is not too late to

// WE HAVE TO PLAN FOR ALL DIFFERENT SCENARIOS OR WE WILL NOT BE ABLE TO REACT QUICK ENOUGH //

support a local business,” says Kent.

“We have more than 200 retailers signed up already. We expect that to grow and we expect we can attract at least 1000 retailers. We don’t have a fixed target but we have built the technology on our gift card platform.

On one side, this is going to be the future platform where we can sell gift cards online so that they can be redeemed instore. This will give us an omnichannel gift card capability. On the other side, we are looking at using the same back-end platform to distribute vouchers to the disadvantaged members of society who have no ability to earn cash and pay for food. We have secured a pilot and a lot of aid donors have cash available but have no way of distributing. We have been selected as one of the few tech providers where we can send out SMS vouchers which can be redeemed at stores that use our products and services. It has a lot of flexibility and provides a cheap mechanism for aid organisations and donors to provide funds to those in real need.”

The systems were not the work of Sureswipe alone. Part of a bigger group following the acquisition by a consortium led by Crossfin and Apis, Sureswipe called on partner companies to help deliver the innovation necessary.

“It was all developed within our

group Adumo, which has Sureswipe, Innervation, Ikhokha and Humble Software. Humble and Ikhokha did the platform, the back-end was developed by Innervation, the launch was under the Sureswipe brand as that had the most buy-in with independent retailers,” details Kent.

GROWING BUSINESS? In 2019, just before the transaction that took Sureswipe into its new group, the business was booming.

Card acceptance devices were becoming popular and Sureswipe was leading the way with distribution across all of South Africa. The company had become popular among independent retailers because of its superior customer service ability and its speed to deliver technology to its customer’s doors.

The plan then was to continue to grow but the global pandemic combined with a weak local economy has made things slightly more difficult than originally expected.

“It’s been tougher than we thought because of two things,” begins Kent. “From a sales point of view we continue to grow, from an economic climate perspective, the situation in South Africa was poor – even before Covid-19 – and we saw more businesses closing doors and therefore cancelling services. Right now, we are close to 11,000 devices

www.enterprise-africa.net / 49

INDUSTRY FOCUS: FINANCE

through 9000 customers. Around 25% were trading as essential services in April and that went up to around 65% in May. We are hopefully optimistic that most businesses will reopen but we are realistic that not all of those 11,000 devices will start to be used straight away.

“We are fortunate and we have shareholders on the board that are in Europe and we got ahead of the curve by looking at other markets. Like most businesses, priority number one was to make sure our people are safe.

Even before the lockdown we were testing and building connectivity so that people could work from home.

“From a business point of view, we looked at what we need to do to survive and then thrive during this difficult time. Unfortunately, with only 25% of our customers operating, our revenues were significantly down.

We went to the company and said we needed to make tough choices.

Every single person came back and said they would take a cut in salary versus a restructure to get liquidity in

50 / www.enterprise-africa.net

// IT’S ABOUT CREATING OPPORTUNITIES AND BEING INNOVATIVE DURING THIS PERIOD // the company. It was really an amazing job to make sure we get through and support our customers.”

One of the cornerstones of the Sureswipe offering was being able to get card machines into the hands of retailers fast, and being able to service, repair or replace them when they need attention. Lockdown interrupted this service and with a move to complete home working where possible, the March-April period was certainly unusual at Sureswipe.

“We have a large team and the number of customers needing our services has reduced. That meant that the service level increased. In our call centre, we had a 97-99% closure rate.

I went back to the guys and said ‘what is this 3%’ and it turned out that some people were not waiting to have their call answered so we called them back to ensure we have 100% answer rate and closure. We have people working

from home, our technicians are on the road and repairing and replacing where necessary. The biggest impact has been on our sales team and sales channels. Either people are not open or certainly not looking at paying for new services.

“We don’t know what the future will hold but we did see a big uptick in June. We didn’t want to make a knee-jerk reaction based on the activity of one month; we wanted things to stabilise and get back to what everyone is phrasing the ‘new normal’ before we made decisions on what is unknown,” says Kent.

Fortunately, Sureswipe has not been forced to stop trading at any point and remains classified as an ‘essential service provider’. Safely supporting customers either digitally, telephonically or face to face has been undertaken with care.

One of the major hurdles to

SURESWIPE

overcome has been justifying ongoing cost to customers during periods of closure. Contracts between Sureswipe and its clients are important, and Kent is clear that the company demonstrates total transparency. Sureswipe even offered major discounts in April to assist customers as much as possible.

“The bulk of our fees are related to transactions so if no money is moving there is no fee,” he says. “The rest of the cost is based on fixed costs such as the rental of the actual devices. We have worked in help such as a 50% fixed fee discount during the month of April. We have been very open and transparent about fees and conditions. We deal with each contract on a case by case basis and we encourage our customers to come to us to talk about fees and payment terms.”

OPENING UP On August 15, President Ramaphosa announced that the peak of the Covid-19 outbreak had passed and moved the country to a ‘Level 2’

lockdown. This meant the majority of retailers could reopen but with restrictions such as the need for the pubic to wear face coverings. He stated that the country remained in a State of Disaster until 15 September and constant vigilance remains necessary. For businesses, reopening of the economy is much welcomed news but has been met with caution.

“We are planning for all scenarios, including increasing death and infection rates and moves back into stricter lockdown, and we are hoping that they never materialise,” admits Kent.

“We have to plan for all different scenarios or we will not be able to react quick enough. We look at the worst-case, middle road and bestcase scenario, and these change every couple of weeks. We certainly cannot just sit and wait. We are putting forecasts together and we are planning around these. We will only act when data and information is available. We want to buy time so that we don’t have to make rash decisions.”

With all companies, not just

Sureswipe customers, the ability to accept previously purchased vouchers, while also selling vouchers for the future is a confidence booster. The knowledge that cash can continue to flow even if further closures are necessary gives hope to even the smallest of retailers.

“Typically, a project like the virtual vouchers would take months to put together but we did it in six weeks. It’s about creating opportunities and being innovative during this period,” says Kent.

While the environment is tough, Sureswipe looks set to ride out the storm and help its clients to thrive in the future. Innovation, positivity and an unrelenting desire to deliver quality customer service, no matter the circumstances are helping this bright tech business to blossom after a period that has no comparison.

WWW.SURESWIPE.CO.ZA

www.enterprise-africa.net / 51

Feel at Home in the Middle of Nowhere Feeding, housing, serving and caring for the well-being of hundreds of people working on major projects, remotely based in West & Central Africa: that’s what we do at FEA.

Quality Catering Services Providing South Africa with: Catering • Hotel management • Leisure • Logistics • Fire Safety Gardening • Access Control • Medical • Maintenance • Other services

www.fea-catering.com Pierre ZGHAIB - Managing Director - Tel: +223.66.750.130 - E-mail: pierrez@fea-catering.com