Media Release: GRDM officials engage key stakeholders in Fresh Produce Market development and more

For Immediate Release
8 August 2023

Garden Route District Municipality (GRDM) officials were invited by the Department of Trade, Industry and Competition (DTIC) to meet and engage various stakeholders that are key stakeholders in the establishment, financing, and operations of fresh produce markets in South Africa. Various engagements were scheduled between 02 to 05 August 2023. The delegation was led by the GRDM Strategic Manager Thembani Loliwe.

The first meeting was held at the DTIC office in Pretoria where the GRDM delegation presented the status, progress and challenges, thus far, in the establishment of the Garden Route Fresh Produce Market. The main focus areas of these engagements were to look at all compliance requirements, funding sources, and the status of the current fresh produce markets in South Africa.

A very fruitful engagement was also held with the Chief Executive Officer of the National Agricultural Market Council (NAMC). One of the critical matters raised by NAMC was around the ownership and operation of the fresh produce market. It was clear from the findings of various investigations done by this body, that the ownership and the operations are more effective when they are separated i.e. ownership rests with the Municipality but operations are performed via the corporatised model.

“For a state-of-the-art modern National Fresh Produce Market, an investment of between R 250 000 0000 and R 300 000 000 will be required,” said Thembani Loliwe.

It became clear that GRDM will not be in a position to finance such an operation with its own generated revenue. Various funding options were discussed and part of the resolutions of these engagements were to collectively work on a funding proposal that will be bankable and submitted to private and public funders.

Further to the boardroom discussion there were also site visits to some of the establishments and to observe the operations and the technology that is being used to run such businesses. All those involved agreed that there is a case for a Fresh Produce Market in the Garden Route region.

Other than Fresh Produce Market, further discussions were held around the revitalisation of our township economy – to create something similar to Vilikazi Street in Soweto. More discussions are planned to take this priority further with the City of Joburg (CoJ). CoJ showed interest in assisting GRDM in ensuring that it succeeds in empowering and uplifting the region’s township economy.

Collectively the following resolutions were taken:

• Formal feedback to GRDM Council (all stakeholders present at these engagements will be part of that);
• DTIC will provide technical inputs on the designs of the Fresh Produce Market;
• Visit the newly established Kei Bridge Fresh Produce Market;
• DTIC to facilitate a meeting with the HOD of the Western Cape Department of Agriculture;
• DTIC to assist GRDM with funding applications;
• DTIC facilitate a workshop with the possible funder for GRDM projects;
• Planned delegation to the Netherlands Fresh Produce Market in October 2023, possibly led by the Deputy Minister of Trade and Industry.

Site visits were undertaken to CoJ, as well as the City of Tshwane around some of the similar critical infrastructure projects that GRDM is embarking on. These two city cities have been in operation, for decades and running similar projects that GRDM is planning.

GRDM believe that the National Fresh Produce Market can bring much-needed revenue for the GRDM. Such a facility can create much-needed employment for the region. Joburg and Tshwane are making a combined turnover of about R14 billion and employ more than 450 employees.

The visit was a huge success and the Municipal Manager will ensure that the above resolutions will be followed up.

Feature image: The delegation from GRDM during one of their engagements at the City of Johannesburg.

ENDS