“The intention is to introduce an incentive scheme for the 2014/15 season to share efficiency gains derived at each mill. As grower behaviour results in improved efficiencies, these will be measured and an incentive paid to growers,” said Illovo corporate affairs director Sbu Hlela.
Improving efficiencies both on the farm and at the mill were seen as “low hanging fruit” and would give millers and growers a new income stream at a time when the industry was under pressure from massive sugar imports, the impact of land claims on production, rising input costs and the low world sugar price.
Richard Cole, Sezela Cane Growers Association (SCGA) council member and Hibberdene farmer, said the new relationship between miller and grower was vastly different from that of yesteryear. “There is far greater trust and transparency and our agendas are aligned. This will give us the will and ability to overcome the many challenges that still lie ahead.”