Agriculture as a powerful economic and unifying force:

South Africa has a growing food crisis with a shortage of 102 670 crop farmers, 150 000 mixed crop and livestock farmers and 220 000 farm workers
The economy of scale is unattainable for most farmers with an entry level to farming between R6 to R8 million investments with returns up to 3 years down the line

If a trend is developing, then thought and vision needs to be brought into play, in order to address the issues, and cost implications of traditional farming methods, applications and positioning
Therefore the Amajuba CEA project has developed through this thought and research process testing the validity and ability for the model to succeed

This project fulfills key functions:
• The development of an Agricultural economy
• The building of Industrial processing facilities
• Tourism
• Industry focus for investment

This Infrastructure once erected is a formidable tool for “industrialization opportunities” and engaging market activity
It is general knowledge that projects of this size and scale are required to induce development opportunity and business focus

The very nature of large scale investment is that people automatically move to the infrastructure as cost of entry to business is reduced through the existing infrastructure

This project is designed to ensure the very size of the complex makes people aware of its existence and then realize if they need to be there with their businesses
65 hectares of glittering roofs in the morning sun will be the biggest advert for curiosity for thousands of people flying from Durban to Johannesburg

Amajuba Agri Technopark / Amajuba or “Place of Doves” is in itself a story, a story that will weave itself around the world as people begin to take ownership of the scale and available resources
This must be the current biggest sustainable job creation project in the category of agricultural development in the country today

The dove is a symbol of finding green after the flood during the time of the ark
The water bringing new life and it is appropriate that water and air at “The place of the doves” will come together to create fundamental change in living conditions for the people of the Amajuba district

Capital inputs per unit are considerably higher than open field agriculture. The costs are more than adequately covered by multiple cropping and higher yields. The chosen cash crops values of plants chosen for CEA / Hydroponics ensure the high returns that can more than make up for the higher input costs.

Identity of the project:
The project because it is new has to fulfill certain emotional criteria
It has to be best of practice with a focus on developing technology and information through a library, seminars and scientific research
The project must fulfill the role of being a lesson in prudence and a well managed asset and be suitably awe inspiring that correct expenditure levels will ensure

The project must be a beacon for an industry currently battling with climate changes and labor issues
Solutions must be evident to future food shortages quality of living wages and the desire to find a desirable job niche

The very nature of the park will also ensure that every serious business involved in CEA hydroponics must have a presence or office, warehouse or shared infrastructure in order to generate business and this in itself will generate further opportunity and growth outside of our original investment.

Carbon Credits:
The project must generate sufficient trees and plant to ensure we can “sell on” our carbon credits
The industry is still too young to put a value to this but Carbon finance experts estimate that the global carbon market is now worth over $27 billion.

One form of emissions offset is the capture of carbon in carbon sinks. The term carbon sinks applies to the concept of vegetation using the power of sunlight to join atmospheric carbon dioxide with water to create organic molecules and oxygen, via photosynthesis.

The process of capturing carbon from the atmosphere and storing it in vegetation biomass is also referred to as sequestration. While the most effective and long lasting form of sequestration in biomass is capture by forests, the Kyoto Protocol allows for sequestration in other forms of vegetation.

http://www.australianforestcorporation.com.au/CO2calc/index.php

The Amajuba CEA Technopark is here to provide an indispensable source of competitive advantage for the business community in KZN. Greenhouse best practices can become a valuable trade off considering the current metal and coal mining activities in the area

Impact on “Local Economic Development” in the district:

Local Economic and Employment Development “being responsible and improving”
• Rural communities
• Current objectives and goals
• Community Pride
• Community Support
• Marketing of the area with specific messages
• Increasing business and other “Visits”
• Alternative education
• Increased infrastructure
• Revenue
• Forex
• Alternative work opportunity
• Industry focus - specialist Industry

A process of change is sweeping the world and impacting on our current economic conditions
Government has focused on construction of basic infrastructure, housing and establishment of the necessary frameworks for transformation to market economy.

The Provinces still experience high unemployment, low incomes and poor social infrastructure. Many communities are dependent on social grants and are marginalized in the economic arena and with current under-investment in economic infrastructure add to further social and economic exclusion.

While efforts are being made by central governments to put in place the necessary policies and support instruments to address economic recovery and unemployment, impact at local level has been slow to develop.

This project addresses capacity building of local development agents in economic development and job creation
The stabilization and financial investment is expected to support economic reforms as well as ensure that good governance structures are in place

The ultimate aim of the project is capacity building through opportunity and association with best of practice infrastructure and professional management

The process will be an ongoing challenge but the dissemination of information and expertise is expected to be fully transferred to new and youthful entrepreneurs within a ten year development cycle

The project will have the following key outputs:
• A Local economic development project with costing arrangements and clear definition of institutional and local partnerships:
• The establishment of a community partnership for local employment and economic responsibilities and conditions with particular reference to employment creation and skills promotion;
• Partnership learning process – capacity building: enhanced understanding of why and how
• Dialogue with central government and donors as to support for implementation of each role and responsibilities of each stakeholder in that process, mandates and responsibilities for each partner (municipality, employment services, training providers, business support institutions,
• Project Implementation arrangements, implementation plan: strategic plan and work programme, with detailed capacity building measures of each partnership including costing arrangements and possible donors for implementation

Viability and sustainability:
• A number of factors promote the viability and sustainability of the project:
• The project is based upon a continuous process of consultation with key stakeholders at central and local levels;
• The project will borrow on best practice and experience from similar projects in EU and transition economies;

Economic Impact:

Score Card Challenges
1. For appropriate control over allocation of resources
2. To reinvest in SA
3. To share in wealth creation & profits
4. To support meaningful positions for black management
• Transform of South Africa's economy to allow meaningful participation by black people;
• To substantially change the racial profile of companies' owners, managers and skilled professionals;
• To increase the ownership and management of companies by black women, communities, workers, cooperatives and others, and help them access more economic opportunities;
• To promote investment that leads to broad-based and meaningful participation in the economy by black people;
• To help rural and local communities access economic opportunities; and to promote access to finance for black economic empowerment
• Human resource development and employment equity - Given the apartheid legacy of systematic Labour market discrimination and inferior education, accelerated skills and advanced professional skills development is important.

Major Infrastructure Development and Knock on Impact
• Multiplying factor
• Youth
• Employee plan

Although currently we have found insufficient experience in large scale projects like this in the area it will mean 29% of management and 80% of expertise will come from outside of the town
However 50% of these people will translocate to be become permanent residents in the district

How many employees, job titles and functions
The park alone will absorb between 20 to 25 people a hectare depending on the crop and harvesting periods
However the project will grow from 20 hectares / 500 workers to 65 hectares / 1625 workers
This would be ordinary workers with new trained skills and passion to learn how to look after the plants

Although it is difficult to precisely estimate the number of competitors and companies that will participate in this project we have defined the following categories that will provide employment opportunities

Categories of Employment Opportunity
Auxiliary power units, Spray equipment, scales, meters, tools, heavy lift equipment, electric or other carts, vehicles, materials / supplies needed,
plants, beneficials, bags, the crop and system to be used, Initial construction and production, sales, buildings, equipment, production / labor, financial backing and management, marketing, plant science, nutrition, diseases, Greenhouse structures and control systems, marketing, business management agencies, practices. Safety experts, Plant analysists, Water analysists, certified consulting services, trading and key suppliers, Youth information and inspiration specialists, Offices and key services, Custom packaging and processing, Certification bodies

Wage Earnings Direct and Indirect
It is estimated that the project will bring about the establishment of 70 businesses reliant on the park for business and income
This will translate to 100 professional and senior level persons, 350 specialists from support staff to accounting and other administrative staff, 170 staff of a management and supervisory role and 350 laborers drawn from the unskilled pool

The value on the fully fledged park wage and salary bill is estimated at R22 million per month ensuring a growth of R4 million per month in indirect municipal income through services and rates
The multiplier of these people will create further downstream opportunity for house keepers and gardeners and support staff of at least 675 people as the town needs will also grow as infrastructure is developed and more people move to the area
This will generate another R1 million income for people living in informal settlements

Sales:

Sales will generate commissions and another set employment opportunities from agents, exporters and importers
Based on current revenues generated in other countries we can expect earnings generated to be R3 million per annum per hectare on the completed and established park
Income expectation in the region of R210 million per annum on the full size park
No consideration is made for other investors placing similar projects in the area to capitalize on the newly introduced infrastructure

Tourism and Tourism Related Jobs

A vibrant tourism and seminar business will build itself around the infrastructure as people bring expertise and share technologies
House stays hotels food and rentals expected income generation R6 million per annum

Further developments as an improvement to the town
Open spaces developed around the vlei area as a green lung for the area
Commercial land services from architects surveyors, engineers designers and landscapers budget generation is R60 million

Indirect business basics
Stationary, food, groceries and other services are expected to generate a further R9 million per annum

Fueling family owned business
Knock on to micro traders income expectation R35 000.00 per month

• Produce shipping boxes, irrigation equipment, support devices, clips, tomahooks, tools, ladders, gloves, smocks
• Workshop with equipment for fabrication and repairs
• Seeds or transplants
• Growing media rockwool, perlite, cubes, blocks, slabs, bags
• Irrigation equipment (poly and drip tubing with stakes, emitters, misc. plastic)
• White reflective ground cloth for the greenhouse floor
• String for plant support, Tomahooks, vine clips and cluster clips (if these are not recycled)
  Fertilizers

• Utility costs (water, electric, natural gas, phone, sewer)
• Bee hives (tomatoes and peppers) and beneficial insects
• Limited pesticide equipment and pesticides (organic is best) if needed
• Insurance, taxes and interest payments
• Carts, bicycles and other vehicles

The Marketing:

The industry: trade associations, journals, other growers, advisory services, Industry and market trends
Advertising, promotion, sales and pricing

CSI [Corporate Social Investment] / CSR [Corporate Social Responsibility] Expectations:

CSR is about how companies manage a business processes to produce an overall positive impact on a society.

In a 2004 consumer survey it was found that consumption of products can be influenced by “corporate social responsibility” efforts

"Positive CSR [information had led to 72% of the respondents to purchase a company's product or services and 61% to recommend the company to others. Conversely, negative CSR news has led 60% to a boycott a company's products and services," reported PR Week.
Respondents found CSR more credible when verified by a third-party such as a non-governmental organization or local government."
CSR is here to stay and is an important factor in the development of a project of this nature
Many companies can be canvassed to be involved as they do CSR as a core business function but do wish to make a difference and contribute in a meaningful way
According to the NBI there are at least 60 major corporations wiling to invest between R1 and R3 million in a credible business that would score for them credibility and exposure for their investments rands
Most companies are urban-based and their development efforts reflect this.
In 2003, two-thirds of CSI spending was targeted towards urban and peri-urban areas, with only 34 per cent targeted towards rural communities. Given the high levels of poverty in rural areas, this funding pattern is in almost inverse proportion to need.
Fifteen per cent of funds from CSI programme focus on company employees and their families and another 49 per cent on the communities in which the companies operate meaning communities with no connection to corporate South Africa, as employees or customers have no direct access to CSI investment either
With the broadly defined unemployment rate at over 40 per cent, CSI is not reaching those who are most marginalized with least access to resources and information.
CSI in South Africa is limited and emphasizes service delivery not structural reform. It is considered that the role of companies in society could be encouraged with the correct pitch to be involved in this direction.
We aim to strategically address key challenges building a meaningful legacy for the communities in the Amajuba area
• Focus areas: Education and Entrepreneurship
• Integration: The assistance programme aim is to produce good participants able to access funding for inclusion in the project at different levels. Our entrepreneurial initiatives will help those starting their own business
• Partnerships: Good ideas can be accessed and resources pooled to implement worthy projects.
• Cluster approach: a cluster of beneficiaries ensures the greatest benefit to the greatest number of people – widening impact.
• Sustainable results in the long term: we support projects that will continue to produce results without creating dependency on funders. Recipients become self-sustainable and agents of positive change.
Training facility