|
Introduction
Umfolozi Sugar Planters Ltd (UCOSP) primary objectives are to provide services on a cost recovery basis, to its shareholders, all of whom farm some 9000ha adjacent to the Umfolozi River.
Core business comprises:
-
The upgrading and maintenance of communal flood protection infrastructure to reduce the effects of periodic flooding and to ensure the continuation of sustainable agriculture on the floodplain.
-
The transportation of sugar cane by way of the tramline system from the farms to the Umfolozi Sugar Mill.
-
The maintenance of the communal roads and bridges infrastructure.
Non core business comprises:
-
UCOSP Quarry Pty Ltd
-
Sugar Cane
-
Timber Production
-
Cattle
Core Business
Flood Protection
UCOSP owns and manages a variety of construction and earth moving equipment. This is mainly utilised to maintain the 105 km of communal drains, the Umfolozi River banks and three major spillways. Where capacity exists the equipment is available for hire to shareholders and third parties at market related rates.
We have a fully equipped workshop, which maintains and services the vehicle fleet.
Gravel and stone sourced from the UCOSP Quarry is also available and can be delivered to farms or third parties when required. The aggregate is sold at set rates and transport is charged in addition based on the distance transported.
Tramline
The tramline transport system and infrastructure includes some 87km of track and loop lines, which enables growers to transport their cane at very competitive rates.
UCOSP is responsible for maintenance all main lines as well as 3-lengths of line (36 meters) from the turnout onto the respective farms. The grower is responsible to ensure that his spur-line is long enough to accommodate the number of trucks allocated.
Trucks are delivered to the points/loop on a daily basis and it is the grower’s responsibility to load their trucks, which are collected later on the same day.
The company owns three 25-ton and two 16-ton locomotives and manages and operates another 25-ton locomotive on behalf of the Umfolozi Sugar Mill.
The system operates on a 24 hour basis during the milling season, with two locomotives which deliver empty trucks to the growers and return to the marshalling yard with full trucks, and another locomotive which moves full trucks from the marshalling yard to the mill yard.
The system is managed in accordance with the requirements of the Railway Safety Regulator and is subjected to a risk assessment and renewal of the operating permit on an annual basis.
The transport cost is calculated based on a fixed cost (R/ton) and a variable cost (R/ton.km) according to the distance from the growers loading point to the mill.
Drainage and Roads
The 94.4 km of communal road infrastructure and various bridges are maintained on behalf of the growers.
The cost of this service is recovered from growers in the form of a levy, on a R/ha basis.
Non Core Business
In an attempt to limit core business levy recoveries, the company has invested in a variety of profit motivated ventures.
UCOSP Quarry PTY LTD
Historically UCOSP operated a gravel pit for own use and leased the stone mining operations to a tenant, who also operated a small manual block making operation, on one of our properties.
UCOSP secured the mining rights for the property in 2000, but continued to lease out the stone mining operations.
In 2007 the lease agreement was terminated and UCOSP took control of the entire operation, and invested in a substantial automated block-manufacturing machine, through a wholly owned subsidiary, UCOSP Quarry Pty Ltd.
Sugar Cane and Timber Production
We cultivate 105 ha of dry land and 110 ha of irrigated sugar cane and 222 ha of timber, (mainly eucalyptus) on our own land.
Corporate Information
Company Registration Number: 2008/012478/06
Company Secretary: S J Mngoma
Business Address: Mill Road, Riverview, 3930
Postal Address: P O Box 401, Mtubatuba, 3935
Telephone: +27 35 5500331
E-Mail: admin@ucosp.co.za
Bankers
The Standard Bank of South Africa Limited
Attorneys
Shepstone & Wylie
External Auditors
Hills & Associates
|