Sappi Southern Africa

Corporate Citizenship Report

What it's about

Our tree grower enterprise development initiative, Sappi Khulisa, evolved from Project Grow a few years ago. Whereas Project Grow focused solely on the growers, Sappi Khulisa focuses on the whole value chain including growers and the contractors who service them.

The total area currently managed under this programme amounts to 34,139 hectares. In 2019, under the programme 425,001 tons (2018: 483,359 tons) worth approximately ZAR382 million (2018: ZAR387 million) was delivered to our operations. Since 1995, a total volume of 4,221,941 tons to the value of ZAR4.2 billion has been purchased from small growers in terms of this programme.

Key developments

• Training: We have established Khulisa Ulwazi ('Growing knowledge') training centres and developed training material in conjunction with the Institute of Natural Resources. Training is offered to all value chain participants, including land reform beneficiaries and covers all aspects of forestry, including core operational skills as well as safety, legal compliance and business management. Over 550 people were trained in FY2019.
• Diversification: The Sappi team is partnering with other institutions such as Cedara Agricultural College, to provide the growers with the tools to expand their farming activities so that they can have additional sources of income. This is crucial for timber farmers who must wait seven or eight years between timber harvests for a return on their investment.
• Streamlining interaction: During 2019, Sappi Khulisa developed a grower mobile app to assist Khulisa growers in accessing their plantation information, financial statements and training material. Growers can also send Sappi requests or submit documents through the app.