The South African Farmers Development Association (SAFDA) says it is committed to ensuring that South Africa's sugar giant, Tongaat-Hulet, does not close down.
This comes despite the fact that business rescue practitioners have applied for provisional liquidation of the company, putting thousands of jobs at risk.
An accounting fraud scandal rocked the more than 130-year-old company in 2019.
Tongaat-Hulet processes about 30% of the country's sugar and produces billions of rand worth of sugar in KwaZulu-Natal.
Association president Dr Siyabonga Madlala says the matter is being raised at the highest level, adding he is confident the mills will open on time.
“We wish to call on all farmers and employees of Tongaat-Hulet to remain calm at this difficult time as this matter is being addressed at the highest level and we are getting confirmation and confidence that the mills will open on time and farmers will be paid their money at the end of March. This is after we have engaged the Vision Group, Ubab ‘Gumede, who has given us the same undertaking as the IDC, who has also said that their job is to save and protect. Tongaat-Hullet's rescue practitioners and management have indicated that this is a funded liquidation process. We hope that sanity will prevail soon.
During this time, madlala Says that the closure of the company will have a huge impact on cities including other cities. melmoth, Gingingdlovu, Matigulu And Tongaat.
“In fact, if Tongaat-Hulett closes, we see more than five towns being affected because Tongaat actually spans more than five towns. It will also impact the CBD at some point because Tongaat-Hulett's refinery is directly in Merebank.”
Look The South African Farmers Development Union says the temporary liquidation of Tongaat Hulet is not yet a crisis and urges calm. SABC News reporter Zayed Paulse has more. pic.twitter.com/GS3TrCEr0T
– SABC News (@SABCNews) 16 February 2026
COSATU KZN provincial secretary Edwin Mkhize has condemned the collapse of Tongaat Hulet.