THOHOYANDOU – Finance and Economic Development MEC Thaba Mufamadi launched the Vhembe Macadamia Farmers Agricultural Cooperative at the Thohoyandou Showgrounds last Friday.

Mufamadi said that the establishment of 1 000 hectares of macadamia nuts in the Vhembe District will have huge direct and indirect economic spinoffs in the Limpopo Province and South Africa. He said that, in order to make sure that small farmers are able to sell what they produce, farmers must have a fixed price.

According to him, a minimum of 200 jobs will be established on a full-time basis at the macadamia project. He further said that, at an average family size of five, at least 1 000 people shall be direct beneficiaries. Mufamadi said the creation of jobs within a rural setting have a positive effect of stabilizing workers' movements, and thus retaining skills in the area.

"As people get jobs, more buying power is injected into the local rural economy, and thus local trading is stimulated, as more families have buying power," Mufamadi said.

"The macadamia products will be exported to America, Canada, Europe, Asia and other countries," said Mufamadi. Apart from the establishment of the nursery at about R600 000, an additional of R40 million will have to be spent on the establishment of the orchards.