• Background
  • Challenges
  • Solution
  • Results

Tsotetsi Farming is a vegetable farming business situated at Plot 45, Dreamland Agricultural Holdings, De Deur. The business was founded by Mrs Tsotetsi, which she now manages with her husband at the farm where they also reside. Mrs Tsotetsi had been operating the business on a smaller scale due to the lack of irrigation equipment and insufficient water.

Funds were required in order to assist her in expanding the business to take full advantage of the scale benefits.

A loan of R256 183 was approved in April 2014 to pay for small equipment such as borehole drilling, irrigation equipment, fencing, operational costs and some contingencies. A six month grace period was granted, after which monthly amounts of R8720 over a period of 36 months would be payable. The loan amount was meant to cover two planting cycles of various vegetables, including; cabbage, carrots, beetroot, squash, watermelons, beans, spinach etc.

An amount of R130 318 was disbursed and the client has since indicated that she doesn’t need the funds for the second cycle anymore. These vegetables would be sold to a fresh produce market in Vereeninging, local funeral services, as well as local hawkers and individual buyers.