AgriKool sees rapid growth following retailer deal

In what has been a transformative year, AgriKool, a small agricultural business based in Pietermaritzburg in KwaZulu-Natal, has seen exponential growth after establishing a supply chain agreement with the Shoprite Group.

AgriKool, founded by farmer and agricultural engineer Zamokuhle Thwala and co-owned with agricultural scientist Palesa Motaung, has been engaged in tackling farming challenges and advancing local farmers.

The company’s work focuses on developing the farming value chain and maintaining regional food security. They do this by creating connections between agricultural buyers, growers, producers, and transporters, and have established an e-marketplace to facilitate these connections.

Thwala and Motaung’s efforts to find retail partners led them to Freshmark, Shoprite Group’s procurement and distribution division. The initial deal secured in December 2021 marked a significant milestone for the young enterprise, enabling it to supply to formal retail in the province.

Motaung speaks of the growth AgriKool has experienced since the deal was struck, saying, “This partnership has accelerated our growth substantially.” She further notes the stringent compliance requirements that came with the deal and the retail insights it has provided.

Maude Modise, general manager: enterprise and supplier development, highlights Shoprite’s intention to support small suppliers, stating, “Last year, we launched Shoprite Next Capital to assist small suppliers with compliance, working capital and training to ensure their businesses are sustainable.”

AgriKool has, indeed, demonstrated impressive growth over the past year, evolving from a turnover of R75 000 a month to delivering over R3 million worth of produce. Thwala and Motaung anticipate that this is just the beginning and express their intent to scale up the farms they support to become self-sustaining and provide employment opportunities for the local community.

The company’s success showcases the potential of start-ups in the agricultural sector, demonstrating that a blend of resilience, innovation, and judicious partnerships can lead to significant growth.

Their journey also emphasises the role larger corporations can play in facilitating the growth and success of smaller businesses. By providing opportunities for these start-ups, these corporations can contribute to economic growth, job creation, and food security.

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