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Message from our CEO and Chairman

December 01, 2020

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There is no doubt about it: 2020 was a tough year. The COVID-19 pandemic affected all of us personally, financially and emotionally.

 

Nevertheless, within struggle we find new strength – as we always have.

Drikus Lubbe | Chief Executive Officer

Llewellyn Collett | Chairman

When the economy gets hit like this and consumer demand slumps, low margin businesses can be massively affected. Moreover, whilst the pandemic has been in the middle of everything, it was not the only challenge. There were weather driven factors such as the drought in the Eastern Cape, as well as general market forces and international competition. Our local communities were adversely affected with many people in South Africa losing their jobs – a future of financial uncertainty lies ahead for many families.

 

Nevertheless, within struggle we find new strength – as we always have. Resilience is one of the most palpable features of the South African dairy community.

 

Together, we have been very successful in ensuring South Africa’s food security during the lockdown, even growing our share of the consumption – a very fortunate position indeed. Strength, however, isn’t just a matter of defending the industry against shocks such as pandemics; it’s also about building a better business for the future using our collective resources and experience. We didn’t only survive, we made vital strides to position our business suitably for the year ahead.

 

Last year’s merger between Dairy Farmers of South Africa [DFSA] and Coega Dairy is set to unlock more employment opportunities, improving job security and laying strong foundations for a profitable business with higher profit margins in the future.

 

Co-creating efficiencies in a low margin industry is crucial and collective action is often the dairy farmer’s best weapon. We will not only be expected to perform with excellence, together with a sustainable approach of special care for people, nature and animals, but also to exhibit the ability to identify growth opportunities for the Dairy Group and taking active advantage of them.

 

This is what the Dairy Group will do in 2021.

 

We’re a Southern African business, with a future aspiration into the African market. We will grow a better, more profitable operation that is able to strengthen the local value chain – for everyone’s benefit.

 

When our communities prosper, the Dairy Group prospers, and when the Dairy Group prospers, South Africa prospers.

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