Following the successful disposal of Tiger Brands’ Langeberg & Ashton Foods business to a consortium of local fruit producers for R1 in May, the company has reported the restart of operations, effective October 1, ensuring a sustainable future for the deciduous fruit industry in the Western Cape.

Tiger Brands first announced its intention to exit the deciduous fruit business in May 2020 as part of a portfolio restructuring endeavour, but made sure to have a succession plan in place for the business, as well as a R150-million community trust that will benefit the residents of the broader Langeberg area through socioeconomic development initiatives.

The community trust has a 10% shareholding in the new company holding the Langeberg & Ashton Foods business, with the Norwegian development finance institution Norfund being one of the principal shareholders alongside 100 fruit producers from across the Western Cape – represented by Ashton Fruit Producers Agricultural Cooperative.

Owing to the succession efforts of all stakeholders, the Ashton factory remains a cornerstone of the Breede River Valley economy, providing employment for more than 3 000 seasonal and permanent employees.

The Ashton facility produces canned fruit and puree products for export to markets such as Europe, China, Australia and Japan, as well as the local market to a lesser extent.

“The successful conclusion of this transaction marks the end of a five-year journey to find a viable buyer and secure a sustainable future for Langeberg & Ashton Foods.

“The new owners of the business bring considerable agricultural sector expertise along with a vested interest in the sustainability of this iconic business which has employed generations of people from the region,” says Tiger Brands CEO Tjaart Kruger.

He adds that the Langeberg community trust will ensure the company continues to play an active role to support and uplift local communities long after Tiger Brands’ exit from the business.

Langeberg & Ashton Foods CEO Edwin Kriel has committed to continue delivering world-class quality products, sustainable growth and empowerment for people through a culture of pride and partnership.

“Ashton is more than just a factory; it is the heartbeat of a community and this reopening is about creating jobs, uplifting people and building a stronger, more sustainable future,” he states.

With the handover of the company fully completed, the fruit producers of Robertson, Ceres, Breederivier and Klein Karoo can benefit from stability in the industry and the prospects of planting new orchards.

The facility will continue supplying products for Tiger Brands’ KOO brand under a contract manufacturing agreement.