Mokgoro to examine reasons for loss of Clover business, including ‘embarrassing’ Ditsobotla municipality | Citypress

Mokgoro to examine reasons for loss of Clover business, including ‘embarrassing’ Ditsobotla municipality.

2021-06-11 10:40:00 PM

Mokgoro to examine reasons for loss of Clover business, including ‘embarrassing’ Ditsobotla municipality.

North West Premier Job Mokgoro does not seem convinced that Ditsobotla Local Municipality had nothing to do with Clover’s decision to close shop in Lichtenburg and relocate operations to KwaZulu-Natal.

One thing we can’t deny [is that] Ditsobotla is one of the embarrassing municipalitiesJob MokgoroWhile the premier expressed his government’s intention to get to the bottom of the real reasons for Clover’ exit, he could not look past the possibility that Ditsobotla Local Municipality may be in the wrong.

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“One thing we can’t deny [is that] Ditsobotla is one of the embarrassing municipalities. It is an open secret; we can all see it... We must also acknowledge our weaknesses, our faults,” he said in a statement released on Wednesday.“[Ditsobotla’s] record of delivering services is a dismal one. We must accept that, otherwise we won’t self-correct if we don’t.”

The provincial government has made an attempt to convince the company to reconsider its decision and save more than 300 jobs.The municipality, meanwhile, insists that Clover’s decision to shut down its Lichtenburg operations had nothing to do with its failures.

“The mayor of Ditsobotla Local Municipality, councillor Tsholofelo Moreo, has noted with great concern some media reports that Clover SA will be relocating its cheese factory from Lichtenburg to Queensburg in Durban, KwaZulu-Natal, with effect from next year. Moreo says the reasons cited by Clover for its departure from Lichtenburg are misleading and devoid of truth, to say the least,” said municipal spokesperson Pius Batsile in a statement.

READ: Sakeliga fights to control municipal fundsNews24 reported on Tuesday that Clover said “ongoing poor service delivery” by the municipality – citing water and electricity disruption which resulted in large losses – was reason for its decision to move base.

“For years, the Lichtenburg factory has been experiencing water and power outages and the surrounding infrastructure has not been maintained by the municipality. Despite numerous efforts to engage the municipality on these matters, the issues have not been resolved,” Clover was quoted as saying.

“This has negatively impacted production, which requires a continuous process, and it is no longer feasible for the business to operate in Lichtenburg.”The municipality argued that “water provision to Clover has not been an issue because there is a specific bore hole which the municipality designated for the provision of water to the Clover factory to increase the volume of water supply for its production. The municipality wants to put it on record that the cheese company has been receiving electricity directly from Eskom and not from the municipality as was reported in the media.”

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It cannot be true that they are leaving because of service deliveryTsholofelo Moreo“As far as the terrible state of Beyers Naudé Drive is concerned, the municipality has been in constant engagements with the department of roads and transport management about the refurbishment of the road as it belongs to the department. Furthermore, the municipality has been doing its utmost best to maintain the road.”

Speaking on TV news channel Newzroom Afrika on Friday, Moreo said Clover was moving due to “its own challenges”.“It cannot be true that they are leaving because of service delivery,” he said.He also said that the company was getting 350 000 litres of milk for daily use at its Lichtenburg operations from KwaZulu-Natal and only 100 000l from the North West.

This is enough to make a strong suggestion, he said, that the company is moving to KwaZulu-Natal because it is already getting a large volume of its milk from that province.Meanwhile, Mokgoro, who this week sent a delegation of four MECs to engage Clover management in Lichtenburg, said they were going to do their best to save jobs.

“Clover employs about 380 permanent employees and about 40 temporary employees. It further employs about 20 general workers, 20 truck drivers and truck cleaners, [while] other employment opportunities emanate from enterprise development programmes such as sub-contracting.

“We believe that the municipality cannot afford to allow Clover to close and relocate its operations as this would have devastating effects on more than 300 employees and their dependants,” he said.Meanwhile, North West Cooperative Governance, Human Settlements and Traditional Affairs MEC Mmoloki Cwaile is also not convinced that Clover’s decision is purely based on service delivery challenges.

He said the company engaged Ditsobotla over service delivery issues in November 2020, but “Clover had already closed its first plant and announced that in early 2021 it would close its second one”.“This could be just purely a business decision. We have reached out to the chief executive’s office to seek engagement and we know this has been their long-term plan. But if they can review their decision to relocate, it will be good for us,” Cwaile said.

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“If not then we must explore other avenues,” he said, adding that the state could acquire the plant which Clover will leave behind and form cooperatives with former employees to run the plant and save jobs.Clover had not responded at the time of publishing this article.

The company’s communications consulting company said Clover had not said anything since announcing its decision earlier this week. Read more: City Press »

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The sad part is that people are going to lose their jobs while the politicians responsible for this mess will not be touched. Rre Mokgoro knows. Clover is water under the bridge for NW, the Provisional government should focus on existing businesses. Most of the Industrial areas in North West are dwindling in the same deteriorating direction.

Too little too late, it's not like we only found out yesterday that clover is leaving Clover is gone why he had to examine now.He must focus on securing the existing once The results of poor service now the poor will suffer because of corrupt politicians They had years, literal YEARS to fix this problem. Now they want to run around like reactionaries so voters can think they give a rats ass about them. 🤡🤡🤡🤡🤡🤡🤡🤡🤡

Just too little too late. The Comrades and their bad management ran the business out of town. The end is beginning. There's nothing to examine. They just useless. I still don't know why this old man is kept as Premier.

Closure of Clover yet another sign of chaosMany of us were outraged this week when news broke that dairy company Clover SA had decided to close the country’s biggest cheese factory in the North West and plans to move its operations to KwaZulu-Natal. True ne? the ANC government has destroyed Mzansi's economy businesses are closing Eskom is failing ISIS is gathering momentum to invade SA from Mozambique rampant national riots because of poor service delivery none payment of salaries this Government will be overthrow watch Thank God for bringing bitcoin to man,it has being a great source of blessing to all of man kind who have passion for bitcoin trading. Now the poor are getting rich over night and the rich getting richer. Jonas_claw_ thank you for your proper management . My investments with SilverAustinefx has been so profiting and I would recommend him to anyone who is interested in boosting up their financial status. A stitch in time saves nine.

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Are you ashamed to say Clover stayed on while Supra Mahumapelo was Premier? Why is Clover shutting down during New Dawn? 😂😂 Judging by his face, I can tell that he has no capacity to resolve anything this 1...he have that funeral bereavement face this one😂😂😂

Fearful workers plead with Clover not to abandon themWorkers at a Clover plant in Lichtenburg, North West, have made a passionate plea to the company not to shut down the cheese factory. It is very much pity to see people lose their jobs just like that you know They must also stop stealing stock if they want to save their jobs, they must be responsible! The municipality should've stopped stealing from public funds; done their job; fixed the roads; maintained the they want to cry crocodile tears when business votes with its wallet and goes where municipalities are more serious about doing their jobs.

Hai... We are in Shit.

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