AGRICULTURE is one of South Africa’s biggest sectors, contributing about $8.7 billion to GDP in 20141. With some 80% of its land or about 97.6 million hectares used for farming, the sector is rich with opportunities for growth.
Recently, the US agribusiness and food company Land O’Lakes, Inc. announced its entry into this market with the local company Villa Crop Protection as partner. Their joint venture will combine the companies’ productivity-enhancing crop input products and services which are designed to increase farmers’ yield in sustainable measures.
Land O'Lakes will bring its WinField brand of proprietary products, services and insights, while Villa Crop Protection offers solutions complemented by training programs from Villa Academy Training Institute. Together they also aim to enhance the training courses for agriculturists.
Back in the US, Land O'Lakes is known for dairy including the LAND O LAKES®, Kozy Shack®, Sauté Express® and Alpine Lace brands. Now in South Africa, with its vey first commercial undertaking, it will assume 52.5% ownership of Villa Crop Protection. According to these companies, the organizations will operate as they do prior to the new joint venture. Villa Crop will head the business, while Winfield Solutions, LLC, the crop inputs business of Land O’Lakes will take on a supporting role.
1World Bank
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