Easter chocs may leave bitter taste:
The price of cocoa is on the rise, making sweet treats more expensive over the Easter period.
According to Trading Economics, which tracks the movement of commodities and other indicators, the cocoa price hit a record high this month, hovering at about $ 8?500 a tonne, from about $ 6?030 last month.
It has increased 98.36% since the beginning of the year, data from Trading Economics shows.
Concerns are mounting over the effect of the unfavourable weather conditions on cocoa production in Côte d’Ivoire and Ghana, the top producers of the commodity.
“The major factor behind the increase in chocolate product prices is the soaring cocoa prices that are underpinned by adverse weather conditions in West Africa.
“There is a poor harvest and that is pushing up cocoa prices and, in turn, driving up chocolate products prices,” chief economist of the Agricultural Business Chamber of South Africa, Wandile Sihlobo, said.
Cocoa trees flourish in hot, humid conditions and require a lot of water.
Côte d’Ivoire is in its dry season, which runs from November to May, while the rainy season starts in June. The rainy season in Ghana is likely to start in May.
From 1 October to 10 March, cocoa imports from Côte d’Ivoire fell 29% compared with the same time period last year.
The Côte d’Ivoire cocoa regulator expects next month’s harvest to fall 33% to 400?000 tonnes from 600?000 tonnes last year, according to Trading Economics.
In its prediction last month, the International Cocoa Organisation said it expected a significant fall in cocoa production from the top-producing countries.
“Compared to the 2022-23 season, global cocoa supply is anticipated to decline by almost 11% to 4.449 million tonnes.
“Global cocoa demand is projected to decrease by almost 5% to 4.779?million tonnes.”
Shelves at retailers such as Woolworths, Checkers, Pick n Pay and Spar are packed with chocolate bunnies and eggs for Easter and, thankfully, there is no real concern about a chocolate shortage — yet.
However, the increase in price will affect consumers.
“In an environment where the consumer is already under pressure, this means we could see slower demand for chocolate products in the near to medium term, domestically.
“Still, the demand could differ among various product categories. Broadly, there should be a decline in sales,” Sihlobo said.
Chocolate manufacturer Nestlé acknowledged the effect of the rising price of cocoa on the industry.
“With cocoa prices hitting record highs, chocolate manufacturers are facing significant cost pressures which will result in price increases as we look to offset other input costs.
“Ultimately, however, retailers decide on the final prices to consumers,” said Zumi Njongwe, the business executive officer for confectionery for Nestlé’s East and Southern Africa region.
The second-largest chocolate manufacturer in South Africa said it foresaw the cocoa price increasing between 60% and 200% and a cocoa deficit this year that it would need to manage in the future.
Tiger Brands, which owns sweet-maker Beacon, said the supply of cocoa products and the upward pressure of cocoa prices had an effect on the cost of producing chocolate.
“Ongoing efforts to improve cost leadership and drive efficiencies have allowed us to absorb some of the cost pressure to drive value and affordability for South African consumers, however, the company has had to pass some price increases on to retailers,” tiger Brands said.
The price rise is compounded by another factor — some cocoa producers don’t have sufficient funds to buy beans.
According to Reuters, processing plants in Côte d’Ivoire have halted production of the butter and liquor that can be made into chocolate, because they cannot afford to buy cocoa beans and “more major state-run plants could shut soon”.
Cocoa prices in the coming year will depend on whether West Africa’s harvest recovers and there remains uncertainty about that, Sihlobo said.
Although supplies might be tight and prices high, we’re unlikely to see a chocolate shortage, he added.
AFU swoops on former Eskom staff over R400m Kusile corruption:
The Asset Forfeiture Unit (AFU) has secured two forfeiture orders valued at R33 million for luxury cars, two farms and several other properties against a number of former Eskom employees allegedly involved in corruption at its Kusile power station.
The AFU in Pretoria secured the final forfeiture orders this week as part of the investigation into corruption, theft and maladministration at Eskom by the Hawks, the AFU and the National Prosecuting Authority, under which the AFU falls.
The group was allegedly in cahoots with former Eskom contracts manager Duduzile Moyo, who was part of the team that negotiated contracts with Tamkelo Business Enterprises, which paid her more than R24 million for awarding them work.
The orders were secured against former Eskom employees Mangope Hlakudi and Kenneth Segooa, along with Siphiwe Mkhwanazi, Muzi Sambo, Pertunia Sambo and Zensile Sanderson, all of whom were involved in Tamkelo or its subcontractor, Phuwanda Trading CC.
The AFU seized a house at Silver Lakes Extension, in Pretoria, a lodge, two farms and two other properties in Mpumalanga registered in the name of Sambo, along with a Mercedes Benz Viano and a Chevrolet utility vehicle belonging to him.
Three cars, a quad bike and a golf cart registered in Sanderson’s name and that of Phuwanda Trading were also seized and forfeited.
The AFU said that following a Special Investigating Unit (SIU) probe into Eskom in 2018, the body found that Tamukelo Business Enterprises had been granted an unlawful tender for water tanker services valued at R400 million.
Between 2009 and November 2020, Tamukelo’s members made “various payments to various current and former Eskom officials” including Moyo, Hlakudi and Segooea.
Moyo allegedly received benefits totaling more than R24 million via a “convoluted structure” of entities and family members to launder the payments from the company.
Moyo’s assets were frozen in September 2022 – including properties belonging to her and her husband – and last year she lost an appeal against a court order the AFU had secured against her pension.
She resigned from Eskom during the SIU investigation.
The AFU said that the seized assets would now be sold and the proceeds returned to Eskom.
“Criminal investigations are ongoing,” the AFU said.
Quite the ‘Qute’ way to commute:
Over the past year, there has been a spike in tiny yellow taxis in the northern suburbs of Johannesburg. The presence and prevalence of these comically styled cars has left me and many others wondering.
The Bajaj Qute is the car in question and “Qute”, pronounced “cute”, isn’t necessarily the word I would use to describe it.
It’s a tiny motorcar, which resembles a four-wheeled bike. It boasts a 216.6cc engine that generates a cutesy 9.9kW and 19.6Nm.
Furthermore, it sheepishly boasts a fuel tank size of eight litres and a weight of 449kg.
These stats are hardly impressive but part of what makes this reinterpretation of the Kei car so popular is the price. At R94?800 the Bajaj Qute is the most affordable new car in South Africa by a significant margin.
The price might be appealing but it doesn’t explain the rapid flood of these automobiles in Johannesburg’s northern suburbs. There aren’t many elsewhere in South Africa — not even in other parts of Gauteng.
After digging into this peculiar phenomenon, I initially believed that the brand Moove, which helps people finance vehicles, was behind this moovement.
Moove is known for providing easy options for those looking to make money on the roads. However, it is yet to add the Qute to its fleet in SA.
After more research, it seems the Qute takeover is most probably down to familiar mobility app, Bolt.
You might know it as a slightly cheaper alternative to Uber but the brand offers more than the occasional taxi ride.
Bolt is a huge international corporation that operates in more than 100 countries, offering the chance to earn extra cash and to get around.
So, what does this global brand have to do with the sudden increase in these little yellow cars?
First, their last-mile e-hailing service might be the cause of the proliferation of Bajajs.
Bolt has started working on a project with an emphasis on Johannesburg’s northern suburbs.
It is called Bolt Send and, like its Uber competitor, it allows customers to send packages from one location to another. The tool used for the job is, you guessed it, the Bajaj Qute.
The project, which started last year, has become increasingly popular.
Considering that the Bajaj has a much larger storage capacity than a motorbike with a similar engine, it makes sense to use this inexpensive vehicle in terms of consumption and price.
If you are not familiar with the Bajaj, and have only noticed a couple of these odd little cars around town, well, there is a chance Bolt Send might be coming to your area soon.
If Bolt decides to expand this project around the country, the northern suburbs will be ground zero for this Bajaj takeover.
Fear not, though, with a top speed of 60km/h, they shouldn’t be clogging up the highways.
It’s encouraging to see brands invest in making mobility more affordable and safer, while creating employment opportunities.
Furthermore, it enables drivers to switch from bikes to something of a car-bike crossover.
I have witnessed my fair share of crashes involving delivery bikers trying to meet their quotas. The Bajaj Qute, despite not being the best car on the road, does offer a cost-effective and relatively safe option for delivery drivers, particularly on South Africa’s dangerous streets.
So, in case you were wondering about the sudden influx of Bajajs in Fourways and surrounding areas, now you know.
Your next parcel could be arriving in something rather Qute — and very yellow.
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