UASA Media Release: 17 June 2026
Statement by Abigail Moyo, spokesperson of the trade union UASA:
UASA welcomes the news confirmed by Tongaat Hulett’s business rescue practitioners (BRPs) that a binding agreement has been reached, which could prevent the sugar producer from going into liquidation.
According to Tongaat’s BRPs, the agreement was concluded between the Industrial Development Corporation of South Africa (IDC) and the Vision Group of Companies.
This agreement offers a path forward to sustain Tongaat’s business rescue process, maintain trading operations and support the implementation of the approved business rescue plan.
For UASA, the most important considerations have always been the protection of jobs, company growth and the sustainability of the broader sugar industry. As the company’s financial challenges intensified, UASA became increasingly concerned about the devastating impact liquidation would have had on employees, communities, small-scale sugarcane growers and the regional economy.
Tongaat has been a pillar of the sugar industry in KwaZulu-Natal for more than 134 years, with nearly 250,000 jobs at stake had liquidation occurred. Such an outcome would have had severe consequences for sugar production and related operations.
Although full details of the binding agreement are still being finalised, UASA wishes Tongaat Hulett good luck in this process. We hope the agreement will prioritise operational stability, job retention, investment and the long-term sustainability of the sugar sector.
UASA also acknowledges the efforts of the company’s stakeholders and business partners, who have worked tirelessly to save the entity and prevent its collapse.
Tongaat’s challenges serve as a lesson for many organisations, highlighting the importance of good corporate governance, accountability, transparency and responsible leadership in ensuring sustainable growth.
UASA remains hopeful that the company and its employees will stay committed to the process and continue to grow despite the challenges.
For further enquiries or to set up a personal interview,contact Abigail Moyo at 065 170 0162.