Sugar Act, 1978 (Act No. 9 of 1978)Sugar Industry Agreement, 2000Chapter 6 : Determination and Distribution of Proceeds and Cane Prices162 - 165. Interpretation |
| 162. | In this Chapter, unless the context otherwise indicates— |
| (a) | “Growers' Statutory costs” means |
| i. | R125 138 479 being the sum of the costs of SACGA and SAFDA respectively approved by the South African Sugar Association’s Council for the 2023/2024 season from 1 April 2023; and |
| ii. | for each season thereafter, the Growers’ Statutory Costs for the immediately preceding season escalated on 1 April (such escalation being compounded each season) by a rate equal to the year on year change in the headline consumer price index, for all urban areas, for January as reflected in table P0141 or its successor as published by Statistics SA, expressed as a percentage and less the Meeting Costs and other industry obligations in terms of clause 177. |
| (b) | “the notional local market price” |
means the notional price attributed to local market brown sugar, refined sugar and molasses, respectively, determined from time to time by the South African Sugar Association in terms of clause 163; and
| (c) | “milling” |
includes refining and “miller” includes refiner.
[Clause 162 substituted by Notice No. 3770 of GG54123, dated 13 February 2026]
| 163. | The South African Sugar Association shall, for the purpose of determining the gross proceeds from the sale of production in terms of this Chapter, from time to time determine— |
| (a) | separately for brown and refined sugar, respectively, the notional local market price of sugar to be sold on the local market by millers, ex-factory in bulk or packed in one ton bags or 25kg pockets; and |
| (b) | for molasses, the notional market price of molasses to be sold on the local market by millers ex-factory and which will also represent the value of molasses utilised by millers. |
164.
| (a) | The South African Sugar Association shall collect the Growers’ Statutory Costs in each year by way of a levy imposed in terms of Chapter 7. MCPs shall be subject to a maximum levy equal to the lesser of R4.66 per ton cane delivered (and this R4.66 amount shall be adjusted for each season starting from 1 April 2024 by the year on year change in the headline consumer price index, for all urban areas, for January as reflected in table P0141 or its successor as published by Statistics SA or its successor) and the average per ton cane levy required to recover the Growers’ Statutory Costs each year. |
| (b) | The South African Sugar Association shall pay to SACGA and SAFDA equal portions of the Growers’ Statutory Costs so collected. |
[Clause 164(a) substituted by Notice No. 3770 of GG54123, dated 13 February 2026]
| 165. | If the South African Sugar Association, in terms of the proviso to clause 135, declares that any cane delivered in March of any year shall be deemed to be delivered in the following year the sugar and molasses produced from such cane by the mill concerned shall similarly be deemed to be produced in that following year. |
[Clause 165 substituted by Notice No. 3770 of GG54123, dated 13 February 2026]