SA Canegrowers welcomes the Durban High Court judgment handed down on Monday, which confirmed that outstanding levies are due to be paid by Tongaat Hulett to the sugar industry, the body said in a statement on Wednesday.
Judge Rashid Vahed confirmed on Monday that the Sugar Industry Agreement is statutory legislation, and payments due under it still need to be made during the business rescue process, which suspends many other payments.“These levies are essential to the economic survival of sugarcane farmers and the tens of thousands of livelihoods that they support,” the Canegrowers Association said.
Tongaat Hulett must, therefore, honour its financial obligations under the agreement, which the new owners agreed to pay the industry, including growers, when the court battle ends.