As a creator of wealth and a major employer across the
six African countries in which we operate, Illovo plays a
significant economic role as it:
- frequently contributes towards empowering emerging
markets and supplements local governments’ efforts
to provide associated communities with infrastructure,
education and health care; and
- creates value by transforming raw materials into
products for our many customers, makes substantial
payments to the value chain of suppliers, contractors,
distributors, customers; to our employees and to
governments through direct and indirect taxes, as well
as to shareholders and other providers of capital.
The value added statement shows the wealth the company
has been able to create through manufacturing, trading
and investment and its subsequent distribution and
reinvestment in the business.
During the 2012 financial year, R3 154 million was
created, which is 17% more than in 2011. Of this amount,
R2 567 million was distributed to employees, providers of
capital and to governments. Of the wealth created, 51%
was paid to employees.
The balance of the wealth created was retained and
reinvested in the company for the replacement of assets
and the development of operations.