Page 16 - Landscape SA Issue 107
P. 16

FEATURE


          PAVING THE WAy TO A SUSTAINAbLE


          GREEN INDUSTRy IN SOUTH AFRICA





                                     The Institute for Landscape Architecture in South Africa
                                     (ILASA)  recently  held  a  webinar  to  discuss  the  above
                                     topic. It was hosted by landscape architect karen botes,

                                     who posed questions to the following participants: Ida-
                                     Marie Strydom of Life Green Group, Jenneth Prinsloo of
                                     Plantwise, Gail Dreyer of Tshala Plant brokers and Leon
                                     Scholtz of Bristle Cone Nursery.

             Karen Botes, landscape
             architect and webinar host

          Q1:  What has changed over the past   in a price war. This has forced us into a state   this brings a risk to our operations. Time
          five years?                       of limbo and we end up undercutting each   delays, no access to the site and time spent
          Ida-Marie: The biggest threat for contractors   other.               driving up and down leads to smaller profit
          and growers is the dramatic decrease                                 margins. In the government sector there is
          in available work due to the country’s   Leon:  The  pandemic  has  had  a  very  bad   always politics, competition with salaries
          economy, recession and depression. There   effect and in addition, weather patterns have   and SMMEs that have no experience – all
          is much less work than before and everyone   been a big problem, such as the drought in   of this affects the project negatively. Also,
          is competing for the same, small amount   the Western Cape. Some municipal areas are   fixed tender prices eat into profits.
          available. Also, the industry is losing talent   doing ok and allow for landscaping.
          because companies cannot afford to retain                            Gail: Clients have reduced their budgets but
          good people. Growers are growing less   Q2: What is the biggest threat for   at the same time have unrealistic expectations
          plants and as a result, the quantities required   growers and landscape contractors?  of what their money can buy. To secure work,
          are often not available.          Ida-Marie:  Clients’ budgets have forced us to   we have to discount plants and products,
                                            work very hard for very little money and we   and wait a long time for payment at reduced
          Jenneth: The whole contracting environment   are forced to do more with less budget. The   margins. This eats into our small profits. Also,
          is suffering due to market challenges and in   scope of work makes it difficult for us to carry   our services aren’t valued. Growers are at the
          the case of government contracts, tenders   out good quality work with tight budgets and   bottom of the chain and this is a threat to our
          are often disqualified  on the  grounds of   we have to do much more with less in order   industry.
          “not being correct”. There has been a huge   to keep them happy.
          reduction in public spaces and with less                             Leon: The finances of a business must be
          money available, there is little consideration   Jenneth: The challenges of public tenders   healthy. Even if stock is ready, it can be lost
          for landscaping.  There is also increased   means that there is a high risk of non-  due to hail or severe cold. However, clients
          commercial risk for sub-contractors.  payment and late payment, and this can   don’t seem to understand this so we need
                                            really affect cash flows. Even with the JBCC   to focus on contract growing and planning;
          Gail: The failing economy has led to a lack of   agreements, there are shortcomings with   we need to know what to grow a year in
          work and the whole of the green industry is   regard to the landscaping discipline and   advance because demand is unpredictable.






























          14    Landscape SA • Issue 107 2021
   11   12   13   14   15   16   17   18   19   20   21