By Maile Matsimela
The Estina Dairy Farm, once at the centre of South Africa’s state capture scandal involving R280 million in misappropriated funds, has undergone a remarkable transformation. Now operating as Phumelela Integrated Farming Trust, the farm has made full use of its state-of-the-art facilities to rise from its troubled past and emerge as a beacon of possibility for food security.
The dairy project was established in 2012, on Krynaauwslust Farm, near the town of Vrede, Thabo Mofutsanyana District Municipality in Free State.
At the forefront of this turnaround is executive manager Terrance Maila, who stepped into the role in June 2023 and immediately began to address the operational challenges plaguing the farm.
“I arrived here in June 2023; on my arrival the farm was operating but not profitable,” Terrance says. “The animals were mixed up – milk cows were mixed with weaners.”
Terrance told African Farming that there was mismanagement, and the staff was demoralised by what had happened in the past. “So I had to start by motivating the workers, helping them to understand the vision and see where we wanted to go.”
His strategic approach began with tackling fundamental issues in livestock management. Under his leadership, the farm introduced new systems to improve both animal welfare and production efficiency.
“We put systems in place to reduce mortality in the calf pen, and to take better care of the cows. We introduced biosecurity protocols. And the conception rate was below 40%; we had to come up with methods to increase that,” Terrance says.
He also introduced a computerised tracking systems that monitors each animal’s health, production and fertility cycles.
Turnaround
These interventions resulted with milk production surging from a mere 8 litres per cow per day to an impressive 22 litres, a nearly threefold increase from the 130 to 140 cows currently in production. The farm now supplies milk to Montic Food at a fixed price of R7,20 per litre.
He confidently told African Farming that Phumelela is now a bankable operation. To add to the sustainability of the business, Phumelela has planted 150 hectares of maize to create a self-sufficient fodder bank, reducing reliance on external feed sources. The goal is to expand to 500 hectares of maize in the next planting season.
The farm still employs the original 29 workers. Terrance says Phumelela has also established partnerships with universities and colleges to provide practical training for agricultural students, many of whom struggle to find placement opportunities.
Looking ahead, Terrance has set ambitious targets for further growth. “The aim is to milk at least 500 cows within the next two years, and I think I’ll be the happiest man when I get there.”
The Phumelela story shows how strong management and visionary leadership can turn even the most troubled enterprise into a model of success.
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