The Royal Eswatini Sugar Corporation sows sweet success in agriculture

You’ve all seen the news: global despair caused by the oppressive heat, unrelenting cold, and merciless flooding – all impacting our once-bountiful fields.  

As climate change heightens, farmers and their crops face growing exposure to unpredictable weather patterns. Global conflicts only add to their uncertainty and vulnerability, with rising production costs exacerbating difficulties.

In Eswatini, Africa, the cultivation of sugar cane is crucial to the economy, representing almost a quarter of all exports. It is also used in various local, regional, and global products, underscoring the impact of external pressures on the country’s sustainability.

Founded in 1950, The Royal Eswatini Sugar Corporation (RES) is the largest sugar cane farming and manufacturing corporation in Eswatini. With over 3,500 internal and third-party farmers, the organization produces two-thirds of the country’s sugar and more than 35 million liters of ethanol each year. 

For RES, the repercussions of the looming crises were no different. Farmers grappled with fluctuating yields and high costs, but their dependency on spreadsheets and forms was outdated and unable to address their issues. 

To overcome these environmental and economic pitfalls, the organization recognized the need for technology that supported third-party farmers, helping them make informed decisions on when and where to plant, as well as manage water and fertilizer use. 

A connected approach

One potential solution arose in cell data that could support farmers in rural areas. This newfound opportunity ripened the possibility for agronomic models, Global Positioning Systems (GPS), Geographic Information Systems (GIS), and satellites that could help farmers improve their harvests.

As a long-term SAP ERP Central Component (ECC) user and a member of the SAP Early Adopter Care program, the next steps for RES were clear.

Teamed with SAP and the SAP Advisory Council for Agribusiness, they developed a tool that assesses water shortages, energy volatility, unforeseen environmental events, and environmental regulations to reduce costs, increase yields, and enhance efficiency.

Utilizing SAP Intelligent Agriculture on SAP Business Technology Platform (BTP), alongside satellite data, mapping, and detailed crop information, the solution harnesses the power of artificial intelligence (AI) and machine learning to enable RES to develop customized interfaces for farmers. In turn, improving farming practices and decision-making processes.

Additionally, the tool features a mobility model that incorporates digital and mobile technologies that increase communication and coordination with third-party farmers, empowering them to work from the field.  

“We have developed a model that can be adopted as best practice by Eswatini farmers to improve lives and make the world run better,” detailed Rob Coombe, the Group IT Manager. “We are now growing with precision. The SAP Intelligent Agriculture solution, along with an innovative mindset, has brought visible benefit to the entire Royal Eswatini Sugar community.”  

After the first year of its implementation, their SAP Intelligent Agriculture solution saw 15,000 transactions from just 25 third-party farmers. 

Achieving sweet success

With agronomic data, real-time growth measurements, and upcoming weather forecasts, the new system allowed RES to pinpoint the optimal harvest day, leading to a €4.8 million increase in yield – or a 5.96% improvement.

Third-party RES farmers have also saved around €150 thousand per season because of enhanced planning, execution, and decision making. 

“We are driving sugar growth efficiencies for RES and our [third-party farmers] with real-time field data combined with external satellite and agronomic data,” said Coombe. “With help from SAP, we have developed an innovative service platform which increases yields, reduces costs, and improves sustainability.”

This boost in yields and profitability per farmed area has helped advance sustainable farming practices in Eswatini. As a result, they have been able to conserve water, fertilizer, and local resources, helping farmers and the broader community.

And RES has improved its ability to report against global standards like Bonsucro and GRI, enhancing its appeal to RES customers who are working toward sustainability goals.

The Royal Eswatini Sugar Corporation was honored as a winner in the “Industry Leader” and “Business Innovator” categories of the 2024 SAP Innovation Awards in April. To learn more about their accomplishments and future plans, check out their Innovation Awards pitch deck.