Most powerful man in South Africa’s meat industry

Ivor Karan is the most powerful man in South Africa’s meat industry. He owns Karan Beef, the largest beef producer in Africa.

Karan started Karan Beef in 1974 when he was just 20 years old. He and his wife, Bernice, moved to a dairy farm close to Heidelberg, which his grandfather had left to him.

He told Rapport, “There were 40 cattle on the farm. There was no electricity, and we had a primitive outdoor heating system for hot water.”

However, government interference made dairy farming difficult. He decided to move to meat production and started to buy meat breeds.

He started a feedlot and expanded his beef operations by buying abattoirs and a maize farm to secure feed for his growing herd of cattle.

Karan Beef showed exceptional growth and became the continent’s largest feedlot and beef producer.

He grew and transformed his Heidelberg farm into a 2,330-hectare fully integrated business unit serving local and international markets with top-quality beef.

Karan Beef recently expanded its operation by purchasing the old Manjoh Ranch farm, now known as Karan Beef Nigel.

On this farm, the company grow crops it uses in its feed and part of the farm is used for its cattle backgrounding programme.

The company’s world-class Abattoir in Balfour Mpumalanga is used exclusively for the streamlined processing of animals into a wide range of beef products.

It boasts a fully automated, state-of-the-art cold storage facility with an automatic carton freezer (ACF), freezer store, chiller store, and airlock store.

Karan Beef’s sales and distribution centre in Johannesburg features extensive cold storage and freezer facilities.

The facility plays a vital role in completing the supply chain and securing the Karan Beef Group’s position as Africa’s largest fully integrated beef production organisation.

Today, Karan Beef accommodate up to 210,000 head of cattle at the Heidelberg Feedlot, Nigel farm, and its numerous holding stations.

The company buys cattle from leading cattle breeders and farmers in South Africa, Namibia and Botswana.

It supplies quality beef to most of South Africa’s best-known food retailers, butchers, beef distributors and wholesalers.

Its beef is also exported internationally to markets including the Middle East, the Far East, the Indian Ocean Islands and the African continent.

Karan Beef is approved to export to UAE, Kuwait, Qatar, Bahrain, Oman, Jordan, Egypt, Mauritius, Seychelles, Maldives, People’s Republic of China and Hong Kong.

Apart from continuing to grow the business, Karan Beef also supports South Africa’s future commercial cattle farmers through its academy.

“By collaborating closely with these farmers, we aim to foster growth and commercial viability within their operations,” Karan said.

“Through this commitment, we actively contribute to the development of local farming communities.”

In 2018, the Public Investment Corporation (PIC) agreed to buy Karan Beef for a maximum price of R5.2 billion.

The PIC, together with Pelo Agricultural Ventures, announced in October 2018 that they had successfully concluded the acquisition of a majority shareholding in Karan Beef.

Pelo Agricultural Ventures is a black-owned, managed and controlled investment holding company that operates in the agricultural sector in South Africa and the rest of the continent.

However, the deal did not go through as the long stop date for the deal expired before it could be concluded.

Karan Beef has remained a family-owned business. Ivor Karan continues to manage the business and is chairperson of the Karan Beef board.

His three sons, Matthew, Justin, and Avron, are all involved in the business, and his wife handles building and maintenance.

The Karan family has actively shaped the South African meat industry as members of The South African Feedlot Association and the Red Meat Abattoir Association.