, PART A: Capital Investments & Capital Budgeting
A1: Eight Economic, Social, Environmental, and Governance Factors
Factor Category Factor Description
The environmental footprint challenges experienced by some of the grain mills and food
production plants.
Environmental 1
The necessity of conducting a formal environmental assessment study prior to acquiring the
Tulbagh facility.
Environmental 2
Concerns raised by labour unions regarding contractors hiring illegal immigrants.
Social 1
The strategic decision to prioritise hiring locals for in-service training to address community and
Social 2 union concerns.
Geopolitical uncertainty in the Middle East causing fuel price volatility and increasing distribution
costs.
Economic 1
Economic 2 The decline in commodity prices, which specifically led to reduced maize prices.
Sluggish local and global economic growth affecting operations and necessitating money market
investments.
Economic 3
The rigorous investment decision-making process, evidenced by paying an external law firm to
Governance 1 perform a due diligence review.
Calculation
Details Year 1 Year 2 Year 3
A1: Eight Economic, Social, Environmental, and Governance Factors
Factor Category Factor Description
The environmental footprint challenges experienced by some of the grain mills and food
production plants.
Environmental 1
The necessity of conducting a formal environmental assessment study prior to acquiring the
Tulbagh facility.
Environmental 2
Concerns raised by labour unions regarding contractors hiring illegal immigrants.
Social 1
The strategic decision to prioritise hiring locals for in-service training to address community and
Social 2 union concerns.
Geopolitical uncertainty in the Middle East causing fuel price volatility and increasing distribution
costs.
Economic 1
Economic 2 The decline in commodity prices, which specifically led to reduced maize prices.
Sluggish local and global economic growth affecting operations and necessitating money market
investments.
Economic 3
The rigorous investment decision-making process, evidenced by paying an external law firm to
Governance 1 perform a due diligence review.
Calculation
Details Year 1 Year 2 Year 3
