Former farm worker receives multi-million-rand funding from NEF

The official launch of Milkway Transport today marks a milestone for the expansion of black-owned and women-led businesses in South Africa's logistics sector. The event, which took place in Jeffreys Bay, was attended by key stakeholders, including government representatives, the National Empowerment Fund (NEF), the Sarah Baartman District Municipality, and local business leaders. Milkway’s success is a testament to the transformative power of investment, community collaboration and government’s commitment to empowering women entrepreneurs and driving economic growth in the broader Eastern Cape region.

A commitment to empowerment and economic growth

The launch of Milkway Transport showcases the positive impact of investment in black-owned and women-led businesses. The R42 million investment by the NEF has enabled Milkway to expand its fleet, which has grown from one truck to 19 trucks in just eight years. This growth is contributing to job creation and providing essential transport services to major clients like Woodlands Dairy and Coca-Cola Beverages Southern Africa. The company’s success reflects the potential for sustainable business growth in the Eastern Cape.

Mr Mziwabantu Dayimani, Acting Chief Executive Officer of the NEF, spoke on the investment’s impact: “We are proud of Milkway Transport’s impressive growth and the role it plays in empowering local communities and women entrepreneurs. The NEF’s support is a critical part of our mission to transform South Africa’s economy by driving the growth of black-owned enterprises in key sectors like logistics. Milkway’s success story is one we celebrate as part of our broader commitment to inclusive economic growth.”

Building stronger communities through black empowerment

Milkway Transport, founded by Clayton and Leonie Damons, is a 100% black-owned and 60% women-owned logistics business which originated in Joubertina. The company which is now based in Humansdorp, has demonstrated outstanding growth, expanding its fleet and capabilities while providing essential transport services to major companies in the region.

Clayton Damons, CEO of Milkway Transport, emphasised the importance of the NEF’s support: “From our humble beginnings with one truck, to now operating a fleet of 19, the NEF’s investment has been crucial in our success. This is a proud moment for us, and we are excited about the future. We look forward to continuing our growth and creating more jobs, not only for people in our community but across the broader Eastern Cape,” said Damons.

Local Municipalities’ role in driving regional economic development

The Sarah Baartman District Municipality (SBDM) have been key partners in creating an environment conducive to business growth, it is through SBDM funding that Mr & Mrs Damons were able to purchase their first truck. Thereafter SBDM assisted them again in 2021 with R200 000 to secure their business premises. SBDM also facilitated the process which led to the Milkway Transport being funded by the National Empowerment Fund.

The Executive Mayor of Sarah Baartman District Municipality, Cllr Deon de Vos, expressed his excitement about the company’s impact on the region: “Milkway’s success is a clear demonstration of the potential of businesses in our local and surrounding areas. We are committed to fostering growth, creating jobs, and supporting initiatives that contribute to the prosperity of the Sarah Baartman District. We look forward to seeing the continued success of Milkway Transport and the positive influence it will have on the community.”

Economic impact and future growth prospects

Milkway Transport’s expansion plans include the continued growth of its fleet to meet increasing demand. With a strong foundation and backing from the NEF, the company is positioned to contribute further to the economic growth of the Eastern Cape, particularly in the logistics sector.

Mr Dayimani added: “We are excited about the potential for Milkway Transport to expand even further. The NEF is committed to supporting businesses like Milkway that not only contribute to the economy but also play an essential role in empowering local communities and creating sustainable job opportunities.”