Karoo Crown Beef Group — Supply Chain, Logistics & Cold Chain

The producer procurement network, the supply chain and logistics, the HACCP-grade cold-chain infrastructure and the traceability and quality-assurance framework.

Karoo Crown Beef Group Business PlanSection 9 › Supply Chain, Logistics & Cold Chain

Section 9 · Business Plan

Supply Chain, Logistics & Cold Chain

The producer procurement network, the supply chain and logistics, the HACCP-grade cold-chain infrastructure and the traceability and quality-assurance framework.

9.1 Inbound Livestock Supply Chain

Inbound cattle supply is sourced from the producer network and the
captive feedlot. Cattle movement is managed through a digital
traceability platform that records each animal’s birth, vaccination
history, movement events, ownership and ultimately processing data. The
traceability platform is interoperable with the South African National
Animal Health Information System (NAHIS) and with EU-required cattle
passport equivalence. Each animal in the slaughter line will have a
fully traceable provenance record retrievable down to the individual cut
level, supporting both regulatory requirements and the brand’s
traceability marketing.

9.2 Cold Chain Architecture

The chilled chain from abattoir to port-of-export is the most
critical operational chain in the business. Karoo Crown will operate an
end-to-end owned cold chain comprising:

  • On-site chilling (-1.5°C ± 0.5°C controlled atmosphere for
    premium chilled product; -18°C blast for frozen).
  • Owned refrigerated transport (initial fleet of 12 reefer trucks,
    scaling to 24 by Year 5).
  • Regional consolidation hubs at Durban North and East
    London.
  • Port-side cold stores at Durban and Coega operated under
    long-term lease.
  • Integrated temperature monitoring with real-time alerting and
    continuous data logging for buyer and regulator transparency.
  • Container loading directly into refrigerated 40-foot reefer
    containers at the cold-store facility for direct port transfer.

9.3 Export Logistics

Export shipment routing is handled by a panel of three vetted
international freight forwarders, each holding a multi-year supply
contract. Karoo Crown does not contract directly with shipping lines but
retains BAF (bunker adjustment factor) and CAF (currency adjustment
factor) optionality through its forwarders. Standard shipping routes
include:

  • South Africa → Jebel Ali (Dubai): 14-day chilled or 21-day frozen
    container transit.
  • South Africa → Rotterdam: 19-day chilled transit, weekly sailing
    from Coega.
  • South Africa → Singapore: 18-day transit, suitable for both
    chilled and frozen.
  • Air-freight option: limited high-margin SKU air freight to
    Heathrow and Dubai for ultra-premium chilled and Wagyu
    segments.

9.4 By-product and Waste Management

Material flows out of the plant are managed under a
zero-waste-to-landfill objective. By-products are processed and sold;
effluent is biologically treated and re-used on the feedlot crop
irrigation; organic solids are composted on-site; hides are salted and
sold into the leather industry; recyclable packaging is segregated and
re-used or recycled. The waste management approach is part of the
Group’s ESG offering to retail and DFI investors and forms a key element
of the Group’s Scope 3 disclosure framework.

Confidential — this business plan is provided to prospective investors and lenders for evaluation purposes only and may not be reproduced or distributed without the written consent of Karoo Crown Beef Group (Pty) Ltd.