Value added is a measure of the wealth the group has been able to create. The following statement shows how this wealth has been distributed.

  2020   2019*  
(R’million)   (%)   (%)
Revenue 29 796,1 100,0 28 578,9 100,0
Less: Net cost of products and services 22 021,7 73,9 20 546,5 71,9
Value added 7 774,4 26,1 8 032,4 28,1
Add: Income from investments and associates 382,0 1,3 414,3 1,5
Add: Foreign exchange gains 40,1 0,1 9,6
Wealth created 8 196,5 27,5 8 456,3 29,6
Applied to:        
Employees        
– Salaries, wages and other benefits 4 117,6 50,2 4 043,0 47,8
Providers of capital 900,6 11,0 5 681,7 67,2
– Interest on financing facilities 110,8 1,4 30,2 0,4
– Dividends and capital distributions to non-controlling interests and preference shareholders 50,0 0,6 27,4 0,3
– Dividends to ordinary shareholders 739,8 9,0 5 624,1 66,5
Government        
Taxation (refer note 1) 1 089,4 13,3 1 157,7 13,7
Retained in the group 2 088,9 25,5 (2 426,1) (28,7)
  8 196,5 100,0 8 456,3 100,0
(R’million) 2020 2019*
Note 1    
Income taxation (excluding deferred tax) 784,7 926,8
Skills Development Levy 25,4 29,5
Rates and taxes paid to local authorities 32,1 33,1
Customs duties, import surcharges and excise taxes 247,2 168,3
Gross contribution to government 1 089,4 1 157,7

The payments to government exclude taxation deducted from employees’ remuneration of R449,1 million (2019: R601,2 million), net VAT receivable of R9,2 million (2019: payable R37,7 million), excise duty on revenue and UIF payments.

(R’million) 2020 (%) 2019* (%) 2018 (%) 2017 (%) 2016 (%)
Trend of value added                    
Employees 4 117,6 50 4 043,0 48 3 857,5 45 3 733,7 39 3 621,8 39
Providers of capital 900,6 11 5 681,7 67 1 932,7 23 2 066,6 22 1 837,9 20
Government 1 089,4 13 1 157,7 14 1 033,9 12 1 257,8 13 1 292,6 14
Retained in the group 2 088,9 26 (2 426,1) (29) 1 821,2 20 2 444,2 26 2 524,1 27
  8 196,5 100 8 456,3 100 8 645,3 100 9 502,3 100 9 276,4 100
* Restated as required by IFRS 5 in relation to the treatment of Value Added Meat Products (VAMP), a division of Tiger Consumer Brands Limited (Domestic operations – Consumer Brands – Food) as a discontinued operation. Refer to note 33.