The Mopani municipality has established "a working committee" to mobilise communities against xenophobic attacks.
Mopani, which borders Mozambique and the Vhembe district near Zimbabwe, has more foreign nationals than any other district in Limpopo.
Most of the foreigners in the district fled their countries to escape strife and poverty.
In view of the recent xenophobic attacks in South Africa Mopani district executive mayor Humphrey Mokgobi has launched an "anti-xenophobia programme of action".
The programme involves the participation of councillors, traditional leaders, church pastors and the business community.
The purpose of the committee is to educate people about the disastrous consequences of xenophobia and to make people awareness that ill-treating foreigners is morally wrong.
The committee will mobilise communities to be on their guard against any repeated eruptions of xenophobic attacks.
Addressing more than 1500 people in Giyani on Sunday Humphrey Mokgobi said "xenophobia stinks like a rotten potato".
He said the recent xenophobic attacks tested South Africans' "claim of being Africans" and how they related to the rest of the African continent.
Cassel Mathale, provincial secretary of the ANC in Limpopo, said the initiative would work in unison with the police to fight any eruption of xenophobia in the province.
Mathale said it was time that people in the province understood that any person is a human being - "irrespective of their nationality".