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South African Business 2017 edition

South African Business is a unique guide to business and investment in South Africa. In addition to an up-to-date economic overview of the country, analyses of the main industrial sectors, plus profiles of the nine provincial economies, the 2017 edition of South African Business includes special features on key topical issues such as skills development and education, renewable energy and the REIPPPP programme, and trade with Africa.

South African Business is a unique guide to business and investment in South Africa. In addition to an up-to-date economic overview of the country, analyses of the main industrial sectors, plus profiles of the nine provincial economies, the 2017 edition of South African Business includes special features on key topical issues such as skills development and education, renewable energy and the REIPPPP programme, and trade with Africa.

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Robertson). A good percentage of this wine is<br />

exported but the wine estates themselves attract<br />

tourists which in turn boosts the leisure<br />

industry. Tourism in the Winelands has matured<br />

beyond day-trips from Cape Town to incorporate<br />

wellness spas, adventure tourism and even game<br />

farms boasting the Big Five.<br />

Manufacturing is concentrated on processing<br />

grapes and fruit into wine, juice, brandy, dried<br />

and tinned fruit products. Dairy manufacturer<br />

Parmalat has an award-winning cheese-making<br />

facility in Bonnievale. Robertson is known for<br />

roses and thoroughbred horses. Stellenbosch is<br />

home to its eponymous university and houses<br />

the headquarters of several large companies,<br />

such as British American Tobacco.<br />

Mossel Bay is home to <strong>South</strong> Africa’s main<br />

gas-processing plant while George is a node of<br />

manufacturing, trade and administration. The<br />

Nelson Mandela Metropolitan Municipality has<br />

facilities in George. Knysna and Plettenberg Bay<br />

are favoured tourist destinations.<br />

The Klein Karoo has its own wine route, and<br />

contains the country’s Port Capital in Calitzdorp,<br />

which hosts an annual festival to celebrate its<br />

main product. Fruit, vegetables and ostriches are<br />

other main products of the Klein Karoo.<br />

Economic future<br />

According to the provincial treasury, the fastgrowing<br />

sectors to 2020 will be construction,<br />

financial services (and real estate and business<br />

services) and transport, storage and communication.<br />

Financial services is expected to make<br />

the biggest contribution overall.<br />

However, the provincial government of the<br />

Western Cape and the private sector are putting<br />

their heads together to find out what projects<br />

will best boost economic growth and create<br />

jobs: it is called Project Khulisa and it is due to<br />

run to 2019. Three sectors have been targeted<br />

in the first phase: tourism and agri-processing<br />

are perhaps predictable areas of focus, but a<br />

new – and potentially very exciting – sector is<br />

oil and gas.<br />

Oil and gas<br />

REGION<br />

With the number of oil rigs passing around the Cape<br />

on their way either to the rich fields on both sides of<br />

Africa, this is a sector that can grow exponentially. It<br />

has already created 35 000 formal jobs, and there are<br />

many opportunities for trained artisans in rig repair<br />

and other boat-related jobs. National government<br />

has identified Saldanha Bay as a hub for rig repair.<br />

Tourism<br />

The sector already contributes R17-billion to the provincial<br />

economy and jobs are created quite quickly<br />

in this sector. There is a belief that this sector can<br />

still contribute much more. One example is the successful<br />

bid for the World Rugby Sevens tournament,<br />

which Cape Town hosted for the first time in 2015.<br />

With international visitors spending up to R10 000<br />

each, the weekend tournament added to the city's<br />

GDP by R539-million. Cape Town will host the event<br />

until 2018. Plans to further boost the sector include<br />

marketing the province as an all-year destination,<br />

focussing on cultural and heritage tourism and<br />

promoting more local business tourism.<br />

Agri-processing<br />

By playing to the Western Cape's strengths, which<br />

include an excellent reputation for fruit and wine<br />

in the international market, the province wants to<br />

take the agri-processing sector beyond the R12-<br />

billion that the sector already contributes to the<br />

local economy. Investment in infrastructure and<br />

support for exporters together with an improved<br />

regulatory environment are strategies that are going<br />

to be adopted.<br />

Capital Cape Town<br />

Population 6 200 100 (2015<br />

Area 129 462km 2<br />

Premier Helen Zille (DA)<br />

Languages Afrikaans, English, Xhosa<br />

145 SOUTH AFRICAN BUSINESS <strong>2017</strong>

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