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Eastern Cape Business 2019 edition

The 2019 guide to business and investment in the Eastern Cape Province of South Africa is the 12th issue of this highly successful publication that, since its launch in 2007, has established itself as the premier business and investment guide for the Eastern Cape. The Eastern Cape’s investment and business opportunities are highlighted in this publication. In addition to the regular articles providing insight into each of the key economic sectors of the province, including tourism (in which the events sector is growing fast on the back of international attractions such as the IRONMAN African Championship) and energy, where the Eastern Cape is leading the nation in attracting investment in wind power. All of the major business chambers in the province have made contributions to the journal.

The 2019 guide to business and investment in the Eastern Cape Province of South Africa is the 12th issue of this highly successful publication that, since its launch in 2007, has established itself as the premier business and investment guide for the Eastern Cape.

The Eastern Cape’s investment and business opportunities are highlighted in this publication. In addition to the regular articles providing insight into each of the key economic sectors of the province, including tourism (in which the events sector is growing fast on the back of international attractions such as the IRONMAN African Championship) and energy, where the Eastern Cape is leading the nation in attracting investment in wind power. All of the major business chambers in the province have made contributions to the journal.

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EASTERN CAPE<br />

BUSINESS<br />

THE GUIDE TO BUSINESS AND INVESTMENT<br />

IN THE EASTERN CAPE PROVINCE<br />

<strong>2019</strong> EDITION<br />

JOIN US ONLINE<br />

WWW.GLOBALAFRICANETWORK.COM | WWW.EASTERNCAPEBUSINESS.CO.ZA


VALUE VALUE PROPOSITION<br />

<strong>Business</strong> Hi-Lite Magazine : This glossy B2B magazine is<br />

To To be be the “voice of business” of business” promoting promoting an environment an now <strong>Business</strong> in-house, Hi-Lite produced Magazine quarterly, : This with glossy set B2B themes magazine for<br />

environment for growth for and growth sustainability and sustainability through maintaining<br />

through each is now <strong>edition</strong>, in-house, adding produced relevant quarterly, topics and with information set themes / for<br />

maintaining strong, proactive strong, relations proactive with relations both with internal both and news each of <strong>edition</strong>, what's happening. adding relevant It also topics features and information/<br />

Chamber<br />

internal external and stakeholders, external stakeholders, including including provincial provincial and local activities news and of what’s developments happening. the It area. also features Chamber<br />

and government, local government, member member companies, companies, other business other activities and developments in the area.<br />

business organisations organisations and organised and organised labour. labour.<br />

Trade & Information : Aside from trade assistance and<br />

information,<br />

Trade & Information<br />

Chamber is<br />

: Aside<br />

also<br />

from<br />

certied<br />

trade<br />

to<br />

assistance<br />

issue<br />

Geographic Geographic areas areas of operation of operation Border-Kei Border-Kei Chamber Chamber of<br />

<strong>Business</strong> (BKCOB) has offices in East London and<br />

Certicates<br />

and information,<br />

of Origin<br />

the<br />

for<br />

Chamber<br />

exporting<br />

is<br />

companies.<br />

also certified to issue<br />

of <strong>Business</strong> (BKCOB) has offices in East London and Certificates of Origin for exporting companies.<br />

Queenstown<br />

Queenstown<br />

(Komani)<br />

(Komani)<br />

which<br />

which<br />

serve<br />

serve<br />

the<br />

the<br />

greater<br />

greater<br />

Border-<br />

Border-<br />

Kei region.<br />

Invest Buffalo City : A collaborative initiative where<br />

Kei region.<br />

Invest Buffalo City : A collaborative initiative where<br />

members can nd various economic information on<br />

members can find various economic information<br />

SERVICES AND BENEFITS TO MEMBERS<br />

Buffalo City. It provides a platform to attract<br />

SERVICES AND BENEFITS TO MEMBERS<br />

on Buffalo City. It provides a platform to attract<br />

BKCOB offers the following key services:<br />

international investors, as well as provide exposure for<br />

BKCOB offers the following key services:<br />

international investors, as well as provide exposure for<br />

local companies.<br />

local companies.<br />

Member listing : After joining, members receive the<br />

Member listing : After joining, members receive the<br />

member listing as part of their package.<br />

Committees : The Chamber has a robust and effective<br />

member listing as part of their package.<br />

Committees : The Chamber has a robust and effective<br />

committee structure to facilitate members'<br />

Membership Certicate : New members' induction<br />

committee structure to facilitate members’ participation,<br />

participation, and to enable the chamber to full its role<br />

and Membership networking functions Certificate – the : New chamber members’ holds six induction new and to enable the chamber to fulfil its role as the “voice<br />

as the “voice of business”. Over 120 voluntary business<br />

members' and networking induction functions and – networking the Chamber functions<br />

holds six new of business”. Over 120 voluntary business professionals<br />

professionals participate.<br />

annually, members’ and induction these provide and networking a valuable functions informal annually, but participate.<br />

structured and these opportunity provide a valuable to meet informal a broad but range structured of<br />

businesspeople.<br />

opportunity to meet a broad range of businesspeople. TURNOVER TURNOVER<br />

BKCOB BKCOB represents represents over over 650 650 member member organisations organisations that that<br />

Letters of of support : The : The chamber Chamber provides letters letters of of generate generate an an estimated estimated annual annual turnover turnover of R73-billion, R73-billion, and<br />

support to to members bidding for for government tenders, and that that employ employ some some 58 000 58 people 000 people who earn who an earn estimated an<br />

and and letters letters of of introduction for for members members attempting to to estimated annual annual income income of R19-billion of R19-billion in total. in total.<br />

expand expand their their business footprint.<br />

Be Seen. Be Heard. Be Noticed.<br />

www.bkcob.co.za


KEY BKCOB CONTACTS<br />

Chamber Focus<br />

PROMOTING BUSINESS IN THE REGION<br />

Les Holbrook, Executive Director of the Border-Kei<br />

Chamber of <strong>Business</strong> (BKCOB), highlights the<br />

reasons investors should look no further than<br />

<strong>Eastern</strong> <strong>Cape</strong>.<br />

More More flights ights and and greater greater flexibility exibility have have created created<br />

greater<br />

greater<br />

opportunities<br />

opportunities<br />

for<br />

for<br />

Buffalo<br />

Buffalo<br />

City<br />

City<br />

and<br />

and<br />

the<br />

the<br />

attractiveness of the region for visitors.<br />

attractiveness of the region for visitors.<br />

Undoubtedly the connectedness of a destination<br />

Undoubtedly the connectedness of a destination<br />

determines its potential to grow - and prices<br />

determines<br />

coupled with<br />

its<br />

an<br />

potential<br />

increase<br />

to<br />

in operators<br />

grow – and<br />

and<br />

prices<br />

ights<br />

coupled have changed with an the increase face in of operators Buffalo City. and Whereas flights<br />

have business changed remains the the face core of Buffalo of travellers, City. Whereas more and<br />

business more cruise remains liners the are core bringing of travellers, visitors more from and all<br />

more over the cruise globe. liners are bringing visitors from all<br />

over the globe. Port expansion remains one of<br />

Chamber’s Port expansion main remains focus areas, one with of Chamber’s Transnet still main<br />

the focus main areas, stakeholder with keeping Transnet the still future the of main our<br />

region stakeholder and investors’ keeping interests the future alive. of Present our region lobby and<br />

refers investors’ the interests expansion alive. of the Present Container lobby Terminal, refers to<br />

the the widening expansion and of deepening the Container of the Port Terminal, itself. As the<br />

simple<br />

widening<br />

as it<br />

and<br />

is, those<br />

deepening<br />

three activities<br />

of the Port<br />

will<br />

itself.<br />

in fact<br />

As<br />

simple as it is, those three activities will in fact<br />

make Buffalo City a more desirable location.<br />

make Buffalo City more desirable location.<br />

Widening the net also remain one of our<br />

Widening the net also remain one of our guiding<br />

guiding<br />

principles,<br />

principles,<br />

and<br />

and<br />

engaging<br />

engaging<br />

with<br />

with as many<br />

many<br />

stakeholders as possible as possible toward toward economic economic growth<br />

sits growth at the sits top at of the our top agenda. of our agenda.<br />

As we engage we we focus on on the the collaboration<br />

rather than the exception and recently a a number<br />

of of MOUs have been agreed in in structuring those<br />

engagements. The The Chamber’s Chambers own projects<br />

succeed because we invite participation, and and the<br />

the Call-2-Action Call-2-Action with with related related waste waste recycling recycling has<br />

has introduced introduced a a new new way way of of approaching approaching the the<br />

everlasting challenge of littering and waste<br />

everlasting challenge of littering and waste<br />

collection.<br />

collection.<br />

On the record, the Border-Kei Chamber of<br />

On the record, the Border-Kei Chamber of <strong>Business</strong><br />

<strong>Business</strong> has and will continue to support the<br />

has<br />

development<br />

and will continue<br />

of<br />

to<br />

the<br />

support<br />

N2 Wild<br />

the development<br />

Coast road<br />

of development, the N2 Wild Coast with the road strong development, belief that with the the new<br />

strong highway belief will that usher the new in highway a new corridor will usher of/for in a<br />

new development corridor of/for – a development feature this Region – a feature is sorely this<br />

region lacking. is sorely lacking.<br />

T: +27 43 743 8438<br />

F: +27 43 748 1507<br />

www.bkcob.co.za<br />

Chamber House, The Hub,<br />

Bonza Bay Road, Beacon Bay, East London<br />

EXECUTIVE DIRECTOR<br />

Les Holbrook | info@bkcob.co.za<br />

HEAD OF COMMUNICATIONS / Hi-LITE EDITOR<br />

Candi Ferreira | communications@bkcob.co.za<br />

INVEST BUFFALO CITY<br />

Drayton Brown | ibc@bkcob.co.za<br />

www.investbuffalocity.co.za<br />

LES HOLBROOK<br />

Biography<br />

Les Holbrook has a National<br />

Technical Certicate as well as a<br />

Certicate in Management from<br />

Rhodes University. Prior to his<br />

appointment as the Executive Director<br />

of the Border-Kei Chamber of <strong>Business</strong>,<br />

he was the Deputy General Manager of Beier<br />

Industries of Transkei and Executive Director<br />

of the Transkei Chamber of Industries.


CONTENTS<br />

CONTENTS<br />

<strong>Eastern</strong> <strong>Cape</strong> <strong>Business</strong> <strong>2019</strong> Edition<br />

Government<br />

Introduction<br />

Foreword3<br />

A unique guide to business and investment in the <strong>Eastern</strong> <strong>Cape</strong>.<br />

Special features<br />

Regional overview 4<br />

Established manufacturers are investing in new capacity as<br />

two powerful new sectors – wind power and maritime – have<br />

started delivering on their potential to expand the <strong>Eastern</strong> <strong>Cape</strong><br />

economy.<br />

Economic sectors<br />

Agriculture 20<br />

Wool farmers are aiming for a big increase in production.<br />

Energy 24<br />

The <strong>Eastern</strong> <strong>Cape</strong> is the wind power province.<br />

Water 26<br />

The Nooitgedacht Water Project is back on track.<br />

<strong>Eastern</strong> <strong>Cape</strong> Provincial<br />

Government 37<br />

An overview of the <strong>Eastern</strong> <strong>Cape</strong><br />

provincial government departments.<br />

<strong>Eastern</strong> <strong>Cape</strong> Local<br />

Government 39<br />

An overview of the <strong>Eastern</strong> <strong>Cape</strong><br />

municipalities.<br />

References<br />

Maps<br />

<strong>Eastern</strong> <strong>Cape</strong> provincial map 7<br />

<strong>Eastern</strong> <strong>Cape</strong> municipal map 40<br />

About the cover<br />

Aloes on the Wild Coast. Stuart<br />

Apsey’s image (iStock by Getty<br />

Images) captures two of the iconic<br />

features of the <strong>Eastern</strong> <strong>Cape</strong>. Seven<br />

types of aloes are found across the<br />

region and the famous Hole in the<br />

Wall rock configuration is part of the<br />

rugged Wild Coast, a very popular<br />

tourist destination.<br />

Tourism 30<br />

New hotel for St Francis Links.<br />

Manufacturing 34<br />

Pharmaceutical and automotive manufacturers are investing<br />

in new capacity.<br />

Education and training 36<br />

<strong>Eastern</strong> <strong>Cape</strong> universities are leading research in vital sectors.<br />

EASTERN CAPE BUSINESS <strong>2019</strong><br />

2


CREDITS<br />

CREDITS<br />

Publisher: Chris Whales<br />

Publishing director: Robert Arendse<br />

<strong>Eastern</strong> <strong>Cape</strong> <strong>Business</strong><br />

A unique guide to business and investment in the <strong>Eastern</strong> <strong>Cape</strong>.<br />

Editor: John Young<br />

Online editor: Christoff Scholtz<br />

Art director: Brent Meder<br />

Design: Tyra Martin<br />

Production: Lizel Olivier<br />

Ad sales: Sydwell Adonis, Gavin<br />

van der Merwe, Sam Oliver, Gabriel<br />

Venter, Jeremy Petersen, Shiko<br />

Diala, Vanessa Wallace, Reginald<br />

Motsoahae and Sandile Koni.<br />

Managing director: Clive During<br />

Administration & accounts:<br />

Charlene Steynberg and<br />

Natalie Koopman<br />

Distribution & circulation<br />

manager: Edward MacDonald<br />

Printing: FA Print<br />

The <strong>2019</strong> <strong>edition</strong> of <strong>Eastern</strong> <strong>Cape</strong> <strong>Business</strong> is the 12th issue of<br />

this highly successful publication that, since its launch in 2007,<br />

has established itself as the premier business and investment<br />

guide for the <strong>Eastern</strong> <strong>Cape</strong>.<br />

The <strong>Eastern</strong> <strong>Cape</strong>’s investment and business opportunities are<br />

highlighted in this publication. In addition to the regular articles<br />

providing insight into each of the key economic sectors of the province,<br />

including tourism (in which the events sector is growing fast on the back<br />

of international attractions such as the IRONMAN African Championship)<br />

and energy, where the <strong>Eastern</strong> <strong>Cape</strong> is leading the nation in attracting<br />

investment in wind power. All of the major business chambers in the<br />

province have made contributions to the journal.<br />

To complement the extensive local, national and international<br />

distribution of the print <strong>edition</strong>, the full content can also be viewed<br />

online at www.easterncapebusiness.co.za. Updated information on<br />

the <strong>Eastern</strong> <strong>Cape</strong> is also available through our monthly e-newsletter,<br />

which you can subscribe to online at www.gan.co.za, in addition to our<br />

complementary business-to-business titles that cover all nine provinces<br />

as well as our flagship South African <strong>Business</strong> title.<br />

Chris Whales<br />

Publisher, Global Africa Network Media<br />

Email: chris@gan.co.za<br />

DISTRIBUTION<br />

<strong>Eastern</strong> <strong>Cape</strong> <strong>Business</strong> is distributed internationally on outgoing<br />

and incoming trade missions, to foreign offices in<br />

South Africa’s main trading partners around the world; at top<br />

national and international events; through the offices of foreign<br />

representatives in South Africa; as well as nationally and<br />

regionally via chambers of commerce, tourism offices, trade<br />

and investment agencies, provincial government departments,<br />

municipalities and companies, as well as major airport lounges.<br />

PUBLISHED BY<br />

Global Africa Network Media (Pty) Ltd<br />

Company Registration No: 2004/004982/07<br />

Directors: Clive During, Chris Whales<br />

Physical address: 28 Main Road, Rondebosch 7700<br />

Postal address: PO Box 292, Newlands 7701<br />

Tel: +27 21 657 6200 | Fax: +27 21 674 6943<br />

Email: info@gan.co.za | Website: www.gan.co.za<br />

ISSN 1995-1310<br />

COPYRIGHT | <strong>Eastern</strong> <strong>Cape</strong> <strong>Business</strong> is an independent publication published<br />

by Global Africa Network Media (Pty) Ltd. Full copyright to the<br />

publication vests with Global Africa Network Media (Pty) Ltd. No part<br />

of the publication may be reproduced in any form without the written<br />

permission of Global Africa Network Media (Pty) Ltd. CREDITS | Pictures<br />

supplied by <strong>Eastern</strong> <strong>Cape</strong> Development Corporation, Grant Leversha/St<br />

Francis Links, iStock, National Woolgrowers Association, Nelson Mandela<br />

University.<br />

DISCLAIMER | While the publisher, Global Africa Network Media<br />

(Pty) Ltd, has used all reasonable efforts to ensure that the<br />

information contained in <strong>Eastern</strong> <strong>Cape</strong> <strong>Business</strong> is accurate<br />

and up-to-date, the publishers make no representations as<br />

to the accuracy, quality, timeliness, or completeness of the<br />

information. Global Africa Network will not accept responsibility<br />

for any loss or damage suffered as a result of the use<br />

of or any reliance placed on such information.<br />

3<br />

EASTERN CAPE BUSINESS <strong>2019</strong>


SPECIAL FEATURE<br />

A REGIONAL OVERVIEW OF THE<br />

EASTERN CAPE PROVINCE<br />

Established manufacturers are investing in new capacity as two powerful new sectors<br />

– wind power and maritime – have started delivering on their potential to expand the<br />

<strong>Eastern</strong> <strong>Cape</strong> economy.<br />

By John Young<br />

The Day of the Seafarer has never previously<br />

been honoured in South Africa but on<br />

25 June 2018 the International Maritime<br />

Organisation saw to it that three coastal<br />

cities celebrated the occasion. The highlight in<br />

Nelson Mandela Bay was the opening of the<br />

new national headquarters of the South African<br />

International Maritime Institute.<br />

This follows shortly after the launch of the<br />

Oceans Campus of Nelson Mandela University<br />

and dovetails with the ambitious plans of national<br />

government to use the maritime economy as a<br />

way of creating growth and jobs.<br />

These institutions will support an existing<br />

provincial maritime economy which is underpinned<br />

by three major ports: Port Elizabeth, East London<br />

and Ngqura. Port Elizabeth’s major cargoes are<br />

manganese and vehicles while both East London<br />

and Ngqura support Special Economic Zones<br />

(SEZs). There are plans to move manganese exports<br />

to Ngqura which will free up space for a waterfront<br />

development in the Port Elizabeth harbour.<br />

The Port of East London has recently been<br />

upgraded and it has been breaking records in<br />

EASTERN CAPE BUSINESS <strong>2019</strong><br />

4


SPECIAL FEATURE<br />

numbers of Mercedes-Benz vehicles loaded for<br />

export. The country’s largest grain elevator in a<br />

port will start to run more efficiently as a result of<br />

a contract signed in 2018 with Afgri. The private<br />

contractor will work with Transnet Port Terminals<br />

to improve efficiency at the terminal.<br />

National government has named the Coega<br />

SEZ as the potential site for a 1 000MW Liquefied<br />

Natural Gas (LNG) plant. The value to the regional<br />

economy of the project is estimated at R25-billion.<br />

A gas-fired power plant (Dedisa) started operating<br />

at Coega in 2016, and there are plans to expand<br />

this sector.<br />

The <strong>Eastern</strong> <strong>Cape</strong> Development Corporation<br />

(ECDC) is the lead agency in driving economic<br />

growth in the province. The Investment Promotion<br />

Unit of the ECDC actively markets and facilitates<br />

investments. Eight economic sectors have been<br />

targeted as priorities, including renewable energy,<br />

the oceans economy and tourism.<br />

Work is being done on rail links to the <strong>Eastern</strong><br />

<strong>Cape</strong> to enable more manganese to be exported<br />

through the province. These logistics upgrades<br />

are an indicator that the political will exists to<br />

improve infrastructure.<br />

In his 2018 State of the Province Address,<br />

<strong>Eastern</strong> <strong>Cape</strong> Premier Phumulo Masualle said that<br />

the province had become “one gigantic roads<br />

construction site” with active projects underway<br />

to the value of R7-billion and another R5-billion<br />

to be completed before 2022.<br />

The <strong>Eastern</strong> <strong>Cape</strong> is fast becoming South<br />

Africa’s wind-farm hotspot. Just two areas, greater<br />

Jeffreys Bay and Cookhouse/Bedford, will soon be<br />

contributing 1 185MW to the national grid.<br />

A joint venture in the <strong>Eastern</strong> <strong>Cape</strong> between<br />

Osho Ventures and Heidelberg Cement will create<br />

South Africa’s seventh cement manufacturer.<br />

Established sectors<br />

Historically, wool and ostrich feathers were the region’s<br />

first exports and these items are still in the<br />

export basket. The <strong>Eastern</strong> <strong>Cape</strong> was and is a global<br />

leader in mohair, the luxury fibre taken from Angora<br />

goats. The fertile Langkloof Valley in the west has<br />

enormous deciduous fruit orchards and Alexandria<br />

and Grahamstown produce pineapples, chicory and<br />

dairy products. The <strong>Eastern</strong> <strong>Cape</strong> is the leading livestock<br />

province in terms of numbers of sheep and<br />

cattle and produces a quarter of South Africa’s milk.<br />

The manufacturing facilities of Volkswagen South<br />

Africa (in Uitenhage) and Mercedes-Benz South<br />

Africa (East London) are at the core of the province’s<br />

important automotive sector. It was to support this<br />

sector that industrialisation took place in the province.<br />

Smelters and metal works were built to service car<br />

makers and automotive component manufacturers.<br />

Ford engines are built in Port Elizabeth and a wide<br />

range of makers of automotive glass, catalytic<br />

converters, vehicle tyres and other parts are found in<br />

Uitenhage, Port Elizabeth and at the Special Economic<br />

Zone (SEZ) in East London.<br />

Two Chinese car makers have recently invested<br />

in the Coega IDZ, First Automotive Works (FAW)<br />

and Beijing Automobile Corporation (BAIC). Local<br />

giants Volkswagen SA and Mercedes-Benz SA have<br />

invested heavily in increased capacity for new<br />

lines of production.<br />

The <strong>Eastern</strong> <strong>Cape</strong>’s beaches and natural beauty<br />

have been attractive to tourists for many years,<br />

but recent initiatives to expand the province’s<br />

offerings are paying off. With a focus on events<br />

and “adventure tourism”, visitor numbers are<br />

steadily growing. The province aims to be a “Top<br />

Three” domestic destination by 2020. Spending<br />

by tourists has grown from R2.4-billion in 2013 to<br />

R4.1-billion in 2015 and the average length of stay<br />

(5.3 days) is the best in South Africa.<br />

The <strong>Eastern</strong> <strong>Cape</strong> MEC for Economic<br />

Development, Environmental Affairs and Tourism<br />

Oscar Mabuyane reported in a booklet prepared<br />

for the <strong>2019</strong> <strong>Eastern</strong> <strong>Cape</strong> Investment Conference<br />

that several large investments have been made in<br />

the province. He cited:<br />

• SAB, R438-million plant upgrade<br />

• Mercedes Benz SA, R10-billion<br />

• Aspen Pharmacare, R3.4-billion<br />

• Nestle, R663-million<br />

• Yekani Technologies, R1-billion at Coega SEZ<br />

• MultiChoice, R900-million at ELSEZ<br />

• ​Volkswagen SA, R6.1-billion<br />

• ​BAIC, R11-billion at Coega SEZ.<br />

5<br />

EASTERN CAPE BUSINESS <strong>2019</strong>


SPECIAL FEATURE<br />

Geography<br />

The <strong>Eastern</strong> <strong>Cape</strong> extends over 169 580 square<br />

kilometres, representing 13.9% of South Africa’s land<br />

mass. The dry western interior is one of the country’s<br />

premier sheep-rearing destinations.<br />

The mountainous regions of the north and east<br />

of the province support timber plantations while<br />

the coastal belt in the south-west is well-watered<br />

and is good for dairy farming. The province has<br />

spectacular beaches stretching from the surfer’s<br />

paradise at Jeffreys Bay all the way to the famed<br />

Wild Coast.<br />

Two major airports at Port Elizabeth and<br />

East London provide good air links and smaller<br />

towns such as Mthatha and Bhisho have airports.<br />

Mthatha has recently received upgrades and SA<br />

Airlink offers four daily flights from Souith Africa’s<br />

busiest city, Johannesburg, to Mthatha. Airports<br />

Company South Africa has been appointed to<br />

manage Mthatha Airport.<br />

Muncipalities<br />

The <strong>Eastern</strong> <strong>Cape</strong> has six district municipalities and<br />

two metropolitan municipalities.<br />

Buffalo City Metropolitan Municipality<br />

Towns: East London, King Williams Town<br />

The Port of East London is South Africa’s only river<br />

port. The airport, rail links and the East London<br />

Special Economic Zone contribute to making this<br />

an important regional centre. Buffalo City hosts a<br />

variety of manufacturers from vehicles to batteries<br />

and cotton textiles. There are many opportunities<br />

for agri-processing because of the fertile hinterland<br />

and as part of the Sunshine Coast, tourism is an<br />

important contributor to the local economy.<br />

Nelson Mandela Bay Metropolitan Municipality<br />

Towns: Port Elizabeth, Uitenhage, Despatch<br />

With two ports, a large airport and a concentration<br />

of manufacturing concerns, the Nelson Mandela Bay<br />

metropole is one of the province’s key economic<br />

drivers. Volkswagen, General Motors and Ford<br />

are all located within the municipality, as are<br />

several automotive supplier companies. Aspen,<br />

a pharmaceutical company, and South African<br />

Breweries are examples of other large concerns.<br />

Nelson Mandela Bay has population of 1.1-million<br />

and many educational institutions. Superb beaches<br />

and plentiful outdoor options make the area a<br />

popular tourist stop. The Addo Elephant National<br />

Park is less than an hour’s drive from the Port<br />

Elizabeth city centre.<br />

Alfred Nzo District Municipality<br />

Towns: Matatiele, Mount Frere, Mount Ayliff<br />

The smallest district is in the mountainous northeast,<br />

with hiking trails for tourists. There is scope for<br />

expansion of tourist activities, and a transfrontier<br />

park between South Africa and Lesotho could<br />

boost the area’s economy. Subsistence agriculture<br />

and forestry are the major economic activities.<br />

Amathole District Municipality<br />

Towns: Cathcart, Stutterheim, Morgans Bay,<br />

Willowvale, Butterworth, Alice, Bedford<br />

The rural Amathole District surrounds the<br />

metropolitan area of Buffalo City. Pineapple and<br />

forestry are two of the most important agricultural<br />

activities. Popular resorts on the Wild Coast attract<br />

many tourists to the area. Hogsback and other towns<br />

near the Amatole Mountains offer beautiful scenery<br />

and popular beaches. Alice hosts the main campus<br />

of the University of Fort Hare.<br />

Chris Hani District Municipality<br />

Towns: Middelburg, Molteno, Dordrecht,<br />

Cradock, Queenstown, Lady Frere, Elliot<br />

Sheep farming is an important part of the economy.<br />

Some coal is found in the north and tourist activities<br />

include fly-fishing. The Foodcorp factory in Molteno<br />

manufactures Ouma rusks. Queenstown is a centre<br />

for cattle farming and has some manufacturing<br />

activities. The Mountain Zebra National Park is near<br />

Cradock. The Grootfontein Agricultural College and<br />

Research Station is in Middelburg, and the Marlow<br />

Agricultural College is near Cradock.<br />

Joe Gqabi District Municipality<br />

Towns: Aliwal North, Burgersdorp, Lady Grey,<br />

Rhodes, Barkly East, Ugie<br />

EASTERN CAPE BUSINESS <strong>2019</strong><br />

6


SPECIAL FEATURE<br />

Cattle and sheep farming make up 80% of land use,<br />

while commercial forestry is a big contributor to<br />

employment. There are large forestry plantations<br />

at Ugie and Mount Fletcher. Maize is grown along<br />

the Orange River and wheat in the foothills of the<br />

Drakensberg mountains. Tiffindell has been revived<br />

as a ski resort.<br />

OR Tambo District Municipality<br />

Towns: Mthatha, Coffee Bay, Port St Johns,<br />

Qumbu, Bizana, Flagstaff<br />

OR Tambo District Municipality encompasses<br />

some of the province’s least-developed areas and<br />

contains one of South Africa’s most important<br />

ecological areas, the Pondoland Centre of Plant<br />

Endemism. Mining is already pursued in some areas<br />

but plans for titanium mining on seaside dunes are<br />

being contested. A Wild Coast Spatial Development<br />

Initiative exists to plot further development.<br />

Forestry is a big employer.<br />

Sarah Baartman District Municipality<br />

Towns: Graaff-Reinet, Humansdorp, Jeffreys<br />

Bay, Makana (Grahamstown)<br />

The western part of the province contains the<br />

biggest municipality and is one of the biggest<br />

contributors to provincial GDP. Large commercial<br />

farms in the Karoo produce high-quality meat,<br />

wool and mohair, while the coastal belt has dairy<br />

farming and some forestry. The Kouga Valley<br />

is a big deciduous fruit producer, while the<br />

Kirkwood/Addo area is known for its citrus. Sarah<br />

Baartman has three of the region’s national parks<br />

and several private game farms. Makana hosts<br />

the National Arts Festival, Rhodes University and<br />

several fine schools.<br />

EASTERN CAPE PROVINCE<br />

Britstown<br />

N12<br />

Northern <strong>Cape</strong><br />

Victoria West<br />

Three Sisters<br />

Western <strong>Cape</strong><br />

Beaufort West<br />

De Aar<br />

Hanover<br />

N1<br />

Graaff-Reinet<br />

Colesburg<br />

N10<br />

Middelburg<br />

Oviston<br />

Steynsburg<br />

R56<br />

Cradock<br />

Burgersdorp<br />

Hofmeyr<br />

Free State<br />

Rouxville<br />

Bethulie<br />

Molteno<br />

Aliwal North<br />

R58<br />

R61<br />

Tarkastad<br />

Jamestown<br />

N6<br />

Indwe<br />

Cathcart<br />

R61<br />

R63 Somerset<br />

Aberdeen<br />

Stutterheim<br />

Butterworth<br />

Pearston East Adelaide Fort<br />

Komga<br />

N9<br />

Beaufort<br />

Cookhouse<br />

Bhisho N2<br />

Klipplaat<br />

Rietbron<br />

N10<br />

King William's<br />

Town EAST LONDON<br />

Willowmore<br />

Kirkwood<br />

Grahamstown<br />

Steytlerville<br />

Paterson<br />

N2<br />

Hamburg<br />

Uniondale<br />

R72<br />

Joubertina<br />

N9<br />

Uitenhage<br />

Port Alfred<br />

Motorway<br />

Knysna N2<br />

Humansdorp<br />

Main Road<br />

Kareedouw<br />

PORT ELIZABETH<br />

Railway<br />

Plettenberg Bay<br />

Jeffreys Bay<br />

Sada<br />

Dordrecht<br />

Zastron<br />

Lady Grey<br />

Queenstown<br />

LESOTHO<br />

Barkly<br />

East<br />

Elliot<br />

Tsomo<br />

Matatiele<br />

Ixopo<br />

Mount<br />

Fletcher<br />

R56<br />

Mount Kokstad<br />

Ayliff<br />

Port Edward<br />

Maclear Mount Frere R61<br />

N2<br />

Mthatha<br />

KwaZulu-<br />

Natal<br />

Coffee Bay<br />

Lusikisiki<br />

Port St Johns<br />

N<br />

INDIAN OCEAN<br />

7<br />

EASTERN CAPE BUSINESS <strong>2019</strong>


INTERVIEW<br />

Attracting new<br />

investment<br />

The ELIDZ has attracted a number of new investors.<br />

Simphiwe Nicholas Kondlo<br />

BIOGRAPHY<br />

Simphiwe Nicholas Kondlo, the<br />

Chief Executive Officer of the<br />

ELIDZ, holds a Master’s Degree<br />

in Engineering Management<br />

and has more than 24 years’<br />

experience spanning various<br />

fields including civil and<br />

agricultural engineering. With<br />

him at the forefront, the ELIDZ<br />

is a front-runner in the field and<br />

continues to flourish as a multisector<br />

Industrial Development<br />

Zone.<br />

Please name some of the significant recent investments.<br />

The East London IDZ recently announced two new investors worth over<br />

R500-million, Meek Mines South Africa and Nulatex South Africa. These<br />

two investments offer a response to the government’s clarion call to promote<br />

regional integration, promote beneficiation and create meaningful<br />

jobs. Meek Mines SA is a diamond cutting and polishing plant. Nulatex<br />

SA will produce male and female condoms for domestic and African<br />

markets. Also in 2018, we announced Yekani Manufacturing as the first<br />

black industrialist factory to locate within the ELIDZ’s Zone 1B precinct.<br />

The company is the beneficiary of the dti’s Special Economic Zone (SEZ)<br />

Fund and Black Industrialist Scheme (BIS), the government’s financial<br />

support programmes aimed at accelerating growth of manufacturing.<br />

How important is the location of Mercedes-Benz SA in<br />

building ELIDZ as an automotive hub?<br />

Mercedes-Benz SA is a key strategic partner not only for the growth of the<br />

IDZ but for regional economy. Through our relations with the auto giant,<br />

we have been able to attract more automotive-oriented investments.<br />

As such, the East London IDZ has various incentives, which can be<br />

accessed by qualifying industries. These include a Specialised Customs<br />

Controlled Area benefit (some VAT exemptions), no import duties on<br />

raw materials for manufacture, goods for storage and capital goods<br />

used in the CCA. There are also specialised local incentives and access<br />

to national manufacturing and other generic government incentives.<br />

Tell us about the ELIDZ internship programme.<br />

The ELIDZ internship programme is two-pronged: the first year serves<br />

as an introductory phase where the interns receive on-the-job training.<br />

The second phase, Junior Professional, is centred on allocation of more<br />

responsibilities and quarterly assessments to monitor performance.<br />

What conference facilities do you have?<br />

The state-of-the art facility has four conference rooms which are interconnected<br />

and can open into one room accommodating up to 250 delegates.<br />

The four meeting rooms are room One, which can accommodate<br />

up to 30 people seated cinema-style, room Two (90 people), room Three<br />

(60 people banqueting-style) and room Four, which accommodates 16<br />

delegates. The number of delegates that each room can take is subject<br />

to the seating arrangement.<br />

EASTERN CAPE BUSINESS <strong>2019</strong><br />

8


PROFILE<br />

Maritz Electrical<br />

Delivering projects on time and in budget, beyond client<br />

expectations, every time.<br />

From commercial electrical applications to international standard<br />

large area and sports stadium lighting, Maritz Electrical delivers<br />

end-to-end electrical solutions tailored to each client’s specific<br />

needs. Service excellence and exceptional quality are key differentiators<br />

and qualities that clients have come to expect from Maritz Electrical.<br />

Established by Kurt Maritz in January 2000, the company is BBBEE<br />

compliant (Level 1 contributor) and ISO 9001 certified, employing full-time,<br />

licensed installation and master electricians. All artisans have completed<br />

Operating Regulations for High Voltage Systems (ORHVS) training.<br />

Maritz Electrical places great emphasis on client relationships, both<br />

private or commercial, and prides itself on the ability to respond to any<br />

contracting requirements in an efficient and cost-effective way.<br />

A world-first at the tip of Africa from Maritz Electrical<br />

In 2017, St George’s Park Cricket stadium became the world’s first International<br />

Cricket Council-compliant, LED-lit stadium and the first to be fitted with<br />

theatrics. Maritz Electrical won the contract to supply and install a Musco<br />

Lighting system at the venue after visiting the USA with officials from <strong>Eastern</strong><br />

Province Cricket and the national cricket board. Over four days in December<br />

2017, the famous ground (pictured top) celebrated the landmark of being the<br />

first South African cricket venue to host a day-night Test match, South Africa’s<br />

Proteas versus Zimbabwe. The R27-million contract was completed on time<br />

and in budget by a team from Maritz Electrical, led by Warren Williams.<br />

Other projects<br />

Maritz Electrical has been contracted by Stellenbosch and Overstrand<br />

Municipalities in the Western <strong>Cape</strong> to provide the electrification for large<br />

housing projects, and Buffalo City Metropolitan Municipality in the <strong>Eastern</strong><br />

<strong>Cape</strong> to install much-needed lights at an informal settlement. Other<br />

flagship projects include the revamp of Coetzenburg Athletics Stadium<br />

CONTACT INFO<br />

Address: 11 Noll Avenue, Athlone, <strong>Cape</strong> Town, 7764<br />

Tel: +27 21 703 0867<br />

Fax: +27 64 552 436<br />

Email: tenders@maritzelectrical.co.za<br />

Website: www.maritzelectrical.co.za<br />

EASTERN CAPE BUSINESS <strong>2019</strong><br />

10<br />

A world-first and a South Africanfirst<br />

at two of South Africa’s<br />

favourite sporting stadiums.<br />

(Stellenbosch University, pictured) track<br />

lighting, with an LED lighting system<br />

from Musco, another first in South<br />

Africa, the re-lighting of <strong>Cape</strong> Town’s<br />

Grand Parade and security lighting for<br />

various Waste Water Treatment Works<br />

across the City of <strong>Cape</strong> Town.<br />

Services<br />

Maritz Electrical is a premier supplier<br />

and installer of sports stadium lighting<br />

solutions and provides commercial<br />

electrical services, which include<br />

project management, design, supply<br />

and installation of electrical systems<br />

such as:<br />

• Electrical and reticulation<br />

services<br />

• Testing and commissioning<br />

• Water analysis, monitoring,<br />

management and purification<br />

systems<br />

• Lighting and power<br />

• External lighting<br />

• Mechanical services integration<br />

• Emergency switchgear<br />

• HV and LV switchgear<br />

• Pre-planned maintenance.


Lighting the <strong>Eastern</strong> <strong>Cape</strong><br />

FOCUS<br />

Informal settlements in Buffalo City up in lights and<br />

improved efficiencies at East London Airport, thanks to<br />

Maritz Electrical.<br />

Project Manager<br />

Diketso Kumalo<br />

Following the successful installation<br />

of the world’s first International<br />

Cricket Council-compliant, LED-lit<br />

stadium at St George’s Park Cricket<br />

Ground in Port Elizabeth and the first<br />

athletics stadium in South Africa to have<br />

an LED lighting solution, Coetzenburg<br />

Stadium at the University of Stellenbosch,<br />

Maritz Electrical has expanded its range of<br />

projects in the <strong>Eastern</strong> <strong>Cape</strong>.<br />

Work at the East London Airport, and at<br />

the Buffalo City Metropolitan Municipality,<br />

show Maritz Electrical’s versatility, especially in large-area LED lighting.<br />

Project Manager Diketso Kumalo reports that the six-month contract<br />

to install LED energy-saving lights at East London Airport was completed<br />

on time and in budget. Says Kumalo, “One of our goals for all projects<br />

is to provide total client satisfaction, on top of saving on energy costs.”<br />

LED lighting significantly reduces power consumption. Maritz<br />

Electrical’s pre- and post-installation testing confirmed that East London<br />

Airport will save on electricity costs.<br />

The Maritz contract with the Buffalo City Metropolitan Municipality<br />

includes the provision of mast lighting to informal settlements across<br />

the municipality. “We are providing them with 20m-high masts with<br />

LED luminaires,” says Kumalo. “LED consumes far less power compared<br />

to high-pressure sodium or metal halide, although with LED, lux levels<br />

are better.” So, costs are reduced, and the power of illumination will be<br />

better for residents.<br />

Kumalo says that a Maritz Electrical <strong>Eastern</strong> <strong>Cape</strong> office could be<br />

a possibility. “Our presence is growing,” he notes. “Depending on<br />

the projects we receive from<br />

the province, an <strong>Eastern</strong> <strong>Cape</strong><br />

office would be an advantage.”<br />

Kumalo points out that Maritz<br />

Electrical’s expertise extends<br />

beyond lighting. “We do a variety<br />

of electrical works and we offer<br />

project management, consulting,<br />

compliance services, hazardous<br />

area classification and MV and LV<br />

maintenance.”<br />

11<br />

EASTERN CAPE BUSINESS <strong>2019</strong>


PROFILE<br />

The Nelson Mandela Bay<br />

<strong>Business</strong> Chamber<br />

A catalyst for economic growth in the region.<br />

The Nelson Mandela Bay <strong>Business</strong> Chamber is a not-for-profit<br />

organisation representative of a broad spectrum of businesses<br />

in Nelson Mandela Bay. It is one of the largest business<br />

associations in the <strong>Eastern</strong> <strong>Cape</strong>, with a membership of more<br />

than 700 businesses employing over 100 000 people in a diverse array<br />

of sectors.<br />

The Nelson Mandela Bay <strong>Business</strong> Chamber is a leading catalyst<br />

for economic development, through its strategic Triple Helix model<br />

of collaboration between industry, academia and government, which<br />

serves as the foundation of creating a competitive Nelson Mandela Bay.<br />

The <strong>Business</strong> Chamber has been the heartbeat of business success<br />

in the region for over 150 years. The <strong>Business</strong> Chamber is driven by a<br />

team of dedicated staff and volunteers, lobbying on issues affecting the<br />

ease of doing business and companies’ sustainability. The organisation<br />

also builds international relations to form a vital link between business<br />

owners and international markets.<br />

Vision<br />

To be a leading catalyst for economic development in Nelson Mandela Bay.<br />

Mission<br />

By influencing the factors and key stakeholders that create a competitive<br />

enabling business environment.<br />

Task Teams<br />

The Nelson Mandela Bay <strong>Business</strong> Chamber has established a structure<br />

of seven task teams to facilitate the ease of doing business.<br />

The task teams are:<br />

• Water Task Team<br />

• Roads and Storm Water Task Team<br />

• SME Task Team<br />

• Electricity and Energy Task Team<br />

• Transport and Logistics Task Team<br />

• Metro Collaboration Task Team<br />

• Trade and Investment Task Team<br />

An eighth task team, called Industry<br />

4.0, begins its work in <strong>2019</strong> to prepare<br />

local businesses for the digital shift.<br />

Enterprise Development<br />

and Exporter<br />

Development<br />

The Nelson Mandela Bay <strong>Business</strong><br />

Chamber Enterprise Development<br />

Programme was launched in 2014, to<br />

develop the skills that enhance and<br />

grow small businesses. In 2018 the<br />

<strong>Business</strong> Chamber successfully hosted<br />

the fifth phase of the Enterprise<br />

Development Programme, with<br />

SMEs set to graduate in March <strong>2019</strong>.<br />

Over 120 entrepreneurs have benefited<br />

from this programme.<br />

Meanwhile, the pilot phase of<br />

the <strong>Business</strong> Chamber’s Exporter<br />

Development Programme concluded<br />

at the end of 2018, with 10 companies<br />

finishing this programme in its<br />

first year. The programme is aimed at<br />

empowering SMEs to position themselves<br />

as emerging exporters.<br />

Events<br />

Events at the Nelson Mandela Bay<br />

<strong>Business</strong> Chamber keep business<br />

owners up to date and informed<br />

on a wide variety of topics affecting<br />

business in Nelson Mandela Bay.<br />

Regular networking functions offer<br />

EASTERN CAPE BUSINESS <strong>2019</strong><br />

12


usiness owners the chance to make new professional contacts. The<br />

<strong>Business</strong> Chamber’s flagship events – the Annual <strong>Business</strong> Chamber Golf<br />

Day, the Annual Ladies’ Breakfast and the Annual Banquet – are highlights<br />

on the Bay’s business and social calendar. The Events Department hosted<br />

a total of 61 events in 2018.<br />

PROFILE<br />

Other Services<br />

Publications and marketing<br />

As another value-added service to members, the Nelson Mandela Bay<br />

<strong>Business</strong> Chamber provides members with a variety of publications<br />

across print and electronic platforms, including the member magazine<br />

Infocom (distributed three times a year, as of <strong>2019</strong>) and the annual <strong>Business</strong><br />

Guide. Both of these publications are ABC-certified, glossy publications.<br />

The <strong>Business</strong> Chamber regularly updates its website, and engages<br />

with members on popular social media platforms including Facebook,<br />

Twitter, LinkedIn and Instagram.<br />

Help desk<br />

In line with its vision of providing an enabling environment for business,<br />

the <strong>Business</strong> Chamber set up an Ease of Doing <strong>Business</strong> help desk in<br />

2018. The help desk assists members through reducing red tape and<br />

engaging with the Nelson Mandela Bay Metro regarding these members’<br />

obstacles in conducting business. The <strong>Business</strong> Chamber also engaged<br />

with the city’s leadership in 2018 towards the goal of establishing a One<br />

Stop Shop for existing and potential investors and will continue these<br />

engagements in <strong>2019</strong>.<br />

Research unit<br />

The <strong>Business</strong> Chamber established an in-house cluster research unit in<br />

2018. Its aim is ultimately to identify several catalytic projects that can<br />

be marketed to investors and can contribute to the development of key<br />

sectors. The new unit will provide a library of business intelligence and<br />

insights for the development of essential clusters.<br />

Certificates of Origin<br />

A Certificate of Origin is a document which states the origin of goods<br />

being exported and this “origin” is a key requirement for applying tariffs<br />

and other important criteria. As an accredited provider of this service,<br />

CONTACT INFO<br />

Address: 200 Norvic Drive, Greenacres 6045<br />

Tel: +27 41 373 1122<br />

Fax: +27 41 373 1142<br />

Email: info@nmbbusinesschamber.co.za<br />

Website: www.nmbbusinesschamber.co.za<br />

Nomkhita Mona, Chief<br />

Executive Officer.<br />

the Nelson Mandela Bay <strong>Business</strong><br />

Chamber signs Certificates of Origin<br />

for member and non-member<br />

companies requiring these services<br />

in Nelson Mandela Bay. The <strong>Business</strong><br />

Chamber also offers exporters the<br />

opportunity to certify electronically<br />

through the ECOO system.<br />

Corporate Social Investment<br />

Because the majority of our membership’s<br />

workforce is based in the city, the<br />

region of Nelson Mandela Bay is the<br />

direct beneficiary of their Corporate<br />

Social Investment programmes – including<br />

skills development initiatives,<br />

bursaries and scholarships. Many of<br />

our member companies significantly<br />

contribute to alleviating poverty and<br />

specifically unemployment in the region<br />

of Nelson Mandela Bay through<br />

various initiatives purposed to grow<br />

the local economy.<br />

Every year the <strong>Business</strong> Chamber<br />

adopts NGO organisations and<br />

collects goods and services from<br />

our member companies in order<br />

to create awareness around the<br />

NGOs. In 2018 the <strong>Business</strong> Chamber<br />

adopted Elsen Academy and the<br />

Kleinskool Initiative and collected<br />

several items from our companies,<br />

including office equipment,<br />

computers, stationery and school<br />

clothes.<br />

13 EASTERN CAPE BUSINESS <strong>2019</strong>


ADVERTORIAL<br />

A financial partner that<br />

understands your aspirations<br />

Lonwabo Daniels, Nedbank Provincial General Manager<br />

for <strong>Eastern</strong> <strong>Cape</strong>, explains how Nedbank can help<br />

business owners in the <strong>Eastern</strong> <strong>Cape</strong>.<br />

solutions and a banking experience that is<br />

hassle-free. This allows you to concentrate on<br />

what’s most important to you – running your<br />

business,’ says Daniels.<br />

Nedbank leverages its strong market positioning<br />

with businesses and the public sector,<br />

encouraging them to bank their employees<br />

through its innovative Workplace Banking<br />

offering for employees.<br />

There is good news for <strong>Eastern</strong> <strong>Cape</strong><br />

business owners and entrepreneurs<br />

seeking a unique banking experience:<br />

Nedbank <strong>Business</strong> Banking has 27<br />

business managers located across the<br />

province specialising in commercial<br />

industries as well as the agricultural<br />

sector.<br />

Nedbank also continues to build on its clientcentred<br />

strategy aimed at delivering distinctive<br />

experiences and channels of choice for<br />

businesses and clients in the <strong>Eastern</strong> <strong>Cape</strong>. This<br />

has seen the bank simplify and enhance its<br />

product offering in line with its value-added<br />

banking philosophy based on simplicity,<br />

transparency and affordability. Innovation and<br />

technological advancements, as well as training<br />

and development of staff, have been key in<br />

achieving the bank’s objectives.<br />

They are ready to assist you with professional<br />

advice, industry-specific solutions and a<br />

comprehensive range of financial products<br />

and services. ‘At Nedbank <strong>Business</strong> Banking we<br />

believe that you need a financial partner who<br />

not only understands your circumstances and<br />

aspirations, but also provides you with relevant<br />

Should you be interested in taking your<br />

business to the next level and improving staff<br />

engagement, and for more information about<br />

Nedbank’s specialised service offering, please call<br />

the <strong>Business</strong> Banking team on +27 (0)41 393 5969<br />

or visit www.nedbank.co.za.


ADVERTORIAL<br />

Innovation key pillar in meeting client needs<br />

Emile Bester, Nedbank Provincial Sales Manager, Client Network,<br />

explains how Nedbank works with communities to deliver banking<br />

solutions.<br />

winning Nedbank App Suite, the home loans<br />

online digital channel and Market Edge,<br />

as well as the ‘Branch of the Future’ concept<br />

in communities both locally and nationally.<br />

‘Working with communities is entrenched in our<br />

values. At the core of Nedbank’s offering in the<br />

<strong>Eastern</strong> <strong>Cape</strong> is a relationship-based model with<br />

a business manager dedicated to your business<br />

as the key point of entry to the bank. And we<br />

encourage you to see money differently with<br />

Whole-view <strong>Business</strong> Banking’ says Bester.<br />

Nedbank continues to build on its clientcentred<br />

strategy aimed at delivering<br />

distinctive experiences and channels<br />

of choice for businesses and clients<br />

in the <strong>Eastern</strong> <strong>Cape</strong>. This has seen the<br />

bank simplify and enhance its product<br />

offering in line with its value-added<br />

banking philosophy based on simplicity,<br />

transparency and affordability.<br />

Innovation and technological<br />

advancements, as well as training and<br />

development of staff, have been key in<br />

achieving the bank’s objectives.<br />

Since 2012 Nedbank has launched several<br />

first-to-market innovations, such as the award-<br />

What does this mean for the client? Whole-view<br />

<strong>Business</strong> Banking is an additional benefit of<br />

Nedbank <strong>Business</strong> Banking and means that your<br />

business and your personal financial needs are<br />

managed in one place. ‘Because business owners<br />

and their businesses are very often financially<br />

dependent on each other, our client service<br />

teams now also offer individual banking solutions<br />

to you and your staff because we already know<br />

and understand your needs,’ says Bester.<br />

Should you be interested in taking your<br />

business to the next level and improving staff<br />

engagement, and for more information about<br />

Nedbank’s specialised service offering, please call<br />

the <strong>Business</strong> Banking team on +27 (0)41 393 5969<br />

or visit www.nedbank.co.za.


ADVERTORIAL<br />

Solutions for small business aimed at<br />

creating jobs and growing the economy<br />

Nedbank’s Regional Manager of Small <strong>Business</strong> Services, Andisa<br />

Sikwebu, explains how Nedbank is committed to partnering with<br />

businesses for growth.<br />

enterprises. For example, the Small <strong>Business</strong><br />

Friday initiative, in association with the National<br />

Small <strong>Business</strong> Chamber, seeks to encourage<br />

everyone in South Africa to rally behind and<br />

support small businesses. The initiative calls on<br />

everyone to make a conscious decision to vote<br />

for small businesses through their hearts, feet<br />

and wallets; not only on Small <strong>Business</strong> Friday,<br />

but every day.<br />

‘Small businesses are the mainstay of the<br />

economy. Nedbank has, over the years,<br />

instituted various interventions aimed<br />

at giving support to the small-business<br />

sector. Over and above our smallbusiness<br />

services solutions, we provide<br />

small-business owners with support<br />

that goes beyond banking – freeing up<br />

their time to truly focus on running their<br />

businesses,’ says Sikwebu.<br />

Nedbank has built a solid reputation as a bank<br />

for small businesses through initiatives such as<br />

Small <strong>Business</strong> Friday, free small-business<br />

seminars and the SimplyBiz.co.za platform –<br />

all geared to support small- and medium-sized<br />

SimplyBiz.co.za is a free-to-join networking<br />

portal designed especially for small businesses.<br />

It helps small businesses improve their business<br />

administration skills, keep up with the latest<br />

trends, network with other small businesses and<br />

share ideas.<br />

Nedbank experts are available to provide all the<br />

support you need when starting off. Nedbank<br />

offers simple, affordable banking solutions<br />

and value-added services (including an<br />

easy online business registration and account<br />

opening process) to get you and your business<br />

going.<br />

Should you wish to tap into our smallbusiness<br />

expertise to reach your business<br />

goals, get in touch with Nedbank’s Small<br />

<strong>Business</strong> Services. Call Andisa Sikwebu<br />

on +27 (0)41 398 8188 or send an email to<br />

andisas@nedbank.co.za.


ADVERTORIAL<br />

See money differently with Whole-view <strong>Business</strong><br />

Banking from Nedbank<br />

Money expert Sylvester Funani, Regional Manager of Retail and <strong>Business</strong><br />

Banking in Mthatha, explains how new brand values build on the bank’s<br />

expertise to benefit its clients.<br />

Banking experts aim to provide clients with<br />

unique business and financial solutions. ‘It<br />

forms part of our purpose at Nedbank to use our<br />

financial expertise to do good for individuals,<br />

families, businesses and society,’ says Funani. ‘At<br />

Nedbank Retail and <strong>Business</strong> Banking we believe<br />

you need a financial partner who has a deeper<br />

understanding of your business – someone who<br />

offers innovative, relevant solutions and who<br />

gives you a banking experience that is hasslefree.<br />

Operating from offices at Nedbank<br />

Mthatha Plaza Branch, Nedbank Retail<br />

and <strong>Business</strong> Banking now has several<br />

business managers available under one<br />

roof in Mthatha.<br />

Well-known music personality Funani has been<br />

with Nedbank for 12 years and has worked in a<br />

number of roles. He prides himself on building<br />

relationships and understanding the needs of<br />

clients, saying that partnership- and relationshipbased<br />

banking is a key driver of how Nedbank<br />

conducts its business to ensure clients benefit<br />

from its money expertise.<br />

He and his team of Retail and <strong>Business</strong><br />

‘We look forward to continuing our relationships<br />

with our valued existing clients, and to offering<br />

our value proposition to new clients as well.<br />

At the core of our offering in Mthatha is a<br />

relationship-based model with a business<br />

manager dedicated to your business as your key<br />

point of entry to the bank. And we encourage<br />

you to see money differently with Whole-view<br />

<strong>Business</strong> Banking from Nedbank, as well as to<br />

take advantage of our one-stop banking service<br />

at Mthatha Plaza Branch,’ says Funani.<br />

To take your business to the next level or<br />

to get more information about Nedbank’s<br />

specialised service offering call Sylvester<br />

Funani on +27 (0)83 569 2326, send an email<br />

to sylvesterf@nedbank.co.za or visit<br />

www.nedbank.co.za.


ADVERTORIAL<br />

Relationship-based banking aimed at supporting<br />

clients in East London and surrounds<br />

Money expert Sandy Pelser, Regional Manager of Retail and <strong>Business</strong><br />

Banking East London and Surrounds, explains how new brand values<br />

build on the bank’s expertise to benefit its clients.<br />

business to ensure clients benefit from its money<br />

expertise.<br />

Nedbank recognises that you have a full range<br />

of banking needs that go beyond transaction<br />

and borrowing. That is why their dedicated<br />

team of specialists partners with you to give<br />

you a bird’s-eye view of your business and a<br />

different perspective on how your money needs<br />

to flow to meet your goals.<br />

Operating from its offices at Cedar<br />

Square, Nedbank Retail and <strong>Business</strong><br />

Banking, East London and Surrounds<br />

now has several business managers<br />

available under one roof. Sandy Pelser<br />

says her team is ready to assist clients<br />

with professional advice, industryspecific<br />

solutions and a comprehensive<br />

range of financial products and services.<br />

‘We look forward to continuing our relationships<br />

with our valued existing clients, and to offering<br />

our value proposition to new clients as well.<br />

At the core of our offering in East London,<br />

Queenstown, King William’s Town, Mdantsane<br />

and Port Alfred is a relationship-based model<br />

with a business manager dedicated to your<br />

business as your key point of entry to the bank.<br />

And we encourage you to see money differently<br />

with Whole-view <strong>Business</strong> Banking from<br />

Nedbank, as well as to take advantage of our<br />

one-stop banking service in East London, says<br />

Pelser.<br />

Pelser has been with Nedbank for 31 years<br />

and has worked in a number of roles. She<br />

prides herself in building relationships and<br />

understanding the needs of clients, saying that<br />

partnership- and relationship-based banking<br />

is a key driver of how Nedbank conducts its<br />

To take your business to the next level or<br />

to get more information about Nedbank’s<br />

specialised service offering, call Sandy Pelser<br />

on +27 (0)83 628 9897, send an email to<br />

sandyp@nedbank.co.za or visit<br />

www.nedbank.co.za.


ADVERTORIAL<br />

Using financial expertise to do good with<br />

professional advice and solutions<br />

Money expert Jordaan Roelofse, Regional Manager of Retail and<br />

<strong>Business</strong> Banking, Port Elizabeth and Surrounds, explains how new<br />

brand values build on the bank’s expertise to benefit its clients.<br />

is a key driver of how Nedbank conducts its<br />

business to ensure clients benefit from its money<br />

expertise.<br />

He and his team of Retail and <strong>Business</strong><br />

Banking experts aim to provide clients with<br />

unique business and financial solutions. ‘It<br />

forms part of our purpose at Nedbank to use our<br />

financial expertise to do good for individuals,<br />

families, businesses and society,’ says Roelofse.<br />

Operating from its offices at 270 <strong>Cape</strong><br />

Road, Nedbank Retail and <strong>Business</strong><br />

Banking, Port Elizabeth and Surrounds,<br />

now has several business managers<br />

available under one roof. Jordaan<br />

Roelofse says his team is ready to<br />

assist clients with professional advice,<br />

industry-specific solutions and a<br />

comprehensive range of financial<br />

products and services.<br />

Roelofse has been with Nedbank for 21 years<br />

and has worked in a number of roles. He<br />

prides himself on building relationships and<br />

understanding the needs of clients, saying that<br />

partnership- and relationship-based banking<br />

We look forward to continuing our relationships<br />

with our valued existing clients, and to offering<br />

our value proposition to new clients as well.<br />

At the core of our offering in the <strong>Eastern</strong> <strong>Cape</strong><br />

is a relationship-based model with a business<br />

manager dedicated to your business as your key<br />

point of entry to the bank. And we encourage<br />

you to see money differently with Whole-view<br />

<strong>Business</strong> Banking from Nedbank, as well as to<br />

take advantage of our one-stop banking service<br />

at 270 <strong>Cape</strong> Road,’ says Roelofse.<br />

To take your business to the next level or to<br />

obtain more information about Nedbank’s<br />

specialised service offering, call Jordaan<br />

Roelofse on +27 (0)83 627 2210, send an email to<br />

jordaanr@nedbank.co.za or visit<br />

www.nedbank.co.za.<br />

Nedbank Ltd Reg Nedbank No 1951/000009/06. Ltd Reg No 1951/000009/06<br />

Authorised financial<br />

Authorised financial services services and registered and registered credit provider credit (NCRCP16).<br />

provider (NCRCP16).


OVERVIEW<br />

Agriculture<br />

Wool farmers are aiming for a big increase in production.<br />

SECTOR INSIGHT<br />

Black farmers will export via<br />

Berlin Beef.<br />

Wool farmers and traders can look forward to a more stable<br />

pricing environment with the creation of a wool futures<br />

contract on the JSE. With weekly auctions being held<br />

in the <strong>Eastern</strong> <strong>Cape</strong>, prices can be accurately pegged<br />

which enables traders to buy the price, rather than the commodity<br />

itself. This gives producers greater security.<br />

The settlement price is determined by the Merino Indicator<br />

which is run by <strong>Cape</strong> Wool SA, which used to be known as the South<br />

African Wool Board and is based in Port Elizabeth.<br />

The National Woolgrowers Association of SA (NWGA), the country’s<br />

main producer organisation, is also based in Port Elizabeth. In 2016/17,<br />

wool farmers produced about 52-million kilograms of wool, but the<br />

industry intends to increase this by another 25-million kilograms.<br />

The South African Mohair Growers Association is based in the<br />

heart of Angora goat country at Jansenville while the industry<br />

association, Mohair South Africa, is in Port Elizabeth. South Africa<br />

produces about half of the world’s mohair.<br />

Yields produced by black maize farmers in the Matatiele district<br />

have improved dramatically between 2013 and 2017. According to<br />

Wandile Shihlobo of the Agricultural <strong>Business</strong> Chamber, the area<br />

farmed increased in that time from 1 200ha to 4 000ha but the crop<br />

return improved from 6 000 tons to 28 000 tons.<br />

Rural Enterprise Development (RED) hubs are a key plank in the<br />

strategy of the DRDAR to promote food security and employment<br />

creation. There are about 70 000 people employed on commercial<br />

ONLINE RESOURCES<br />

<strong>Cape</strong> Wools SA: www.capewools.co.za<br />

Milk Producers Organisation: www.mpo.co.za<br />

Mohair South Africa: www.mohair.co.za<br />

farms across the <strong>Eastern</strong> <strong>Cape</strong>,<br />

with a further 436 000 people<br />

dependent on smaller farms,<br />

mostly in the east.The <strong>Eastern</strong><br />

<strong>Cape</strong> is South Africa’s secondlargest<br />

producer of citrus fruit.<br />

Oranges make up the vast majority<br />

of citrus products. Deciduous<br />

fruits such as apples, pears and<br />

apricots are grown primarily in the<br />

Langkloof Valley. Another crop<br />

in which the <strong>Eastern</strong> <strong>Cape</strong> leads<br />

national production is chicory.<br />

The province’s pineapple crop<br />

is grown in the same part of the<br />

Sunshine Coast that produces<br />

chicory. The macadamia nut sector<br />

is growing. The <strong>Eastern</strong> <strong>Cape</strong> Rural<br />

Development Agency (ECRDA)<br />

has partnered with a community<br />

to plant the popular nut at Ncera<br />

in the Tyume Valley north of Alice.<br />

The <strong>Eastern</strong> <strong>Cape</strong> holds 21%<br />

of the country’s cattle (about<br />

3.2-million), 28% of its sheep<br />

(seven-million) and 46% of its goats,<br />

making it the largest livestock<br />

province by a large margin.<br />

The rich natural grasslands<br />

of the <strong>Eastern</strong> <strong>Cape</strong> have the<br />

potential to produce high-value<br />

organic meat, a product that is<br />

proving increasingly popular in<br />

health-conscious international<br />

markets.<br />

EASTERN CAPE BUSINESS <strong>2019</strong><br />

20


Africa Biomass Company<br />

Your caring family trading as world leaders in the wood<br />

chipping industry.<br />

PROFILE<br />

Our mission<br />

To provide a worldwide service and infrastructure that<br />

is sustainable and above par, taking into account the<br />

unique requirements of each client, without deviating<br />

from our policy of innovative service and high ethical<br />

standards.<br />

Our values<br />

Company<br />

Slogan<br />

About us<br />

Since 2004, Africa Biomass Company has been at the<br />

forefront of the development of biomass processing<br />

such as wood chips, biofuels and more in Southern<br />

Africa.<br />

Under the mentorship of Johan du Preez, the<br />

co-owner of Môreson Grondverskuivers, known for<br />

service excellence in the agricultural industry since<br />

1924, we established ourselves as market leaders of<br />

recycling agricultural wood waste over the past 10<br />

years.<br />

Africa Biomass Company offers a viable, costeffective<br />

solution for our customers to recycle this<br />

unwanted woody biomass into usable forms.<br />

Towards the end of 2008, the need and demand<br />

for the chipping of orchards increased to such an<br />

extent that the strategy of hand-fed chippers was<br />

switched to that of horizontal grinders, fed by a<br />

mechanical loader.<br />

In collaboration with Môreson Grondverskuivers,<br />

we now offer a full range of services.<br />

Our vision<br />

Africa Biomass Company is your caring family,<br />

founded in faith, trading as world leaders in the<br />

recycling industry.<br />

• Human dignity<br />

• Integrity<br />

• Quality<br />

• Pro-trademark resolution<br />

• Innovation<br />

• Transparency<br />

• Individualism<br />

CONTACT INFO<br />

Physical address: Joubert Street, Worcester<br />

6850<br />

Postal address: PO Box 1322, Worcester 6849<br />

Western <strong>Cape</strong>, South Africa<br />

Tel: +27 23 342 1212<br />

Fax: 086 515 5777<br />

Website: www.abc.co.za<br />

Willem van der Merwe, General Manager:<br />

072 244 7737<br />

Calie Rabie, Western <strong>Cape</strong> Production:<br />

072 602 4543<br />

Fanie Fourie, <strong>Eastern</strong> <strong>Cape</strong> Production:<br />

073 402 0655<br />

Riaan Carstens, Bandit Agency:<br />

079 874 8624<br />

Quintis Wiid, Parts and Workshop:<br />

066 475 7039<br />

21<br />

EASTERN CAPE BUSINESS <strong>2019</strong>


FOCUS<br />

Africa Biomass Company services and<br />

products<br />

Contracting<br />

• Orchard<br />

• Windbreak recycling<br />

• River rehabilitation<br />

• Recycling of waste wood<br />

• Tree (orchard) replanting (<strong>Eastern</strong> <strong>Cape</strong>)<br />

• Mulch spreading<br />

• Land clearing and land preparation (Môreson)<br />

• Loggers to handle the timber rapidly and<br />

effectively<br />

• Well-trained teams of chainsaw operators.<br />

Mulch and biofuel sales<br />

Woodchip according to specification, collected in<br />

mass trailers or in bags and transported to end user,<br />

where it can be used as woochip mulch or biofuel.<br />

Wood chips best practice<br />

Woodchip mulch and biomass sales<br />

• Bandit agency (Southern Africa)<br />

• Dezzi equipment (Western <strong>Cape</strong>)<br />

• Workshop and field services<br />

• Part sales<br />

• Manufacturing<br />

• Training facilities<br />

Orchard and windbreak recycling<br />

With the use of excavators with specialised<br />

attachments and three-wheel loggers, old orchards<br />

can be removed from root to top and fed into a<br />

horizontal grinder.<br />

The horizontal grinder processes the waste wood<br />

according to specifications discussed and agreed<br />

upon with the landowner or project manager.<br />

Processing of waste wood into a viable product,<br />

that if applied correctly, could have a 30% increase in<br />

water conservation as well as many other advantages.<br />

Land clearing services<br />

Africa Biomass Company is an expert at land clearing.<br />

We have an extensive range of highly specialised<br />

wood recycling machinery that will do the job quickly<br />

and efficiently.<br />

• Tree shears which cut and stack trees of up to<br />

550mm in diameter<br />

It is excellent practice to apply compost and mulch<br />

in existing, as well as newly established orchards.<br />

The best results are obtained by spreading<br />

compost in the orchards or vineyards before covering<br />

it with mulch. Wood chips can also be used as a base<br />

to produce compost.<br />

You can buy or rent these unique, patented,<br />

designed mulch spreaders from ABC.<br />

Massive water savings<br />

In 2017 Africa Biomass Company was involved in many<br />

projects such as the removal of invasive eucalyptus<br />

trees in the Breede River and Berg River systems.<br />

The removal and recycling of these alien trees,<br />

old or unwanted orchards, vineyards or windbreaks<br />

can be used as mulch which are spread in new and<br />

old orchards and vineyards. This has led to a massive<br />

water saving equal to the water usage of 50 000<br />

households for one year.<br />

Workshop and field services<br />

With an intimate understanding of the operational<br />

challenges of wood recycling in South Africa, we<br />

established state-of-the-art facilities to service, repair<br />

and rebuild wood chipping equipment of any make<br />

and size.<br />

EASTERN CAPE BUSINESS <strong>2019</strong><br />

22


FOCUS<br />

This facility is manned by a remarkable team<br />

of experienced and suitably qualified engineers,<br />

technicians and artisans.<br />

An equally remarkable team of field service<br />

technicians delivers repairs, maintenance and spares<br />

to your site to optimise uptime and efficiency.<br />

Parts<br />

We have been widely commended as the company<br />

in South Africa stocking the largest range of industryrelated<br />

spare parts.<br />

Optimal production and uptime require quality<br />

components when needed. Understanding the<br />

industry through experience sets us apart from other<br />

suppliers.<br />

Delivering quality components on time is essential<br />

for running a successful operation. Our more than<br />

2 500 line items is made up of quality components<br />

sourced worldwide to meet requirements of our<br />

customers and our own fleet.<br />

Manufacturing<br />

Our legacy of innovation has been built on more than<br />

80 000 hours of operational experience. This enabled<br />

us to develop and adapt machines for waste wood<br />

recycling in South Africa which truly adds value to<br />

the customer’s operation.<br />

A wide range of wood chipping, grinding and<br />

spreading equipment is manufactured locally to<br />

specification, as required for South African conditions.<br />

Bandit Industries, Inc<br />

Not only has Africa Biomass Company built up a<br />

substantial fleet of Bandit wood chippers for their own<br />

use as part of our wood recycling services we provide,<br />

but also offers a whole range of Bandit wood chippers<br />

Interesting facts about ABC<br />

• 50 000 households’ worth of water saved in 2017<br />

• 2017 Overall winner Entrepreneur of the Year<br />

Award<br />

• Since 2004, servicing the biomass industry<br />

• Approximately 2 500 line-items in total available<br />

stock<br />

• Only SETA-certified wood chipper training<br />

facility.<br />

• 20 teams all over South Africa<br />

• Sole Bandit dealer in Africa.<br />

to clients who want to invest in the Bandit range.<br />

We are privileged to serve our customers as the<br />

authorised dealer for Bandit Industries in Southern<br />

Africa.<br />

Bandit chippers are designed with quality,<br />

production and longevity in mind. Hand-fed<br />

chippers are mounted on custom-built, SABSapproved<br />

trailers. Owning a Bandit wood chipper<br />

will always put you in the front seat of reliable wood<br />

chipping operations.<br />

In many cases, the Bandit wood chipper sets the<br />

benchmark for other brands in the wood chipping<br />

industry. We are ready to supply the right Bandit<br />

wood chipping solution with advice and aftercare<br />

to your doorstep. All existing and new customers<br />

are welcome to contact us to become the owner of<br />

Bandit equipment.<br />

Become an owner of a Bandit chipper<br />

All existing and new customers are welcome to<br />

contact us if they want to become the owner of<br />

the top-class range of Bandit equipment. Bandit<br />

Industries have delivered successful recycling<br />

solutions to basically every corner of the planet.<br />

A commitment to support<br />

Africa Biomass Company is fully equipped and<br />

stocked to service and repair any Bandit machine<br />

anywhere in South Africa. We own a fully-equipped<br />

parts warehouse (650m²), manufacturing department<br />

as well as field services to ensure that parts are always<br />

readily available and our own, as well as our clients’<br />

Bandit wood chippers are not out of commission<br />

longer than they have to be.<br />

23 EASTERN CAPE BUSINESS <strong>2019</strong>


OVERVIEW<br />

Energy<br />

The <strong>Eastern</strong> <strong>Cape</strong> is the wind power province.<br />

With the signing off on four new wind projects in April<br />

2018, the <strong>Eastern</strong> <strong>Cape</strong> reinforced its position as a prime<br />

destination for wind power.<br />

More than half the wind farm projects so far<br />

approved in the Renewable Energy Independent Power Producer<br />

Procurement Programme (REIPPPP) have been allocated to<br />

the <strong>Eastern</strong> <strong>Cape</strong>. The Kouga area west of Jeffreys Bay and the<br />

Cookhouse/Bedford area about 95km north-west of Makhanda<br />

(Grahamstown) represent two wind power hubs, with a collective<br />

capacity of 1 185MW.<br />

South Africa’s National Development Plan (NDP) requires 20 000MW<br />

of renewable energy by 2030 and wind power technology, together<br />

with solar photovoltaic, are the two primary methods of reaching<br />

that target.<br />

The April signing ceremony by new Energy Minister Jeff Rabebe<br />

restarted the REIPPPP when he signed off on projects totalling<br />

R56-billion that will add 2 300MW to the national grid. There had<br />

been a long delay in the process as national utility Eskom argued<br />

against accepting more power purchase agreements while they had<br />

a surplus. Most of South Africa’s electricity comes from coal and<br />

Eskom is building two huge coal-fired power stations.<br />

One of the unfortunate side effects of Eskom’s refusal to agree<br />

to buy renewable power for two years was the closing down of a<br />

wind tower manufacturer in the <strong>Eastern</strong> <strong>Cape</strong>. DCD Wind Towers<br />

SECTOR INSIGHT<br />

The IDC plans to revive a wind<br />

tower manufacturing plant.<br />

was a joint venture between the<br />

DCD Group and the Industrial<br />

Development Corporation (IDC).<br />

A factory was built in the Coega<br />

Industrial Development Zone<br />

(IDZ) in 2013 with the intention<br />

of localising the manufacture<br />

of renewable energy sector<br />

components. The factory closed<br />

in 2016 as uncertainty affected<br />

the market.<br />

The Coega IDZ was working on<br />

positioning itself as a renewable<br />

energy hub. This process has<br />

been restarted and the IDC is<br />

looking for new partners to<br />

revive the wind tower plant. The<br />

Department of Trade and Industry<br />

EASTERN CAPE BUSINESS <strong>2019</strong><br />

24


OVERVIEW<br />

(dti) offers a number of green technology incentives.<br />

At the end of the annual Windaba conference in <strong>Cape</strong> Town in<br />

2018, the South African Wind Energy Association (SAWEA) issued<br />

a Commitment Statement which noted that the REIPPPP has a<br />

“built-in demand for local procurement”, not only offering business<br />

opportunities to local companies, but also incentivising the industry<br />

to identify and support emerging entrepreneurs.<br />

The rollout of renewable energy has met some resistance in<br />

South Africa from constituencies as diverse as coal-truck drivers<br />

and advocates of nuclear power. In response, renewable energy<br />

advocates cite not just investment figures, but they note how much<br />

good work has been done in communities. According to figures<br />

released by the National Department of Energy, the REIPPPP by<br />

2016 had not only delivered multiple millions in investments, but<br />

also created more than 30 000 jobs and benefited local community<br />

development to the tune of R256-million.<br />

Figures released by SAWEA showed shareholding for local<br />

communities reached an estimated net income of R29.2-billion over<br />

the lifespan of the projects. Some 14 000 new jobs are expected<br />

to be created, mostly in rural areas, and more than R30-billion has<br />

already been spent on Black Economic Empowerment (BEE) in the<br />

construction phase.<br />

Part of the SAWEA Commitment Statement reads, “Our aim over<br />

time is to transform and indigenise leadership at all levels in the<br />

South African Renewable Energy sector.”<br />

The average lead time in the projects that have so far been<br />

approved in the province is two years, with local content averaging<br />

out at about 47%. When the projects are complete, R142.9-billion<br />

will have been spent on procurement, R65.7-billion of which will<br />

be local.<br />

Wind projects in the province include Globeleq’s 138MW Jeffreys<br />

Bay facility, the 140MW Cookhouse project (African Clean Energy<br />

Developments) and two run by Cennergi at Tsitsikamma (94MW)<br />

and Bedford (134MW). Cennergi is a joint venture between South<br />

ONLINE RESOURCES<br />

IPP projects: www.ipp-projects.co.za<br />

National Energy Regulator of South Africa: www.nersa.org.za<br />

South African Photovoltaic Industry Association:<br />

www.sapvia.co.za<br />

South African Renewable Energy Council: www.sarec.org.za<br />

South African Wind Energy Association: www.sawea.org.za<br />

Sustainable Energy Society of Southern Africa:<br />

www.sessa.org.za<br />

African resources company<br />

Exxaro and Indian company Tata<br />

Power. There are several other<br />

projects with capacities ranging<br />

from 20MW to 97MW.<br />

Scatec Solar has<br />

commissioned a plant in<br />

Burgersdorp. The 75MW plant<br />

has panels mounted on single<br />

axes, enabling them to track<br />

the sun and optimise electricity<br />

generation by a further 20%.<br />

POWERX has recently signed<br />

up with AKM Foods to supply<br />

power to all the KFC outlets in<br />

Nelson Mandela Bay. POWERX<br />

trades in renewable energy<br />

through licences granted<br />

to it by the national energy<br />

regulatory authority, NERSA. By<br />

aggregating power purchases,<br />

the company is able to mitigate<br />

risk in a way that an individual<br />

purchaser may not be able to.<br />

POWERX now supplies over 40<br />

national and local customers in<br />

Nelson Mandela Bay and its aim<br />

is to expand the customer base.<br />

The support of two of South<br />

Africa’s biggest institutional<br />

investors, the Industrial<br />

Development Corporation<br />

(IDC) and the Public Investment<br />

Corporation (PIC), has been<br />

crucial in getting the renewable<br />

energy sector off the ground.<br />

They have also played a role in<br />

helping communities fund their<br />

participation in community<br />

trusts. According to <strong>Business</strong><br />

Day, the PIC has so far invested<br />

in 16 unlisted projects and its<br />

total investment stands at R11-<br />

billion. The IDC’s 24 projects<br />

are valued at R14-billion and<br />

will contribute 1 100MW to the<br />

national power grid.<br />

25 EASTERN CAPE BUSINESS <strong>2019</strong>


OVERVIEW<br />

Water<br />

The Nooitgedacht Water Project is back on track.<br />

The National Department of Water and Sanitation will provide<br />

the finances to complete the vital Nooitgedacht Low Level<br />

Scheme Water Project.<br />

Earlier announcements that funding for the project was to<br />

be reduced led to strikes but a new allocation was made in the 2018/19<br />

budget. This will help to address the water supply problem in the Nelson<br />

Mandela Bay metropole.<br />

In August 2018, water supplies were turned off for periods in the<br />

towns of Patensie and Hankey, which get their supply from the Kouga<br />

Dam. Levels in different parts of the province varied considerably at<br />

that time, ranging from just under 7% in the Kouga Dam to as high as<br />

70% for the Klipplaat Water Supply System, which serves towns such<br />

as Queenstown in the central part of the province.<br />

Several plans are under consideration to alleviate the water shortages<br />

facing the <strong>Eastern</strong> <strong>Cape</strong>’s towns and rural areas. Most municipalities<br />

introduced restrictions on usage with the Nelson Mandela Bay<br />

Municipality limiting residents to 50 litres per day. The municipality has<br />

also been looking at ways of finding new water, including desalination<br />

and tapping new underground water sources. A desalination plant at<br />

Swartkops and new boreholes around the Uitenhage Springs are among<br />

projects designed to alleviate shortages.<br />

One option being considered is for the Nelson Mandela Bay<br />

Municipality to partner with South African Breweries, which needs a<br />

lot of water to make its products, and Marina Sea Salt, which desalinates<br />

sea water to make salt. The Coega Development Corporation (CDC)<br />

is also investigating desalination as it needs water for the gas-related<br />

industries at the Coega Special Economic Zone.<br />

ONLINE RESOURCES<br />

National Department of Water and Sanitation: www.dwa.gov.za<br />

Umzimvubu Catchment Partnership Programme:<br />

www.umzimvubu.org<br />

Water Institute of South Africa: www.wisa.org.za<br />

Water Research Commission: www.wrc.org.za<br />

SECTOR INSIGHT<br />

Plans are being implemented<br />

to avoid “Day Zero”.<br />

The Nelson Mandela Bay metropole<br />

currently gets its water from<br />

10 dams, six of which are owned<br />

by the municipality. Water services<br />

are provided to the citizens<br />

of the <strong>Eastern</strong> <strong>Cape</strong> by 17 water<br />

service authorities which oversee<br />

163 drinking water supply systems.<br />

Muncipalities and Amatola<br />

Water are the primary providers<br />

of services.<br />

A water supply and hydropower<br />

project is planned on the<br />

Umzimvubu River, under the<br />

control of the National Department<br />

of Water and Sanitation. The<br />

project entails the construction of<br />

two multipurpose dams and the<br />

provision of hydropower.<br />

Amatola Water manages<br />

bulk water infrastructure across<br />

50 000km², encompassing the<br />

district municipalities of Chris<br />

Hani and Amathole, together with<br />

portions of other municipal areas.<br />

Backlogs in rural areas and smaller<br />

municipalities are still prevalent,<br />

and this water authority is playing a<br />

key role in reducing and eradicating<br />

these inequalities.<br />

EASTERN CAPE BUSINESS <strong>2019</strong><br />

26


Amatola t:HhAAU:(d wde,,1,, k / .. .L<br />

wa1er,11manz1 - v7· v<br />

'-'1 v<br />

LEADING SUSTAINABLE BULK<br />

WATER SERVICES IN THE<br />

As an essential services utility, Amatala Water is committed ta contributing to the soclo·economic development of the<br />

<strong>Eastern</strong> <strong>Cape</strong> Province through the provision of sustainable bulk potable water and sanitation services.<br />

Ta ensure universal access ta basic water supply, Amatala Water is upgracing the design standards al its water supply<br />

schemes and related bulk intraslructure to 750 lltres per household per day, in line with the Intent al the Nattonal Development<br />

Plan, al aimed at improving the qualHy al lffe of aver 76 000 households in the region.<br />

Amalola Hause<br />

6 Lancaster Road, Vincent, East Landon<br />

Tel: (043) 707 3700<br />

aw@amatolawater.co.za<br />

www.amatolawater.co.za


Water Scarcity in South Africa<br />

Sazile Qweleka, Amatola Water’s Operations Optimisation Manager,<br />

presents the case for new thinking about wastewater recycling and re-use.<br />

With most parts of South Africa experiencing a severe drought,<br />

the severity of the water shortage in the country is inescapable.<br />

Dam levels in the <strong>Eastern</strong> <strong>Cape</strong> continue to decline, despite rains<br />

that have brought some relief. According to a recent report by the<br />

National Department of Water and Sanitation, the total storage<br />

of water in the <strong>Eastern</strong> <strong>Cape</strong> stands at 56.1%, compared to the<br />

same time last year when the average dam levels were at 66.4%.<br />

This trend, coupled with the severe drought conditions, an increasing<br />

population and industrial growth, and environmental<br />

degradation, forces us to look at accelerated innovations in water<br />

resources and water services delivery in order to sustainably<br />

meet future water demands.<br />

In her budget speech in May 2017, the Minister of Water and<br />

Sanitation, Nomvula Mokonyane, highlighted the country’s<br />

heavy reliance on surface water as a concern. She added that it<br />

was for this reason that the Department was planning to ensure<br />

that there is a mix of surface and ground water, which includes<br />

options such as groundwater; wastewater re-use (grey water);<br />

desalination; and rainwater harvesting, among others.<br />

Wastewater re-use, recycled or reclaimed or grey water refers to<br />

former wastewater that has been treated to remove solids and<br />

certain impurities, and then re-used for a variety of applications<br />

including landscaping and irrigation, for example.<br />

Although costly, many coastal cities appear to prefer desalination<br />

as a solution to the water crisis. However, unlike its desalination<br />

counterpart, an added advantage of wastewater recycling and<br />

re-use is that it requires far less electricity.<br />

A resource, not waste<br />

We need to start dealing with wastewater differently and explore<br />

wastewater re-use and recycling as a resource rather than waste.<br />

Leading the cities in this area is the city of Durban, which is<br />

home to the country’s first private water recycling plant. The<br />

idea for the plant was born in 1993 out of concern for the area’s<br />

increasing demand and limited water resources. This plant was<br />

later commissioned in 2001.<br />

The plant treats 47.5-million litres of domestic and industrial<br />

wastewater to a near-potable standard for sale to industrial customers,<br />

with an added benefit of a lower tariff when compared<br />

to the normal tariff. The plant has helped to free up sufficient<br />

drinking water for approximately 300 000 people in the area.<br />

In turn, this has reduced the demand for potable water and<br />

the quantity of effluent that is returned into the environment.<br />

Using Durban as an example of a success story of how wastewater<br />

recycling and re-use can be managed and used, it is clear that the<br />

future of water sustainability lies in looking at sources of water<br />

that will not only mitigate the effects of the drought, but also<br />

complement the existing sources.


PROVIDING<br />

high quality laboratory services and<br />

reliable testing results to our clients<br />

As the first ISO 17025:2005 accredited laboratory in the <strong>Eastern</strong> <strong>Cape</strong>, the Amatola Water lab is<br />

assured to provide the highest standards of quality in laboratory services.<br />

This nationally recognised accreditation confirms that Amatola Water has a quality management<br />

system and the technical requirements in place to offer water sample analysis in line with SANS 241<br />

standards, and provide reliable and accurate results data through a comprehensive water quality<br />

monitoring and management programme - giving quality assurance to customers that water<br />

quality standards are being met.<br />

Amatola House<br />

6 Lancaster Road, Vincent, East London<br />

Tel: (043) 707 3700<br />

aw@amatolawater.co.za<br />

www.amatolawater.co.za


OVERVIEW<br />

Tourism<br />

New hotel for St Francis Links.<br />

A<br />

new luxury hotel is to be built in St Francis Bay. The 60-room<br />

St Francis Links Hotel by Mantis will overlook the dam on<br />

the golf course’s final hole and provide views of the Indian<br />

Ocean and Kouga Mountains.<br />

The existing clubhouse of the St Francis Links Estate will provide facilities<br />

such as reception, restaurants and conferencing for the hotel, which has been<br />

designed to minimise the visual impact in an environment where fynbos is<br />

a feature. St Francis Links is a regular award winner as a wedding venue and<br />

for its Jack Nicklaus-designed golf course. The hotel will be constructed next<br />

to the clubhouse, which is pictured above.<br />

The Mantis Group is involved in another project that involves golf at<br />

the Fish River Sun. The land on which the resort stands had been subject<br />

to a land claim for a long time. In December 2017 the National Department<br />

of Rural Development and Land Reform (DRDLR) bought the resort and<br />

closed it down but the golf course reopened again in March 2018, under<br />

the management of Mantis. Self-catering accommodation opened at the<br />

resort about a month later.<br />

Further up the coast, a settlement has been reached between the<br />

DRDLR (on behalf of claimant communities) and Sun International on<br />

the future of the Wild Coast Sun. The uMgungundlovu claimants, who<br />

were evicted from their land by homeland leaders who rented out<br />

SECTOR INSIGHT<br />

30 000 bottle-necked dolphins<br />

regularly visit Algoa Bay.<br />

their land at laughably low prices<br />

in the early 1980s, get all of the 700<br />

hectares of land. The resort will<br />

pay rental for the portion of land<br />

which it uses, and the community<br />

becomes a 28.4% part-owner of<br />

the resort.<br />

Algoa Bay attracts huge numbers<br />

of bottle-nosed dolphins and visitors<br />

don’t have to take boats to view them.<br />

Pods of dolphins can be spotted from<br />

the Shark Rock Pier adjacent to Hobie<br />

Beach, made famous as the launching<br />

spot of the swimming leg of various<br />

triathlons such as the IRONMAN<br />

EASTERN CAPE BUSINESS <strong>2019</strong><br />

30


OVERVIEW<br />

competition. Nelson Mandela Bay’s tourism body is calling the city the<br />

Bottlenose Capital of the World because there is apparently nowhere else<br />

where so many of them gather in one place.<br />

The <strong>Eastern</strong> <strong>Cape</strong> has superb beaches and magnificent game parks and<br />

nature reserves. The fact that parks such as the Addo Elephant National Park<br />

are malaria-free at all times is an additional selling point for foreign visitors.<br />

Port Elizabeth is the end-point of the famous Garden Route, which<br />

extends westwards to <strong>Cape</strong> Town. East London has fine beaches and is<br />

the logical starting point for trips to the magical Wild Coast. The interior of<br />

the <strong>Eastern</strong> <strong>Cape</strong> is home to several high-end private game reserves such<br />

as Shamwari, Mount Camdeboo and Kariega Game Reserve.<br />

Some luxury game lodges are located within national parks, such as the<br />

Gorah Elephant Camp, which is run by Hunter Hotels and forms part of the<br />

Addo Park. Luxury brands sometimes create a chain for their customers, so<br />

visitors might stay at the boutique Summerstand hotel in Port Elizabeth,<br />

No5 By Mantis, on their way to another Mantis property, the Oceana Beach<br />

and Wildlife Reserve.<br />

The <strong>Eastern</strong> <strong>Cape</strong> Parks and Tourism Agency runs 34 provincial nature<br />

reserves within the province. The Addo Elephant National Park is arguably<br />

the province’s greatest attraction and is under the control of South African<br />

National Parks. The Camdeboo, Mountain Zebra and Garden Route national<br />

parks offer terrains ranging from dry karoo veld and rolling mountain<br />

plateaus to forests on a rocky coastline.<br />

Hotels and casinos<br />

South Africa’s large branded hotel groups have a strong presence<br />

in the <strong>Eastern</strong> <strong>Cape</strong> but there are also regionally focussed groups<br />

together with independent hotels and resorts such as East London’s<br />

Blue Lagoon Hotel and Conference Centre, located in a prime spot at<br />

the mouth of the Nahoon River.<br />

The Billion Group has opened a new casino in Mthatha. The Mayfair<br />

Casino, which also has conference facilities, forms part of the complex<br />

that includes the BT Ngebs City Shopping Centre and the Mayfair Hotel.<br />

A Port Elizabeth hotel, the Isango Boutique Hotel and Spa, offers a variety<br />

of services beyound accomadation, including a luxury spa and hosting of<br />

weddings, conferences and parties. Kat Leisure Group’s offering extends<br />

ONLINE RESOURCES<br />

<strong>Eastern</strong> <strong>Cape</strong> Parks and Tourism Agency:<br />

www.visiteasterncape.co.za<br />

Mandela Bay Development Agency: www.mbda.co.za<br />

St Francis Tourism: www.stfrancistourism.co.za<br />

from the Kennaway Hotel on East<br />

London’s beachfront to the Queens<br />

Casino and Hotel in Queenstown<br />

and properties in the mountainous<br />

interior of Katberg and Hogsback.<br />

Premier Hotels has two hotels in<br />

East London, the Mpanga Private<br />

Game Reserve and it manages<br />

the East London International<br />

Convention Centre. The Radisson<br />

Blu in Port Elizabeth offers five-star<br />

luxury overlooking Pollock Beach.<br />

The modern 14-storey building has<br />

173 rooms and suites.<br />

Tsogo Sun has five <strong>Eastern</strong><br />

<strong>Cape</strong> properties. In East London<br />

the four-star Southern Sun<br />

Hemingways is next to the<br />

Hemingways Casino complex and<br />

the city has one Garden Court, as<br />

does Mthatha. Port Elizabeth has<br />

a Garden Court and a SUN1, both<br />

near Humewood Beach.<br />

Apart from the two resorts<br />

mentioned in relation to land<br />

claims, Sun International has<br />

the five-star Boardwalk Casino<br />

and Entertainment World in<br />

Port Elizabeth which includes<br />

conference and events facilities.<br />

Makana (Grahamstown) hosts<br />

the National Arts Festival every<br />

year, an 11-day extravaganza of<br />

performance art, music of every<br />

sort, art exhibitions, film, lectures,<br />

craft fairs and workshops. A study<br />

has put the economic impact of<br />

the festival at close to R350-million.<br />

Port Elizabeth maintained its<br />

reputation for “firsts” when it hosted<br />

South Africa’s first-ever day-night<br />

cricket Test match in 2017. With<br />

brand-new lighting of the latest<br />

design, St George’s Park cricket<br />

ground was illuminated to the<br />

highest international standards.<br />

31<br />

EASTERN CAPE BUSINESS <strong>2019</strong>


PROFILE<br />

Isango Gate Boutique<br />

Hotel and Spa<br />

Indulge your senses.<br />

The building which houses Isango Gate<br />

Boutique Hotel and Spa was built in the<br />

early 1900s and has been transformed<br />

into a sophisticated, elegantly styled boutique<br />

hotel. Isango Gate provides a serene yet<br />

modern setting which includes African Zen gardens,<br />

an open deck area, earth tones and modern<br />

lines and style. A marine theme contributes to the<br />

calming effect. This great escape is situated in the<br />

premier suburb of Summerstrand in Port Elizabeth<br />

and on the doorstep of pristine Blue Flag beaches.<br />

Exclusivity<br />

Each of the 10 tastefully designed suites are<br />

equipped with free Internet connection, fine linen,<br />

luxurious amenities and provide a private oasis<br />

of serenity. All efforts are dedicated to providing<br />

luxurious comfort, modern facilities and intuitive<br />

technology combined with exceptional, personalised<br />

service.<br />

Eight suites have private balconies and views of the<br />

sea. All rooms have a peaceful and harmonious touch<br />

with contemporary finishes.<br />

ONLINE RESOURCES<br />

Isango Gate Boutique Hotel and Spa<br />

23 Bournemouth Street, Summerstrand,<br />

Port Elizabeth 6001<br />

Tel: +27 41 811 2225<br />

Email: generalmanager@isangogate.co.za/<br />

guestrelations@isangogate.co.za<br />

Functions: functions@isangogate.co.za<br />

Spa: spa@isangogate.co.za<br />

Website: https://isangogate.co.za<br />

In-room facilities<br />

• King-size beds<br />

• TV with DStv<br />

• Climate control<br />

• Fully-stocked bar fridges<br />

On-site facilities<br />

• Awesome gym<br />

• Sparkling pool<br />

• Sundeck<br />

• Cocktail lounge<br />

• Kiddies care<br />

• Wine cellar<br />

• Restaurant<br />

• Boardroom<br />

• Steam room<br />

• Secure parking<br />

• Jacuzzi<br />

EASTERN CAPE BUSINESS <strong>2019</strong><br />

32


Your antidote to<br />

urban life<br />

FOCUS<br />

Isango Gate Boutique Hotel and Spa offers a great escape.<br />

Over and above luxury accommodation<br />

options just a few minutes’ walk from<br />

Port Elizabeth’s finest beaches, the<br />

Isango Gate Boutique Hotel and Spa<br />

caters for a wide variety of activities which range<br />

from a luxury spa to conference facilities, a poolside<br />

bar and a fine restaurant which is regularly used to<br />

host weddings and parties.<br />

Conferences<br />

The Mvumelwano<br />

Conference Centre<br />

can accommodate<br />

up to 70 guests<br />

and is fully<br />

equipped with a<br />

projector, sound,<br />

air conditioner<br />

and appropriate lighting. Extra equipment<br />

or special requests are welcome and can be<br />

discussed.<br />

Bar<br />

The Ndlovu<br />

S i n a z o<br />

Bar is set<br />

alongside<br />

an infinity<br />

swimming<br />

pool and creates the ultimate atmosphere for<br />

sundowners. This bar extension offers light<br />

meals, cocktails and wine by the glass. For those<br />

wanting to embrace the atmosphere, cigars are<br />

on sale to end off a great evening. The Ndlovu<br />

Sinazo Bar is open seven days a week for lunch<br />

and evening snacks.<br />

Spa<br />

The Isango Gate<br />

Spa is a luxury spa<br />

in the heart of Port<br />

Elizabeth. Whether<br />

you are looking for<br />

a dedicated spa break or would simply like to relax<br />

and pamper yourself, you will find everything<br />

you need all in an idyllic setting. In this haven of<br />

wel- being, you can relax in the deluxe jacuzzi or<br />

soothe your muscles and rid your body of toxins<br />

in the steam room. Work out in the well-equipped<br />

gym and enjoy the infinity pool.<br />

Restaurant<br />

The Penda Pendu restaurant, meaning “together<br />

in our house” in Shona, is equipped with a gas<br />

fireplace where guests can enjoy gourmet<br />

South African dishes with international flare<br />

complemented with fine local, international and<br />

rare wines. The full à la carte restaurant is open to<br />

the public and is available for functions such as<br />

baby showers, birthday parties, bridal showers,<br />

high teas, weddings and year-end functions.<br />

33 EASTERN CAPE BUSINESS <strong>2019</strong>


OVERVIEW<br />

Manufacturing<br />

Pharmaceutical and automotive manufacturers are investing in new capacity.<br />

Established players and new entrants are putting money into new<br />

and expanded facilities in pharmaceuticals and the automotive<br />

industry, two of the strongest manufacturing sectors in the<br />

<strong>Eastern</strong> <strong>Cape</strong>.<br />

Of the established companies, Volkswagen, Mercedes-Benz, Ford,<br />

South African Breweries and Aspen Pharmacare are all either upgrading<br />

facilities or adding new production lines.<br />

New entrants include MSQ Health, which will build a R100-million<br />

factory in the Coega Special Economic Zone, which is partnering with the<br />

company. The focus will be on active pharmaceutical ingredients (API).<br />

Phase 1 in the construction process of the vehicle assembly plant<br />

of Beijing Automotive Group South Africa (BAIC SA) was completed in<br />

2018. The total project involves an investment of R11-billion. BAIC expects<br />

to be building 50 000 vehicles per year at its site at Coega SEZ by 2022.<br />

The <strong>Eastern</strong> <strong>Cape</strong> manufactures half of the country’s passenger<br />

vehicles and provides 51% of South Africa’s vehicle exports. The sector<br />

accounts for over 40 000 formal sector jobs in the province.<br />

Volkswagen’s two new types of Polos started rolling off the production<br />

line in Uitenhage in 2018. Volkswagen’s R6.1-billion investment will<br />

take production up to full capacity of 160 000 vehicles in <strong>2019</strong>, from<br />

110 000 in 2017.<br />

About 150 automotive suppliers of various types operate in the<br />

<strong>Eastern</strong> <strong>Cape</strong>. Sectors include leather works, batteries, automotive<br />

tooling, catalytic converters, glass, lamps, radiators and alloy wheels.<br />

Several cluster development programmes in the <strong>Eastern</strong> <strong>Cape</strong><br />

aim to develop specific industries by bringing together expertise and<br />

logistical support. Marine manufacturing is the focus of the Mandela<br />

Bay Composites Cluster (MBCC). A Non-Automotive Manufacturing<br />

(NAM) Cluster concentrates on training, supplier development, energy<br />

efficiencies and developing new markets.<br />

The provincial government wants to see more diversification in<br />

manufacturing and is targeting sectors where the province already<br />

has a competitive advantage (such as wool and mohair), is labour<br />

intensive, will have a broad impact and has low barriers for SMME<br />

ONLINE RESOURCES<br />

Coega Development Corporation: www.coega.co.za<br />

<strong>Eastern</strong> <strong>Cape</strong> Development Corporation: www.ecdc.co.za<br />

East London Industrial Development Zone: www.elidz.co.za<br />

SECTOR INSIGHT<br />

Aspen Pharmacare will hire<br />

500 new staff.<br />

entry. Sectors targeted include:<br />

agri-processing and food; timber;<br />

tourism; construction; chemicals;<br />

energy and mariculture.<br />

There is great potential to create<br />

more value from the excellent<br />

wool, leather and mohair that<br />

the province’s livestock produce.<br />

A fibre-processing plant to spin<br />

wool and mohair fibre into yarn is<br />

planned, as is a textile mill to focus<br />

on cotton, poly-cotton and acrylic<br />

fabric. The latter is planned for the<br />

IDZ in East London, which is already<br />

home to Da Gama Textiles, whose<br />

factory has the capacity to produce<br />

45-million square metres of fabric<br />

per annum.<br />

The opening in May 2018 of a R1-<br />

billion specialised product facility at<br />

the Port Elizabeth plant of Aspen<br />

Pharmacare will add 500 jobs to the<br />

existing complement of 2 000 staff<br />

members. The new plant will make<br />

products for chronic conditions, a<br />

new departure for the company<br />

which until now has focussed on<br />

generics. Annual production is<br />

planned of about 3.6-billion tablets.<br />

A new production line came on<br />

line at the Ibhayi Brewery of South<br />

African Breweries (AB InBev) at<br />

Perseverance in the <strong>Eastern</strong> <strong>Cape</strong><br />

in 2018. The new line, costing R438-<br />

million, will add 500 000-hectolitres<br />

to the brewery’s capacity.<br />

EASTERN CAPE BUSINESS <strong>2019</strong><br />

34


SAVE THE DATE<br />

FUTURE EVENTS<br />

East london icc<br />

AUDIT&RISK<br />

INDABA<br />

10-12<br />

april<br />

<strong>2019</strong><br />

PUBLIC SECTOR<br />

FINANCE GRAP<br />

SEMINAR<br />

8-9 JULY <strong>2019</strong><br />

EKURHULENI<br />

7-9 OCTOBER <strong>2019</strong><br />

CIGFARO<br />

ANNUAL<br />

CONFERENCE<br />

dURBAN icc


OVERVIEW<br />

Education<br />

<strong>Eastern</strong> <strong>Cape</strong> universities are leading research in vital sectors.<br />

Expensive medical tests in rural areas for problematic<br />

pregnancies could soon be a thing of the past. The new<br />

Rhodes University Biotechnology Innovation Centre is working<br />

on a cellphone app that will send colour pictures of test strips<br />

to diagnostic centres, saving the patient a long and difficult journey.<br />

The University of Fort Hare is leading three innovative studies into<br />

biogas including a project investigating compressed biogas for public<br />

transport. Partners in the project are the Department of Economic<br />

Development, Environmental Affairs and Tourism (DEDEAT), the<br />

United Nations Industrial Development Organisation and United States<br />

Agency for International Development. The South African National<br />

Energy Development Institute (SANEDI) is working with Fort Hare on<br />

a pilot scheme of biodigesters for households.<br />

In 2017, Nelson Mandela University (NMU) inaugurated its Ocean<br />

Sciences Campus at its Port Elizabeth base. This includes a unit<br />

aimed at combating sea fisheries crime (FishFORCE, with support<br />

from Norway) and the South African International Maritime Institute<br />

(SAIMI). The university has four marine sector chairs funded by the<br />

South African Research Chair Initiative (SARChI) and the National<br />

Research Foundation (NRF).<br />

Walter Sisulu University (WSU) and the University of South<br />

Africa (Unisa) offer vocational training (diplomas) and academic<br />

programmes (degrees).<br />

There are several examples in the <strong>Eastern</strong> <strong>Cape</strong> of collaboration<br />

between the manufacturing sector and educational institutions.<br />

General Motors SA has assigned R3.6-million to a Chair in Mechatronics<br />

at NMU, which offers a Bachelor of Engineering in Mechatronics,<br />

covering electronics, mechanical engineering and computer-aided<br />

design. Volkswagen supports the International Chair in Automotive<br />

Engineering at NMU. Rhodes University’s Centre for Environmental<br />

Water Quality, within the Institute for Water Research, is sponsored by<br />

Unilever. The NMU Institute of Chemical Technology commercialises<br />

research through a body called InnoVenton and has several clients in<br />

the private sector.<br />

The Provincial Government of the <strong>Eastern</strong> <strong>Cape</strong> is supporting<br />

skills training in the maritime sector through the Maritime Youth<br />

ONLINE RESOURCES<br />

<strong>Eastern</strong> <strong>Cape</strong> Department of Education: www.ecdoe.gov.za<br />

Ocean Sciences Campus: www.mandela.ac.za<br />

Technology Innovation Agency: www.tia.org.za<br />

SECTOR INSIGHT<br />

Rhodes University has a new<br />

Biotechnology Innovation<br />

Centre.<br />

Development Programme. So far,<br />

it has benefitted 128 young people<br />

from Buffalo City Municipality and<br />

Port St Johns and will be rolled<br />

out to other areas. In the Youth<br />

in Infrastructure Maintenance<br />

Programme, the provincial<br />

government partners with several<br />

national departments to provide<br />

opportunities for unskilled young<br />

people with NCV 4 and Grade<br />

12 qualifications and below. The<br />

programme is targeting 5 000<br />

young people over a period of<br />

five years.<br />

The <strong>Eastern</strong> <strong>Cape</strong> has eight<br />

Technical and Vocational Education<br />

Training (TVET) colleges, most<br />

of which have more than one<br />

campus: Buffalo City, Port Elizabeth,<br />

Lovedale, King Hintsa, Ingwe, King<br />

Sabata Dalinyebo, Ikhala and<br />

Eastcape Midlands College.<br />

EASTERN CAPE BUSINESS <strong>2019</strong><br />

36


LISTING<br />

<strong>Eastern</strong> <strong>Cape</strong> Provincial<br />

Government<br />

A guide to the <strong>Eastern</strong> <strong>Cape</strong>’s provincial government<br />

departments. Visit www.ecprov.gov.za<br />

Office of the Premier<br />

Premier: Phumulo Masualle<br />

State House, Independent Avenue,<br />

Bhisho 5605<br />

Tel: +27 40 609 6626<br />

Fax: +27 40 639 1419<br />

Website: www.ecprov.gov.za<br />

Department of Cooperative Governance<br />

and Traditional Affairs<br />

MEC: Fikile Xasa<br />

Tyamzashe Building, Room 2124, 2nd Floor, Bhisho 5605<br />

Tel: +27 40 609 5788/5789<br />

Fax: +27 40 639 2135<br />

Website: www.eccogta.gov.za<br />

Department of Economic Development,<br />

Environmental Affairs and Tourism<br />

MEC: Oscar Mabuyane<br />

2nd Floor, Beacon Hill, Hockley Close, King Williams Town 5600<br />

Tel: +27 43 605 7006/7216<br />

Fax: +27 43 605 7306<br />

Website: www.dedea.gov.za<br />

Department of Education<br />

Superintendent General: Themba Kojana<br />

Steve Tshwete Education Building, Zwelitsha Zone 6, Zwelitsha<br />

Tel: +27 40 608 4200<br />

Fax: +27 40 608 4040<br />

Website: www.ecdoe.gov.za<br />

Department of Health<br />

MEC: Helen Sauls-August<br />

Dukumbane Building, Independence Avenue, Bhisho 5605<br />

Tel: +27 40 608 1114<br />

Fax: +27 40 608 1118<br />

Website: www.echealth.gov.za<br />

Department of Human Settlements<br />

MEC: Mlungisi Mvoko<br />

31-33 Phillip Frame Road, Waverly Park, Chiselhurst, East London<br />

Tel: +27 43 711 9595<br />

Fax: +27 43 711 9785<br />

Website: www.ecdhs.gov.za<br />

Department of Public Works<br />

MEC: Pemmy Majodina<br />

5 Qasana Building, Independence Avenue, Bhisho 5605<br />

Tel: +27 40 602 4000<br />

Fax: +27 40 639 2926<br />

Website: www.ecdpw.gov.za<br />

Department of Rural Development<br />

and Agrarian Reform<br />

MEC: Xolile Nqatha<br />

Dukumbane Building, Independence Avenue, Bhisho 5606<br />

Tel: +27 40 602 5006<br />

Fax: +27 40 635 0604<br />

Website: www.drdar.gov.za<br />

Department of Safety and Liaison<br />

MEC: Weziwe Tikana<br />

Arches Building 7, Taylor Street,<br />

King Williams Town 5601<br />

Tel: +27 43 605 6800<br />

Fax: 086 558 0224<br />

Website: www.ecprov.gov.za<br />

Department of Social Development<br />

MEC: Dr Pumza Dyantyi<br />

Cnr Hockley and Hargreaves Streets, Beacon Hill,<br />

King Williams Town 5600<br />

Tel: +27 43 605 5419<br />

Fax: +27 43 605 5000<br />

Website: www.ecdsd.gov.za<br />

37 EASTERN CAPE BUSINESS <strong>2019</strong>


LISTING<br />

Department of Sports, Recreation,<br />

Arts and Culture<br />

MEC: Bulelwa Tunyiswa<br />

Wilton Zimasile Mkwayi Building, 5 Eales Street,<br />

King Williams Town 5600<br />

Tel: +27 43 604 4101 | Fax: +27 43 642 6759<br />

Website: www.ecsrac.gov.za<br />

Provincial Treasury<br />

MEC: Oscar Mabuyane<br />

Provincial Treasury, Tyamzashe Building, Bhisho 5605<br />

Tel: +27 40 353 9944<br />

Fax: +27 40 101 0731<br />

Website: www.ectreasury.gov.za<br />

Department of Transport<br />

MEC: Weziwe Tikana<br />

Stellenbosch Park, Flemming St, Schornville,<br />

King Williams Town 5601<br />

Tel: +27 43 604 7400 | Fax: 086 298 5598<br />

Website: www.ectransport.gov.za<br />

<strong>Eastern</strong> <strong>Cape</strong> Local Government<br />

ALFRED NZO DISTRICT MUNICIPALITY<br />

Erf 1400, Ntsizwa Street, Mount Ayliff<br />

Tel: +27 39 254 5000 | Fax: +27 39 254 0343<br />

Email: info@andm.gov.za<br />

Website: www.andm.gov.za<br />

Matatiele Local Municipality<br />

Tel: +27 39 737 8100<br />

Fax: +27 39 737 3611<br />

Website: www.matatiele.gov.za<br />

Mbizana Local Municipality<br />

Tel: +27 39 251 0230<br />

Fax: +27 39 251 0917<br />

Website: www.mbizana.gov.za<br />

Ntabankulu Local Municipality<br />

Tel: +27 39 258 0056<br />

Fax: +27 39 258 0173<br />

Website: www.ntabankulu.gov.za<br />

Umzimvubu Local Municipality<br />

Tel: +27 39 255 8500<br />

Fax: +27 39 255 0167<br />

Website: www.umzimvubu.gov.za<br />

AMATHOLE DISTRICT MUNICIPALITY<br />

40 Cambridge Street, East London<br />

Tel: +27 43 701 4000 | Fax: +27 43 742 0337<br />

Email: info@amathole.gov.za<br />

Website: www.amathole.gov.za<br />

Amahlathi Local Municipality<br />

Tel: +27 43 683 5000 | Fax:+27 43 683 2970<br />

Website: www.amahlathi.gov.za<br />

Great Kei Local Municipality<br />

Tel: +27 43 831 5700 | Fax: +27 43 831 1306<br />

Website: www.greatkeilm.gov.za<br />

Mbashe Local Municipality<br />

Tel: +27 47 489 5800 | Fax: +27 47 489 5800<br />

Website: www.mbhashemun.gov.za<br />

Mnquma Local Municipality<br />

Tel: +7 47 401 2400 | Fax: +27 47 491 0195<br />

Website: www.mnquma.gov.za<br />

Ngqushwa Local Municipality<br />

Tel: +27 40 673 3095 | Fax: +27 40 673 3771<br />

Website: www.ngqushwamun.gov.za<br />

EASTERN CAPE BUSINESS <strong>2019</strong><br />

38


LISTING<br />

Raymond Mhlaba Local Municipality<br />

Tel: +27 46 645 7400<br />

Fax: +27 46 645 2562<br />

Website: www.raymondmhlaba.gov.za<br />

BUFFALO CITY METROPOLITAN<br />

MUNICIPALITY<br />

117 Oxford Street, Cnr North & Oxford Streets, Trust Centre, East London<br />

Tel:+27 43 705 2000 | Fax:+27 43 743 1688<br />

Website: www.buffalocity.gov.za<br />

CHRIS HANI DISTRICT MUNICIPALITY<br />

15 Bells Road, Queenstown<br />

Tel: +27 45 808 4600 | Fax: +27 45 838 1556<br />

Website: www.chrishanidm.gov.za<br />

Emalahleni Local Municipality<br />

Tel: +27 47 878 0020 | Fax: + 27 47 878 0112<br />

Website: www.emalahleni.gov.za<br />

Engcobo Local Municipality<br />

Tel: +27 47 548 5600 | Fax: +27 47 548 1078<br />

Website: www.engcobolm.gov.za<br />

Enoch Mgijima Local Municipality<br />

Tel: + 27 45 807 2606<br />

Fax: +27 45 807 2637<br />

Intsika Yethu Local Municipality<br />

Tel: +27 47 874 8700 | Fax: +27 47 874 0010<br />

Website: www.intsikayethu.gov.za<br />

Inxuba Yethemba Local Municipality<br />

Tel: +27 48 801 5000<br />

Fax: +27 48 881 1421<br />

Website: www.iym.gov.za<br />

Sakhisizwe Local Municipality<br />

Tel: +27 47 877 5200<br />

Fax: +27 47 877 0000<br />

Website: www.sakhisizwe.gov.za<br />

JOE GQABI DISTRICT MUNICIPALITY<br />

Cnr Cole and Graham Streets, Barkly East<br />

Tel: +27 45 979 3000<br />

Fax: +27 45 971 0251<br />

Website: www.jgdm.gov.za<br />

Elundini Local Municipality<br />

Tel: +27 45 932 8100 | Fax: +27 45 932 1094<br />

Website: www.elundini.org.za<br />

Senqu Local Municipality<br />

Tel: +27 51 603 1300 | Fax: +27 51 603 0445<br />

Website: www.senqu.gov.co.za<br />

Walter Sisulu Local Municipality<br />

Tel: + 27 51 653 1777<br />

Fax: + 27 51 653 0056<br />

Website: www.wslm.gov.za<br />

NELSON MANDELA BAY METROPOLITAN<br />

MUNICIPALITY<br />

City Hall, Vuyisile Mini Square,<br />

Govan Mbeki Avenue, Nelson Mandela Bay<br />

Tel: +27 41 506 1911<br />

Fax: +27 41 506 2422<br />

Website: www.nelsonmandelabay.gov.za<br />

OR TAMBO DISTRICT MUNICIPALITY<br />

OR Tambo House, Nelson Mandela Drive, Myezo Park, Mthatha<br />

Tel: +27 47 501 6400<br />

Fax: +27 47 532 6518<br />

Website: www.ortambodm.gov.za<br />

Ingquza Hill Local Municipality<br />

Tel: +27 39 252 0131<br />

Fax: +27 39 252 0699<br />

Website: www.ihlm.gov.za<br />

King Sabata Dalindyebo Local Municipality<br />

Tel: +27 47 501 4000 | Fax: +27 47 531 3128<br />

Website: www.ksd.gov.za<br />

Mhlontlo Local Municipality<br />

Tel: +27 47 553 7000 | Fax: +27 47 553 0189<br />

Website: www.mhlontlolm.gov.za<br />

Nyandeni Local Municipality<br />

Tel: +27 47 555 5000<br />

Fax: +27 47 555 0202<br />

Website: www.nyandenilm.gov.za<br />

39<br />

EASTERN CAPE BUSINESS <strong>2019</strong>


LISTING<br />

Port St Johns Local Municipality<br />

Tel: +27 47 564 1207<br />

Fax: +27 47 564 1206<br />

Website: www.psjmunicipality.gov.za<br />

SARAH BAARTMAN DISTRICT<br />

MUNICIPALITY<br />

32 Govan Mbeki Avenue, Port Elizabeth<br />

Tel: +27 41 508 7111<br />

Fax: +27 41 508 7000<br />

Website: www.sarahbaartman.co.za<br />

Blue Crane Route Local Municipality<br />

Tel: +27 42 243 6400 | Fax: + 27 42 243 0633<br />

Website: www.bcrm.gov.za<br />

Dr Beyers Naude Local Municipality<br />

Tel: +27 49 807 5700 | Fax: +27 49 892 4319<br />

Website: www.bnlm.gov.za<br />

Kou-Kamma Local Municipality<br />

Tel: +27 42 288 7200 | Fax: +27 42 288 0797<br />

Website: www.koukammamunicipality.co.za<br />

Makana Local Municipality<br />

Tel: +27 46 603 6131<br />

Fax: +27 46 622 9700<br />

Website: www.makana.gov.za<br />

Ndlambe Local Municipality<br />

Tel: +27 46 604 5500<br />

Fax: +27 46 624 2669<br />

Website: www.ndlambe.gov.za<br />

Sundays River Valley Local Municipality<br />

Tel: +27 42 230 7700/0077<br />

Fax: +27 42 230 1799<br />

Website: www.srvm.gov.za<br />

Kouga Local Municipality<br />

Tel: +27 42 200 2200 | Fax: +27 42 200 8606<br />

Website: www.kouga.gov.za<br />

Municipalities in the <strong>Eastern</strong> <strong>Cape</strong><br />

Free State<br />

LESOTHO<br />

Alfred Nzo<br />

Matatiele<br />

KwaZulu-<br />

Natal<br />

Northern <strong>Cape</strong><br />

Western<br />

<strong>Cape</strong><br />

Inxuba Yethemba<br />

Gariep<br />

Tsolwana<br />

Inkwanca<br />

Senqu<br />

Maletswai<br />

Joe Gqabi<br />

Chris Hani<br />

Emalahleni<br />

Lukhanji<br />

Sakhisizwe<br />

Intsika Yethu<br />

Engcobo<br />

Elundini<br />

Mbhashe<br />

Umzimvubu<br />

King Sabata<br />

Dalindyebo<br />

Ntabankulu<br />

OR Tambo<br />

Mhlontlo<br />

Ingquza<br />

Hill<br />

Nyandeni<br />

Port<br />

St Johns<br />

Mbizana<br />

Dr Beyers Naude<br />

Blue Crane Route<br />

Sarah Baartman<br />

Nxuba<br />

Makana<br />

Nkonkobe<br />

Ngqushwa<br />

Amahlathi<br />

Amathole<br />

Buffalo<br />

City<br />

Mnquma<br />

Great Kei<br />

INDIAN OCEAN<br />

Sundays River<br />

Valley<br />

Ndlambe<br />

Metropolitan/District Municipality<br />

Boundary<br />

Kou-Kamma<br />

Kouga<br />

Nelson Mandela Bay<br />

Local Municipality Boundary<br />

District Municipality<br />

Local Municipality<br />

Chris Hani<br />

Nxuba<br />

EASTERN CAPE BUSINESS <strong>2019</strong><br />

40


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