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433369666-The-Case-for-Investing-in-South-Africa

South Africa's investment proposal

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88 |<br />

ADVANCED MANUFACTURING<br />

• <strong>The</strong> proliferation of advanced manufactur<strong>in</strong>g technologies is a disruptive global phenomenon that is affect<strong>in</strong>g all<br />

economic sectors at an exponential rate.<br />

• Global digitisation trends and the adoption of the associated emerg<strong>in</strong>g technologies constitute key determ<strong>in</strong>ants<br />

of the future competitive position<strong>in</strong>g of many of <strong>South</strong> <strong>Africa</strong>’s <strong>in</strong>dustrial sectors <strong>in</strong> the world economy.<br />

• <strong>South</strong> <strong>Africa</strong>, with its well developed <strong>in</strong>dustrial base, is favourably positioned to benefit from the global transition<br />

process currently under way, which is unlock<strong>in</strong>g a myriad of new manufactur<strong>in</strong>g opportunities across <strong>in</strong>dustrial<br />

value cha<strong>in</strong>s.<br />

• Significant strides <strong>in</strong> clean energy technology have created opportunities <strong>for</strong> the commercial development<br />

of renewable energy technologies. Specifically, the cont<strong>in</strong>ued implementation of <strong>South</strong> <strong>Africa</strong>’s Renewable<br />

Energy Independent Power Producer Procurement Programme (REIPPPP) is open<strong>in</strong>g up major opportunities <strong>for</strong><br />

manufactur<strong>in</strong>g capacity development <strong>in</strong> w<strong>in</strong>d and solar energies, <strong>in</strong>clud<strong>in</strong>g components production.<br />

• <strong>The</strong>re are significant advanced manufactur<strong>in</strong>g opportunities to drive the proliferation of digitisation and artificial<br />

<strong>in</strong>telligence through robotics and artificial <strong>in</strong>telligence across numerous manufactur<strong>in</strong>g activities <strong>in</strong> <strong>South</strong> <strong>Africa</strong>.<br />

• <strong>The</strong> current low adoption of Fourth Industrial Revolution (4IR) technologies <strong>in</strong> the rest of <strong>Africa</strong> provides<br />

significant opportunities to leverage on <strong>South</strong> <strong>Africa</strong>’s <strong>in</strong>dustrial capital.<br />

Factors support<strong>in</strong>g the development of advanced<br />

manufactur<strong>in</strong>g <strong>in</strong>dustries <strong>in</strong> <strong>South</strong> <strong>Africa</strong><br />

Strategic government support through the National<br />

Research and Development Strategy (NRDS) and<br />

Integrated Manufactur<strong>in</strong>g Strategy (IMS) to boost<br />

the development of advanced technologies that<br />

will enhance competitiveness <strong>in</strong> the manufactur<strong>in</strong>g<br />

sector.<br />

Integrated, sector-driven <strong>in</strong>novation networks<br />

led by science councils, <strong>in</strong>clud<strong>in</strong>g advanced<br />

metals, advanced materials, ICT <strong>in</strong> manufactur<strong>in</strong>g,<br />

aerospace, capital goods, chemicals, and advanced<br />

production <strong>in</strong>novation.<br />

Technology Stations Programme (TSP) <strong>in</strong> partnership<br />

with lead<strong>in</strong>g local universities.<br />

Research and development tax <strong>in</strong>centives, public<br />

sector product designation, competitive supplier<br />

development programmes and technology<br />

localisation programme.<br />

Industry <strong>in</strong>novation programmes and sector<br />

<strong>in</strong>novation fund.<br />

Key growth nodes <strong>in</strong><br />

advanced manufactur<strong>in</strong>g<br />

• Expand<strong>in</strong>g market opportunities <strong>in</strong> the Internet<br />

of Th<strong>in</strong>gs (IoT) emerg<strong>in</strong>g technologies, <strong>in</strong>clud<strong>in</strong>g<br />

advanced mobile communication technology and<br />

<strong>in</strong>terconnectivity.<br />

• Manufactur<strong>in</strong>g of <strong>in</strong>ter-connected devices.<br />

• Big data analytics (development of <strong>in</strong>tegrated citizen<br />

databases enabled by biometric technology and<br />

cloud comput<strong>in</strong>g).<br />

• Artificial <strong>in</strong>telligence, robotics and neural network<br />

technology applications across <strong>in</strong>dustrial and<br />

services sectors of the economy.<br />

• Manufactur<strong>in</strong>g of autonomous vehicles.<br />

• New-generation m<strong>in</strong><strong>in</strong>g equipment manufactur<strong>in</strong>g<br />

clusters target<strong>in</strong>g deep-level, narrow-seam m<strong>in</strong><strong>in</strong>g.<br />

• Additive manufactur<strong>in</strong>g (3D pr<strong>in</strong>t<strong>in</strong>g).<br />

• Nano- and biotechnology.<br />

• Quantum comput<strong>in</strong>g.<br />

• Cybersecurity.

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