Western Cape Business 2020 edition

SPECIAL FEATURE
and gas, timber, tourism, waste beneficiation and
clean energy.
Being perceived as business-friendly is clearly
important to policy planners in the Western
Cape. In his first State of the Province Address,
new Premier Alan Winde said in 2019 that his
administration’s priorities included removing and
streamlining barriers for business, developing a
provincial “Ease of Doing Business Index” in the
Western Cape, supporting informal and township
economies and providing incentive schemes for
small businesses.
Africa was the destination for the largest share
of Western Cape exports ($3.3-billion) in 2017,
with SACU and SADC being the second and third
largest subregions for Western Cape exports after
the European Union ($2.4-billion). The rest of Africa
is also the largest destination for investment by
Western Cape companies, accounting for 54% of
outward FDI investment from 2008 to September
2018. An estimated 46% of international
companies investing in the Western Cape
indicated that they intended using the Western
Cape as a springboard into Africa (Wesgro).
One of the strongest growth areas for exports
is in the halal market. The inaugural Africa Halal
Week in 2018 had 25 international guests with
700 delegates. Agricultural and agri-processing
products have done well in all markets.
Key export facts
By reporting time at the end of Quarter 3 of the
2018/19 financial year, Wesgro reported:
• A total of 16 global export business
agreements amounting to an estimated
R338-million in export value in Quarter 3.
• R4-billion in trade deals secured for Cape
Town and the Western Cape to date.
• Resulting in 783 jobs over the next five years.
Speaking at a conference in 2019, Cape Town
City Mayoral Committee Member for Economic
Opportunities and Asset Management James
Vos said, “Our main aim is to be the go-to city in
Africa for business, investment, film, trade and
tourism.” Vos outlined how the city was investing
in IT infrastructure, with 848km of fibre-optic cable
laid and a further R1.9-billion in the pipeline to be
spent on fibre infrastructure.
The successful Air Access programme has
not only boosted tourist numbers to the Western
Cape. The new United Airlines flight between Cape
Town and New York will lead to an increase in
direct and indirect imports into the province, with
cargo capacity contributing approximately R94-
million in possible additional trade. It could also
contribute R286-million to the Gross Geographic
Product (GGP) and R144-million in direct Gross
Value Add (GVA) to the local economy.
WESTERN CAPE BUSINESS 2020
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