Eastern Cape Business 2021-22

The 2021/22 edition of Eastern Cape Business is the 14th edition of this successful publication that, since its launch in 2006, 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. The fact that the province is home to the majority of wind power projects as part of the country’s drive to promote renewable energy is the subject of a special feature. Overviews are provided on the key economic sectors of the province, including the vital contribution that the agricultural and automotive sectors continue to make on the province’s economic trajectory. References are made to the potential of the Oceans Economy and to the prospects of oil and gas for this coastal province. The major business chambers in the province have made contributions to the journal.

The 2021/22 edition of Eastern Cape Business is the 14th edition of this successful publication that, since its launch in 2006, 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. The fact that the province is home to the majority of wind power projects as part of the country’s drive to promote renewable energy is the subject of a special feature.

Overviews are provided on the key economic sectors of the province, including the vital contribution that the agricultural and automotive sectors continue to make on the province’s economic trajectory. References are made to the potential of the Oceans Economy and to the prospects of oil and gas for this coastal province. The major business chambers in the province have made contributions to the journal.


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<strong>2021</strong>/<strong>22</strong> EDITION<br />



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southern Africa<br />

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2020 EDITION<br />

2019 EDITION<br />







FOCUS<br />

Bayworld and Happy Valley redevelopment<br />

hold key to economic rejuvenation of Bay<br />

Dorelle Sapere, Senior Project Manager of Mandela Bay Development Agency,<br />

explains how a new project will unlock heritage, conservation and tourism value.<br />

The objectives of the Bayworld and Happy Valley<br />

programme are to:<br />

The Bayworld and Happy Valley<br />

redevelopment is a megaproject for the<br />

<strong>Eastern</strong> <strong>Cape</strong> and seeks to transform 55ha<br />

of underutilised land spatially, socially and<br />

economically into an inclusive, post-apartheid new<br />

heart for Nelson Mandela Bay.<br />

The goal of the programme is to enable multigenerational,<br />

multi-cultural and mixed-income group<br />

usages. The mission is to create a spectacular, iconic<br />

place that is the headquarters of the Nelson Mandela<br />

Bay eco-tourism and edutainment experience, rooted<br />

in the heritage and cultures of the <strong>Eastern</strong> <strong>Cape</strong> to<br />

drive conservation and economic development.<br />

The Bayworld and Happy Valley programme<br />

focuses on the national imperatives of job creation<br />

and economic development while ensuring<br />

psycho-social development, conservation and<br />

education for the <strong>Eastern</strong> <strong>Cape</strong>. This is to be<br />

achieved by activating the potential of its unique<br />

biodiversity and intangible heritage to leverage the<br />

tourism industry.<br />

• Unlock the green, built and cultural heritage of<br />

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

• Package the wealth of tourism offerings of the<br />

province and provide access to them through a<br />

digital experience of each and follow up with real<br />

in-person experiences.<br />

• Conserve the threatened biodiversity treasures<br />

of the region, both in the ocean and on land.<br />

• Drive an education, knowledge dissemination<br />

and research programme that will stimulate<br />

minds across the <strong>Eastern</strong> <strong>Cape</strong>, South Africa<br />

and abroad.<br />

• Enable social cohesion through access to the<br />

experience by multi-age, multi-cultural and<br />

multi-economic groups from the Bay and the<br />

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

The Bayworld and Happy Valley programme consists<br />

of 13 catalytic capital projects that cut across the<br />

heritage, science, environmental, conservation, tourism,<br />

educational, industrial, recreational and housing sectors.<br />

This project utilises the Quadruple Helix model<br />

and aims to deliver:<br />

• A conservative R2.2-billion of investment.<br />

• Potentially 4 239 temporary jobs during the<br />

construction phase.<br />

• Potentially 806 permanent job opportunities<br />

during the operational phase.<br />

• A potential contribution to GDP of R1.5-billion<br />

per annum.<br />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong>

3 EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong>


<strong>Eastern</strong> <strong>Cape</strong> <strong>Business</strong> <strong>2021</strong> Edition<br />

Introduction<br />

Foreword 6<br />

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

Special features<br />

Regional overview of the <strong>Eastern</strong> <strong>Cape</strong> 8<br />

The province’s Special Economic Zones are attracting investors in traditional<br />

sectors such as automotive and in new sectors such as aquaculture. The<br />

national ports authority has set up new headquarters at the Port of Ngqura.<br />

The wind power province 14<br />

The <strong>Eastern</strong> <strong>Cape</strong> is attracting the lion’s share of investment in wind energy.<br />

Economic sectors<br />

Agriculture and agro-processing 26<br />

Cannabis producers are thinking of automotive applications.<br />

Water 28<br />

The Umzimvubu project is a national priority.<br />

Construction and property 29<br />

Gqeberha is expanding westwards.<br />

Manufacturing 30<br />

Ford wants to see a rail corridor to Gauteng established.<br />

Tourism 31<br />

East London’s beachfront is being upgraded.<br />

Education and training 32<br />

Curro has expanded its <strong>Eastern</strong> <strong>Cape</strong> footprint.<br />

Banking and financial services 34<br />

New banks are offering more choices.<br />

Development finance and SMME support 36<br />

Supply chains are providing chances for small businesses.<br />


Credit: Courtesy of Transnet National Ports Authority (TNPA). The eMendi<br />

building at the Port of Ngqura is within the Coega Special Economic Zone<br />

(Coega SEZ) and is shown with the busy port and Algoa Bay behind it. The<br />

building, designed by Dominic Bonnesse Architects and completed in 2017,<br />

became the national headquarters of the TNPA in <strong>2021</strong>.

Unlocking growth<br />

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

Standard Bank is helping businesses thrive.<br />

While the <strong>Eastern</strong> <strong>Cape</strong> faces many<br />

challenges it also presents an array of<br />

opportunities for those willing to invest<br />

the time and money needed to unlock<br />

its growth potential.<br />

As the second-largest province in South Africa<br />

the <strong>Eastern</strong> <strong>Cape</strong> is a fusion of manufacturing,<br />

agriculture, logistics, mining, construction and tourism<br />

opportunities.<br />

Each of these sectors presents avenues for employment,<br />

growth and trade, both locally and internationally.<br />

Small and medium enterprises (SMEs) are the lifeblood<br />

of the <strong>Eastern</strong> <strong>Cape</strong>. They play a crucial role in its growth,<br />

providing employment, boosting new economies, and<br />

connecting the continent to the rest of the world.<br />

At Standard Bank we are proud of our long history in the<br />

province, which stretches back to 1862.<br />

We continue to look for relevant ways to partner<br />

with businesses across the province as they seek to<br />

uplift the communities in which they operate, and<br />

these partnerships include providing key services and<br />

products to make doing business the right way easier.<br />


Jonty Bouw, Head of<br />

Enterprise Direct<br />

Tel: 084 850 0594<br />

Email: Jonathan.Bouw@standardbank.co.za<br />

Innovative products<br />

Standard Bank’s business banking products and<br />

services are innovative and relevant and can help<br />

businesses thrive. Some examples:<br />

Our business account is designed to help you set your<br />

business up for success. MyMoBiz provides simple,<br />

affordable banking services for small business. With<br />

MyMoBiz you get everything you need to run your<br />

business and manage your finances on the go, including<br />

dedicated support from a team of business bankers.<br />

To help clients make the move to digital, seamless banking,<br />

Standard Bank launched SimplyBlu, an innovative, all-inone<br />

payment solution that enables business owners to<br />

take their business online all from a single, secure platform.<br />

Then there is PocketBiz, designed for entrepreneurs on<br />

the go. It offers you a secure card payment solution that<br />

eliminates the need to accept or carry cash or follow up<br />

on invoice payments.<br />

At Standard Bank, our purpose is to drive Africa’s growth.<br />

We enable businesses that align with our purpose, and<br />

this contributes to the growth of our economy and<br />

the growth of our continent, South Africa and our own<br />

province, the <strong>Eastern</strong> <strong>Cape</strong>. ■<br />

Leigh-Anne de Witt, Head of<br />

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

Tel: 083 447 3875<br />

Email: Leigh-anne.Dewitt@standardbank.co.za


<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 />

Credits<br />

Publishing director:<br />

Chris Whales<br />

Editor: John Young<br />

Managing director: Clive During<br />

Online editor: Christoff Scholtz<br />

Designer: Tyra Martin<br />

Production: Aneeqah Solomon<br />

Ad sales:<br />

Gavin van der Merwe<br />

Sam Oliver<br />

Jeremy Petersen<br />

Gabriel Venter<br />

Vanessa Wallace<br />

Shiko Diala<br />

Administration & accounts:<br />

Charlene Steynberg<br />

Kathy Wootton<br />

Printing: FA Print<br />

The <strong>2021</strong>/<strong>22</strong> edition of <strong>Eastern</strong> <strong>Cape</strong> <strong>Business</strong> is the 14th edition<br />

of this successful publication that, since its launch in 2006,<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. The fact that the province is home to the<br />

majority of wind power projects as part of the country’s drive to promote<br />

renewable energy is the subject of a special feature.<br />

Overviews are provided on the key economic sectors of the province,<br />

including the vital contribution that the agricultural and automotive sectors<br />

continue to make on the province’s economic trajectory. References are<br />

made to the potential of the Oceans Economy and to the prospects of<br />

oil and gas for this coastal province. 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 edition, the full content can also be viewed online<br />

at www.easterncapebusiness.co.za. Updated information on the <strong>Eastern</strong><br />

<strong>Cape</strong> is also available through our monthly e-newsletter, which you can<br />

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

business-to-business titles that cover all nine provinces as well as our<br />

flagship South African <strong>Business</strong> title. In 2020 the inaugural edition of African<br />

<strong>Business</strong> was published. ■<br />

Chris Whales<br />

Publisher, Global Africa Network | Email: chris@gan.co.za<br />


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

incoming trade missions, through trade and investment agencies;<br />

to foreign offices in South Africa’s main trading partners around the<br />

world; at top national and international events; through the offices<br />

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

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

provincial government departments, municipalities and companies.<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 />

Member of the Audit Bureau<br />

of Circulations ISSN 1995-1310<br />

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

published 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.<br />

PHOTO CREDITS | Buffalo City Tourism, BTE Renewables, Daimler.com,<br />

DHK Architects, Dominic Bonnesse Architects, East London IDZ, Graaff-<br />

Reinet Tourism, Gamtoos Irrigation Board, Mandela Bay Development<br />

Agency, Kierran Allen Photography/Nelson Mandela Bay Stadium, Nelson<br />

Mandela Bay Tourism, St George’s Preparatory, Transnet National Ports<br />

Authority, Volkswagen SA.<br />

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

Ltd, has used all reasonable efforts to ensure that the information<br />

contained in <strong>Eastern</strong> <strong>Cape</strong> <strong>Business</strong> is accurate and up-to-date, the<br />

publishers make no representations as to the accuracy, quality,<br />

timeliness, or completeness of the information. Global Africa Network<br />

will not accept responsibility for any loss or damage suffered as a result<br />

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

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />


Coca-Cola Beverages<br />

South Africa — taking water<br />

management to another level<br />

Nhlanhla Yende, Regional Manufacturing Manager for CCBSA Coastal Region,<br />

outlines his company’s comprehensive approach to water.<br />


What is the extent of the CCBSA footprint in the Coastal Region?<br />

We have a total of 656 employees in the four manufacturing sites. From<br />

these sites, we service KwaZulu-Natal and the <strong>Eastern</strong> <strong>Cape</strong>, and in<br />

the Western <strong>Cape</strong> we supply all Appletiser products and Coca-Cola<br />

products in cans packages.<br />

Nhlanhla Yende<br />


Nhlanhla Yende started his career in<br />

1999 as a metrologist, specialising<br />

in fluid flow for air, water and hydrocarbons<br />

at the National Metrology<br />

Institute of South Africa. He has over<br />

16 years’ experience in Fast Moving<br />

Consumer Goods, one of which was<br />

spent at Mercedes-Benz working as a<br />

Quality Engineer and the balance at<br />

CCBSA where he held numerous operational<br />

roles in Manufacturing. He is<br />

currently responsible for four plants,<br />

in Durban, Port Elizabeth and Elgin.<br />

What are the principles of CCBSA’s water policy?<br />

The CCBSA water strategy is made of these pillars: To optimise the use of<br />

water within our operations by implementing industry best practices.<br />

To achieve a water balance – make the same amount of water used to<br />

make our beverages available to the communities in which we operate<br />

and to leverage our system expertise and partnerships to enhance and<br />

support local governments’ capabilities in our markets.<br />

Please explain your water protection plans.<br />

We have water recovery processes in our production facilities, which allows<br />

us to reuse water for non-production related activities, like cleaning. We also<br />

have been investing in rainwater harvesting and groundwater initiatives to<br />

diversify our sources. To this end, we have two sites which are using at least<br />

10% to 15% of their total water from these alternative sources.<br />

What steps are being taken in the <strong>Eastern</strong> <strong>Cape</strong> to reduce<br />

water usage?<br />

• We have two boreholes in our Port Elizabeth plant, which is helping us<br />

to reduce our dependency on surface water.<br />

• The plant is constantly monitoring the ratio of water used in the production<br />

processes for each litre of product to ensure we can eliminate waste.<br />

• We reuse the water from the production process for sanitation.<br />

Do you treat wastewater?<br />

We constantly monitor the effluent water to ensure we do not cause harm<br />

to the environment. In instances where we find that the pH value of the<br />

effluent is high, we treat it. We also monitor the levels of dissolved oxygen.<br />

Are there CCBSA water access projects in communities in need?<br />

Yes, through an initiative driven by our Public Affairs, Communications<br />

and Sustainability team, there are a total of seven groundwater harvesting<br />

projects on the go. Five of those projects have been completed and<br />

handed over to the communities. Two of the five completed projects are<br />

in the <strong>Eastern</strong> <strong>Cape</strong>, in Ngcobo and Queenstown. ■<br />

7<br />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong>




The province’s Special Economic Zones are attracting investors<br />

in traditional sectors such as automotive and in new sectors<br />

such as aquaculture. The national ports authority has set up new<br />

headquarters at the Port of Ngqura.<br />

By John Young<br />

The decision by the Transnet National Ports<br />

Authority (TNPA) to relocate staff from<br />

Johannesburg and Durban to new national<br />

headquarters at the Port of Ngqura within<br />

the Coega Special Economic Zone is a significant<br />

marker of confidence in the <strong>Eastern</strong> <strong>Cape</strong>.<br />

The eMendi building (pictured above), which<br />

houses the administration of the TNPA, is in<br />

the shape of a ship and employs many green<br />

concepts such as rainwater harvesting, solar<br />

panels, light motion sensors and large windows<br />

to take advantage of natural light. The 10 000m²,<br />

R255-million building was completed in 2017 to<br />

the design of Dominic Bonness. The <strong>Eastern</strong> <strong>Cape</strong><br />

Infrastructure (ECI) joint venture was responsible for<br />

the contract. ECI, which comprises Mott MacDonald,<br />

LDM and SFC, was also the team behind a multiyear,<br />

R3.5-billion upgrade and expansion project at<br />

the ports of East London, Ngqura and Port Elizabeth<br />

which was completed in 2018.<br />

The name eMendi honours the black<br />

servicemen who drowned on the SS Mendi in<br />

World War I.<br />

The value proposition of the Port of Ngqura is<br />

that as a deepwater port strategically positioned<br />

within a Special Economic Zone (SEZ), it can provide<br />

integrated, competitive and efficient port services<br />

as a global transhipment hub ideally positioned on<br />

the east coast of Africa.<br />

There are hopes that TNPA’s decision will unlock<br />

another move that has been under discussion for<br />

decades – the relocation of the tank farm and the<br />

manganese storage facility from the Port of Port<br />

Elizabeth to the Port of Ngqura. This would have<br />

the effect of opening up prime waterfront space to<br />

tourism and hospitality businesses, allowing them<br />

to offer an entirely new kind of tourist experience<br />

within the harbour.<br />

The <strong>Eastern</strong> <strong>Cape</strong>’s two SEZs are key drivers in<br />

the province’s strategy to attract investors. At the<br />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />



Credit: Dominic Bonnesse Architects<br />

Coega SEZ, major current investors include BAIC SA<br />

(R11-billion), the Dedisa Power Peaking Plant (R3.5-<br />

billion), FAW SA (R600-million) and CEMZA (R600-<br />

million). Even though Covid-19 had an effect on<br />

activity in the SEZ, four major projects were under<br />

construction during 2020. The following facilities<br />

were being built: two for logistics companies (DHL<br />

Logistics and APLI), a multi-user facility and the new<br />

Aquaculture Development Zone, which is being<br />

developed at a cost of R259-million.<br />

The Coega Development Corporation, which<br />

is assisting in the rollout of infrastructure projects<br />

in different parts of South Africa, has now been<br />

asked to assist provincial departments, public<br />

entities and municipalities within the <strong>Eastern</strong> <strong>Cape</strong><br />

to package projects to attract funding for socioeconomic<br />

development.<br />

The East London Industrial Development<br />

Zone (ELIDZ) has a strong suit in automotive<br />

suppliers, anchored around the proximity to<br />

the Mercedes-Benz South Africa facility. The<br />

ELIDZ has also received recent investments in<br />

a diamond cutting and polishing and condom<br />

manufacturing. While the variety of investors<br />

at both SEZs continue to grow (Coega has 14<br />

distinct business zones), developments in the<br />

Oceans Economy, renewable energy (wind in<br />

particular) and the oil and gas sector are showing<br />

the greatest promise of new growth.<br />

The automotive sector remains the strongest<br />

manufacturing sector in the <strong>Eastern</strong> <strong>Cape</strong>. The scale<br />

of recent automotive investments is impressive.<br />

With two new Chinese car-makers (FAW and Beijing<br />

Automotive Group South Africa, BAIC) in the Coega<br />

SEZ, increased production volumes will ensure that<br />

jobs are created. The sector already accounts for<br />

more than 400 000 jobs in the province.<br />

The long-term presence of Mercedes-Benz South<br />

Africa, Volkswagen South Africa, Isuzu and Ford has<br />

now been bolstered by the R11-billion committed<br />

by BAIC. The automotive components and service<br />

industry is similarly diverse, with everything<br />

from tyres, windshields and batteries to catalytic<br />

converters being manufactured and exported.<br />

Mercedes-Benz consistently breaks records for<br />

the number of cars it exports through the Port of East<br />

London via Transnet Port Terminals. The company<br />

spent about R10-billion in preparing its plant to<br />

manufacture the new C-Class, for which it makes<br />

12 variants. The plant is now also an IT Hub with a<br />

focus on data analytics, software development and<br />

business analysis.<br />

In 2019 the Kariega (Uitenhage) plant of<br />

Volkswagen Group South Africa created a new<br />

production record of 161 954 vehicles, with 108 4<strong>22</strong><br />

destined for the export market.<br />

Ford announced in February <strong>2021</strong> that it would<br />

be spending R15.8-billion on its South African<br />

operations, which include an engine plant in<br />

Gqeberha (Port Elizabeth). Ford wants to see a highcapacity<br />

rail corridor built to link Gauteng (where it<br />

makes Rangers) with the <strong>Eastern</strong> <strong>Cape</strong>.<br />

One of the single biggest manufacturers in the<br />

province is Aspen. The pharmaceuticals company’s<br />

Gqeberha plant has recently had its capacity<br />

significantly expanded thanks to an investment<br />

of R3-billion. In late 2020 the company signed a<br />

preliminary agreement with Johnson & Johnson to<br />

fill vaccine vials but the process was held up by other<br />

factors. Aspen was hoping to produce more than<br />

300-million doses of the vaccine.<br />

Energy projects<br />

An established market for Liquefied Natural Gas<br />

(LNG) exists within the Coega SEZ.<br />

The existing 342MW Dedisa Power Peaking Plant<br />

at Coega already has environmental authorisation for<br />

9<br />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong>

Credit: Daimler.com<br />

a 400kV transmission line between the plant site and<br />

the Dedisa substation which reduces costs for future<br />

investors. A draft scoping report has been prepared for<br />

an integrated LNG terminal and gas-to-power plant.<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 />

Imported LNG would be used as feedstock initially,<br />

while exploring local sources. Drilling off the<br />

southern coast has revealed vast resources in the<br />

Brulpadda field in the Southern Outeniqua Basin. If<br />

some of this gas could be recovered, the two SEZs<br />

on the <strong>Eastern</strong> <strong>Cape</strong> coast would become critical<br />

to its utilisation.<br />

Activity in the oil and gas sector would in turn<br />

stimulate the maritime sector. The potential of<br />

the Oceans Economy is already receiving a lot of<br />

attention and Nelson Mandela University’s Ocean<br />

Campus is one of the leaders. The South African<br />

International Maritime Institute (SAIMI) has new<br />

headquarters in Port Elizabeth.<br />

The provincial government has invested R206-<br />

million in the development of 100ha Aquaculture<br />

Development Zone in the Coega SEZ. This aligns<br />

with the Oceans Economy master plan, which<br />

aims to leverage the province’s coastal assets in<br />

terms of fishing, bunkering, oil and gas industry<br />

development, tourism and marine transport and<br />

manufacturing.<br />

Where energy and the <strong>Eastern</strong> <strong>Cape</strong> are already<br />

functioning strongly is in wind power. The exciting<br />

developments in this field are covered in a separate<br />

article in this publication.<br />

Geography<br />

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

square kilometres, representing 13.9% of<br />

South Africa’s land mass. The dry western<br />

interior is one of the country’s premier sheeprearing<br />

destinations and it is the home of the<br />

mohair industry.<br />

The mountainous regions of the north and<br />

east of the province support timber plantations<br />

while the coastal belt in the south-west is wellwatered<br />

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

province has spectacular beaches stretching<br />

from the surfer’s paradise at Jeffreys Bay all the<br />

way to the famed Wild Coast.<br />

Two major airports at Port Elizabeth and East<br />

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

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

Municipalities<br />

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

and 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 />

IDZ contribute to making this an important<br />

regional centre. Buffalo City hosts a variety of<br />

manufacturers from vehicles to batteries and<br />

cotton textiles and is responsible for 19.6% of<br />

provincial GDP. There are many opportunities for<br />

agro-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 />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />



Nelson Mandela Bay Metropolitan Municipality<br />

Towns: Gqeberha (Port Elizabeth), Kariega<br />

(Uitenhage), Despatch<br />

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

of manufacturing concerns, the Nelson Mandela<br />

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

economic drivers. It contributes 38.7% to<br />

provincial GDP. Volkswagen, General Motors and<br />

Ford 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. The Nelson<br />

Mandela Bay Stadium and St George’s Park cricket<br />

ground host provincial and international sports<br />

matches. Superb beaches and plentiful outdoor<br />

options make the area a popular tourist stop. The<br />

Addo Elephant National Park is less than an hour’s<br />

drive from the Port 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 boost<br />

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

forestry are the major economic activities.<br />

Amathole District Municipality<br />

Towns: Cathcart, Stutterheim, Morgan’s Bay,<br />

Willowvale, Butterworth, Alice, Bedford<br />

The rural Amathole District surrounds the<br />

metropolitan area of Buffalo City. Pineapple<br />

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

agricultural activities. Popular resorts on the<br />

Wild Coast attract many tourists to the area.<br />

Hogsback and other towns near the Amatole<br />

Mountains offer beautiful scenery and popular<br />

beaches. Alice hosts the main campus of the<br />

University of Fort Hare.<br />

Chris Hani District Municipality<br />

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

Komani (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 />

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

use, while commercial forestry is a big contributor<br />

to 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<br />

the Drakensberg mountains. Tiffindell has been<br />

revived as a ski resort. The village of Rhodes hosts a<br />

“Stoepsit” festival in February.<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. There is mining in some areas but plans<br />

for titanium mining on seaside dunes are being<br />

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 Bay,<br />

Makhanda (Grahamstown)<br />

The western part of the province contains<br />

the biggest municipality geographically.<br />

Large commercial farms in the Karoo produce<br />

high-quality meat, wool and mohair, while<br />

the coastal belt has dairy farming and some<br />

forestry. The Kouga Valley is a big deciduous<br />

fruit producer, while the Kirkwood/Addo area<br />

is known for its citrus. Sarah Baartman has<br />

three of the region’s national parks and several<br />

private game farms. Makhanda hosts the<br />

National Arts Festival, Rhodes University and<br />

several fine schools. ■<br />

11<br />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong>


South African economy at a glance<br />

Insight into the South African ecomomy.<br />





Limpopo<br />

7%<br />


North West<br />

6%<br />

Gauteng<br />

Mpumalanga<br />

35%<br />

7%<br />

SWAZI-<br />

LAND<br />

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

2%<br />

Free State<br />

5%<br />


KwaZulu-<br />

Natal<br />

16%<br />

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

14%<br />

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

8%<br />

Percentage contribution of each province to national GDP.<br />


secured tens of thousands of new seats on direct<br />

Trends Table: South African mining production<br />

flights to and from the city).<br />

• Companies are successfully trading into Africa.<br />

Good Increased signs for the economy by 116.5% include: year-on-year • Niche in agricultural April markets <strong>2021</strong>. are booming with<br />

• Several provincial governments and investment macadamia nuts being the most successful.<br />

agencies are establishing trade relations and Pecan nuts have done well and wine and grape<br />

study Largest programmes contributors with BRICS countries. State % increase exports to China % contribution<br />

are growing.<br />

visits to and from China immediately before and • Private education at school and tertiary level is<br />

after a major BRICS summit in 2018 gave an indication<br />

that Ramaphosa holds high hopes for • New banking licences have been issued and<br />

growing as a sector.<br />

Platinum Group Metals 276.1% 39.2%<br />

increased trade with the biggest of the BRICS several more are in the pipeline.<br />

nations. Two-way trade between the countries in • New stock exchanges came on line in 2017 and<br />

2017 was worth $39.1-billion. South Africa wants more are expected.<br />

to Gold grow tourist numbers from China. South Africa 177.9% • Investment 16.6% in infrastructure (especially ICT and<br />

became the first country in the world to export railways) is strong. Nedbank’s report on capital<br />

beef to China in 2017, to go with existing exports expenditure in South Africa stated that the<br />

of<br />

Manganese<br />

iron ore, platinum<br />

ore<br />

and fruit and wine.<br />

208.2%<br />

29 large projects<br />

14.2%<br />

announced in the first half<br />

• Tourists are visiting South Africa in record numbers<br />

(<strong>Cape</strong> Town’s Air Access programme has Mail). The renewable energy<br />

of 2018 were valued at R63.9-billion (Financial<br />

programme<br />

Iron ore 149.1% 13.3%<br />

Source: StatsSA.com<br />


Source: world exports.com<br />

Table: South African mineral sales<br />

Mineral sales increased by 152.7%<br />

year-on-year in April <strong>2021</strong>.<br />

Largest contributors % increase % contribution<br />

PGMs 465.9% 103<br />

Iron ore 115.6% 19.5<br />

Gold 40.9% 6.5

10 REASONS<br />


01.<br />


MARKET<br />

Growing middle class, affluent consumer<br />

base, excellent returns on investment.<br />

02.<br />



South Africa (SA) has the most industrialised economy in Africa.<br />

It is the region’s principal manufacturing hub and a leading<br />

services destination.<br />



SA is the location of choice of multinationals in Africa.<br />

03.<br />

Global corporates reap the benefits of doing business in<br />

SA, which has a supportive and growing ecosystem as a<br />

hub for innovation, technology and fintech.<br />

05.<br />





SA has a sophisticated banking sector with a major<br />

footprint in Africa. It is the continent’s financial hub,<br />

with the JSE being Africa’s largest stock exchange by<br />

market capitalisation.<br />

The African Continental Free Trade Area will boost<br />

intra-African trade and create a market of over one<br />

billion people and a combined gross domestic product<br />

(GDP) of USD2.2-trillion that will unlock industrial<br />

development. SA has several trade agreements in<br />

place as an export platform into global markets.<br />


09.<br />

SA has a number of world-class universities and colleges<br />

producing a skilled, talented and capable workforce. It<br />

boasts a diversified skills set, emerging talent, a large pool<br />

of prospective workers and government support for training<br />

and skills development.<br />

07.<br />

04.<br />

06.<br />

08.<br />





SA has a progressive Constitution and an independent judiciary. The<br />

country has a mature and accessible legal system, providing certainty<br />

and respect for the rule of law. It is ranked number one in Africa for the<br />

protection of investments and minority investors.<br />



SA is endowed with an abundance of natural resources. It is the leading producer<br />

of platinum-group metals (PGMs) globally. Numerous listed mining companies<br />

operate in SA, which also has world-renowned underground mining expertise.<br />




A massive governmental investment programme in infrastructure development<br />

has been under way for several years. SA has the largest air, ports and logistics<br />

networks in Africa, and is ranked number one in Africa in the World Bank’s<br />

Logistics Performance Index.<br />

10.<br />

SA offers a favourable cost of living, with a diversified cultural, cuisine and<br />

sports offering all year round and a world-renowned hospitality sector.<br />


OF LIFE<br />

Page | 2<br />

19<br />


The wind power province<br />

The <strong>Eastern</strong> <strong>Cape</strong> is attracting the lion’s share of<br />

investment in wind energy.<br />

The announcement in May <strong>2021</strong> that<br />

the 123MW Golden Valley Wind Energy<br />

Facility near Cookhouse south of<br />

Cradock in the Sarah Baartman District<br />

Municipality had reached commercial operations<br />

means that the energy requirements of about<br />

120 000 households will be met.<br />

The announcement by BTE Renewables was also<br />

typical of statements being issued by companies<br />

operating in the province with increasing regularity. The<br />

<strong>Eastern</strong> <strong>Cape</strong> really is South Africa’s wind power province.<br />

South Africa’s National Development Plan (NDP)<br />

requires 20 000MW of renewable energy by 2030<br />

and wind power technology, together with solar<br />

photovoltaic, are the two primary methods that are<br />

being deployed in pursuit of that target.<br />

Just a few kilometres east of Cookhouse there<br />

are a further two wind farms, both awarded to<br />

Enel Green Power (EGP) in the fourth round of the<br />

country’s Renewable Energy Independent Power<br />

Producer Procurement Programme (REIPPPP). The<br />

Nxuba and Nojoli wind farms will respectively<br />

produce 140MW and 88MW and represent what<br />

might be called Enel’s <strong>Eastern</strong> <strong>Cape</strong> mountain area<br />

investment. On the coast they have built wind<br />

farms at Oyster Bay and Gibson Bay, west of the<br />

138MW Jeffreys Bay Wind Farm, which is run by<br />

Globeleq and was one of the country’s first big<br />

wind energy facilities.<br />

The suitability for wind power generation of<br />

the <strong>Eastern</strong> <strong>Cape</strong>’s coastline and its mountainous<br />

regions is illustrated again in the profile of<br />

Cennergi, the energy company that was born of<br />

diversified resources company Exxaro. Cennergi has<br />

the 134MW Amakhala Emoyeni Wind Farm project<br />

near Bedford in the Winterberg mountains and<br />

the 95MW Tsitsikamma Community Wind Energy<br />

Facility (TCWF) close to the sea, about 30km west<br />

of Humansdorp.<br />

Ownership<br />

The Golden Valley Wind Energy Facility is owned<br />

by BTE Renewables (60%), Thebe Investment<br />

Corporation (37.5%) and a local community trust<br />

(2.5%). This is a typical ownership structure for<br />

renewable energy power projects under the REIPPPP.<br />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />



Credit: BTE Renewables<br />

The REIPPPP has attracted a good deal of praise for<br />

its efficiency and effectiveness: in five years about<br />

R200-billion was committed in investments in a<br />

variety of projects all over South Africa.<br />

South Africa’s two biggest institutional investors,<br />

the Industrial Development Corporation (IDC) and<br />

the Public Investment Corporation (PIC), have<br />

played a big role in helping communities fund<br />

participation in community trusts which have taken<br />

ownership stakes in power projects.<br />

The REIPPPP was derailed for a period but is<br />

now back on track. One of the sad results of the<br />

refusal by national utility Eskom to buy renewable<br />

power for two years was the closing down and<br />

auctioning off of a wind tower manufacturing plant<br />

in the <strong>Eastern</strong> <strong>Cape</strong>. DCD Wind Towers was a joint<br />

venture between the DCD Group and the Industrial<br />

Development Corporation (IDC) at Coega.<br />

The South African Wind Energy Association<br />

(SAWEA) has issued a Commitment Statement<br />

which noted that the REIPPPP has a “built-in<br />

demand for local procurement”, not only offering<br />

business opportunities to local companies, but also<br />

incentivising the industry to identify and support<br />

emerging entrepreneurs.<br />

The rollout of renewable energy has met some<br />

resistance in South Africa from constituencies as<br />

diverse as coal-truck drivers and advocates of<br />

nuclear power. In response, renewable energy<br />

advocates cite not just investment figures, but<br />

they note how much good work has been done<br />

in communities.<br />

Figures released by SAWEA show shareholding<br />

for local communities at an estimated net income of<br />

R29.2-billion over the lifespan of the projects. Some<br />

14 000 new jobs are expected to be created, mostly<br />

in rural areas, and more than R30-billion has already<br />

been spent on Black Economic Empowerment (BEE)<br />

in the construction phase.<br />

Part of the SAWEA Commitment Statement<br />

reads, “Our aim over time is to transform and<br />

indigenise leadership at all levels in the South<br />

African Renewable Energy sector.”<br />

The average lead time in the projects that have<br />

so far been approved in the province is two years,<br />

with local content averaging out at about 47%.<br />

When the projects are complete, R142.9-billion will<br />

have been spent on procurement, R65.7-billion of<br />

which will be local.<br />

The <strong>Eastern</strong> <strong>Cape</strong> is now home to more than<br />

15 wind farms. More than half the wind farm<br />

projects so far approved in the REIPPPP have<br />

been allocated to the province. The Kouga area<br />

west of Jeffreys Bay and the Cookhouse/Bedford<br />

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

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

with a collective capacity of 1 185MW.<br />

POWERX has signed up with AKM Foods to<br />

supply power to all the KFC outlets in Nelson<br />

Mandela Bay. POWERX trades in renewable energy<br />

through licences granted to it by the national<br />

energy regulatory authority, NERSA. By aggregating<br />

power purchases, the company is able to mitigate<br />

risk in a way that an individual purchaser may not be<br />

able to. POWERX now supplies over 40 national and<br />

local customers in Nelson Mandela Bay and it aims<br />

to expand the customer base. ■<br />

15<br />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong>

executive@bkcob.co.za<br />

Lizelle Maurice<br />

Lizelle Maurice is a child of the<br />

<strong>Eastern</strong> <strong>Cape</strong> Soil. She did everal tertiary<br />

courses through Coronation nursing<br />

College, Unisa, Damelin & UCT.<br />

She owns Park Place Boutique Guest<br />

House, which has won her National Tourism<br />

Department’s Lilizela Awards in the Emerging<br />

Tourism Entrepreneur of the Year category.<br />

She was appointed as the BKCOB’s<br />

Executive Director in <strong>2021</strong>.



The Nelson Mandela Bay<br />

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

Nelson The Nelson Mandela<br />

Chamber Mandela Bay Bay<br />

A catalyst <strong>Business</strong> for economic growth Chamber<br />

in the region.<br />

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

The heartbeat Nelson Mandela of business Bay <strong>Business</strong> success Chamber in the is region. a not-for-profit An eighth task team, called Industry<br />

organisation representative of a broad spectrum of businesses 4.0, begins its work in 2019 to prepare<br />

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

The in Nelson Nelson Mandela Mandela Bay. Bay It is <strong>Business</strong> one of Chamber the largest is business a not-forprofit<br />

company in the <strong>Eastern</strong> representative <strong>Cape</strong>, with of a membership a broad spectrum of more<br />

local businesses for the digital shift.<br />

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

associations<br />

in Nelson Mandela Bay.<br />

of<br />

than 700 businesses businesses It is one<br />

employing<br />

of the Nelson largest<br />

over Mandela 100<br />

business<br />

000 Bay. people<br />

associations<br />

in a diverse<br />

in the <strong>Eastern</strong><br />

array<br />

of sectors. It is one of the largest business associations the <strong>Eastern</strong><br />

Enterprise Development<br />

<strong>Cape</strong>, with a membership of more than 700 businesses employing<br />

<strong>Cape</strong>, The over Nelson with 100 000 a Mandela membership people Bay in a <strong>Business</strong> diverse of more array than Chamber of 700 sectors. businesses is a leading employing catalyst<br />

and Exporter<br />

for over economic 100 The 000 Nelson development, people Mandela in a diverse through Bay <strong>Business</strong> array its of strategic Chamber sectors. Triple is a leading Helix model catalyst<br />

of collaboration for The economic Nelson between Mandela development, industry, Bay <strong>Business</strong> through academia Chamber its strategic and is government, a leading Triple Helix catalyst which model for Development<br />

serves economic of as collaboration the development, foundation between of through creating industry, its a strategic competitive academia Triple and Helix Nelson government, concept Mandela of building Bay. which<br />

Denise van Huyssteen,<br />

relationships The serves <strong>Business</strong> as the between Chamber foundation the has university-industry-government of been creating the heartbeat a competitive of business as Nelson the foundation success Mandela The Nelson Mandela Bay <strong>Business</strong><br />

Chief Executive Officer<br />

in the of Bay. creating region The a for <strong>Business</strong> competitive over 150 Chamber years. Nelson The Mandela has <strong>Business</strong> been Bay. the Chamber The heartbeat <strong>Business</strong> is driven Chamber of business by has a Chamber Enterprise Development<br />

team been success of dedicated the heartbeat in the staff region of business and for volunteers, over success 150 years.<br />

lobbying the region on for issues over 150 affecting years. the Programme Now in was its launched seventh phase, in 2014, the to<br />

ease of The doing The <strong>Business</strong> business Chamber and companies’ is is driven by sustainability. by a a team of of The dedicated organisation<br />

staff and develop programme Denise the van skills Huyssteen, is that funded enhance by and the<br />

also builds volunteers, international lobbying relations issues to form affecting a vital the the link ease ease between of of doing business<br />

grow <strong>Eastern</strong> Chief small<br />

Nomkhita Executive businesses. <strong>Cape</strong> Officer Development<br />

Mona,<br />

In<br />

Chief<br />

2018 the<br />

owners and and and companies’ international sustainability. markets. The The <strong>Business</strong> organisation Chamber also builds also builds interna-<br />

<strong>Business</strong> Corporation Chamber (ECDC)<br />

Executive successfully and is geared<br />

Officer. hosted<br />

the towards fifth phase developing of the sustainable<br />

Enterprise<br />

international markets.<br />

Development enhance SMEs through and Programme, an grow enabling small with and<br />

Vision<br />

SMEs businesses. creative set to graduate enterprise In 2018 in development<br />

the March <strong>Business</strong> 2019.<br />

international tional relations relations to form to form a vital a vital link link between business owners and and<br />

To be Vision a leading catalyst for economic development in Nelson Mandela Bay. Over Chamber programme, 120 entrepreneurs successfully and also have to facilitate<br />

hosted benefited<br />

the the from fifth effective this phase programme.<br />

combination of the Enterprise of skills of<br />

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

Nelson Mandela Bay.<br />

skills<br />

Meanwhile, Development development, the pilot<br />

coaching Programme,<br />

phase<br />

and<br />

of<br />

Mission<br />

the from <strong>Business</strong><br />

mentoring which Chamber’s using SMEs lessons graduated Exporter<br />

learnt<br />

in<br />

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

March from previous 2019.<br />

phases.<br />

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

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

competitive By influencing enabling the factors business and key environment. stakeholders that create a competitive Since Over its 120 its inception entrepreneurs in 2014, in have 2014, the<br />

enabling business environment.<br />

enabling business environment.<br />

the benefited programme from has this has programme.<br />

benefitted<br />

panies finishing this programme in its<br />

Task Teams<br />

186 Meanwhile, 186 businesses the who pilot have phase been<br />

first year. The programme is aimed<br />

of<br />

at<br />

Task<br />

The Task Nelson<br />

Teams teams Mandela Bay <strong>Business</strong> Chamber has established a structure<br />

the empowered <strong>Business</strong> Chamber’s with skills Exporter to run<br />

empowering SMEs to position themselves<br />

of The task Nelson teams Mandela to facilitate Bay the <strong>Business</strong> ease of Chamber doing business. has established The task teams a structure are:<br />

Development financially sustainable Programme enterprises for to<br />

The Nelson<br />

• of Infrastructure<br />

Mandela<br />

three task teams Task<br />

Bay <strong>Business</strong><br />

divided Team<br />

Chamber has established a structure<br />

into sub-groups, to facilitate the ease of unlock 2018/2019 to<br />

as<br />

unlock<br />

emerging<br />

socio-economic had socio-economic<br />

exporters.<br />

10 participants.<br />

development<br />

of seven<br />

• doing Water<br />

task<br />

business. Sub-group<br />

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

The task teams are:<br />

through That development figure structured has through multi-level grown structured for training, the<br />

The<br />

• • Roads<br />

task teams<br />

Infrastructure and Stormwater<br />

are:<br />

Task Team Sub-group<br />

mentoring 2019/2020 multi-level and training, linkage intake mentoring support. with and 19 The<br />

•<br />

• Electricity Water Task<br />

- Roads and Sub-group Team<br />

Events<br />

Stormwater Sub-group<br />

programme participants linkage support. runs registered. over The programme<br />

nine months The<br />

•<br />

• SMME Roads and<br />

- Water Task Storm<br />

Sub-group Team Water Task Team<br />

Events and programme runs at is over the facilitated Nelson nine is aimed months by Mandela<br />

at the empowering<br />

facilitated SMEs<br />

and Nelson Bay is<br />

• • Special SME<br />

- Electricity<br />

Task Projects Team<br />

Sub-group Task Team<br />

<strong>Business</strong> Mandela Chamber University by to the position<br />

keep Nelson <strong>Business</strong> themselves<br />

business Mandela School<br />

•<br />

•<br />

Electricity<br />

SMME Task<br />

and<br />

Team<br />

Energy Task Team<br />

owners and as University emerging the up eWatchdog. to <strong>Business</strong> date<br />

exporters.<br />

and School informed and the<br />

• Enterprise • Transport Special Development Projects and Logistics Task Team Programme<br />

Task Team<br />

on a eWatchdog. wide With variety an unemployment of topics affecting rate of<br />

• The Metro Nelson Collaboration Mandela Bay Task <strong>Business</strong> Team Chamber Enterprise Development business 36.4%, Events this in Nelson augurs Mandela well for Nelson Bay.<br />

• Programme Enterprise Trade and Development was Investment launched Task in Programme 2014, and TeamExporter to develop Development<br />

the skills that enhance Regular Mandela Events networking at Bay the Nelson as small functions Mandela businesses offer Bay<br />

and The grow Nelson small Mandela businesses. Bay Bay <strong>Business</strong> Chamber Enterprise Enterprise Development Development<br />

Now Programme in its was seventh launched was phase, launched in 2014, the to in develop programme 2014, to the develop skills is funded that the enhance skills by the that and vehicles owners to up drive to date job and creation.<br />

and <strong>Business</strong> entrepreneurship Chamber keep are business seen as<br />

Programme<br />


12<br />

informed<br />

<strong>Eastern</strong> grow small <strong>Cape</strong> businesses. Development Corporation (ECDC) and is geared One of the graduates, Yolanda<br />


EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />

<strong>22</strong><br />


Bukani, the Managing Director of Black Excellence, said the programme<br />

empowered her as an entrepreneur with many critical skills to<br />

successfully run her business.<br />

“Entrepreneurship is a lonely journey and without the necessary<br />

support, it’s easy to give up. But through this programme, I had the<br />

privilege of networking with other entrepreneurs and we shared each<br />

other’s journeys and, in the process, created a solid networking platform.<br />

“The mentorship was the greatest source of inspiration because<br />

it has helped us to traverse the challenges of running a business and<br />

how to overcome them. From here onwards, I foresee exponential<br />

growth in my business and hopefully I will be able to create more<br />

employment for the Bay’s youth because currently, opportunities are<br />

quite few,” Bukani said.<br />

Events<br />

Events at the Nelson Mandela Bay <strong>Business</strong> Chamber keep business<br />

owners up to date and informed on a wide variety of topics affecting<br />

business in Nelson Mandela Bay. Regular networking functions offer<br />

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

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

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

highlights on the Bay’s business and social calendar.<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 our quarterly printed<br />

member magazine, Infocom, and the printed annual <strong>Business</strong> Guide.<br />

Help desk<br />

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

business, the <strong>Business</strong> Chamber set up an Ease of Doing <strong>Business</strong> help<br />

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

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

members’ obstacles in conducting business. The <strong>Business</strong> Chamber<br />

also engaged with the city’s leadership in 2018 towards the goal of<br />

establishing a One Stop Shop for existing and potential investors and<br />

will continue these engagements in this year (<strong>2021</strong>).<br />

Research unit<br />

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

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

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

sectors. The unit provides a library of business intelligence and insights<br />

for the development of essential clusters.<br />

The Feather Market Centre has been repurposed<br />

as a modern conference centre in the<br />

heart of Gqeberha.<br />

Credit: Nelson Mandela Bay Tourism<br />

Certificates of Origin<br />

A Certificate of Origin is a<br />

document which states the<br />

origin of goods being exported<br />

and this “origin” is a key<br />

requirement for applying tariffs<br />

and other important criteria. As<br />

an accredited provider of this<br />

service, the Nelson Mandela<br />

Bay <strong>Business</strong> Chamber signs<br />

Certificates of Origin and offers<br />

exporters the opportunity to<br />

certify electronically through the<br />

ECOO system.<br />

Corporate Social Investment<br />

Because the majority of our<br />

membership’s workforce is based<br />

in the city, the region of Nelson<br />

Mandela Bay is the direct beneficiary<br />

of their Corporate Social Investment<br />

programmes – including skills<br />

development initiatives, bursaries<br />

and scholarships. Many of our<br />

member companies significantly<br />

contribute to alleviating poverty<br />

and specifically unemployment in<br />

the region of Nelson Mandela Bay<br />

through various initiatives purposed<br />

to grow the local economy. ■<br />


Address: 200 Norvic Drive, Greenacres 6045 | Tel: +27 (0) 41 373 11<strong>22</strong> | Fax: +27 (0) 41 373 1142<br />

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

19 EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong>


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

helps the public sector<br />

see money differently<br />

‘<br />

We understand that the various<br />

spheres of government and their<br />

agencies face unique challenges.<br />

They are ready and able to draw on<br />

the bank’s innovative, seamless and<br />

hassle-free products to help build a<br />

greater nation.<br />

‘<br />

But the bank's role goes beyond offering<br />

banking solutions to these vital entities. As<br />

money experts who do good, Nedbank strives to<br />

empower the people behind the public sector by<br />

saving them time, money and helping them<br />

manage their money better.<br />

Nedbank is committed to delivering easy and<br />

innovative banking solutions to government,<br />

municipalities, state-owned enterprises and<br />

academic institutions — including TVET colleges<br />

and universities — throughout South Africa.<br />

Mzi Baleni, Nedbank's Provincial Manager for<br />

the Public Sector in the <strong>Eastern</strong> <strong>Cape</strong>, says that<br />

given the strategic importance of the public<br />

sector to the economy and the country at large,<br />

Nedbank has a dedicated team to offer financial<br />

solutions that enable the broader mandate of<br />

service delivery. ‘We understand that the<br />

various spheres of government and their<br />

agencies face unique challenges. They are ready<br />

and able to draw on the bank’s innovative,<br />

seamless and hassle-free products to help build<br />

a greater nation.’<br />

'We help them save time by offering on-site help<br />

from dedicated teams and through our<br />

market-leading Nedbank Money app and other<br />

digital solutions. We also help them save money<br />

through our preferential banking solutions and<br />

our award-winning Financial Fitness and<br />

Consumer Education Programme. The latter<br />

helps them manage their money better by<br />

providing budgeting and money management<br />

training, equipping their employees to deal with<br />

everyday money management challenges,' says<br />

Baleni.<br />

To find out more about how Nedbank can<br />

partner with your organisation to grow a<br />

greater South Africa, please call Mzi Baleni on<br />

+27 71 928 5867, email him on<br />

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

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

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />

see money differently<br />

20<br />

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

and registered credit provider (NCRCP16).


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

aims to support all business<br />

sectors in the Port Elizabeth area<br />

‘<br />

Jordaan Roelofse, Nedbank<br />

Regional Manager of Retail and<br />

<strong>Business</strong> Banking for Port Elizabeth<br />

and surrounds, says that their<br />

business managers are specialists in<br />

the commercial, agriculture,<br />

professional, wholesale and retail<br />

industries and services, as well as<br />

the public sector.<br />

‘<br />

Nedbank understands that if the various<br />

challenges faced in the agricultural sector in<br />

particular are not addressed, it will threaten<br />

economic growth, food security, employment<br />

and investment. ‘By using our financial expertise<br />

to do good, we partner with our agricultural<br />

clients to contribute to a growing, competitive,<br />

transformed and climate-resilient agricultural<br />

sector.’<br />

Jordaan Roelofse, Nedbank Regional Manager<br />

of Retail and <strong>Business</strong> Banking for Port<br />

Elizabeth and surrounds, says that their<br />

business managers are specialists in the<br />

commercial, agriculture, professional, wholesale<br />

and retail industries and services, as well as the<br />

public sector.<br />

Operating from offices in Port Elizabeth,<br />

Roelofse says the team is ready to help clients<br />

with professional advice, industry-specific<br />

solutions and a comprehensive range of financial<br />

products and services.<br />

‘At Nedbank <strong>Business</strong> Banking, we believe that<br />

you need a flexible, resilient financial partner<br />

who not only understands your circumstances<br />

and aspirations, but also offers relevant<br />

solutions and a banking experience that is<br />

hassle-free. This lets you concentrate on what’s<br />

most important – running your business,’ says<br />

Roelofse.<br />

To this end, Nedbank has developed innovative<br />

funding solutions designed to support farmers<br />

with sustainable farming interventions, ranging<br />

from water efficiency mechanisms and<br />

cutting-edge irrigation to renewable-energy<br />

financing. Roelofse says that Nedbank’s<br />

leadership position in renewable-energy finance<br />

is helping many farmers and agribusinesses to<br />

benefit from cleaner, more reliable and<br />

affordable power generation than the national<br />

grid can provide.<br />

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

more information about Nedbank’s specialised<br />

service offering, call Jordaan Roelofse on<br />

+27 (0)83 627 <strong>22</strong>10, send an email to<br />

JordaanR@nedbank.co.za, or visit<br />

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

see money differently<br />

21 EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />

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

and registered credit provider (NCRCP16).


Money experts serving the<br />

East London business<br />

community<br />

Sandy Pelser, Nedbank Regional Manager of<br />

Retail and <strong>Business</strong> Banking for East London and<br />

surrounds, says that a deep commitment to<br />

partnership is what governs the team's personal<br />

and professional values.<br />

‘Our bigger-picture banking approach enables<br />

us to not only offer banking solutions that our<br />

clients need, but also a holistic view of how our<br />

products are connected to create a framework<br />

that yields maximum impact across every facet<br />

of their businesses and beyond,’ she says. ‘We<br />

know that success in business is about<br />

partnerships, so we put the building of deep,<br />

lasting, value-adding relationships at the centre<br />

of everything we do. This means your goals are<br />

our goals, your vision is our vision, and your<br />

success is our success – while you rely on our<br />

additional support that is most needed in times<br />

of change and uncertainty,’ she says.<br />

‘<br />

We know that success in business is<br />

about partnerships, so we put the<br />

building of deep, lasting,<br />

value-adding relationships at the<br />

centre of everything we do. This<br />

means your goals are our goals,<br />

your vision is our vision, and your<br />

success is our success – while you<br />

rely on our additional support that is<br />

most needed in times of change and<br />

uncertainty,<br />

Nedbank knows that navigating your business<br />

through a challenging economic landscape is<br />

hard enough, and that taking care of your daily<br />

business-banking needs shouldn't add to that<br />

load. 'With this in mind, we’ve designed the<br />

Nedbank <strong>Business</strong> Hub with convenience,<br />

security and control in mind. The Nedbank<br />

<strong>Business</strong> Hub boasts 130 different services that<br />

enables you to bank and transact, get finance,<br />

invest and insure – it's hassle-free banking at<br />

your fingertips,’ says Pelser.<br />

‘Ultimately, our philosophy is to partner with our<br />

clients to grow their businesses, so we’re always<br />

finding ways to support them in this quest. Our<br />

aim is to use our financial expertise to do good<br />

to help build a strong, resilient economy for the<br />

betterment of all,’ says Pelser.<br />

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

more information about Nedbank’s specialised<br />

service offering, call Sandy Pelser on<br />

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

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

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

‘<br />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />

see money differently<br />

<strong>22</strong><br />

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

and registered credit provider (NCRCP16).


Nedbank offers specialist<br />

support for a post-<br />

Covid-19 world<br />

Daneel Rossouw<br />

Sylvester Funani, Nedbank Regional Manager of<br />

Retail and <strong>Business</strong> Banking in Mthatha, says<br />

that as South Africa progresses through the<br />

various stages of Covid-19, they are working<br />

through recovery scenarios with existing and<br />

prospective clients. This is all while staying true<br />

to Nedbank's brand promise to use its financial<br />

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

businesses and communities in which it operates.<br />

Funani says that, during the pandemic, the bank<br />

has elevated its client engagement and<br />

extended tailormade relief to many of clients,<br />

equipping and enabling them to benefit from<br />

various digital and remote solutions. ‘This<br />

ensures uninterrupted transactional and<br />

informational access while not compromising on<br />

security,’ he says.<br />

‘...as South Africa progresses<br />

through the various stages of<br />

Covid-19, they are working through<br />

recovery scenarios with existing<br />

and prospective clients. This is all<br />

while staying true to Nedbank's<br />

brand promise to use its financial<br />

expertise to do good for individuals,<br />

families, businesses and<br />

communities in which it operates.<br />

One of the solutions the bank has added to its<br />

portfolio, specifically with Covid-19 safety in<br />

mind, is appointment banking. ‘For your<br />

convenience and to limit the time you spend in<br />

public spaces, you can now make an<br />

appointment with a dedicated relationship<br />

banker directly via the Nedbank Money app or<br />

Online Banking, and choose the date, time and<br />

branch that suits you,' says Funani.<br />

‘<br />

Funani’s team operates from the Nedbank<br />

Mthatha Plaza branch and is ready to help<br />

clients with professional advice, industry-specific<br />

solutions and a comprehensive range of financial<br />

products and services. His team is also<br />

supported by skilled agricultural specialists, who<br />

offer specialised advisory services.<br />

To take your financial wellness to the next level<br />

or for more information about Nedbank’s<br />

specialised service offering, call Sylvester Funani<br />

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

SylvesterF@nedbank.co.za, or visit<br />

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

see money differently<br />

23 EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />

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

and registered credit provider (NCRCP16).


Money experts bringing<br />

21st century banking to<br />

all communities<br />

‘<br />

Nedbank has continued to deliver on<br />

its brand promise, which is to use<br />

our financial expertise to do good<br />

for individuals, families, businesses<br />

and communities in which we<br />

‘<br />

operate.<br />

And the innovative banking journey continues,<br />

ensuring greater value for clients. The Nedbank<br />

Contact Centre and our market-leading<br />

Nedbank Money app has enabled the bank to<br />

continue serving clients in the comfort of their<br />

homes, bringing convenience, safety and<br />

compliance with lockdown regulations. With the<br />

Money app clients can manage accounts and<br />

investments, make payments, set savings goals<br />

and budgets, all from their smartphones, and<br />

make instant payments to anyone on their<br />

contact list, even if the recipient isn’t a Nedbank<br />

client.<br />

Emile Bester, Nedbank Provincial Client Network<br />

and Sales Manager for the <strong>Eastern</strong> <strong>Cape</strong> says<br />

that as money experts who do good, Nedbank<br />

strives to empower the people who drive the<br />

<strong>Eastern</strong> <strong>Cape</strong> economy by saving them time,<br />

money and helping them to manage their money<br />

better.<br />

‘Nedbank has continued to deliver on its brand<br />

promise, which is to use our financial expertise to<br />

do good for individuals, families, businesses and<br />

communities in which we operate. Our<br />

client-centred strategy has enabled us to reach<br />

out to our clients in time of need during Covid-19<br />

lockdown levels,’ says Bester.<br />

Bester adds that working with communities is<br />

rooted in the bank’s values through community<br />

and skills development, education and job<br />

creation, as well as environmental conservation.<br />

‘These play a vital role in building a sustainable<br />

economy and vibrant society. We believe our<br />

fast-growing presence in communities goes a<br />

long way towards enabling greater financial<br />

inclusion while contributing towards economic<br />

growth,' he says.<br />

To find out more about banking from the<br />

comfort of your home or for more information<br />

about Nedbank’s specialised service offering,<br />

please call Emile Bester on +27 (0)10 235 7784,<br />

send an email to EmileBe@Nedbank.co.za, or<br />

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

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />

see money differently<br />

24<br />

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

and registered credit provider (NCRCP16).


Solutions for small businesses<br />

aimed at creating jobs and<br />

growing the economy<br />

Nedbank’s Provincial Manager of Small <strong>Business</strong><br />

Services in the <strong>Eastern</strong> <strong>Cape</strong>, Andisa Sikwebu,<br />

explains how brand values built on the bank’s<br />

expertise can benefit Nedbank clients, especially<br />

in what is now considered ‘the new normal’.<br />

Sikwebu says that for small-business clients,<br />

Nedbank continues to deliver end-to-end<br />

solutions through a dedicated business<br />

manager. ‘Our bigger-picture business<br />

approach enables us to have a holistic view of<br />

each business by understanding the vision,<br />

cashflow cycle, and transactional and capital<br />

expenditure needs. This way, we become trusted<br />

advisors to business owners who strive to grow<br />

their businesses.’<br />

‘<br />

Our bigger-picture business<br />

approach enables us to have a<br />

holistic view of each business by<br />

understanding the vision, cashflow<br />

cycle, and transactional and capital<br />

expenditure needs. This way, we<br />

become trusted advisors to<br />

business owners who strive to grow<br />

their businesses<br />

Small businesses often lack formalisation, as<br />

proved by many not qualifying for Covid-19<br />

assistance due to outdated records and not<br />

meeting regulatory requirements. Sikwebu says<br />

that Nedbank’s experts are available to offer all<br />

the support small businesses need, which goes<br />

beyond affordable banking solutions. ‘We offer<br />

value-added services to get and keep your<br />

business going, like our free-to-join networking<br />

portal, SimplyBiz.co.za, The Essential Guide for<br />

Small-business Owners, business registration<br />

services and free small-business seminars.’<br />

Sikwebu adds that the current economic climate<br />

has highlighted low financial literacy levels<br />

among small-business owners who find<br />

themselves highly indebted. ‘Nedbank Retail<br />

Banking helps clients with debt consolidation to<br />

ease their financial difficulties, and offers<br />

financial literacy programmes and tailormade<br />

solutions to empower them to save and make<br />

better financial decisions in future.’<br />

To take the financial wellness of your small<br />

business to the next level or for more<br />

information, please call Andisa Sikwebu on<br />

+27 (0)72 984 9645, send an email to<br />

AndisaS@nedbank.co.za, or visit<br />

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

‘<br />

see money differently<br />

25 EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />

.<br />

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

and registered credit provider (NCRCP16).


Agriculture and agro-processing<br />

Cannabis producers are thinking of automotive applications.<br />


Coega SEZ has an Aquaculture<br />

Development Zone.<br />

The province’s Special Economic Zones use their connection to the<br />

ocean to promote aquaculture. Credit: ELIDZ<br />

The provincial government’s stimulus fund has<br />

invested R206-million in the development of a 100ha<br />

Aquaculture Development Zone in the Coega Special<br />

Economic Zone (CSEZ). The East London Industrial<br />

Development Zone (ELIDZ) already has several companies<br />

operating in the aquaculture sector.<br />

A marine tilapia project is a project of the Sustainable Infrastructure<br />

Development Symposium. The <strong>Eastern</strong> <strong>Cape</strong> Rural Development<br />

Agency and the Mbhashe Municipality are implementing the project<br />

to benefit more than 15 000 small-scale farmers who will supply the<br />

fish farms with feed. The OR Tambo District Municipality has purchased<br />

refrigerated containers.<br />

Legislation to control the production and commercialisation<br />

of cannabis is being developed and the <strong>Eastern</strong> <strong>Cape</strong> provincial<br />

government is investigating the building of a cannabis plant.<br />

The automotive sector currently imports hemp plastic which can<br />

apparently be replaced by products made from cannabis.<br />

Labat Healthcare South Africa has rolled out the first of a planned<br />

series of franchise businesses under the label, Labat Cannabis<br />

Warehouse. Medical marijuana is just one of the many products<br />

being targeted. Others include cannabidiol (CBD) oils and capsules,<br />

oral sprays, terpenes, cannabis-infused foods and energy drinks. The<br />

company intends extending its cultivation of cannabis in greenhouses,<br />

primarily in Gauteng and the <strong>Eastern</strong> <strong>Cape</strong>, to 40 000m².<br />

Getting small-scale farmers connected to agro-processing value<br />

chains is a major goal for agricultural policy-makers. This lies behind<br />

the creation of a Special Economic<br />

Zone (SEZ) on the Wild Coast. The<br />

5 000ha Ncora Irrigation Scheme is<br />

seen as a model for the SEZ, which<br />

has attracted interest from Anglo-<br />

Gold Ashanti and Exxaro.<br />

The <strong>Eastern</strong> <strong>Cape</strong> Department<br />

of Rural Development and<br />

Agrarian Reform (DRDAR) has<br />

several programmes to support<br />

small-scale farmers. The <strong>Eastern</strong><br />

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

(ECDC) supports agro-processing<br />

through loans and equity<br />

arrangements: projects that have<br />

received financial support include<br />

aquaculture, the production of<br />

dietary fibre from pineapples and<br />

bamboo products.<br />

There are about 70 000<br />

people employed on commercial<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.<br />

The National Woolgrowers’<br />

Association of SA (NWGA) is based<br />

in Gqeberha formerly Port Elizabeth,<br />

as is <strong>Cape</strong> Wool SA, which used<br />

to be known as the South African<br />

Wool Board. The NWGA has a simple<br />

motto: “more sheep: more wool”<br />

which it tries to achieve through<br />

its Production Technology Services<br />

which is offered to a membership<br />

base of 4 500 commercial and 20 000<br />

communal members.<br />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />



Agricultural assets<br />

The <strong>Eastern</strong> <strong>Cape</strong> provides approximately a quarter of South Africa’s<br />

milk, and the industry is further expanding as producers are favouring<br />

high-rainfall coastal areas such as the Tsitsikamma region.<br />

South Africa now produces about 54% of the world’s mohair and<br />

Gqeberha is the mohair capital of the world in the sense that its port<br />

handles the bulk of South African exports, many companies have<br />

their headquarters there and the sector association, Mohair South<br />

Africa, is based there.<br />

Farms around the small towns that dot the open plains<br />

south of Graaff-Reinet, Aberdeen, Somerset East, Jansenville<br />

and Willowmore routinely produce nearly half of South Africa’s<br />

production. The office of the South African Mohair Growers<br />

Association (SAMGA) is in Jansenville.<br />

Grootfontein College of Agriculture, the only tertiary educational<br />

institute in the country to offer a programme aimed at Angora goat<br />

farming and mohair production, is located in Middelburg, north of<br />

Graaff-Reinet.<br />

Processing of mohair takes place in Kariega (Uitenhage),<br />

Gqeberha and Ntabozuko (Berlin) outside East London. The<br />

mohair value chain includes brokers, buyers, processors, spinners,<br />

manufacturers and retailers.<br />

The SAMIL company has divisions all along the value chain. This<br />

covers farming, combing, trading, spinning and dyeing. The Angora<br />

Genetics Laboratory (ANGELA) was established in 2013 to improve yields.<br />

The Stucken group controls Mohair Spinners South Africa, Hinterveld (a<br />

mill) and a processing company called Gubb & Inggs in Kariega.<br />

Ouma Rusks are still made in the small town where they were<br />

invented, Molteno. Cadbury operate a big site across the lake from the<br />

Nelson Mandela Stadium in Gqeberha and Nestlé makes 11 kinds of<br />

chocolate at its factory in East London. The Sasko mill in Gqeberha is<br />

the province’s only big milling plant.<br />

The <strong>Eastern</strong> <strong>Cape</strong> is the country’s second-largest producer of<br />

citrus fruit. A national export record was achieved in 2020, with<br />

146-million cartons of fresh citrus being exported (putting South<br />

Africa only behind Spain). Citrus yielded R3.4-billion in exports for the<br />

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

Oranges make up the vast<br />

majority of citrus products.<br />

Deciduous fruits such as apples,<br />

pears and apricots are grown<br />

primarily in the Langkloof<br />

Valley. Another crop in which<br />

the <strong>Eastern</strong> <strong>Cape</strong> leads national<br />

production is chicory. The<br />

province’s pineapple crop is<br />

grown in the same part of the<br />

Sunshine Coast that produces<br />

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

Rural Development Agency<br />

(ECRDA) has partnered with a<br />

community to plant the popular<br />

nut at Ncera in the Tyume Valley<br />

north of Alice.<br />

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

21% of the country’s cattle<br />

(about 3.2-million), 28% of<br />

its sheep (seven-million) and<br />

46% of its goats, making it the<br />

largest livestock province by a<br />

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 />

increasingly popular in healthconscious<br />

international markets.<br />

Coca-Cola Sabco and<br />

SAB Limited’s Ibhayi brewery<br />

are the major beverage<br />

manufacturers in Gqeberha<br />

and Distell has a bottling<br />

plant in the city. Sovereign<br />

Foods in Kariega is the<br />

country’s fourth-biggest<br />

producer of poultry. ■<br />


<strong>Eastern</strong> <strong>Cape</strong> Rural Development Agency (ECRDA): www.ecrda.co.za<br />

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

National Woolgrowers’ Association of South Africa: www.nwga.co.za<br />

South African Mohair Growers Association (SAMGA): www.angoras.co.za<br />

27 EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong>


Water<br />

The Umzimvubu project is a national priority.<br />


Water levels in the Kouga<br />

Dam have reached<br />

dangerous levels.<br />

Awater supply and hydropower project is planned on<br />

the Umzimvubu River. The project, recently allocated<br />

to the National Department of Public Works and Infrastructure<br />

as part of a list of 50 priority infrastructure<br />

projects, entails the construction of two multipurpose dams<br />

and the provision of hydropower.<br />

The Kouga Dam (pictured), which serves urban areas such as<br />

Gqeberha and citrus farmers in the Gamtoos Valley and beyond, was<br />

reported to be a 7% in May <strong>2021</strong>, the lowest level since it was built.<br />

Several plans are under consideration to alleviate the water<br />

shortages facing the <strong>Eastern</strong> <strong>Cape</strong>’s towns and rural areas. Most<br />

municipalities introduced restrictions on usage with the Nelson<br />

Mandela Bay Municipality limiting residents to 50l per day.<br />

The provincial regional bulk infrastructure grant programme is<br />

paying for nine bulk water projects, valued at R4.9-billion, including<br />

the R500-million Amatola Water Six Plant Upgrade.<br />

The Nelson Mandela Bay metropole currently gets its water from<br />

10 dams, six of which are owned by the municipality. Water services<br />

are provided to the citizens of the <strong>Eastern</strong> <strong>Cape</strong> by 17 water service<br />

authorities which oversee 163 drinking water supply systems.<br />

Muncipalities and Amatola Water are the primary providers of services.<br />


Credit: Gamtoos Irrigation Board<br />

National Department of Water and Sanitation: www.dwa.gov.za<br />

Umzimvubu Catchment Partnership Programme: www. umzimvubu.org<br />

Water Institute of South Africa: www.wisa.org.za<br />

Water Research Commission: www.wrc.org.za<br />

Amatola Water manages<br />

bulk water infrastructure across<br />

50 000km², encompassing the<br />

district municipalities of Chris<br />

Hani and Amathole, together<br />

with portions of other municipal<br />

areas. Backlogs in rural areas<br />

and smaller municipalities are<br />

still prevalent, and this water<br />

authority is playing a key role in<br />

reducing and eradicating these<br />

inequalities.<br />

The Rhodes University<br />

Institute for Water Research<br />

is one of several institutions<br />

in the country that conducts<br />

research into water quality. A<br />

lot of the institute’s funding<br />

comes with project-related<br />

grants from the national Water<br />

Research Commission, some<br />

students receive funding from<br />

the Carnegie Foundation and<br />

Unilever sponsors the Unilever<br />

Centre for Environmental<br />

Water Quality, a unit within the<br />

institute.<br />

The Water Institute of South<br />

Africa has 1 800 members. It<br />

does research, provides members<br />

with information and runs<br />

conferences. As in most areas of<br />

life in South Africa, environmental<br />

standards are set and maintained<br />

by the South African Bureau of<br />

Standards (SABS). ■<br />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />


Construction and property<br />

Gqeberha is expanding westwards.<br />



Student accommodation is<br />

a growth sector.<br />

The biggest shopping mall in the <strong>Eastern</strong> <strong>Cape</strong> is set to become<br />

the centre of a significant housing development. The plan for<br />

the Baywest Mall (pictured) on the western edge of Gqeberha<br />

(formerly Port Elizabeth) always envisaged the project acting<br />

as a catalyst for other forms of development. The mall was jointly developed<br />

by Abacus Asset Management and the Billion Group.<br />

The Provincial Government of the <strong>Eastern</strong> <strong>Cape</strong> has announced<br />

that an R18-billion Bay West housing project is at “an advanced stage”.<br />

Involving the metropolitan municipality of Nelson Mandela Bay and<br />

private developers, there are plans for 20 400 affordable units and 5 040<br />

social units.<br />

Another area of strong activity is in the building of student<br />

accommodation. The Department of Higher Education and Training<br />

has seen to it that institutions such as the universities of Fort Hare,<br />

Nelson Mandela and Walter Sisulu and the King Hintsa TVET College<br />

have each had between 1 000 and 3 000 new beds supplied on their<br />

campuses. Student accommodation specialists STAG African are the<br />

contractors at Fort Hare.<br />

The choice of the Coega Special Economic Zone (Coega SEZ) by<br />

companies looking to distribute their products from there has brought<br />

work for construction companies. GVK-Siya Zama is engaged in creating<br />

a 11 800m² logistics warehouse situated in Zone 1, following green<br />

building principles. Energy-efficient heating and ventilation systems,<br />

rainwater harvesting and PV solar panels all form part of the plan to<br />


Credit: DHK<br />

Construction Industry Development Board: www.cidb.org.za<br />

Mandela Bay Development Agency: www.mbda.co.za<br />

Social Housing Regulatory Authority. www.shra.org.za<br />

South African Property Owners Association: www.sapoa.org.za<br />

control the ambient temperature<br />

for the snack and food items which<br />

will be stored there.<br />

Coastal properties almost<br />

always attract a premium but a<br />

new trend towards “semigration” is<br />

further boosting prices. Semigration<br />

refers to families who live in towns<br />

like Knysna or George but the<br />

bread-winner commutes to<br />

Johannesburg. Towns such as St<br />

Francis Bay, Jeffreys Bay and Port<br />

Alfred are now becoming the site of<br />

primary residences, instead of being<br />

exclusively holiday destinations.<br />

A new housing development<br />

in the rural area of Keiskammahoek<br />

attracted funding of R25-million<br />

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

Department of Human Settlements.<br />

Aimed at destitute families, the<br />

first phase was conducted in the<br />

settlement of Masincedane, and the<br />

project will ultimately cater to 1 255<br />

beneficiaries.<br />

The Mandela Bay Development<br />

Agency (MBDA) has transformed<br />

the Old Tramway building at the<br />

entrance to the Baakens Valley.<br />

The MBDA not only moved into<br />

new offices in the renovated<br />

building but is letting it out as an<br />

events venue. Other retail property<br />

developments have happened<br />

in the valley (including a popular<br />

brewery), drawing attention to the<br />

potential of Port Elizabeth’s green<br />

lung to be even more useful in<br />

future. ■<br />

29<br />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong>


Manufacturing<br />

Ford wants to see a rail corridor to Gauteng established.<br />


Increasing volumes at the<br />

port of Ngqura is a priority<br />

for Transnet.<br />

The production of the Mercedes-Benz C-Class in East London is<br />

a technological marvel, and the plant regularly wins international<br />

awards for quality. The installation of a new sequencing<br />

centre, to be installed by Automotive Logistics Solutions (an<br />

AHI company) will make the assembly line even more efficient.<br />

The plant has also recently become an IT Hub with a focus on data<br />

analytics, software development and business analysis. Mercedes-Benz<br />

consistently breaks records for the number of cars it exports through the<br />

Port of East London via Transnet Port Terminals.<br />

The 520 963m² Volkswagen SA plant (pictured) in Kariega (formerly<br />

Uitenhage) produces Volkswagen Polo, Cross Polo and engines, and in<br />

2019 created a new production record of 161 954 vehicles, with 108 4<strong>22</strong><br />

destined for the export market.<br />

In <strong>2021</strong> Ford announced that it would spend a total of R15.8-billion<br />

on production of the Ranger pick-up truck. Most of the money will be<br />

spent in Gauteng where the vehicle is assembled, but Ford is also in<br />

talks to see if a sophisticated rail corridor can be developed between<br />

Gauteng and the <strong>Eastern</strong> <strong>Cape</strong>, where Ford makes engines and many<br />

of its suppliers are located. The company wants to send parts to Pretoria<br />

and export cars through the Port of Gqeberha (formerly Port Elizabeth).<br />

Home-grown manufacturer of powertrain and catalytic converter<br />

assembly systems, Jendamark, exports to 18 countries.<br />

Continental Tyre South Africa is producing a 19-inch tyre for the first<br />

time at its New Brighton facility in Port Elizabeth. Isuzu SA has completed<br />

its consolidation project, with truck and bakkie manufacturing now<br />

taking place at its new headquarters in Struandale, Port Elizabeth.<br />


Credit: Volkswagen SA<br />

Automotive Industry Development Centre: www.aidc.co.za<br />

Coega Development Corporation: www.coega.co.za<br />

<strong>Eastern</strong> <strong>Cape</strong> Development Corporation: www.ecdc.co.za<br />

Phase 1 in the construction<br />

process of the vehicle assembly<br />

plant of Beijing Automotive Group<br />

South Africa (BAIC SA) is complete.<br />

The provincial government<br />

aims for more diversification in<br />

manufacturing and is targeting<br />

sectors where the province<br />

already has a competitive<br />

advantage (such as wool and<br />

mohair), is labour intensive, will<br />

have a broad impact and has low<br />

barriers for SMME entry.<br />

First National Battery, a Metair<br />

Group company, has one factory<br />

at Fort Jackson and two factories<br />

in East London.<br />

Mpact runs two corrugated<br />

packaging convertor facilities in<br />

the <strong>Eastern</strong> <strong>Cape</strong>, at Deal Party<br />

in Port Elizabeth and Gately<br />

Township, East London. Bodene,<br />

a subsidiary of Fresenius Kabi,<br />

makes intravenous medicine in<br />

Port Elizabeth. East London hosts<br />

Johnson & Johnson’s finance,<br />

operations and research and<br />

development divisions.<br />

Aspen Pharmacare’s R1-billion<br />

specialised product facility at Port<br />

Elizabeth will add 500 jobs to<br />

the existing staff of 2 000. The<br />

new plant will make products<br />

for chronic conditions. Annual<br />

production of about 3.6-billion<br />

tablets is planned. ■<br />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />


Tourism<br />

The East London beachfront is being upgraded.<br />



Road repairs to tourism<br />

sites are being undertaken.<br />

Hotels, lodges and casinos<br />

Tourism infrastructure projects are underway as a means of<br />

preparing for the post-Covid-19 environment. The East London<br />

Beachfront Development and East London Waterworld<br />

are under construction. Upgrading of beaches in the Ndlambe<br />

Local Municipality are planned and a hiking trail from Coffee Bay to<br />

Port St Johns is being built.<br />

The R61 road from Bhaziya to Mthatha airport junction will soon be<br />

repaired and upgraded and contracts for a number of other provincial<br />

roads leading to tourist sites have been put out to tender, including<br />

Makhanda to Port Alfred and the R61 to Hluleka Game Reserve.<br />

Built on the site of the Prince Alfred Park in Gqeberha (formerly<br />

Port Elizabeth), the 42 000-seater Nelson Mandela Bay Stadium is<br />

quite rare in being adjacent to a body of water, the North End Lake.<br />

Since it was built in 2010, rugby test matches and international rugby<br />

tournaments have been played there and the stadium and stadium<br />

precinct have become popular as sites for events, music concerts and<br />

product launches.<br />

With regard to domestic tourism, the <strong>Eastern</strong> <strong>Cape</strong>’s 12.1% share<br />

of the pie is fairly close to the leader (17.2%) and it’s easy to see why.<br />

Unmatched beaches, the pristine Wild Coast and a wide variety of<br />

national parks and private game reserves make for a superb natural<br />

offering. Branding the province as the “Adventure Province” has helped<br />

in attracting bungy-jumpers, divers, abseilers and rock climbers.<br />


Credit: Buffalo City Tourism<br />

Buffalo City Tourism: www.bctourism.co.za<br />

<strong>Eastern</strong> <strong>Cape</strong> Gambling and Betting Board: www.ecgbb.co.za<br />

<strong>Eastern</strong> <strong>Cape</strong> Parks and Tourism Agency: www.visiteasterncape.co.za<br />

Mandela Bay Development Agency: www.mbda.co.za<br />

A new luxury hotel is being built<br />

in St Francis Bay. The 60-room St<br />

Francis Links Hotel by Mantis will<br />

overlook the golf course’s final<br />

hole and has views of the Indian<br />

Ocean and Kouga Mountains.<br />

The interior of the <strong>Eastern</strong> <strong>Cape</strong><br />

is home to several high-end private<br />

game reserves such as Shamwari,<br />

Mount Camdeboo and Kariega<br />

Game Reserve.<br />

Some luxury game lodges are<br />

located within national parks, such as<br />

the Gorah Elephant Camp, which is<br />

run by Hunter Hotels and forms part<br />

of the Addo Elephant National Park.<br />

Premier Hotels has two hotels<br />

in 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 />

Tsogo Sun has five <strong>Eastern</strong> <strong>Cape</strong><br />

properties. The Courtyard Hotel,<br />

City Lodge Hotel and Road Lodge<br />

are close to one another on Port<br />

Elizabeth’s beachfront and allow<br />

the group to cater to three distinct<br />

markets with a total of 442 rooms.<br />

East London has a Road Lodge.<br />

Sun International runs the Wild<br />

Coast Sun and the five-star Boardwalk<br />

Casino and Entertainment World<br />

in Port Elizabeth, which includes<br />

conference and events facilities. ■<br />

31<br />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong>


Education and training<br />

Curro has expanded its <strong>Eastern</strong> <strong>Cape</strong> footprint.<br />


Four new college campuses<br />

are being built.<br />

Credit: St George’s Preparatory School<br />

St George’s Preparatory School, founded in 1936 and<br />

located opposite the famous cricket ground in Gqeberha,<br />

has become the latest addition to the private Curro group<br />

of schools. The acquisition doubles Curro’s presence in<br />

the province, with the centrally-based preparatory school joining<br />

Westbrook Curro, which is located in the Westbrook Estate off the old<br />

<strong>Cape</strong> Road in the city’s western suburbs.<br />

The <strong>Eastern</strong> <strong>Cape</strong> has eight Technical and Vocational Education<br />

Training (TVET) colleges, most of which have more than one campus:<br />

Buffalo City, Port Elizabeth, Lovedale, King Hintsa, Ingwe, King Sabata<br />

Dalinyebo, Ikhala and Eastcape Midlands College.<br />

An amount of R569-million will be spent on building four new TVET<br />

campuses to expand the accessibility of these colleges. These new<br />

facilities are two new Ikhala TVET College campuses (Sterkspruit and<br />

Maletswai), a new East <strong>Cape</strong> Midlands campus in Graaff-Reinet and a<br />

new Ingwe TVET College campus in Ngqungqushe (Lusikisiki).<br />

The National Department of Higher Education and Training has<br />

been investing heavily in student accommodation in the province. This<br />

programme has seen an additional 2 000 beds added at the Nelson<br />

Mandela University in Gqeberha, 2 047 student beds at the University<br />

of Fort Hare, 3 000 beds at Walter Sisulu University, and 1 000 beds at<br />

King Hintsa TVET College.<br />

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

Government has announced that a<br />

medical school has been allocated<br />

to the province. Nelson Mandela<br />

University will start offering classes<br />

in <strong>2021</strong>. The Missionvale campus,<br />

near to the Dora Nginza Provincial<br />

Hospital, will be the site for the<br />

school. A school for vets is being<br />

considered for Fort Hare University.<br />

At the other end of the<br />

age scale, early childhood<br />

development (ECD) is to become<br />

part of the standard basic<br />

education system. It is believed<br />

that this will help to improve<br />

results of school pupils.<br />

A Science Centre for school<br />

pupils in Cofimvaba has been<br />

established as part of a drive to<br />

promote science, technology and<br />

mathematics.<br />

The <strong>Eastern</strong> <strong>Cape</strong> is home<br />

to a number of traditional boys<br />

schools, including Queen’s<br />

College in Queenstown, Selborne<br />

in East London, Dale College in<br />

King Williams Town, Muir College<br />

in Uitenhage and Grey High<br />

School in Port Elizabeth. Cradock’s<br />

agricultural school, Marlow,<br />

has a high reputation for farm<br />

education.<br />

In Grahamstown St Andrew’s<br />

College, St Andrew’s Preparatory<br />

School and The Diocesan School<br />

for Girls are part of a “family of<br />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />



schools” while Victoria Girls’ High School, Kingswood College and<br />

Graeme College are other well-regarded schools for English-speakers.<br />

PJ Olivier High School caters to Afrikaans-speakers.<br />

Research and innovation<br />

Among the important work being done at Rhodes University’s<br />

new Biotechnology Innovation Centre is research on the basic<br />

and applied sides of stem cell biology. Helping pregnant<br />

women in rural areas is another focus. A cellphone app will send<br />

colour pictures of test strips to diagnostic centres, saving the<br />

patient a long and difficult journey to hospital. The university<br />

plans to build an Innovation and Nanotechnology Institute<br />

to accommodate the exciting work being done by a team of<br />

researchers led by Professor Tebello Nyokong. The Chemical and<br />

Pharmaceutical Sciences Building of Rhodes University is also to<br />

be upgraded and refurbished.<br />

The University of Fort Hare is leading three innovative studies<br />

into biogas including a project investigating compressed biogas for<br />

public transport. The South African National Energy Development<br />

Institute (SANEDI) is working with Fort Hare on a pilot scheme of<br />

biodigesters for households.<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<br />

Mechatronics at NMU, which offers a Bachelor of Engineering in<br />

Mechatronics, covering electronics, mechanical engineering and<br />

computer-aided design. Volkswagen supports the International<br />

Chair in Automotive Engineering at NMU. NMU’s Ford Engine<br />

Research Unit (FERU) falls under the School of Engineering and<br />

centres its activities on new engine research and development<br />

trends, new initiatives within the field of engine testing and<br />

associated research.<br />

Another NMU body, eNtsa,<br />

supports the manufacturing<br />

sector through research in areas<br />

such as automotive, power<br />

generation and petrochemicals.<br />

eNtsa is supported by the<br />

Technology Innovation Agency.<br />

Rhodes University’s<br />

Centre for Environmental<br />

Water Quality, within the<br />

Institute for Water Research,<br />

is sponsored by Unilever. The<br />

NMU Institute of Chemical<br />

Technology commercialises<br />

research through a body called<br />

InnoVenton and has several<br />

clients in the private sector.<br />

In 2017, Nelson Mandela<br />

University (NMU) inaugurated<br />

its Ocean Science campus at its<br />

Port Elizabeth base. This includes<br />

a unit aimed at combating sea<br />

fisheries crime (FishFORCE, with<br />

support from Norway) and the<br />

South African International<br />

Maritime Institute (SAIMI). The<br />

university has four marine sector<br />

chairs funded by the South<br />

African Research Chair Initiative<br />

(SARChI) and the National<br />

Research Foundation (NRF).<br />

The Provincial Government<br />

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

supporting skills training in the<br />

maritime sector through the<br />

Maritime Youth Development<br />

Programme. ■<br />


<strong>Eastern</strong> <strong>Cape</strong> Department of Education: www.ecdoe.gov.za<br />

Rhodes University Biotechnology Innovation Centre: www.ru.ac.za/biotech/<br />

Technology Innovation Agency: www.tia.org.za<br />

33 EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong>


Banking and financial services<br />

New banks are offering more choices.<br />


Africa’s biggest bank has Port<br />

Elizabeth roots.<br />

Africa’s biggest bank made its start in Port Elizabeth.<br />

Entrepreneur John Paterson launched Standard Bank in<br />

London in 1862 and opened its first branch in Port Elizabeth<br />

in 1863. The initial spark was the discovery of diamonds in<br />

Kimberley but gold prospectors soon needed financing too, so 1866<br />

saw the opening of a branch in Johannesburg. The bank continues<br />

to have a presence in Govan Mbeki Avenue (previously Main Street)<br />

and is active in the province.<br />

The financial and business services sector is responsible of 19.2%<br />

of the <strong>Eastern</strong> <strong>Cape</strong>’s Gross Domestic Product (StatsSA). The sector<br />

provides employment for 141 000 people.<br />

Agricultural finance is an important factor in the <strong>Eastern</strong> <strong>Cape</strong>.<br />

Production loans, vehicle financing and revolving credit plans all play an<br />

important role in keeping farmers and agro-processors in business.<br />

Despite a bad experience with a mutual bank that was looted in<br />

Limpopo, the appetite for mutual banks is strong, given the nature of the<br />

South African market. The Young Women in <strong>Business</strong> Network (YWBN)<br />

received approval in March <strong>2021</strong> for a mutual bank licence. Savings<br />

and business loans will be offered, and the public will have a chance to<br />

buy shares later in the year. Bank Zero will use the mutual model while<br />

other new entrants such as TymeBank (free transactional accounts)<br />

and Discovery Bank (which applies the behavioural model it uses in its<br />

health business to reward good financial behaviour) have introduced<br />

interesting innovations to the South African banking sector.<br />


Auditor-General of South Africa: www.agsa.co.za<br />

Financial Sector Conduct Authority: www.fsca.co.za<br />

South African Institute for Chartered Accountants: www.saica.co.za<br />

South African Reserve Bank: www.resbank.co.za<br />

Tyme stands for Take Your<br />

Money Everywhere and refers<br />

to the bank not having a branch<br />

network. Perhaps the lockdown<br />

encouraged customers to think<br />

in digital terms because Tyme<br />

reported in October 2020 that<br />

it had 2.4-million customers, up<br />

from 1.4-million at the end of<br />

March. A 400% increase in the<br />

use of services such as airtime<br />

and electricity purchases was<br />

also noted.<br />

Discovery Bank officially<br />

launched in March 2019 and is<br />

experiencing rapid growth with<br />

deposits of R3.7-billion.<br />

Another relatively new bank<br />

is Capitec, which is steadily<br />

increasing its customer base by<br />

providing banking for business<br />

and individual customers in<br />

what it describes as a simple<br />

manner. It has branches in the<br />

small <strong>Eastern</strong> <strong>Cape</strong> towns of<br />

Bizana and Lusikisiki. In May 2020,<br />

investment holding company<br />

PSG announced that it would<br />

reduce its holding in Capitec Bank<br />

from 32% to 4%, earning about<br />

R4-billion by selling those shares.<br />

Capitec merits inclusion in a<br />

new retail “Big Five”, with Standard<br />

Bank, Absa, FNB and Nedbank.<br />

In terms of assets, the five<br />

biggest banks are Standard Bank,<br />

FirstRand (which owns FNB), Absa<br />

(part of Barclays Group Africa),<br />

Nedbank and Investec. ■<br />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />


Standard Bank’s new campaign<br />

celebrates triumphant South<br />

African business<br />

South Africa banks on business. <strong>Business</strong> banks on us.<br />

demonstrate how they have partnered with them<br />

to help them grow. The bank will be delving into the<br />

remarkable histories of the businesses, celebrating<br />

their resilience, and honouring the many ways that<br />

they have positively changed, and continue to change,<br />

the lives of the people who work for them and the<br />

communities in which they operate.<br />

Small and medium enterprises are the<br />

lifeblood of Africa. They play a crucial role in<br />

its growth, providing employment, stoking<br />

new economies, and connecting the<br />

continent to the rest of the world.<br />

In South Africa they are the heartbeat of our GDP.<br />

SMEs drive real growth, and it is estimated that<br />

they provide employment to roughly 47% of<br />

the workforce, with their total economic output<br />

accounting for around 20% of GDP.<br />

These businesses are owned by our neighbours,<br />

family and friends and they touch our lives every<br />

day, often in small ways but sometimes in grand,<br />

immeasurable ways.<br />

The impact that these businesses have, makes for<br />

incredible stories, and it is these stories of tangible,<br />

sustainable growth that form part of Standard Bank’s<br />

new business banking marketing campaign.<br />

The campaign tagline, South Africa banks on business.<br />

<strong>Business</strong> banks on us speaks to real stories, about real<br />

business, and the real, life-changing impact they<br />

have on people’s lives.<br />

Remarkable stories<br />

Standard Bank has collaborated with some of<br />

their business clients, to tell their stories and to<br />

These stories will showcase how these businesses<br />

employ people, empowering them and their families,<br />

and aiding in their children getting an education. They<br />

will highlight how businesses provide the impetus for<br />

growth and help to take families and communities out<br />

of poverty, and how they drive economic activity and<br />

act to combat socio-economic challenges.<br />

In the coming weeks, these remarkable stories will<br />

be unpacked across billboards, in print, online, on<br />

radio,and on television.<br />

In times of uncertainty, businesses want partners that<br />

bring them certainty, reliability and excellence when it<br />

comes to service. But, importantly, they also deserve<br />

partners who understand their needs and who are<br />

committed to helping them achieve their goals.<br />

Standard Bank supports many of these businesses<br />

with banking solutions, trade assistance, market<br />

access, transcontinental networking platforms and<br />

more. Their <strong>Business</strong> Banking offering is an ecosystem<br />

of innovative products designed to meet even the<br />

most complex needs. They cut across sectors and look<br />

to provide clients with access to funding, expertise<br />

and advice, digital integration, trade solutions and<br />

insurance coverage.<br />

Every day Standard Bank partners with businesses<br />

to help them unlock their growth, no matter the<br />

economic climate.<br />

That is why, South Africa banks on business. <strong>Business</strong><br />

banks on us. ■


Development finance and<br />

SMME support<br />

Supply chains are providing chances for small businesses.<br />

Volkswagen South Africa (VWSA) has a project called Ntinga<br />

(“to soar” in Xhosa) whereby suppliers receive training and<br />

are mentored for 18 months. A selection of black-owned<br />

manufacturing businesses exhibit at the company’s Black<br />

Supplier Day with the potential to become a Volkswagen supplier.<br />

Municipal and provincial procurement policies specify that<br />

certain goods should come from SMMEs. In 2020/21, the provincial<br />

government spent R16.8-billion (or 61% of the budget) on suppliers<br />

and service providers based within the province. A total of R4.1-billion<br />

was spent on SMMEs. A programme called “Have-I-Been-Paid” aims to<br />

improve the time within which payments are made.<br />

The Nelson Mandela Bay <strong>Business</strong> Chamber’s Enterprise<br />

Development Programme has several parts: the Export<br />

Development Programme is the latest initiative.<br />

The National Department of Small <strong>Business</strong> Development (DSBD)<br />

has allocated R6.6-million to the Informal and Micro-Enterprise<br />

Development Programme (IMEDP) for the <strong>Eastern</strong> <strong>Cape</strong>. The DSBD’s<br />

other programmes include:<br />

• The Black <strong>Business</strong> Supplier Development Programme.<br />

• The Co-operative Incentive Scheme, a 100% grant.<br />

The Small Enterprise Development Agency (Seda) is an agency of the<br />

DSBD which gives non-financial support to entrepreneurs through<br />

training, marketing and assistance in the writing of business plans.<br />

The Seda Technology Programme (Stp) helps potential businesses<br />

become trading entities. There are 10 offices in the province, with the<br />

main provincial office in East London. Port Elizabeth is the head office<br />

of the Chemin incubator which supports SMMEs in the downstream<br />

chemical sector. Furntech (a furniture incubator) has a branch in<br />

Mthatha and there are also construction incubators.<br />

The Industrial Development Corporation (IDC) is another financing<br />

institution. It sometimes takes shares in businesses but also administers<br />

programmes such as the Manufacturing Competitiveness Enhancement<br />

Programme (MCEP).<br />


<strong>Eastern</strong> <strong>Cape</strong> Development Corporation: www.ecdc.co.za<br />

<strong>Eastern</strong> <strong>Cape</strong> Rural Development Agency: www.ecrda.co.za<br />

MCEP: www.investmentincentives.co.za/mcep<br />


The Nelson Mandela Bay<br />

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

launched an Export<br />

Development Programme.<br />

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

Development Corporation’s seven<br />

business units are devoted to small<br />

business: Development Finance<br />

and Enterprise Development. The<br />

ECDC has several financial products<br />

tailored to SMMEs. The ECDC and the<br />

Technology Innovation Agency (TIA)<br />

jointly run the TIA-ECD Innovation<br />

Seed Fund Programme, which aims<br />

to identify and co-fund earlier-stage<br />

technology innovation projects.<br />

Help Desks have been established<br />

to support small business in Port<br />

Elizabeth and East London.<br />

As part of its Small Contractor<br />

Development, Training and<br />

Community Participation programme,<br />

the South African National Roads<br />

Agency (SANRAL) offers training.<br />

Since its inception, the SAB<br />

Foundation’s Tholoana Enterprise<br />

Programme has provided over<br />

R35-million in grant funding<br />

and business support to 1 056<br />

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

One example of what can be<br />

achieved is illustrated by Bukelwa<br />

Ngoqo, founder of Sunkissed<br />

Fashion, who increased her turnover<br />

from R250 000 to R830 000 and<br />

grew her workforce from four<br />

employees to eight. ■<br />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />









Visit www.gan.co.za<br />

and then SMME Virtual<br />

Roadshow<br />

Since 2014, the SMME Roadshow has supported small<br />

business in South Africa. Following the unprecedented<br />

challenges of 2020, Global Africa Network is relaunching<br />

the SMME Roadshow in a fully virtual, nationwide format.<br />

The SMME Virtual Roadshow, brought to you by Global<br />

Africa Network Media with Nemesis Accounting, SME<br />

Warrior and Aurum Wealth Creators, takes the form of<br />

presentations and practical guidance from thought<br />

leaders and experts in their fields.<br />

Presentations are pre-recorded for quality and convenience<br />

and presenters and their teams will be on hand to engage<br />

and interact with delegates. Delegates will also be able to<br />

network with other delegates.<br />

Who should attend?<br />

SMMEs requiring support and guidance on the following<br />

topics should attend:<br />


Global Africa Network Media (GAN) is an established<br />

authority on business development in South<br />

Africa’s nine provinces. GAN’s online products<br />

include its well-established B2B portal, www.<br />

globalafricanetwork.com, and its monthly business<br />

and investment e-newsletters, with a reach of over<br />

53 000 subscribers.<br />

Each of the nine titles and the national journal,<br />

South African <strong>Business</strong>, has been utilised by all<br />

levels of government, parastatals, corporates,<br />

and national and provincial businesses. GAN is a<br />

specialist in small and developing business, and the<br />

company is a trusted partner of business chambers<br />

and other representatives of organised business in<br />

each province.<br />

• Access to funding<br />

• Access to markets<br />

• <strong>Business</strong> revival<br />

• Training and skills development<br />

• Compliance and regulatory<br />

• Technology support<br />

• Running a business<br />

Each of South Africa’s nine provinces will be represented at<br />

the Roadshow, and will showcase incentives, services and<br />

opportunities available to SMMEs.<br />

For information on sponsorship opportunities, email<br />



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

Provincial Government<br />

A guide to the <strong>Eastern</strong> <strong>Cape</strong>’s provincial government departments. Visit www.ecprov.gov.za<br />

Office of the Premier<br />

Premier: Oscar Mabuyane<br />

Office of the Premier Building,<br />

Independence Avenue, Bhisho 5605<br />

Tel: +27 40 609 6644 | Fax: +27 86 681 9493<br />

Website: www.ecprov.gov.za<br />

Department of Cooperative Governance<br />

and Traditional Affairs<br />

MEC: Xolile Nqata<br />

Tyamzashe Bldg, Room 2124, 2nd Flr, Bhisho 5605<br />

Tel: +27 40 609 5656/8 | Fax: +27 40 639 2163<br />

Website: www.eccogta.gov.za<br />

Department of Economic Development,<br />

Environmental Affairs and Tourism<br />

MEC: Mlungisi Mvoko<br />

2nd Flr, Beacon Hill, Hockley Cl, King Williams Town<br />

5600<br />

Tel: +27 43 605 7000 | Fax: +27 43 605 7303<br />

Website: www.dedea.gov.za<br />

Department of Education<br />

MEC: Fundile Gade<br />

Steve Tshwete Education Bldg, Zwelitsha Zone 6,<br />

Zwelitsha 5608<br />

Tel: +27 40 608 4200 | Fax: +27 40 608 4040<br />

Website: www.ecdoe.gov.za<br />

Department of Health<br />

MEC: Nomakhosazana Meth<br />

Dukumbane Bldg, Independence Ave, Bhisho 5605<br />

Tel: +27 40 608 1117 | Fax: +27 40 608 1118<br />

Website: www.echealth.gov.za<br />

Department of Human Settlements<br />

MEC: Nonceba Kontsiwe<br />

31-33 Phillip Frame Rd, Waverly Park, Chiselhurst,<br />

East London 5247<br />

Tel: +27 43 711 9901/2/3 | Fax: +27 43 711 9797<br />

Website: www.ecdhs.gov.za<br />

Department of Public Works<br />

MEC: Babalo Madikizela<br />

5 Qasana Bldg, Independence Avenue, Bhisho 5605<br />

Tel: 0800 864 951. Website: www.ecdpw.gov.za<br />

Department of Rural Development<br />

and Agrarian Reform<br />

MEC: Nonkqubela Pieters<br />

Dukumbane Bldg, Independence Ave, Bhisho 5606<br />

Tel: +27 40 602 5006 | 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 St, King Williams Town 5601<br />

Tel: +27 43 605 6800 | Fax: 086 558 0<strong>22</strong>4<br />

Website: www.ecprov.gov.za<br />

Department of Social Development<br />

MEC: Siphokazi Lusithi<br />

Phalo Ave, 5th Flr, Dukumbana Building, Bisho 5605<br />

Tel: +27 43 605 5419 | Fax: +27 43 605 5000<br />

Website: www.ecdsd.gov.za<br />

Department of Sports, Recreation,<br />

Arts and Culture<br />

MEC: Fezeka Nkomonye<br />

5 Eales St, King Williams Town 5600<br />

Tel: +27 43 604 4101 | Website: www.ecsrac.gov.za<br />

Department of Transport<br />

MEC: Weziwe Tikana<br />

Flemming St, Schornville, King Williams Town 5601<br />

Tel: +27 43 604 7400 | Fax: 086 298 5598<br />

Website: www.ectransport.gov.za<br />

Provincial Treasury<br />

MEC: Mlungisi Mvoko<br />

Provincial Treasury, Tyamzashe Bldg, Bhisho 5605<br />

Tel: +27 40 353 9944 | Fax: +27 40 101 0731<br />

Website: www.ectreasury.gov.za<br />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />


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

A guide to the <strong>Eastern</strong> <strong>Cape</strong>’s metropolitan, district and local municipalities.<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 />

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 />

Winnie Madikizela-Mandela Local Municipality<br />

Tel: +27 39 251 0230<br />

Fax: +27 39 251 0917<br />

Website: www.mbizana.gov.za<br />


3-33 Phillip Frame Road, Chiselhurst,<br />

Cambridge, 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 1028 | Fax: +27 43 831 1483<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: +27 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 />

Raymond Mhlaba Local Municipality<br />

Tel: +27 645 7400<br />

Fax: +27 46 645 2562<br />

Website: www.raymondmhlaba.gov.za<br />



117 Oxford Street, Cnr North and Oxford Streets,<br />

Trust Centre, East London<br />

Tel: +27 43 705 2000 | Fax: +27 43 743 1688<br />

Website: www.buffalocity.gov.za<br />


15 Bells Road, Komani<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 />

Website: www.enochmgijima.org.za<br />

Intsika Yethu Local Municipality<br />

Tel: +27 47 874 8700 | Fax: +27 47 874 0010<br />

Website: www.intsikayethu.gov.za<br />

39 EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong>


Sakhisizwe Local Municipality<br />

Tel: +27 47 877 5200<br />

Fax: +27 47 877 0000<br />

Website: www.sakhisizwe.gov.za<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 />

Walter Sisulu Local Municipality<br />

Tel: +27 51 653 1777<br />

Fax: +27 51 653 0056<br />

Website: www.wslm.gov.za<br />

Senqu Local Municipality<br />

Tel: +27 51 603 1300 | Fax: +27 51 603 0445<br />

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



City Hall, Vuyisile Mini Square,<br />

Govan Mbeki Avenue, Nelson Mandela Bay<br />

Tel: +27 41 506 3208/9<br />

Fax: +27 41 506 24<strong>22</strong><br />

Website: www.nelsonmandelabay.gov.za<br />


OR Tambo House, Nelson Mandela Drive,<br />

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 />

EASTERN CAPE BUSINESS <strong>2021</strong>/<strong>22</strong><br />

40<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 | Fax: +27 47 555 0202<br />

Website: www.nyandenilm.gov.za<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 />



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 49 807 5700 | Fax: +27 49 892 4319<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.camdeboo.gov.za<br />

Kouga Local Municipality<br />

Tel: +27 42 200 <strong>22</strong>00 | Fax: +27 42 200 8606<br />

Website: www.kouga.gov.za<br />

Kou-Kamma Local Municipality<br />

Tel: +27 42 288 7200 | Fax: +27 42 288 0797<br />

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

Makana Local Municipality<br />

Tel: +27 46 603 6111<br />

Fax: +27 46 6<strong>22</strong> 9700<br />

Website: www.makana.gov.za<br />

Ndlambe Local Municipality<br />

Tel: +27 46 624 1140<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



2020 EDITION<br />

Global Africa Network<br />

Promoting business, trade and investment in SA’s nine provinces<br />

www.gan.co.za<br />

www.southafricanbusiness.co.za<br />

www.easterncapebusiness.co.za<br />

www.freestatebusiness.co.za<br />

www.limpopobusiness.co.za<br />

www.mpumalangabusiness.co.za<br />

www.northerncapebusiness.co.za<br />



www.gautengbusinessguide.co.za<br />

www.kwazulunatalbusiness.co.za<br />

www.northwestbusiness.co.za<br />

www.westerncapebusiness.co.za<br />



Tel 021 657 6200<br />

Email sales@gan.co.za<br />

Web www.gan.co.za

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