Eastern Cape Business 2023-24
The 2023/24 edition of Eastern Cape Business is the 16th 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 Development Corporation (ECDC) is supporting this issue of the journal, both in providing up-to-date information for editorial use and in sharing information about its activities. It will also distribute the journal through its regular channels. The Eastern Cape’s multi-faceted approach to the challenges and opportunities of sustainability are explored in a special feature. From caring for agricultural land through partnerships between farmers, wool brokers and fashion houses, to solar panels and improved lighting and water systems, companies are finding ways to incorporate sensible and profitable solutions into their business models. The Nelson Mandela Bay Development Agency celebrates a significant milestone this year, it being 20 years since it began operations.
The 2023/24 edition of Eastern Cape Business is the 16th 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 Development Corporation (ECDC) is supporting this issue
of the journal, both in providing up-to-date information for editorial use and in sharing information about its activities. It will also distribute the journal through its regular channels.
The Eastern Cape’s multi-faceted approach to the challenges and opportunities of sustainability are explored in a special feature. From caring for agricultural land through partnerships between farmers, wool brokers and fashion houses, to solar panels and improved lighting and water systems, companies are finding ways to incorporate sensible and profitable solutions into their business models. The Nelson Mandela Bay Development Agency celebrates a significant milestone this year, it being 20 years since it began operations.
You also want an ePaper? Increase the reach of your titles
YUMPU automatically turns print PDFs into web optimized ePapers that Google loves.
Fly Airlink, a proudly South African airline offering endless possibilities.<br />
As the largest privately-owned regional feeder airline in southern<br />
Fly Airlink,<br />
Africa,<br />
a proudly South African airline offering endless possibilities.<br />
our independence offers even more freedom. From 11 June,<br />
As<br />
2020,<br />
the<br />
all<br />
largest<br />
Airlink<br />
privately-owned regional feeder airline in southern Africa,<br />
flights will operate under its own 4Z flight code. We continue<br />
our<br />
to operate<br />
independence<br />
more<br />
offers even more freedom. From 11 June, 2020, all Airlink<br />
than 5 600 flights per month across our network, comprising<br />
flights<br />
of more<br />
will<br />
than<br />
operate under its own 4Z flight code. We continue to operate more<br />
55 routes in southern Africa and St Helena island, with an on-time<br />
than 5<br />
performance<br />
600 flights per month across our network, comprising of more than<br />
consistently at 95%.<br />
55 routes in southern Africa and St Helena island, with an on-time performance<br />
consistently at 95%.<br />
flyairlink.com @fly_airlink Fly Airlink<br />
flyairlink.com @fly_airlink Fly Airlink<br />
47810 SA Airlink 4Z April Skyways Ad.indd 1 2020/02/14 14:47<br />
47810 SA Airlink 4Z April Skyways Ad.indd 1 2020/02/14 14:47<br />
EASTERN CAPE<br />
BUSINESS<br />
EASTERN CAPE CAPE<br />
BUSINESS<br />
THE GUIDE TO AND INVESTMENT IN<br />
THE EASTERN CAPE PROVINCE<br />
2021/22 EDITION<br />
2021/22 <strong>2023</strong>/<strong>24</strong> EDITION<br />
EDITION<br />
THE GUIDE THE TO BUSINESS GUIDE TO BUSINESS AND INVESTMENT AND INVESTMENT IN<br />
THE EASTERN THE EASTERN CAPE PROVINCE CAPE PROVINCE<br />
Explore Explore<br />
southern Africa<br />
southern Africa<br />
47556<br />
EASTERN EASTERN CAPE CAPE<br />
THE GUIDE TO BUSINESS<br />
AND INVESTMENT THE<br />
THE GUIDE TO BUSINESS<br />
PROVINCE<br />
AND INVESTMENT IN THE<br />
BUSINESS<br />
PROVINCE<br />
EASTERN EASTERN CAPE CAPE<br />
BUSINESS BUSINESS<br />
THE GUIDE TO BUSINESS AND INVESTMENT<br />
47556<br />
IN THE EASTERN CAPE PROVINCE THE GUIDE TO BUSINESS AND INVESTMENT<br />
IN THE EASTERN CAPE PROVINCE<br />
2020 EDITION<br />
2019 EDITION<br />
2020 EDITION<br />
2019 EDITION<br />
JOIN JOIN US US ONLINE ONLINE<br />
JOIN US ONLINE WWW.GLOBALAFRICANETWORK.COM | WWW.EASTERNCAPEBUSINESS.CO.ZA<br />
| WWW.EASTERNCAPEBUSINESS.CO.ZA<br />
JOIN US ONLINE WWW.GLOBALAFRICANETWORK.COM | WWW.EASTERNCAPEBUSINESS.CO.ZA | WWW.EASTERNCAPEBUSINESS.CO.ZA<br />
JOIN US ONLINE<br />
WWW.GLOBALAFRICANETWORK.COM | WWW.EASTERNCAPEBUSINESS.CO.ZA<br />
JOIN US ONLINE<br />
WWW.GLOBALAFRICANETWORK.COM | WWW.EASTERNCAPEBUSINESS.CO.ZA<br />
JOIN US ONLINE<br />
WWW.GLOBALAFRICANETWORK.COM | WWW.EASTERNCAPEBUSINESS.CO.ZA<br />
WWW.ECDC.CO.ZA
Celebrating 20 years<br />
of urban regeneration<br />
and clean audits<br />
The Mandela Bay Development Agency, a change agent<br />
of the Bay, plans long-term stadium development.<br />
The Mandela Bay Development Agency, an entity of the Nelson<br />
Mandela Bay Municipality established in 2003 to reverse urban<br />
decay of the Port Elizabeth inner city through urban renewal,<br />
celebrates 20 years of its existence in <strong>2023</strong>.<br />
Some of the successes of the MBDA include pioneering the<br />
regeneration of urban nodes such as Kings Beach, Helenvale,<br />
the Kariega CBD and a significant part of the Gqeberha inner<br />
city. Other achievements include a R40-millon project in New<br />
Brighton which saw the transformation of Singaphi Street.<br />
The MBDA has only ever received successive unqualified and<br />
clean audit outcomes from the Auditor General of South Africa.<br />
In 2016, Council, on separate occasions resolved to hand<br />
over the management and operations of the Nelson Mandela Bay<br />
Science and Technology Centre to the MBDA and subsequently<br />
resolved to also hand over the management of the Nelson<br />
Mandela Bay Stadium to the MBDA effective 1 January 2017,<br />
initially for a period of three years, and this has subsequently been<br />
extended to July <strong>2023</strong>.<br />
Nelson Mandela Bay Stadium<br />
The Nelson Mandela Bay Stadium promotes major sports,<br />
entertainment and recreational activities. The purpose of the<br />
Agency is also to stimulate social support to the communities<br />
and the province at large. The MBDA has done extremely well in<br />
achieving both focuses. This has created a heavy dent in the entity’s<br />
finances but the outlook is hopeful that it is just a matter of time<br />
before positive results are seen in bank statements.<br />
The issue around the staff contracts is still one of the high risks<br />
faced by the business. However, this does not discourage the team<br />
from continuing with the promotion and marketing of the asset.<br />
The cost of sales is growing and it is affecting budgeting and<br />
the overall bottom line. Most of the hosted events and shows are<br />
funded mainly or partly by the Agency. The number of requests<br />
for funding by the communities has increased. The number of<br />
requests for the venue for free has increased, all of which impacts<br />
on the bottom line. Investments have continued in advancing<br />
the asset and transforming it from the old ways of doing<br />
things to the modern and digital ways of doing things. Digital<br />
transformation is going to be a key focus in operations and the<br />
amendment of the product mix. This also meant relooking at the<br />
strategy of the business for the future, policies and procedure.<br />
It is vital to remain relevant and challenge for new markets<br />
that were previously not appealed to. Work on this new<br />
approach began during the previous financial year.<br />
NMB Stadium Museum launch<br />
The NMB Stadium Museum launch was a one-and-a-half-year<br />
journey which started with collecting memorabilia, historic<br />
sporting infrastructure used throughout the existence of<br />
the stadium and video clips of great NMB Stadium sporting<br />
moments. Approximately R1.5-million was spent in conducting<br />
this project which is stadium-owned and managed. The<br />
launch day was a resounding success, being well attended by<br />
dignitaries and stadium representatives.
Furthermore, there was a big media build-up leading<br />
up to the actual launch day. Notable media houses like The<br />
Herald, radio stations like Algoa FM, SABC sports as well as<br />
social media platforms from the stadium were utilised to<br />
magnify the importance of this launch as a legacy project<br />
for the city and its citizens. The NMB Stadium Museum was<br />
officially opened to the public in 2021 and has created<br />
many opportunities for engagement, the exchange of ideas<br />
and the transfer of sporting knowledge and suggestions<br />
from the public. The NMB Stadium looks forward to the<br />
next phases of this project.<br />
NMB Stadium e-gaming tournament<br />
For the third year running, the NMB Stadium e-gaming<br />
tournament was attended by more 150 guests/<br />
participants. Seasoned presenter and SuperSport anchor<br />
Kamza Mbatha held proceedings together throughout the<br />
event as the tournament was live-streamed. Participants<br />
in the tournament were geographically spread between<br />
Asia, Europe as well as Africa, giving the tournament an<br />
international feel and extra competitiveness. The e-gaming<br />
tournament was the first of its kind for the stadium but it’s<br />
something that the stadium definitely wants to be part of,<br />
generating more numbers both locally and abroad.<br />
What the future holds for NMB Stadium<br />
The NMB Stadium is deliberately and purposefully<br />
transforming the business of stadium/facility management<br />
in South Africa and Africa. We are pioneering a new way<br />
of conducting stadium business in an African context and<br />
remain resolute as we move towards our vision, one step<br />
at a time.<br />
Here is what to expect in the next medium to long-term<br />
plans for the facility:<br />
• Focus on the development of the stadium precinct (total<br />
precinct management).<br />
• Completion of the Five-a-Side soccer courts and a<br />
hockey turf.<br />
• Grow the relationship with AIDC to build a smart<br />
academy within the precinct.<br />
• Intensify the purification of the lake water for water<br />
sports such as rowing, sailing and extreme sports.<br />
• Digitise service offerings through the NMB Stadium app.<br />
• Attracting major events for the facility including international<br />
rugby, drone racing, music concerts, motor shows<br />
and motorbike events.<br />
• Hosting of the next World Football Summit.<br />
• Collaborating with Nelson Mandela Foundation to<br />
emphasise the legacy of the late Madiba.<br />
• Collaborate with global entities to enhance product<br />
offerings and diversify the product mix.<br />
• Increase our revenue by almost 45% in five years’ time.<br />
#ourstadium<br />
#heresisto20yearsofdevelopmet<br />
#Manadelabaydevelopmentagency<br />
Acting CEO says Agency has listened<br />
MBDA Acting CEO Mpho Mokonyama writes:<br />
Our assessment of what has gone wrong points<br />
to several factors that we intend addressing<br />
through the proposed new five-year plan for<br />
<strong>2023</strong>-2028. Much of what we aim to focus<br />
on in the next five years is fewer new builds<br />
but smarter total precinct management and<br />
facilitation of key services with partners. We have<br />
listened to stakeholders, including business and citizens who feel more<br />
must be done to coordinate security, cleansing, bylaw enforcement<br />
and improved informal trading regulation. Greater attention will be<br />
placed on the bad-buildings regime. All these issues will be addressed<br />
through a series of stakeholder agreements and we are confident that<br />
if all role-players play their part, the Baakens/Central CBD, Kariega CBD<br />
and Nelson Mandela Bay Stadium precincts will all turn around into safe,<br />
clean and attractive areas for further investment.
CONTENTS<br />
<strong>Eastern</strong> <strong>Cape</strong> <strong>Business</strong> <strong>2023</strong>/<strong>24</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 />
Green hydrogen and battery storage are among the new<br />
sectors howing promise in the regional economy, along<br />
with the Oceans Economy.<br />
Investment, a key lever for driving<br />
sustainable economic development 12<br />
The second annual <strong>Eastern</strong> <strong>Cape</strong> Investment Conference<br />
was held in 2022.<br />
Sustainability in all things 16<br />
From geyser socks to water saving and land revitalisation,<br />
<strong>Eastern</strong> <strong>Cape</strong> entities are innovating to thrive.<br />
Economic sectors<br />
Agriculture and agro-processing 26<br />
A black-owned dairy has won a major contract.<br />
Renewable energy 28<br />
Green hydrogen and battery storage are generating interest.<br />
Education and training 29<br />
Vaccines are being developed at Walter Sisulu University.<br />
Tourism 30<br />
Domestic tourists chose the <strong>Eastern</strong> <strong>Cape</strong> in 2022.<br />
Film 32<br />
Investment in film is creating good returns.
The <strong>Eastern</strong> <strong>Cape</strong> welcomes investors<br />
The <strong>Eastern</strong> <strong>Cape</strong> Development Corporation is the first stop for potential investors<br />
in the coastal province of the <strong>Eastern</strong> <strong>Cape</strong>, whose dramatic landscapes are<br />
attracting film makers and whose talented workers are attracting call-centre<br />
investors. Ayanda Wakaba, CEO of the ECDC, extends a warm welcome.<br />
Ayanda Wakaba, CEO of the <strong>Eastern</strong> <strong>Cape</strong><br />
Development Corporation<br />
The <strong>Eastern</strong> <strong>Cape</strong> is a vibrant province of<br />
unmatched beauty with a wealth of natural<br />
resources and a world-class manufacturing<br />
industry which includes South Africa’s<br />
leading automotive manufacturing industry.<br />
Often referred to as a “world in one province”, the<br />
<strong>Eastern</strong> <strong>Cape</strong> boasts the most successful Industrial<br />
Development Zones in South Africa, the East London<br />
Industrial Development Zone, and Coega Industrial<br />
Development Zone, with the newly-established Wild<br />
Coast Special Economic Zone all ideally situated for<br />
easy access to world markets.<br />
Responsible for the facilitation of investment and<br />
trade in the province, the <strong>Eastern</strong> <strong>Cape</strong> Development<br />
Corporation (ECDC) has been repositioned as a central<br />
economic development agency for the province. The<br />
ECDC’s strategic thrust fosters advocacy work which<br />
promotes provincial economic transformation, inclusive<br />
growth and competitiveness, investor-focussed<br />
solutions, pioneering innovation in key growth sectors,<br />
operational efficiency and financial sustainability.<br />
MESSAGE<br />
At the ECDC, we place emphasis on the<br />
implementation of trade and investment<br />
programmes which intend to leverage on the<br />
inherent economic potential of the province.<br />
These activities encourage trade and investment<br />
in the priority sectors of the <strong>Eastern</strong> <strong>Cape</strong><br />
economy which have a high potential for job<br />
creation, beneficiation and opportunities for the<br />
development of a competitive local SMME sector.<br />
For the ease and convenience of doing<br />
business in the <strong>Eastern</strong> <strong>Cape</strong>, the InvestSA One<br />
Stop Shop <strong>Eastern</strong> <strong>Cape</strong>, which is a South African<br />
presidential investment facilitation initiative<br />
implemented in partnership with the Department<br />
of Trade, Industry and Competition, serves as a<br />
vehicle to reduce the administrative burden often<br />
experienced by investors. The InvestSA One Stop<br />
Shop <strong>Eastern</strong> <strong>Cape</strong> facility thus acts as a single<br />
point of contact for investor interface, queries<br />
and aftercare. Matters relating to regulatory<br />
compliance, licensing and permits, interface with<br />
local authorities and communities are among the<br />
services the InvestSA One Stop Shop <strong>Eastern</strong> <strong>Cape</strong><br />
prides itself on.<br />
The ECDC welcomes you to the unmatched<br />
potential of the <strong>Eastern</strong> <strong>Cape</strong> Province.<br />
Realise the <strong>Eastern</strong> <strong>Cape</strong>, it’s Yours to Explore. ■<br />
The ECDC has extended its reach into the Karoo,<br />
having launched a satellite office in Graaff-Reinet in<br />
the Dr Beyers Naude Municipality.<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong>
47556<br />
47556<br />
47556<br />
THE GUIDE TO BUSINESS<br />
AND INVESTMENT IN THE THE GUIDE TO BUSINESS THE GUIDE TO BUSINESS<br />
EASTERN CAPE PROVINCE AND INVESTMENT IN THE AND INVESTMENT IN THE THE GUIDE TO BUSINESS<br />
EASTERN CAPE PROVINCE EASTERN CAPE PROVINCE AND INVESTMENT IN THE<br />
EASTERN CAPE PROVINCE<br />
THE GUIDE TO BUSINESS AND INVESTMENT<br />
THE GUIDE TO BUSINESS THE GUIDE AND TO INVESTMENT<br />
IN THE EASTERN CAPE PROVINCE<br />
BUSINESS AND INVESTMENT<br />
IN THE EASTERN CAPE THE GUIDE TO BUSINESS AND INVESTMENT<br />
IN THE PROVINCE EASTERN CAPE PROVINCE<br />
IN THE EASTERN CAPE PROVINCE<br />
Fly Airlink, a proudly South African airline offering endless possibilities.<br />
As the largest privately-owned Fly regional Airlink, feeder a proudly airline South in southern African<br />
Fly Airlink,<br />
airline Africa, offering<br />
a proudly<br />
endless<br />
South<br />
possibilities.<br />
African airline offering endless possibilities.<br />
our independence offers even As more the largest freedom. privately-owned From 11 June, regional<br />
As<br />
2020,<br />
the<br />
all<br />
largest<br />
feeder Airlink<br />
privately-owned<br />
airline in southern<br />
Fly regional Airlink,<br />
Africa,<br />
feeder a proudly airline South in southern African airline Africa, offering endless possibilities.<br />
flights will operate under its own our independence 4Z flight code. offers We continue even more<br />
our<br />
to operate<br />
independence<br />
freedom. more From<br />
offers<br />
11 June,<br />
even As<br />
2020,<br />
more the<br />
all<br />
largest freedom.<br />
Airlink<br />
privately-owned From 11 June, regional 2020, all feeder Airlink airline in southern Africa,<br />
than 5 600 flights per month flights across will our operate network, under comprising its own JOIN US ONLINE WWW.GLOBALAFRICANETWORK.COM | WWW.EASTERNCAPEBUSINESS.CO.ZA<br />
flights<br />
of 4Z more flight<br />
will<br />
than<br />
operate<br />
code. We<br />
under<br />
continue<br />
its own our<br />
to operate<br />
independence 4Z flight<br />
more<br />
code. offers We continue even more to operate freedom. more From 11 June, 2020, all Airlink<br />
55 routes in southern Africa and than St 5 Helena 600 flights island, per with month an on-time across<br />
than<br />
our<br />
5<br />
performance<br />
600<br />
network,<br />
flights per<br />
comprising<br />
month flights across<br />
of more<br />
will our<br />
than<br />
JOIN US ONLINE WWW.GLOBALAFRICANETWORK.COM<br />
network, comprising of more than<br />
JOIN US ONLINE WWW.GLOBALAFRICANETWORK.COM | WWW.EASTERNCAPEBUSINESS.CO.ZA<br />
operate under its own 4Z flight code. We continue to operate more<br />
| WWW.EASTERNCAPEBUSINESS.CO.ZA<br />
consistently at 95%. 55 routes in southern Africa and<br />
55<br />
St<br />
routes<br />
Helena<br />
in<br />
island,<br />
southern<br />
with<br />
Africa<br />
an on-time<br />
and than St 5 Helena<br />
performance<br />
600 flights island, per with month an on-time across our performance network, comprising of more than<br />
JOIN US ONLINE WWW.GLOBALAFRICANETWORK.COM | WWW.EASTERNCAPEBUSINESS.CO.ZA<br />
consistently at 95%.<br />
consistently at 95%. 55 routes in southern Africa and St Helena island, with an on-time performance<br />
consistently at 95%.<br />
flyairlink.com @fly_airlink Fly Airlink<br />
flyairlink.com @fly_airlink<br />
flyairlink.com<br />
Fly Airlink<br />
@fly_airlink Fly Airlink<br />
flyairlink.com @fly_airlink Fly Airlink<br />
JOIN US ONLINE<br />
WWW.GLOBALAFRICANETWORK.COM | WWW.EASTERNCAPEBUSINESS.CO.ZA<br />
JOIN US ONLINE<br />
WWW.GLOBALAFRICANETWORK.COM JOIN US ONLINE<br />
WWW.GLOBALAFRICANETWORK.COM | WWW.EASTERNCAPEBUSINESS.CO.ZA<br />
| WWW.EASTERNCAPEBUSINESS.CO.ZA<br />
JOIN US ONLINE<br />
WWW.GLOBALAFRICANETWORK.COM | WWW.EASTERNCAPEBUSINESS.CO.ZA<br />
47810 SA Airlink 4Z April Skyways Ad.indd 1 2020/02/14 14:47<br />
47810 SA Airlink 4Z April Skyways<br />
47810<br />
Ad.indd<br />
SA<br />
1<br />
Airlink 4Z April Skyways Ad.indd 1<br />
2020/02/14 14:47<br />
2020/02/14 14:47<br />
47810 SA Airlink 4Z April Skyways Ad.indd 1 2020/02/14 14:47<br />
47556<br />
CONTENTS<br />
Global <strong>Business</strong> Services 33<br />
A UNDP digital skills programme is proving popular.<br />
Oceans Economy 34<br />
A Maritime Chamber of Commerce has been established.<br />
Manufacturing: general 36<br />
Investment is accelerating.<br />
Manufacturing: automotive 37<br />
Panelbeaters and mechanics are to get better access to markets.<br />
Development finance and SMME 38<br />
Water contract flows from networking.<br />
Banking and financial services 40<br />
Agricultural app extends bank’s reach.<br />
EASTERN CAPE<br />
EASTERN BUSINESS<br />
CAPE<br />
CAPE<br />
THE THE GUIDE GUIDE TO TO AND AND INVESTMENT INVESTMENT THE THE EASTERN EASTERN CAPE CAPE PROVINCE PROVINCE<br />
BUSINESS<br />
THE GUIDE THE GUIDE THE TO BUSINESS GUIDE THE TO BUSINESS GUIDE TO BUSINESS AND<br />
TO BUSINESS AND INVESTMENT INVESTMENT AND AND INVESTMENT INVESTMENT IN<br />
THE EASTERN THE EASTERN THE EASTERN THE<br />
CAPE<br />
EASTERN CAPE PROVINCE CAPE PROVINCE CAPE PROVINCE PROVINCE<br />
2021/22 EDITION<br />
2021/22 EDITION<br />
2021/22 <strong>2023</strong>/<strong>24</strong> EDITION<br />
EDITION<br />
2021/22 <strong>2023</strong>/<strong>24</strong> EDITION<br />
EDITION<br />
ABOUT THE THE COVER:<br />
Main Main image: Wild Wild Coast by by Joshua Gaunt (Unsplash). Clockwise from from<br />
top top right: C-class models made in in East East London (Mercedes-Benz Group);<br />
Angora goats (SAMIL); wind wind turbine (BTE (BTE Renewables) oranges (Jen (Jen Gunter<br />
on on Unsplash); Magwa Tea Tea Estate (ECDC); port port activity (Transnet Port Port<br />
Terminals); Nelson Mandela Bay Bay Stadium (NMBDA).<br />
Explore Explore Explore EASTERN EASTERN CAPE<br />
southern Africa<br />
southern Afri-<br />
Explore EASTERN CAPE<br />
southern Africca<br />
BUSINESS EASTERN BUSINESS EASTERN BUSINESS EASTERN CAPE BUSINESS EASTERN CAPE CAPE CAPE<br />
EASTERN CAPE<br />
southern Africa<br />
CAPE<br />
BUSINESS BUSINESS BUSINESS BUSINESS<br />
JOIN JOIN US JOIN JOIN US ONLINE ONLINE US JOIN US ONLINE ONLINE US ONLINE<br />
| | JOIN US ONLINE WWW.GLOBALAFRICANETWORK.COM WWW.GLOBALAFRICANETWORK.COM | WWW.EASTERNCAPEBUSINESS.CO.ZA<br />
| | WWW.EASTERNCAPEBUSINESS.CO.ZA<br />
| WWW.EASTERNCAPEBUSINESS.CO.ZA<br />
2020 EDITION<br />
2019 EDITION<br />
2020 EDITION<br />
2019 EDITION<br />
2020 EDITION<br />
2019 EDITION<br />
2020 EDITION<br />
2019 EDITION<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong><br />
44<br />
WWW.ECDC.CO.ZA<br />
WWW.ECDC.CO.ZA
WWW.NORTHERNCAPEBUSINESS.CO.ZA<br />
ONLINE JOIN S US ONLINE<br />
WWW.GLOBALAFRICANETWORK.COM | WWW.NORTHERNCAPEB<br />
| | 10 REASONS<br />
WHY YOU SHOULD INVEST IN SOUTH AFRICA<br />
01.<br />
HOT EMERGING<br />
MARKET<br />
Growing middle class, affluent consumer<br />
base, excellent returns on investment.<br />
02.<br />
MOST DIVERSIFIED<br />
ECONOMY IN AFRICA<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 />
LARGEST PRESENCE OF MULTINATIONALS<br />
ON THE AFRICAN CONTINENT<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 />
FAVOURABLE ACCESS TO<br />
GLOBAL MARKETS<br />
ADVANCED FINANCIAL SERVICES<br />
& BANKING SECTOR<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 />
07.<br />
YOUNG, EAGER LABOUR FORCE<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 />
04.<br />
06.<br />
08.<br />
PROGRESSIVE<br />
CONSTITUTION<br />
& INDEPENDENT<br />
JUDICIARY<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 />
ABUNDANT NATURAL<br />
RESOURCES<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 />
WORLD-CLASS<br />
INFRASTRUCTURE<br />
AND LOGISTICS<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 />
EXCELLENT QUALITY<br />
OF LIFE<br />
Page | 2<br />
19<br />
SOUTH AFRICAN BUSINESS 2020
FOREWORD<br />
<strong>Eastern</strong> <strong>Cape</strong> <strong>Business</strong><br />
A unique guide to business and investment in the <strong>Eastern</strong> <strong>Cape</strong>.<br />
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: Yonella Ngaba<br />
Ad sales:<br />
Gavin van der Merwe<br />
Sam Oliver<br />
Tahlia Wyngaard<br />
Tennyson Naidoo<br />
Gabriel Venter<br />
Vanessa Wallace<br />
Shiko Diala<br />
Graeme February<br />
Administration & accounts:<br />
Charlene Steynberg<br />
Kathy Wootton<br />
Sharon Angus-Leppan<br />
Distribution and circulation<br />
manager: Edward MacDonald<br />
Printing: FA Print<br />
The <strong>2023</strong>/<strong>24</strong> edition of <strong>Eastern</strong> <strong>Cape</strong> <strong>Business</strong> is the 16th edition<br />
of this successful publication that, since its launch in 2006, has<br />
established itself as the premier business and investment guide<br />
for the <strong>Eastern</strong> <strong>Cape</strong>.<br />
The <strong>Eastern</strong> <strong>Cape</strong> Development Corporation (ECDC) is supporting this issue<br />
of the journal, both in providing up-to-date information for editorial use and in<br />
sharing information about its activities. It will also distribute the journal through<br />
its regular channels.<br />
The <strong>Eastern</strong> <strong>Cape</strong>’s multi-faceted approach to the challenges and opportunities<br />
of sustainability are explored in a special feature. From caring for agricultural<br />
land through partnerships between farmers, wool brokers and fashion houses,<br />
to solar panels and improved lighting and water systems, companies are<br />
finding ways to incorporate sensible and profitable solutions into their business<br />
models. The Nelson Mandela Bay Development Agency celebrates a significant<br />
milestone this year, it being 20 years since it began operations.<br />
For the first time, a separate overview on the film sector is included, an<br />
indication of the growth and potential of this vibrant sector. Similarly, developments<br />
and the potential of the global business services (primarily call centres) is reviewed.<br />
Overviews are provided on the other key economic sectors of the province and the<br />
potential of the Oceans Economy and the prospects of oil and gas for this coastal<br />
province are examined. The major business chambers in the province have made<br />
contributions to the journal and the creation of a new chamber is acknowledged,<br />
the Maritime <strong>Business</strong> Chamber, which has its headquarters a short distance up the<br />
hill from the Port of Gqeberha.<br />
To complement the extensive local, national and international distribution<br />
of the print edition, the full content can also be viewed online at www.<br />
easterncapebusiness.co.za. Updated information on the <strong>Eastern</strong> <strong>Cape</strong> is also<br />
available through our monthly e-newsletter, which you can subscribe to online at<br />
www.gan.co.za, in addition to our complementary business-to-business titles that<br />
cover all nine provinces as well as our flagship South African <strong>Business</strong> title. In 2020 the<br />
inaugural edition of the Journal of African <strong>Business</strong> was published. ■<br />
Chris Whales<br />
Publisher, Global Africa Network | Email: chris@gan.co.za<br />
DISTRIBUTION<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 />
PUBLISHED BY<br />
Global Africa Network Media (Pty) Ltd<br />
Company Registration No: 2004/004982/07<br />
Directors: Clive During, Chris Whales<br />
Physical address: 28 Main Road, Rondebosch 7700<br />
Postal address: PO Box 292, Newlands 7701<br />
Tel: +27 21 657 6200 | Fax: +27 21 674 6943<br />
Email: info@gan.co.za | Website: www.gan.co.za<br />
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 | AET Africa; Callzilla; Bushveld Minerals; ECDC; Exxaro;<br />
Ford Motor Company; Khula!; Liessen Bitumen; Mark Sampson/H&M;<br />
Mercedes-Benz SA; Montego Pet Nutrition; Nelson Mandela Bay<br />
Development Agency; Nelson Mandela Bay Tourism; Nelson Mandela<br />
University; Ncora Dairy; Transnet Port Terminals; Towfiqu Barbhuiya on<br />
Unsplash; Wild Coast Sun.<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.
FOCUS<br />
An Investment Film Fund<br />
has been launched<br />
The ECDC is targeting development in key<br />
sectors of the economy.<br />
The Survivor series is one of several film projects that<br />
has been attracted to the <strong>Eastern</strong> <strong>Cape</strong>. Credit: M-Net<br />
The <strong>Eastern</strong> <strong>Cape</strong> Development Corporation<br />
(ECDC) focuses on seven growth sectors<br />
which are all aligned to the Provincial<br />
Economic Development Strategy and<br />
Provincial Development Plan.<br />
These sectors are:<br />
• Agriculture and agro-processing<br />
• Sustainable energy, generation and component<br />
manufacture<br />
• Oceans Economy<br />
• Automotive<br />
• Light manufacturing<br />
• Tourism, infrastructure and product<br />
• Film<br />
The <strong>Eastern</strong> <strong>Cape</strong> has experienced sizeable local<br />
and international investment in key sectors such as<br />
automotive, renewable energy and forestry.<br />
The film and tourism sectors received a boost<br />
with the filming of Survivor South Africa: Immunity<br />
Island on the Wild Coast, which not only boosted the<br />
regional economy by R10-million and created more<br />
than 100 jobs but will sell the province to a large<br />
television audience.<br />
All of the province’s original equipment<br />
manufacturers (OEMs) have made commitments to<br />
expand or upgrade their production lines in recent<br />
months: Mercedes-Benz South Africa (East London),<br />
Volkswagen SA (Kariega), BAIC (Coega SEZ), Ford Motor<br />
Company and Isuzu (Gqeberha).<br />
As recently as March 2022, the Africa Auto<br />
Group committed to an investment of R550-million<br />
to enter the injection moulding industry in Nelson<br />
Mandela Bay.<br />
With more than half of the wind power projects<br />
in the national government’s renewable energy plan<br />
allocated to the <strong>Eastern</strong> <strong>Cape</strong>, the region can truly be<br />
called the Wind Power Province. A green hydrogen<br />
project has been announced which holds enormous<br />
potential for opening up a completely new sector.<br />
Manufacturing for the renewable energy sector is<br />
another potential area of growth, and the province’s<br />
Special Economic Zones are uniquely positioned to<br />
host such activity.<br />
One of the competitive advantages of investing<br />
in the <strong>Eastern</strong> <strong>Cape</strong> lies in the two Special Economic<br />
Zones in East London and at Coega, which hosts a<br />
deepwater port. Both SEZs are strategically situated<br />
on major transport and shipping routes and provide<br />
purpose-built infrastructure for investors wishing to<br />
produce and manufacture for the Southern African<br />
Development Community and world markets. An<br />
integrated database system has been developed and<br />
maintained by the SEZs. Through this portal, potential<br />
investors have ready access to skilled, semi-skilled and<br />
unskilled labour resources. ■<br />
7<br />
EASTERN CAPE BUSINESS 2022/23
A REGIONAL OVERVIEW OF<br />
EASTERN CAPE<br />
PROVINCE<br />
Green ammonia, green hydrogen and battery storage are among<br />
the new sectors showing promise in the regional economy, along<br />
with the Oceans Economy.<br />
By John Young<br />
Everything about energy is trending in<br />
South Africa at the moment. The <strong>Eastern</strong><br />
<strong>Cape</strong> has attracted a large percentage<br />
of the new investments made into wind<br />
farms in the years since the nation decided to<br />
encourage private investment in the power sector,<br />
but it is battery storage, green hydrogen and<br />
ammonia that are stirring interest – and attracting<br />
investment rands – most recently.<br />
In East London, Bushveld Minerals has built<br />
a factory to make vanadium battery electrolyte.<br />
At the Coega Special Economic Zone (Coega<br />
SEZ) an amount of $4.6-billion has been pledged<br />
by a consortium led by Hive Energy to produce<br />
green ammonia and another group of companies,<br />
including ENERTRAG South Africa, is looking into<br />
the potential of a site near Humansdorp to produce<br />
green hydrogen. The German parent of ENERTRAG<br />
has a lot of experience in hybrid wind to hydrogen<br />
power plants and is working with Sasol on aviation<br />
fuel alternatives.<br />
Green ammonia and green hydrogen are both<br />
produced by electrolysis and the green element<br />
is supplied by that process being powered by<br />
clean or renewable energy. The difference is that<br />
green ammonia is a liquid while green hydrogen<br />
is a gas.<br />
Various kinds of propulsion are obviously very<br />
important to the province’s big original equipment<br />
manufacturers (OEMs) such as Volkswagen South<br />
Africa, Mercedes-Benz South Africa, Ford Motor<br />
Company and Isuzu. These OEMs are keen to get<br />
certainly on what South Africa’s policy on electric<br />
vehicles is going to be. All of them have recently<br />
made large capital investments in new lines or<br />
expanded capacity.<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong><br />
8
SPECIAL FEATURE<br />
Credit: TPT<br />
Ford has started discussions about the creation<br />
of a new, high-speed rail link between Tshwane<br />
(where it makes Ford Rangers) and Gqeberha, the<br />
site of its engine plant. Such a link would enable it<br />
to send engines north and send completed SUVs<br />
south to one or both of the two ports that serve the<br />
city of Gqeberha.<br />
Within the Coega SEZ, just north of the<br />
city, the Port of Ngqura, pictured, was primarily<br />
designed as a container terminal but additional<br />
capabilities are being added. The Coega<br />
Development Corporation (CDC) has been<br />
tasked with finding a developer for a new<br />
Liquid Bulk Terminal and for a new manganese<br />
terminal. Transnet has agreed that the tank farm<br />
and manganese storage facility at the Port of<br />
Gqeberha is to be moved to the Port of Ngqura.<br />
This will open up prime waterfront space to<br />
tourism and hospitality businesses.<br />
The Newlyn Group has designed and submitted<br />
a proposal for a back-of-port manganese terminal for<br />
Ngqura which would result in almost no emissions<br />
and be highly efficient. Unloading of trains and the<br />
movement of manganese would all take place in a<br />
covered environment.<br />
Infrastructure<br />
The provincial government has identified six “mega”<br />
infrastructure projects on which to focus: N2 Wild<br />
Coast Highway, Mzimvubu Water Project, <strong>Eastern</strong><br />
<strong>Cape</strong> Transnet initiatives, N2 Nodal Development,<br />
undersea cables and the Wild Coast SEZ.<br />
With three ports and two large airports, the<br />
<strong>Eastern</strong> <strong>Cape</strong> is well suited to logistics activity. The<br />
Cookhouse Blaney rail branch line is now working<br />
and Transnet Freight Rail has pledged to open the line<br />
from Kroonstad to the Port of East London. A Slipway<br />
Project at Gqeberha is to be completed in the course<br />
of <strong>2023</strong> and the grain elevator at the Port of East<br />
London is operational again.<br />
Having these rail connections operational and<br />
linked to the Agriport Terminal at the East London<br />
port reduces the costs of logistics and fits into a major<br />
national and provincial goal of moving goods from<br />
road to rail.<br />
By the end of <strong>2023</strong>, the 2Africa sea cable will<br />
be servicing the <strong>Eastern</strong> <strong>Cape</strong>’s communications<br />
networks. This will not only assist private enterprise<br />
but support the provincial government’s efforts to<br />
roll out broadband. So far, e-health and e-education<br />
platforms exist.<br />
Both Vodacom and MTN are continuing to invest<br />
in telecommunications infrastructure. A project to<br />
connect 23 rural villages was completed by Vodacom<br />
at a cost of R34-million; a further R71-million will<br />
be spent on connecting another 86 villages. MTN<br />
allocated R600-million to protect its network and has<br />
rolled out an extensive programme of battery and<br />
generator support.<br />
A Samsung Innovation Campus has been initiated<br />
at Walter Sisulu University. To be run by the Centre<br />
for Entrepreneurship Rapid Incubators (CFERI), the<br />
campus programme aims to transfer IT skills and help<br />
graduates start their own businesses. There will be<br />
courses on coding, programming, artificial intelligence<br />
and the Internet of Things.<br />
The provincial government has increased funding<br />
available from its fund for young entrepreneurs,<br />
Isiqalo Youth Fund. As of December 2022, the<br />
province has spent R203-million supporting 3 900<br />
youth-owned enterprises.<br />
9<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong>
Mercedes-Benz vehicles made in East London regularly win US awards for quality.<br />
Credit: Mercedes-Benz South Africa<br />
Tourism<br />
Tourism is one of the sectors that was hit hardest<br />
by Covid-19. Many events were cancelled, foreign<br />
visitors were absent from attractions such as the<br />
Addo Elephant National Park and the Baviaanskloof<br />
World Heritage Site and guest houses and hotels<br />
struggled to make ends meet.<br />
Although times were tough for the “Adventure<br />
Province”, there was some good news out of a<br />
sector that still retains enormous potential for<br />
growth and has been identified by the <strong>Eastern</strong> <strong>Cape</strong><br />
Development Corporation (ECDC) as a priority sector.<br />
The ECDC invested R2-million in attracting<br />
the TV series Survivor South Africa: Immunity Island<br />
and that investment has been shown to pay<br />
off both in monetary terms and in showcasing<br />
the spectacular Wild Coast to TV audiences. The<br />
immediate economic impact of the filming was<br />
estimated at R10-million.<br />
The north-eastern segment of the province is the<br />
site of a possible future national park, which would<br />
bring to five the number of national parks in the<br />
province, joining the Addo Elephant, the Camdeboo,<br />
Garden Route and Mountain Zebra National Parks.<br />
These parks not only look after animals but also<br />
protect quite distinct types of vegetation.<br />
If the proposed Grassveld National Park is<br />
established high in the mountains above the village of<br />
Rhodes and near to the border with Lesotho, it would<br />
be South Africa’s 20th. The conservation goal behind<br />
the park is to preserve grasslands through agreements<br />
with landowners and farmers who would continue<br />
to farm the land responsibly. The land of the Batlokoa<br />
community is near the famous Naude’s Neck Pass.<br />
As a source of clean water, the area is a hugely<br />
important resource and worth preserving for that<br />
reason too. The water that falls away from the<br />
highest point of this proposed park is described<br />
by Andrew Weiss of the WWF as “heading towards<br />
the Mzimvubu River and the Indian Ocean” while<br />
another small stream at the top of the mountain<br />
is destined to join the Orange River in the west.<br />
Weiss also described rock paintings of eland and<br />
reedbuck “with the unusual addition of dogs and<br />
a fat-tailed sheep”. The Grassveld National Park<br />
project of the South African National Botanical<br />
Institute (SANBI) has recorded 1 131 species of<br />
plant life on the iNaturalist app.<br />
In addition to national parks, the <strong>Eastern</strong> <strong>Cape</strong><br />
has 15 provincial nature reserves and a multitude<br />
of luxury private game reserves.<br />
The events sector was just about to restart<br />
before the Omicron variant put a stop to all travel.<br />
This is something the <strong>Eastern</strong> <strong>Cape</strong> does well,<br />
with the National Arts Festival and a variety of<br />
sporting events such as Iron Man being hosted<br />
by the province. In the week before the Omicron<br />
variant shocked some countries into banning<br />
travel, St Francis Links successfully hosted the<br />
South African PGA Championship and showed<br />
how well multiple companies, guest houses and<br />
sponsors can work together to create something<br />
of international quality. The tournament also<br />
brought employment opportunities to the region.<br />
This format was repeated in 2022 with a<br />
much bigger live audience and the event will<br />
again be televised in late <strong>2023</strong>. In addition, St<br />
Francis jointly hosted with the DP World Tour<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong><br />
10
SPECIAL FEATURE<br />
(and thus attracted a global TV audience) the SDC<br />
Championship in March <strong>2023</strong>.<br />
Gqeberha also got in on the act of hosting a<br />
new tournament, this time the Nelson Mandela Bay<br />
Championship. The significance of this tournament in<br />
viewership terms was that it was an official DP World<br />
Challenge Tour event, where golfers can qualify for<br />
the main tour if they do well.<br />
Other than tourism and film, the following<br />
sectors have been identified by the ECDC as<br />
priority sectors: agriculture and agro-processing,<br />
sustainable energy, the Oceans Economy,<br />
automotive and light manufacturing. Each of these<br />
categories is the subject of an updated economic<br />
overview in this journal.<br />
The ECDC’s mandate is to plan, finance,<br />
coordinate, market, promote and implement the<br />
development of the <strong>Eastern</strong> <strong>Cape</strong> in industry,<br />
commerce, agriculture, transport and finance, which<br />
it does through three core units.<br />
Diversification is an important part of provincial<br />
plans. An example of this is the Global <strong>Business</strong><br />
Services sector, previously BPO. GBS has received<br />
a boost with the establishment of an ICT Academy<br />
in Mthatha.<br />
Enrolment in 2022 increased to 100. The centre<br />
is a partnership between the provincial government<br />
and Liquid Intelligent Technologies South Africa.<br />
In 2021, more than 7 520 young people<br />
benefitted from the R363-million which various<br />
Sector Education and Training Authorities (SETAs)<br />
put into training programmes in the following<br />
sectors in the province: manufacturing, engineering<br />
and related services, public sector, mining, banking,<br />
chemical, local government, wholesale and retail,<br />
education, training and development and insurance.<br />
Automotive power<br />
As exporters, the <strong>Eastern</strong> <strong>Cape</strong>’s OEMs are among<br />
South Africa’s highest achievers. Volkswagen<br />
Isuzu, Ford and Mercedes-Benz routinely ship tens<br />
of thousands of vehicles and engines to every<br />
part of the globe. Quite often, the East London<br />
or Gqeberha factory will be mandated to fulfil<br />
a particular order for a left-handed model, for<br />
example, in a specific country.<br />
Isuzu recently launched the first locallyengineered<br />
and produced seventh-generation<br />
D-MAX bakkie, using for the first time a new body<br />
shop at the Struandale manufacturing plant and<br />
a new chassis assembly line at the company’s<br />
Kempston Road facility.<br />
The initial R10-billion that Mercedes-Benz<br />
invested in making its East London factory ready<br />
for the production of the latest C-Class was<br />
supplemented in 2021, when the first vehicles rolled<br />
off the floor, by news that an additional R3-billion was<br />
to go into building three new assembly lines, a new<br />
body shop and more advanced robots.<br />
Ford Motor Company’s Struandale engine plant<br />
in Gqeberha will receive R600-million to prepare<br />
the plant to make the 3.0L V6 turbodiesel engine for<br />
the company’s Ford Ranger, which is put together<br />
in Tshwane. This amount, which includes upgrades<br />
to two existing engine lines, is over and above the<br />
company’s national commitment of R15.8-billion to<br />
be spent on the Silverton assembly plant and various<br />
factories that supply the company.<br />
By the start of 2018, Volkswagen South<br />
Africa had spent more than R6.1-billion on its<br />
plant in Kariega, an investment that enabled<br />
the manufacture of more than 400 000 sixthgeneration<br />
Polos by 2021. More than 80% of<br />
these vehicles were exported. ■<br />
The Nelson Mandela Bay Museum records<br />
many years of big events and great<br />
excitement. Credit: NMBDA<br />
11<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong>
MESSAGE<br />
Investment, a key lever for driving<br />
sustainable economic development<br />
Investment as a key factor in encouraging sustainable economic<br />
development was the theme of the second annual <strong>Eastern</strong> <strong>Cape</strong><br />
Investment Conference held at the International Conference Centre in<br />
East London in October 2022.<br />
sectors. These included: manufacturing – Lisen<br />
Bitumen; primary agriculture – Al Mawashi; ICT and<br />
digital services – Google South Africa, Mercedes-Benz<br />
South Africa ICT Hub; automotive – Isuzu, Mercedes-<br />
Benz, Orion Engineered Carbon; renewable energy<br />
– SunFarming, Hive Energy, Seraphim, Bushveld<br />
Electrolyte; agro-processing – Twizza; film – Survivor;<br />
aquaculture – Zwembesi, KingFish Enterprise;<br />
economic infrastructure - Transnet, SANRAL.<br />
The following new investments were unveiled:<br />
• Shoprite distribution centre, R1.5-billion<br />
• Tshedza Pictures, R85-million<br />
• Transnet Port of Ngqura, R1.59-billion<br />
• Benteler, R168-million<br />
• SunFarming, R500-million<br />
• Mhlobiso Concrete, R9.5-million<br />
• Toyota Material Handling, R60-million<br />
• Sanaha Property Developments, R542-million<br />
• Sanral, R7.23-billion<br />
• Aqora Lithium Battery, R34.4-billion<br />
Preparing the way for investment. A concerted<br />
infrastructure drive to improve connectivity in the<br />
<strong>Eastern</strong> <strong>Cape</strong> includes the N2 Wild Coast road and the<br />
Msikaba Bridge. Credit: SANRAL<br />
The conference was a resounding success with<br />
new investment projects amounting to R46.08-<br />
billion being announced and recently-launched<br />
investment projects in the province profiled.<br />
Speakers included <strong>Eastern</strong> <strong>Cape</strong> Premier Oscar<br />
Mabuyane and a number of investors who spoke about<br />
their experiences in investing in several transformative<br />
The one-day event was presented in a hybrid<br />
format, offering in-person and virtual participation<br />
for private and public sector participants. Public<br />
sector infrastructure investment projects that<br />
further enable the <strong>Eastern</strong> <strong>Cape</strong> investment<br />
environment were also showcased.<br />
The Conference prioritised sectors and industries<br />
that are poised to better transform the structure of<br />
the economy towards inclusive development. The<br />
Conference showcased the advances the province<br />
has made with regards to investor coordination and<br />
facilitation across provincial, district and local spheres.<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong><br />
12
Focusing on targeted sectors allows the<br />
province to demonstrate investment projects in<br />
the implementation and planning phase, detail<br />
the investment landscape for niche investment<br />
projects and encourage domestic and international<br />
investors to partner with the <strong>Eastern</strong> <strong>Cape</strong> province<br />
on investment projects.<br />
Investment project showcasing was presented<br />
across the following sectors:<br />
• Manufacturing<br />
• Primary agriculture<br />
• ICT and digital services<br />
• Automotive<br />
• Renewable energy<br />
• Agro-processing<br />
• Film<br />
• Aquaculture<br />
• Economic infrastructure<br />
During the time in office of the current administration,<br />
the sixth administration, a cumulative investment total of<br />
R171.45-billion has been achieved. This has resulted in the<br />
creation of 21 664 direct jobs opportunities.<br />
This cumulative investment total from 2019 to<br />
2022 is derived from:<br />
• Private sector investments: R7.51-billion<br />
• Public sector investments: R22.8-billion<br />
• Private sector investments (January to October<br />
2022): R95.06-billion<br />
• New investment announcements at conference:<br />
R46.08-billion<br />
The objectives of hosting a Provincial Investment<br />
Conference are to:<br />
• Position the <strong>Eastern</strong> <strong>Cape</strong> as an attractive<br />
investment destination.<br />
• Attract quality greenfield and brownfield<br />
investment projects into the <strong>Eastern</strong> <strong>Cape</strong>.<br />
• Coordinate investment attraction efforts across<br />
spheres of government in the province.<br />
• Direct investment into strategic and labourintensive<br />
sectors to address under investment.<br />
• Promote investment facilitation and aftercare<br />
services offered to investor community in<br />
the province.<br />
• Strengthen the <strong>Eastern</strong> <strong>Cape</strong> investment<br />
project pipeline.<br />
For additional information on the Provincial<br />
Investment Conference please refer to;<br />
https://easterncapepic.co.za/<br />
From contacts to contracts:<br />
the <strong>Eastern</strong> <strong>Cape</strong> is perfectly placed<br />
Extract from a recorded message to the conference<br />
from President Cyril Ramaphosa.<br />
President Cyril Ramaphosa. Credit: AfDB<br />
Your conference is taking place at a time of unparalleled multidimensional<br />
crisis. The <strong>Eastern</strong> <strong>Cape</strong> is perfectly placed to attract new<br />
investment in old and news sectors of our economy. This province is<br />
the land of enormous opportunity.<br />
It is the heartland of our country’s automotive industry, which is<br />
a major contributor to our nation’s exports and GDP.<br />
The <strong>Eastern</strong> <strong>Cape</strong> has two Special Economic Zones at Coega and<br />
East London, which attract strategic investment into the province.<br />
This is supported by a concerted infrastructure drive in the province.<br />
I have seen impressive progress with the N2 Wild Coast road and<br />
Msikaba Bridge. Upon completion, these projects will bring immense<br />
benefit to the provincial economy, and indeed will impact positively<br />
on the lives of the citizens of this province.<br />
The province has been hard at work to improve efficiency<br />
at the ports. These are signs of the provincial government hard at<br />
work with Transnet to make the <strong>Eastern</strong> <strong>Cape</strong> an efficient and costeffective<br />
place to do business and to support manufacturers to get<br />
their goods to market.<br />
The <strong>Eastern</strong> <strong>Cape</strong> has also shown potential as a destination for<br />
renewable energy. Earlier this year, Department of Mineral Resources<br />
and Energy announced a R3-billion investment in the <strong>Eastern</strong> <strong>Cape</strong>.<br />
We trust that delegates to this conference will explore some<br />
of the abundant opportunities in agriculture and agriprocessing<br />
as well as in the expanding field of cannabis cultivation and the<br />
Oceans Economy.<br />
The <strong>Eastern</strong> <strong>Cape</strong> is one of the country’s most biodiverse regions;<br />
places like the Wild Coast attract tourists from all over the world. It is<br />
hoped this conference will discuss ways to attract more investment<br />
in tourism services and infrastructure.<br />
Given all this positive environment, our expectation for this<br />
investment conference is very high.<br />
Let us come together to turn pledges into reality. I hope we can<br />
move from contact to contract.
Aim higher and connect more<br />
with Telkom Naledi Packages.<br />
Take your star-studded team or your home connectivity to new heights<br />
with exclusive Telkom Naledi packages that offer a loyalty programme,<br />
a convergence app, and more value.<br />
Book a presentation appointment now.<br />
Email us: RT15Enquiries@telkom.co.za
Next-level connectivity.<br />
Groundbreaking mobile solutions.<br />
Enjoy dedicated streaming bundles, uncapped data with no FUP and more.<br />
RT15<br />
Exclusive Offers<br />
Advantages<br />
Telkom Naledi Gold<br />
Uncapped data<br />
20GB streaming data<br />
Unlimited closed user group minutes<br />
(Telkom-to-Telkom calls including<br />
Telkom landline)<br />
200 Other-network minutes<br />
Unlimited SMS<br />
SIM-only R350<br />
Mobile service with mobile device<br />
Uncapped data with no FUP<br />
applied to the package. Data<br />
access will never be terminated<br />
or stopped. Includes WhatsApp.<br />
Naledi packages come with<br />
a dedicated streaming bundle<br />
for YouTube, TelkomONE app,<br />
Facebook, Facebook Messenger,<br />
Twitter, Instagram and LinkedIn.<br />
Network-based CUG. Telkom is<br />
the only company that can offer<br />
this converged voice call solution<br />
across fixed and mobile numbers,<br />
which will result in significant<br />
voice-calling savings.<br />
Telkom Naledi Platinum<br />
Uncapped data<br />
20GB streaming data<br />
Unlimited closed user group minutes<br />
(Telkom-to-Telkom calls including<br />
Telkom landline)<br />
600 Other-network minutes<br />
Unlimited SMS<br />
SIM-only R500<br />
Mobile service with mobile device<br />
State users on top-up options<br />
can top up their all-net minutes<br />
at the discounted State OOB<br />
rate of R0.45 (36% discount).<br />
Full allocation of all package<br />
bundles and benefits even if a<br />
SIM is activated mid-month. No<br />
proration applied as we would<br />
do normally.<br />
Event billing and premium-rated<br />
events can be blocked at a SIM<br />
level, backed by the setting<br />
of a zero spend limit.<br />
Book a presentation appointment now.<br />
Email us: RT15Enquiries@telkom.co.za
SPECIAL FEATURE<br />
Sustainability in all things<br />
From geyser socks to water saving and land revitalisation,<br />
<strong>Eastern</strong> <strong>Cape</strong> entities are innovating to thrive.<br />
A retrofitted geyser glove promises huge savings<br />
on electricity. Credit: AET Africa<br />
Entrepreneurs in Dimbaza, a small town<br />
near King Williams Town, are producing a<br />
device to retrofit on to geysers that they<br />
claim will save consumers more than 25%<br />
in electricity costs. AET Africa has 11 permanent<br />
employees and the glove-like device is selling<br />
well. The small business also manufactures<br />
reusable bags.<br />
The province’s big automotive manufacturers<br />
are putting their sustainability into top gear.<br />
Mercedes-Benz South Africa has installed solar<br />
panels on its latest new facility and Volkswagen<br />
has done the same – 3 136 solar photovoltaic<br />
panels at its Kariega plant will produce an<br />
estimated 2 500MWh at full capacity. In addition,<br />
Volkswagen is building a wastewater recycling<br />
facility, replacing alien plants at its premises<br />
and planting a carbon bank of nearly 5 000<br />
spekboom cuttings.<br />
Ford’s Struandale Engine Plant has been a<br />
winner of the SJM Flex Environmental Award for<br />
excellence in environmental management with<br />
its improved production methods leading to<br />
reductions in water and electrical consumption.<br />
Other factors were rainwater harvesting and<br />
recycling of 97% of waste produced at the factory.<br />
A R22-million investment in a solar energy plant<br />
is paying off for Montego Pet Nutrition in Graaff-<br />
Reinet. The company reported a 300-ton reduction<br />
in CO2 emissions in a single year, the equivalent of<br />
planting about 9 000 trees to offset emissions. The<br />
nine-month solar project happened soon after a<br />
R70-million expansion project which increased the<br />
factory’s overall production by 30%.<br />
Another of the <strong>Eastern</strong> <strong>Cape</strong>’s biggest brands<br />
is putting a great deal of time and effort into water<br />
conservation. When the dam levels feeding the<br />
Nelson Mandela Bay Metropolitan area reached<br />
critical levels, Coca-Cola Beverages South Africa<br />
(CCBSA) mobilised a comprehensive response.<br />
Working together with other entities, CCBSA<br />
delivered water, JoJo Tanks and water wheelers<br />
to communities suffering shortages but also<br />
offered a longer-term solution in the form of a<br />
groundwater harvesting and treatment system<br />
known as Coke Villes.<br />
Globally, there is pressure on big brands in<br />
the fashion industry to produce sustainability<br />
dashboards. Issues such as emissions, plastic use<br />
and waste, water conservation, recycling and<br />
reselling are hot topics.<br />
Another big issue is responsible sourcing. The<br />
South African mohair industry has signed up to<br />
the Responsible Mohair Standard and SAMIL CEO<br />
Michael Brosnahan says it has worked wonders in<br />
making “mohair once again globally desired”, an<br />
important factor in protecting more than 30 000<br />
jobs. The RMS ensures that the source of mohair<br />
traded is acting ethically and responsibly.<br />
Brosnahan says, “Our farmers are not working<br />
on ‘projects’ to protect the land – this is a constant<br />
part of everyday life on the farms.” Farmers are<br />
committed to sustainability because they have<br />
inherited family legacies and want it to continue.<br />
Global fashion brand H&M is working on an<br />
ambitious initiative with wool producer BKB<br />
Ltd to regenerate rural land. The Biodiversity<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong><br />
16
A land regeneration project has been launched by a fashion house in collaboration with sheep farmers<br />
and wool suppliers. Credit: Mark Sampson<br />
Restoration and Regenerative Land Management<br />
plan currently involves about 80 farmers who<br />
have pledged to encourage biodiversity and assist<br />
farmers in regenerate the land in a sustainable way.<br />
The wool industry has its own Responsible Wool<br />
Standard and H&M sources its wool mostly from<br />
RWS-certified farms.<br />
Sustainable energy<br />
The town of Cookhouse is in the Blue Crane Route<br />
Local Municipality. Neighbouring town Bedford is<br />
the site of the 134MW Amakhala Emoyeni Wind<br />
Farm but all the power produced by that facility is<br />
sent to the national grid. However, the erection of<br />
solar street lights in Cookhouse represents not just<br />
a positive thing for the residents of that town, but<br />
also illustrates a sustainable solution.<br />
The company that built the wind farm, Cennergi,<br />
together with the Amakhala Emoyeni Community<br />
Fund Trust, erected 30 battery-pack streetlights with<br />
the aim of preventing crime and promoting safety.<br />
The contractor who erected the lights, ZP Energy,<br />
hired 14 local people to assist with the project.<br />
The Coega Development Corporation (CDC)<br />
is positioning the Coega Special Economic Zone<br />
(Coega SEZ) as a preferred location for energy<br />
projects. Coega has a mix of wind farm investment<br />
projects planned with an overall capacity of 183 MW,<br />
a 12MW photovoltaic (PV) solar farm, and possible<br />
bioenergy projects in the pipeline. The Coega Solar<br />
Rooftop Project aims to instal solar panels on the<br />
industrial buildings in the Coega SEZ and Nelson<br />
Mandela Bay Logistics Park.<br />
The 57.5MW Coega Wind Farm, built by<br />
Electrawinds, was the first commercial wind farm<br />
built in South Africa. Having built that first wind<br />
farm, the Belgian company has become a tenant of<br />
the Coega SEZ, part of a group of other renewable<br />
energy sector companies such as Absolute Wind, a<br />
company which transports equipment on flatbed<br />
trucks, and HimoinSA, a Japanese firm.<br />
Rhodes University has Africa’s first and only Chair<br />
of Environmental Education that is recognised as<br />
a United Nations Centre of Expertise in Education<br />
for Sustainable Development and Environmental<br />
Learning Research Centre. The university announced<br />
in <strong>2023</strong> a new partnership with UK firm ElimiNOX.<br />
A R300-million fund will invest in carbon-reducing<br />
projects to enable investors to claim tax allowances.<br />
Rhodes University and ElimiNOX will collaborate to<br />
assess projects for investment purposes and provide<br />
educational and practical support to emitters.<br />
As part of the agreement, Rhodes University<br />
will use ElimiNOX environmental-fuel conditioner<br />
in its fleet of vehicles and generators as part of its<br />
contribution to reduce its carbon footprint. ■<br />
Solar street lights have been erected in<br />
Cookhouse because of the presence of a wind<br />
farm. Credit: Cennergi
FOCUS<br />
CCBSA Water Case Study<br />
CCBSA’s commitment to assist water-distressed<br />
communities in Nelson Mandela Bay.<br />
In response to a looming Day Zero in parts of the<br />
<strong>Eastern</strong> <strong>Cape</strong>, Coca-Cola Beverages South Africa<br />
launched an ambitious project to work with the<br />
Nelson Mandela Bay Municipality and other key<br />
stakeholders, including Gift of the Givers, to assist<br />
vulnerable and distressed communities.<br />
Coca-Cola Beverages South Africa (CCBSA) aims<br />
to be part of the solution to achieve positive change<br />
in the world and to build a more sustainable future<br />
for our planet.<br />
In response to the dire situation in the Nelson<br />
Mandela Bay Metro, where dam levels reached a<br />
critically low level, CCBSA worked with the Nelson<br />
Mandela Bay Municipality and other stakeholders<br />
to ensure exposed communities continued to have<br />
access to water.<br />
CCBSA realised that it could not undertake this<br />
challenge alone and set out as part of a strategic<br />
private-public partnership to work with local<br />
communities, the NMB Municipality, as well as the<br />
Gift of the Givers Foundation.<br />
Nozicelo Ngcobo, Director of Public Affairs,<br />
Communication and Sustainability at CCBSA,<br />
said: “Water is important capital for the Coca-<br />
Cola company, as it is the main ingredient in our<br />
beverages. We need to ensure that everyone has<br />
access to clean running water, especially vulnerable<br />
communities hard hit by the water crisis.<br />
“This is particularly so for the vulnerable girl<br />
child and women, as the primary drawers of<br />
water in rural areas. However, we can do that<br />
only if we all understand that water is a finite<br />
resource,” added Ngcobo. The beverages bottling<br />
company’s trucks were leveraged to support the<br />
Gift of the Givers with the distribution of water<br />
to struggling communities in the NMB area. The<br />
first water delivery through<br />
this initiative was done on<br />
23 June 2022.<br />
The company further<br />
donated 20 x 5 000-litre<br />
JoJo tanks which were<br />
placed at identified water<br />
collection points around the<br />
city. In addition, 500 water<br />
wheelers were distributed<br />
to communities to aid with<br />
water collection and storage.<br />
CCBSA further deployed<br />
three off-grid, solar-powered<br />
groundwater harvesting and<br />
treatment systems called<br />
Coke Villes in the region.<br />
The sites have a combined total of nine systems<br />
with a minimum annual potential of replenishing<br />
90-million litres per annum at no cost to the<br />
beneficiaries.<br />
To ensure security of water supply, the NMB<br />
Municipality concluded an emergency water<br />
supply continuity plan to ensure water supply to<br />
critical installations such as healthcare facilities,<br />
schools, police stations and some commercial<br />
and industrial users. In support of this municipal<br />
initiative, CCBSA implemented a six-point plan<br />
that is directed towards securing alternative water<br />
supply sources.<br />
Since inception in 2020, the Coke Ville project<br />
has distributed over 200-million litres of water<br />
in Limpopo, Gauteng, the <strong>Eastern</strong> <strong>Cape</strong> and<br />
KwaZulu-Natal.<br />
By working together, we will overcome this crisis<br />
and create a more sustainable future for all. ■<br />
EASTERN CAPE BUSINESS <strong>2023</strong><br />
18
Beverages<br />
South Africa<br />
Since inception, over<br />
400 million<br />
In 2022 alone,<br />
just under<br />
1 billion<br />
In 2022 alone,<br />
over<br />
25 000<br />
Three<br />
in 5 provinces
Border-Kei Chamber of <strong>Business</strong> provides key services<br />
to over 650 member organisations, and aims to be the<br />
“voice of business” in the region.<br />
Border-Kei Chamber of <strong>Business</strong> (BKCOB) has<br />
offices in East London and Queenstown (Komani)<br />
which serve the greater Border-Kei region.<br />
After joining, members are added to<br />
the website directory and receive their proud member<br />
logo to add to their signature as part of their package.<br />
The Chamber offers letters of<br />
support to members who are in good standing for their<br />
submissions to government tenders as well as letters of<br />
introduction to members who are looking to increase the<br />
scope of their businesses.
The Chamber has built a relationship with<br />
the metro to ensure we create an enabling<br />
environment within which businesses<br />
thrive. To this end, the Chamber has created<br />
initiatives to actively attract investment into<br />
our city.<br />
Port expansion remains one of Chamber’s<br />
main focus areas, with Transnet still the<br />
main stakeholder keeping the future of<br />
our region and investors’ interests alive.<br />
Present lobby refers to the expansion of<br />
the Container Terminal, the widening and<br />
deepening of the Port itself. As simple as<br />
it is, those three activities will in fact make<br />
Buffalo City a more desirable location.<br />
executive@bkcob.co.za<br />
Bathandwa Njobe | communications@bkcob.co.za<br />
Wela Brukwe<br />
http://www.investbuffalocity.com/<br />
Widening the network remains one of our<br />
guiding principles, and engaging with as<br />
many stakeholders as possible toward<br />
economic growth sits at the top of our<br />
agenda.<br />
As we engage we focus on the collaboration<br />
rather than the exception and recently<br />
a number of MOUs have been agreed<br />
in structuring those engagements. The<br />
Chamber’s own projects succeed because<br />
we invite participation, and the Call-2-Action<br />
with related waste recycling has introduced<br />
a new way of approaching the everlasting<br />
challenge of littering and waste collection.<br />
The Border-Kei Chamber of <strong>Business</strong> is a<br />
business support organisation serving the<br />
Border-Kei Region since 1877. Through<br />
collaborations and communication with<br />
diverse stakeholders, we will keep working<br />
to serve the interests of business in the<br />
Border-Kei region.<br />
Lizelle Maurice<br />
Lizelle Maurice is is a a child of of the the<br />
<strong>Eastern</strong> <strong>Cape</strong> Soil. She She did did everal tertiary<br />
courses through Coronation nursing<br />
College, Unisa, Damelin && UCT.<br />
She She owns Park Place Boutique Guest<br />
House, which has has won her her National Tourism<br />
Department’s Lilizela Awards in in the the Emerging<br />
Tourism Entrepreneur of of the the Year category.<br />
She She was appointed as as the the BKCOB’s<br />
Executive Director in in 2021.
PROFILE<br />
PROFILE<br />
PROFILE<br />
The Nelson Mandela Bay<br />
<strong>Business</strong> Nelson The Nelson Mandela Chamber Mandela Bay Bay<br />
A catalyst <strong>Business</strong> for economic growth Chamber<br />
in the region.<br />
PROFILE<br />
The Nelson Mandela Bay<br />
<strong>Business</strong> The Nelson Chamber Mandela 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 A catalyst heartbeat The for economic Nelson of business Mandela growth Bay success <strong>Business</strong> the in Chamber the region. region. is a not-for-profit An eighth task team, called Industry<br />
The Nelson<br />
organisation<br />
Mandela Bay<br />
representative<br />
<strong>Business</strong> Chamber<br />
of a broad spectrum<br />
is a not-for-profit<br />
of businesses<br />
An<br />
4.0,<br />
eighth<br />
begins<br />
task<br />
its<br />
team,<br />
work in<br />
called<br />
2019 to<br />
Industry<br />
prepare<br />
organisation The Nelson Mandela Bay <strong>Business</strong> Chamber is a not-for-profit<br />
in Nelson representative Mandela of Bay. a broad It is spectrum one of the of largest businesses business 4.0, local begins Adopt-A-Substation<br />
businesses its work for in 2019 the digital to prepare<br />
The Nelson organisation Mandela Bay representative <strong>Business</strong> Chamber of a broad spectrum is a not-for-profit<br />
shift.<br />
in Nelson<br />
of businesses<br />
associations Mandela in Bay. the It <strong>Eastern</strong> is one <strong>Cape</strong>, of with the a largest membership business of more local The businesses Chamber for the has digital signed shift. a<br />
organisation in Nelson representative Mandela Bay. of a broad spectrum of businesses<br />
associations than 700 businesses the <strong>Eastern</strong><br />
It is one<br />
employing <strong>Cape</strong>,<br />
of the largest<br />
over with 100 a<br />
business<br />
000 membership people<br />
associations<br />
in a of diverse more<br />
in the <strong>Eastern</strong><br />
array Memorandum of Understanding<br />
in Nelson Mandela Bay.<br />
than 700 businesses of sectors.<br />
Enterprise with the municipality Development which allows<br />
<strong>Cape</strong>, It is one with employing<br />
of a the membership largest<br />
over 100<br />
business of more 000 people<br />
associations than 700 in businesses a diverse the <strong>Eastern</strong><br />
array employing<br />
of sectors. The over Nelson 100 000 Mandela people Bay in a <strong>Business</strong> diverse array Chamber of sectors. is a leading catalyst Enterprise businesses to<br />
and Exporter Development<br />
safeguard substation<br />
<strong>Cape</strong>, with a membership of more than 700 businesses employing<br />
The for economic The Nelson development, Mandela through Bay <strong>Business</strong> its strategic Chamber Triple is a leading Helix model catalyst infrastructure within their area of<br />
over Nelson 100 000 Mandela people Bay in a <strong>Business</strong> diverse array Chamber of sectors. is a leading catalyst<br />
of collaboration for economic between development, industry, through academia its strategic and government, Triple Helix which<br />
and<br />
model<br />
Development<br />
operations,<br />
Exporter<br />
for economic thus ensuring minimal<br />
The<br />
serves<br />
Nelson development,<br />
of as collaboration the<br />
Mandela through<br />
foundation<br />
Bay<br />
between of<br />
<strong>Business</strong> its strategic<br />
creating industry, a<br />
Chamber Triple<br />
competitive<br />
is a<br />
academia and Nelson<br />
leading Helix model<br />
government, Mandela<br />
catalyst<br />
Bay.<br />
of collaboration which interruptions to power supply and<br />
for economic between<br />
The serves <strong>Business</strong> development, industry,<br />
as the Chamber through academia<br />
foundation has of been its<br />
creating the strategic and government,<br />
heartbeat Triple<br />
a competitive of business Helix which model<br />
Development<br />
Nelson success Mandela The Nelson Mandela Bay <strong>Business</strong><br />
serves<br />
continuity of business operations.<br />
of as collaboration the foundation<br />
in the Bay. region The<br />
between of creating<br />
for <strong>Business</strong> over industry, a competitive<br />
150 Chamber years. academia The has <strong>Business</strong> been<br />
and Nelson<br />
the Chamber government, Mandela Bay.<br />
heartbeat is driven of<br />
which<br />
business by a Chamber A total of Enterprise 19 substations Development have been<br />
The serves <strong>Business</strong><br />
team as the success of<br />
Chamber<br />
dedicated foundation has<br />
in the staff region of been<br />
and creating for volunteers,<br />
the heartbeat<br />
over 150 a competitive years. lobbying<br />
of business<br />
on Nelson issues affecting<br />
success Mandela the<br />
The<br />
Programme<br />
Nelson Mandela<br />
was launched<br />
Bay<br />
in<br />
<strong>Business</strong><br />
adopted by 12 companies. 2014, to<br />
in the Bay. region The ease for <strong>Business</strong> of doing over The <strong>Business</strong> 150 business Chamber years. Chamber and The has companies’ <strong>Business</strong> is been driven the sustainability. Chamber by a heartbeat team of is The dedicated driven of organisation business by staff a and Chamber develop Enterprise the skills that Development<br />
enhance and<br />
team success of dedicated also in builds volunteers, the staff region international and lobbying for volunteers, over relations 150 issues years. lobbying to form affecting a on vital issues the link ease between affecting of doing business the<br />
Programme grow small was<br />
Nomkhita<br />
businesses. launched<br />
Mona,<br />
In in<br />
Chief<br />
2018 2014, the to<br />
Adopt-A-School<br />
ease of doing The owners <strong>Business</strong> business and and companies’ international Chamber and companies’ sustainability. is driven markets. sustainability. by The a team organisation of The dedicated organisation<br />
also builds staff and international<br />
lobbying relations relations to issues form to form affecting a vital a vital link the between link ease between of business doing business<br />
owners and grow ed small the fifth phase of the Enterprise<br />
develop <strong>Business</strong> the Chamber skills Executive that successfully enhance Officer. host-<br />
and<br />
As part of the plan to mitigate the<br />
also builds volunteers, international<br />
risks associated Nomkhita<br />
businesses.<br />
with Mona,<br />
In<br />
the Chief<br />
2018 the<br />
water crisis<br />
owners and and companies’ international sustainability. markets.<br />
The organisation also builds interna-Businestional relations to<br />
Development enhance and Programme, grow small with<br />
Vision<br />
facing<br />
Chamber<br />
SMEs businesses. our Executive city,<br />
set to graduate In the<br />
successfully Officer.<br />
2018 Adopt-A-School<br />
hosted<br />
the<br />
in the March <strong>Business</strong> 2019.<br />
With To be Vision a leading around<br />
form<br />
catalyst 700<br />
a vital<br />
for economic member<br />
link between<br />
development businesses<br />
business<br />
and in Nelson over<br />
owners<br />
Mandela 155 years<br />
and<br />
Bay. Over initiative<br />
fifth phase<br />
Chamber 120 entrepreneurs has successfully member<br />
of the Enterprise<br />
have companies hosted<br />
international markets.<br />
benefited<br />
fixing<br />
To be of a rich leading heritage, catalyst the for Nelson economic Mandela development Bay <strong>Business</strong><br />
Development<br />
throughout<br />
enhance<br />
the from faulty<br />
and Programme,<br />
fifth this phase plumbing<br />
grow<br />
programme. of the Enterprise systems<br />
small with<br />
at<br />
Vision<br />
Nelson Chamber Mandela remains Bay. one of the most trusted, respected SMEs schools.<br />
businesses. set<br />
Meanwhile, Development to graduate Member<br />
In 2018<br />
the companies in the<br />
pilot Programme,<br />
March <strong>Business</strong> 2019.<br />
phase have of<br />
To be Vision a leading Mission catalyst and for authoritative economic development voices on matters in Nelson relating Mandela to Bay. local Over<br />
the adopted<br />
Chamber 120 from entrepreneurs<br />
<strong>Business</strong> which 76<br />
successfully<br />
Chamber’s schools SMEs graduated and have hosted<br />
Exporter a benefited<br />
Development Assistance<br />
clinic.<br />
business<br />
To be a<br />
By influencing and<br />
leading Mission the economy.<br />
catalyst for economic development throughout<br />
the factors and key stakeholders that create a competitive<br />
the from March fifth this phase 2019. has programme.<br />
Programme also<br />
of the<br />
been<br />
Enterprise<br />
concluded<br />
to<br />
provided<br />
Nelson<br />
The<br />
Mandela<br />
enabling environment By influencing Bay.<br />
business we environment.<br />
the operate factors and in key is changing stakeholders at that a rapid create pace a competitive and Meanwhile, Development<br />
at 30 the schools Over end 120 the of and 2018, entrepreneurs pilot Programme,<br />
clinics with phase 10 for companies<br />
tanks<br />
have water of<br />
Mission<br />
requires ongoing<br />
enabling<br />
agility<br />
business<br />
to<br />
environment.<br />
ensure that we robustly respond to issues the from <strong>Business</strong> benefited<br />
finishing<br />
which<br />
to harvest Chamber’s from SMEs<br />
this programme<br />
this<br />
rain,<br />
graduated programme. Exporter while in its<br />
in<br />
six<br />
By influencing first year.<br />
Meanwhile,<br />
The programme<br />
the pilot<br />
is<br />
phase<br />
aimed<br />
of<br />
that<br />
Mission<br />
impact the upon factors the and sustainability key stakeholders of local businesses, that create a the competitive functionality Development schools<br />
March 2019.<br />
have Programme received boreholes. concluded<br />
at the Over end 120 of 2018, entrepreneurs with 10 com-<br />
have<br />
at<br />
Task Task Teams teams<br />
empowering<br />
the <strong>Business</strong><br />
SMEs<br />
Chamber’s<br />
to position<br />
Exporter<br />
enabling of<br />
By<br />
the<br />
influencing business operating environment.<br />
the themselves<br />
as emerging exporters.<br />
The Nelson<br />
environment,<br />
factors and<br />
Mandela Bay<br />
leverage<br />
key stakeholders<br />
<strong>Business</strong><br />
economic<br />
that<br />
Chamber<br />
growth<br />
create<br />
has established<br />
opportunities,<br />
a competitive<br />
a structure Development Programme for<br />
while<br />
enabling<br />
simultaneously The business Nelson Mandela environment. Bay <strong>Business</strong> Chamber has established a structure<br />
of three task providing teams divided value-adding into sub-groups, services to to facilitate our members. the ease panies of Adopt-A-Leak<br />
benefited<br />
finishing<br />
from<br />
2018/2019 this had programme<br />
this programme.<br />
10 participants. in its<br />
For of this seven task teams to facilitate the ease of doing business.<br />
doing reason, business. we have The adopted task teams a more are: activist, collaborative and first Just year.<br />
Meanwhile,<br />
That under The figure programme 1.7-million<br />
the pilot<br />
has grown litres is<br />
phase<br />
aimed for of water<br />
of<br />
the<br />
Task action-orientated<br />
Task Teams teams The task teams are:<br />
• Infrastructure approach Task in pursuing Team our vision of being the leading empowering 2019/2020 intake with 19<br />
• Water Task Team<br />
Events<br />
per<br />
the <strong>Business</strong><br />
day was SMEs<br />
Chamber’s<br />
saved to position through<br />
Exporter<br />
themselves<br />
as emerging exporters. The<br />
the<br />
catalyst<br />
The Nelson<br />
for Nelson<br />
Mandela<br />
- Roads Mandela<br />
Bay <strong>Business</strong> Stormwater Bay Chamber<br />
retain Sub-group and<br />
has<br />
attract<br />
established<br />
business.<br />
a structure<br />
Chamber’s<br />
Development<br />
participants targeted<br />
Programme<br />
registered. Adopt-A-Leak<br />
for<br />
The Nelson Mandela Bay <strong>Business</strong> Chamber has established a structure<br />
of three • task Roads teams and Storm Water Task Team<br />
Events at the Nelson Mandela Bay<br />
- Water divided Sub-group into sub-groups, to facilitate the ease of<br />
intervention.<br />
2018/2019 programme had is aimed 10 participants.<br />
of seven task teams at empowering<br />
SMEs<br />
• SME<br />
to<br />
- Electricity<br />
Task<br />
facilitate<br />
Team<br />
the ease of doing business.<br />
Sub-group<br />
<strong>Business</strong> Chamber<br />
to position<br />
keep<br />
themselves<br />
business<br />
Task<br />
doing<br />
teams<br />
business. The task teams are:<br />
That figure has grown for The task teams<br />
•<br />
•<br />
Electricity are:<br />
SMME and Energy Task Team<br />
owners<br />
as emerging<br />
up to date<br />
exporters.<br />
and informed<br />
The<br />
•<br />
Nelson<br />
Infrastructure<br />
Mandela<br />
Task<br />
•<br />
• Transport Bay<br />
Team<br />
Special Projects and <strong>Business</strong> Logistics Task Team Task Chamber Team has task teams in place to on<br />
Clusters<br />
2019/2020 intake with 19<br />
• Water Task Team<br />
Events<br />
a wide variety of topics affecting<br />
facilitate<br />
- Roads<br />
•<br />
the<br />
and<br />
Metro ease<br />
Stormwater<br />
of Collaboration doing business.<br />
Sub-group<br />
Task Team The task teams are:<br />
business Clusters<br />
participants<br />
Events in have<br />
registered. been established<br />
The<br />
• Roads and Storm Water Task Team<br />
Events at the Nelson Mandela Bay.<br />
• Water<br />
- Water<br />
• and<br />
Sub-group<br />
Enterprise Trade Electricity and Development Investment Task and TeamExporter Development Regular in:<br />
programme<br />
Deal<br />
Events networking Party,<br />
is aimed<br />
at the Nelson functions Perseverance,<br />
at empowering<br />
SMEs<br />
• SME Mandela offer Bay<br />
• Transport<br />
- Electricity<br />
Task Team<br />
The<br />
and<br />
Sub-group<br />
<strong>Business</strong><br />
Nelson<br />
Logistics<br />
Mandela Bay <strong>Business</strong> Chamber Enterprise Development<br />
Security<br />
Struandale,<br />
Chamber<br />
to<br />
<strong>Business</strong> Chamber<br />
North<br />
position<br />
keep<br />
End,<br />
themselves<br />
business<br />
• keep<br />
Kariega<br />
business<br />
and<br />
•<br />
Electricity<br />
• Safety<br />
SMME<br />
and<br />
Task<br />
and<br />
EASTERN<br />
Team<br />
Energy Task Team<br />
owners<br />
CAPE<br />
Programme<br />
BUSINESS<br />
was<br />
2019<br />
launched in 2014, to develop<br />
12<br />
the skills that Neave/Korsten.<br />
as emerging<br />
up to date<br />
exporters.<br />
and informed<br />
• owners up to date There and is informed a strong<br />
• Transport Special Projects and Logistics Task Team Task Team<br />
on a wide variety of topics affecting<br />
focus on collaborating to resolve<br />
• Metro Collaboration Task Team<br />
business<br />
Loadshedding mitigation<br />
environmental<br />
Events in Nelson Mandela Bay.<br />
issues.<br />
•<br />
The<br />
Enterprise Trade and<br />
Chamber EASTERN Development Investment Task<br />
has facilitated CAPE BUSINESS the<br />
and Team<br />
successful<br />
Exporter 2020 implementation<br />
Development Regular<br />
22of a more<br />
Events networking<br />
The<br />
at<br />
Renewable<br />
the Nelson functions<br />
Energy<br />
Mandela offer<br />
Cluster<br />
Bay<br />
has<br />
tenable<br />
The Nelson<br />
and planned<br />
Mandela<br />
<strong>24</strong>-hour<br />
Bay <strong>Business</strong><br />
voluntary<br />
Chamber<br />
Stage 5+ loadshedding<br />
Enterprise Development<br />
schedule ignited<br />
<strong>Business</strong><br />
significant<br />
Chamber<br />
interest<br />
keep business<br />
from large<br />
EASTERN for qualifying CAPE<br />
Programme<br />
BUSINESS industry<br />
was<br />
members. 2019<br />
launched<br />
There<br />
in<br />
are<br />
2014,<br />
35 companies<br />
to develop<br />
12 in the<br />
the<br />
programme.<br />
skills that<br />
energy<br />
owners<br />
users<br />
up to<br />
who<br />
date<br />
have<br />
and<br />
joined<br />
informed<br />
forces<br />
EASTERN CAPE BUSINESS 2020<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong><br />
22<br />
22
to explore alternative energy solutions. This cluster represents 20% of the<br />
Metro’s current electricity usage and has the participation of 34 companies.<br />
The Property Cluster is focussed on facilitating more efficient planning<br />
regarding land and development processes between major stakeholders<br />
and the municipality.<br />
Climate change<br />
We successfully launched an <strong>Eastern</strong> <strong>Cape</strong> Climate Change Coalition to<br />
help drive the development and implementation of a climate change<br />
strategy for Nelson Mandela Bay.<br />
Help Desk<br />
The Help Desk reduces red tape and engages with the Nelson Mandela<br />
Bay Municipality regarding obstacles that members experience when<br />
conducting business. In 2022, the Help Desk assisted in unlocking 78<br />
issues.<br />
<strong>Business</strong> Intelligence Desk<br />
This desk helps with:<br />
• Access to business intelligence for longer-term decision-making<br />
• Access to immediate intelligence for day-to-day decisions<br />
• Dedicated research to develop and grow priority sectors<br />
• Project management<br />
Entrepreneurship Desk<br />
The Entrepreneurship Desk acts as a single contact for the growth and<br />
sustainability of SMMEs. The desk offers pro bono interventions that<br />
encompass digital advertising, business-to-business linkages, skills<br />
development and access to markets, opportunities and one-on-one<br />
advisory support. To date, 179 SMMEs have registered. These SMMEs<br />
employ 998 employees and have a combined turnover of R173-million.<br />
Through the collaboration with the Purem (YES programme) and<br />
Afrika Tikkun service, the Chamber has placed 51 interns with SMMEs.<br />
Enterprise Development Programme<br />
The Nelson Mandela Bay <strong>Business</strong> Chamber Enterprise Development<br />
Programme was launched in 2015, to develop the skills that enhance<br />
and grow small businesses. Since its inception in 2015, the programme<br />
has benefitted 213 businesses, including 27 graduates in 2022. They have<br />
been empowered with skills to run financially-sustainable enterprises<br />
through structured multi-level training, mentoring and linkage support.<br />
The ECDC and the Chamber have further extended the rollout of the<br />
Enterprise Development Programme between <strong>2023</strong>/<strong>24</strong> and 2025/26<br />
wherein past participants of the programme will be assisted.<br />
Trade and investment<br />
The Chamber has reimagined its approach to trade and investment.<br />
An Investors Forum is focused on attracting and retaining investment<br />
CONTACT DETAILS<br />
in the Metro. The Chamber<br />
partners with the <strong>Eastern</strong> <strong>Cape</strong><br />
Development Corporation<br />
(ECDC), the Department of Trade,<br />
Industry and Competition (dtic)<br />
and the Metro’s Department of<br />
Trade and Investment to facilitate<br />
for member companies to<br />
participate in trade missions.<br />
Exporters Development<br />
Programme<br />
The <strong>Eastern</strong> <strong>Cape</strong> Exporters<br />
Development Programme,<br />
which is a partnership between<br />
the Chamber and ECDC,<br />
has already attracted the<br />
participation of 58 emerging<br />
exporters. The programme has<br />
migrated smoothly from the<br />
initial pilot in 2022.<br />
Certificates of Origin<br />
As an accredited provider of<br />
this service, the Chamber signs<br />
Certificates of Origin and offers<br />
exporters the opportunity to<br />
certify electronically through the<br />
ECCO system.<br />
Events<br />
Regular networking functions offer<br />
business owners the chance to<br />
make new professional contracts.<br />
The <strong>Business</strong> Chamber’s flagship<br />
events are highlights on the Bay’s<br />
business and social calendar: the<br />
Annual Golf day, the Annual Ladies<br />
Breakfast and the Annual Banquet<br />
Publications and marketing<br />
As another value-added service<br />
to members, the Chamber<br />
provides members with a<br />
variety of digital publications<br />
such as the <strong>Business</strong> Guide,<br />
InfocomLIVE, Annual Review<br />
and Behind the Scenes. ■<br />
Address: 200 Norvic Drive, Greenacres 6045 | Tel: +27 (0) 41 373 1122 | Fax: +27 (0) 41 373 1142<br />
Email: info@nmbbusinesschamber.co.za | Website: www.nmbbusinesschamber.co.za
KEY SECTORS<br />
Overviews of the main economic<br />
sectors of the <strong>Eastern</strong> <strong>Cape</strong><br />
Agriculture and agro-processing 22<br />
Renewable energy <strong>24</strong><br />
Tourism 26<br />
Film 28<br />
Global <strong>Business</strong> Services 29<br />
Oceans economy 30<br />
Manufacturing general 32<br />
Manufacturing automotive 33<br />
Education 34<br />
Banking 35<br />
Development finance and SMME support 36<br />
South Africa’s first indoor Skypark facility has opened at the Wild Coast Sun. The Magic Company, which<br />
operates the bowling alley, arcade games and rides, has invested R6.4-million in an indoor structure that is<br />
over 18m high, has 21 rope obstacles on a skytrail and a built-in zipline skyrail. The Wild Coast Sun opened<br />
two new franchised restaurants in 2022 and the Mangwanani Spa will be upgraded in the course of <strong>2023</strong>.
OVERVIEW<br />
Agriculture and agro-processing<br />
A black-owned dairy has won a major contract.<br />
SECTOR INSIGHT<br />
Magwa Tea Estate is<br />
functioning again.<br />
Danone has signed a R75-million agreement with Ncora<br />
Dairy in Keiskammahoek. The 600ha dairy is part of the<br />
Amadlelo Agri group, a majority black-owned producer<br />
of raw milk, and the investment will see 2 400 dairy cows<br />
producing 10.5-million litres of milk.<br />
The farm employs 35 people and 1 200 people are beneficiaries<br />
of the dairy’s operations. The first milking on the farm began in<br />
2012 after the irrigation, parlour, roads and fencing were funded by<br />
the <strong>Eastern</strong> <strong>Cape</strong> Department of Rural Development and Agrarian<br />
Reform (DRDAR).<br />
The CEO of Amadlelo Agri, Simpiwe Somdyala, sees other benefits<br />
accruing from the investment: “I look forward to this partnership and<br />
the value that this will bring in upskilling us to be a zero-carbonemission-generating<br />
farm.”<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 />
The rich natural grasslands of the <strong>Eastern</strong> <strong>Cape</strong> have the potential<br />
to produce high-value organic meat, a product that is increasingly<br />
popular in health-conscious international markets.<br />
There are about 70 000 people employed on commercial farms<br />
across the <strong>Eastern</strong> <strong>Cape</strong>, with a further 436 000 people dependent on<br />
smaller farms, mostly in the east.<br />
Deciduous fruits such as apples, pears and apricots are grown<br />
primarily in the Langkloof Valley. Another crop in which the <strong>Eastern</strong><br />
<strong>Cape</strong> leads national production is chicory. The province’s pineapple<br />
crop is grown in the same part<br />
of the Sunshine Coast that<br />
produces chicory.<br />
The <strong>Eastern</strong> <strong>Cape</strong> holds 21%<br />
of the country’s cattle (about<br />
3.2-million), 28% of its sheep<br />
(seven-million) and 46% of its goats,<br />
making it the largest livestock<br />
province by some margin.<br />
The Sundays River Valley<br />
is South Africa’s biggest citrus<br />
producer from a defined area.<br />
The valley’s harvest in 2021 was<br />
30.5-million cartons and this<br />
is anticipated to increase to<br />
40-million by 2026. The province<br />
as a whole is the country’s secondlargest<br />
cultivator of citrus.<br />
The Sundays River Valley<br />
irrigation scheme was started<br />
in 1920s. Darlington Dam (also<br />
known as Lake Mentz) was built<br />
on the river and a series of canals<br />
were constructed to supply water<br />
to farms from Kirkwood at the<br />
upper end of the valley to Addo.<br />
More than 4 000 people are<br />
employed in citrus in the Sundays<br />
River area, with that figure more<br />
than doubling in the picking and<br />
packing season. Further west,<br />
there is about 6 600ha of land<br />
under citrus in the Gamtoos Valley,<br />
which exports about nine-million<br />
cartons every year.<br />
More than 100 farmers are<br />
dependent on the Kouga Dam for<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong><br />
26
water in this region, but the dam has recorded consistently low levels<br />
in recent years and has to supply the towns of Hankey and Patensie<br />
and the Nelson Mandela Bay metro.<br />
Magwa Tea Estate is being restored and its products are appearing<br />
on shelves. The Premier of the <strong>Eastern</strong> <strong>Cape</strong> says he drinks no other<br />
tea. The provincial government has committed to buying Magwa and<br />
Majola tea, it can be bought at more than 100 retail outlets and the<br />
Premier Hotel Group is a purchaser. More than 1 500 jobs were saved<br />
when the provincial government intervened but other commercial<br />
partnerships, such as with timber company Sappi, will give Magwa a<br />
more diverse income stream.<br />
Agro-processing<br />
Getting small-scale farmers connected to agro-processing value chains<br />
is a major goal for agricultural policy-makers. This lies behind the<br />
creation of the Wild Coast Special Economic Zone (SEZ) near Mthatha.<br />
The 5 000ha Ncora Irrigation Scheme is seen as a model for the SEZ,<br />
which has attracted interest from AngloGold Ashanti and Exxaro.<br />
The DRDAR has several programmes to support small-scale<br />
farmers. The <strong>Eastern</strong> <strong>Cape</strong> Development Corporation (ECDC) supports<br />
agro-processing through loans and equity arrangements: projects that<br />
have received financial support include aquaculture, the production of<br />
dietary fibre from pineapples and bamboo products.<br />
The National Woolgrowers’ Association of SA (NWGA), with a<br />
membership base of 4 500 commercial and 20 000 communal<br />
members, is based in Gqeberha, as is <strong>Cape</strong> Wool SA.<br />
South Africa produces about 54% of the world’s mohair and<br />
Gqeberha is the mohair capital of the world. Farms around the small<br />
towns that dot the open plains south of Graaff-Reinet, Aberdeen,<br />
Somerset East, Jansenville and Willowmore routinely produce nearly<br />
half of South Africa’s production. The office of the South African Mohair<br />
Growers 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 in Middelburg. Processing of mohair<br />
takes place in Kariega, Gqeberha and Ntabozuko (Berlin) outside East<br />
London. The mohair value chain includes brokers,buyers, processors,<br />
spinners, manufacturers and retailers.<br />
Simpiwe Somdyala, CEO of<br />
Amadlelo Agri<br />
The SAMIL company has<br />
divisions all along the value<br />
chain. The Stucken group<br />
controls Mohair Spinners South<br />
Africa, Hinterveld (a mill) and the<br />
processing company Gubb &<br />
Inggs in Kariega.<br />
Ouma Rusks are still made<br />
in Molteno where they were<br />
invented. Cadbury Chocolates<br />
operates a big site across the<br />
lake from the Nelson Mandela<br />
Stadium in Gqeberha and Nestlé<br />
makes 11 kinds of chocolate at<br />
its factory in East London. The<br />
Sasko mill in Gqeberha is the<br />
province’s only big milling plant.<br />
Coca-Cola Sabco and<br />
SAB’s Ibhayi brewery are the<br />
major beverage manufacturers<br />
in Gqeberha and Distell has<br />
a bottling plant in the city.<br />
Sovereign Foods in Kariega is<br />
the country’s fourth-biggest<br />
producer of poultry. ■<br />
ONLINE RESOURCES<br />
Citrus Growers’ Association of Southern Africa: www.cga.co.za<br />
<strong>Eastern</strong> <strong>Cape</strong> Rural Development Agency (ECRDA): www.ecrda.co.za<br />
Milk Producers Organisation: www.mpo.co.za<br />
South African Mohair Growers Association (SAMGA): www.angoras.co.za<br />
27 EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong>
OVERVIEW<br />
Renewable energy<br />
Green liquids and gases and battery storage are generating interest.<br />
With the <strong>Eastern</strong> <strong>Cape</strong> firmly established as the leading SECTOR INSIGHT<br />
wind power province, other innovative and important<br />
Aspen is going off grid.<br />
subsectors are making high their grade reserves presence of vanadium felt in the in the Bushveld Energy<br />
world in the Bushveld Complex.<br />
VRFB<br />
energy landscape.<br />
The decision by Bushveld Energy Bushveld to start producing divisions align vanadium with<br />
market demand forecasts<br />
battery electrolyte at its new facility in East London is an important<br />
In response to these assumptions and<br />
marker for that sector. The company intends findings, it is eventually Bushveld Minerals' assembling<br />
intention<br />
to vertically grow the vanadium company<br />
battery systems locally.<br />
through the supply of vanadium electrolyte<br />
by for Hive VRFBs Hydrogen for the energy storage SA as the<br />
The Coega SEZ has been chosen<br />
sector in the medium-term and establish<br />
location of a green ammonia project which will be fully operational<br />
a regionally-oriented assembly and<br />
by 2026. The project investment amount manufacturing is approximately capacity in the $4.6-billion,<br />
long-term:<br />
creating a global VRFB supply chain in<br />
principally focussed on the construction of green ammonia plant.<br />
South Africa with the added benefit of<br />
The main development partners are Built creating Africa a captive and market Hive for Energy Bushveld of the<br />
Minerals’ vanadium production.<br />
UK who have formed Hive Hydrogen SA but various other partners are<br />
Bushveld Energy was accordingly<br />
involved. Local salt manufacturer Cerebos established will supply in 2016 to desalinated capture a share water Bushveld Minerals makes vanadium<br />
to the project. Solar and wind projects<br />
of<br />
producing<br />
this attractive market<br />
4 000MW<br />
and is<br />
will need DID YOU redox flow batteries (VRFB).<br />
exclusively focused on developing KNOW?<br />
to be built to supply the project with renewable and promoting energy. the role of vanadium<br />
the in oxygen the growing by global an energy electrolyser, scale, long duration Aspen off-grid – as Pharmacare well as will<br />
VRFBs are ideally<br />
suited for large-<br />
The ammonia will be separated from<br />
storage market through the<br />
energy storage minigrid – markets.<br />
applications<br />
and hydrogen and nitrogen will be combined development to of form VRFB green technology. ammonia take its Demand operations is expected to off grid by<br />
which will be stored in liquid form at a tank In doing at the so, Bushveld Port of Energy Ngqura, is from 20<strong>24</strong> peak by between purchasing 2025 and power<br />
bringing the energy storage value chain<br />
2030.<br />
where it can be exported around the world. to South It Africa can as be a means used of leveraging in fertiliser The study from also companies found that global electrolyte<br />
demand electricity is likely to peak from during the waste plastic.<br />
that generate<br />
and explosives.<br />
South Africa-mined and beneficiated<br />
vanadium. Bushveld Minerals will actively same timeframe and that Bushveld<br />
Gas company Afrox is another partner,<br />
support the<br />
although<br />
beneficiation of minerals<br />
there is no<br />
Minerals<br />
The<br />
would<br />
Aspen<br />
be able to<br />
factory<br />
compete cost<br />
on the edge<br />
intention currently to convert the oxygen mined in to South pharmaceutical-grade<br />
Africa into higher valueadded<br />
final products.<br />
market Africa but other regions, as well.<br />
effectively of for North not just the End electrolyte Lake is one of the<br />
product as that market is currently well served.<br />
Moreover,<br />
province’s<br />
the study found<br />
biggest<br />
that South<br />
manufacturing<br />
Another renewable energy investor Bringing the Coega the energy SEZ storage is Seraphim Africa serves concerns as the logical and base currently for VRFB gets 8%<br />
value chain to South Africa manufacturing. With the IDC as a partner,<br />
Solar Cell Manufacturing that is investing R362-million to increase the of its electricity from solar roof<br />
To realise the potential of VRFBs in energy Bushveld Minerals will benefit from the<br />
local content of its solar value chain. storage, Bushveld Energy’s first job was IDC’s important installations. stakeholder linkages A process with called<br />
to undertake a market study to identify the South African government, regulators,<br />
At the East London Industrial Development Zone (ELIDZ), several pyrolysis will convert plastic waste<br />
VRFB demand in Africa, as well as global utilities and other key players that are<br />
new renewable energy investors have signed vanadium up electrolyte in recent demand. months. In partnership<br />
with the Industrial Development for the energy storage industry – as they<br />
necessary into provide a synthetic a catalytic fuel. stimulus<br />
The first environmental authorisations, which cover Mossel Bay and Humansdorp could become<br />
Corporation (IDC) of South Africa, the have for the renewable industry to date.<br />
Coega, have been gazetted and are the parties first steps undertook towards a study in the second building This study the subsequently site of a prompted plant that produces<br />
half of 2016. This concluded in August Bushveld Energy’s first project: the<br />
of a 400km gas pipeline from the Mossel Bay to a planned 1000MW gas e-methanol from green hydrogen<br />
2017 that favourable demand exists for deployment of a utility-scale VRFB, a project<br />
that and was co-developed gas created by Bushveld from locally-<br />
grows.<br />
power station at Coega.<br />
VRFBs, particularly in the utility (including<br />
transmission and distribution networks) Energy and the IDC with the system manusourced<br />
biomass. Three companies<br />
have signed an agreement to do a<br />
ONLINE RESOURCES<br />
A CENTURY OF INNOVATION<br />
feasibility<br />
TAKRAF Standardized<br />
study: ENERTRAG<br />
Primary and Secondary<br />
South<br />
Sizers are designed<br />
Hydrogen South Africa: www.hysasystems.com<br />
Africa,<br />
for comminution<br />
Earth & Wire<br />
of different<br />
and<br />
material<br />
<strong>24</strong>Solutions.<br />
types. They offer ease of<br />
maintenance, reduced downtime and long equipment service life<br />
Independent Power Producer Projects: www.ipp-projects.co.za<br />
The ■abundant Easy, quick and safe changing wind of crushing and segments solar<br />
■ Use of advanced wear resistant materials – hard-faced segments and picks<br />
South African Independent Power Producers Association:<br />
resources ■ Primary Sizer: of Feed the sizesarea from 1,000 would mm to 2,500 create<br />
mm – throughput up to 12,000 t/h<br />
www.saippa.org.za<br />
■ Secondary Sizer: Feed sizes from 200 mm to 800 mm – throughput up to 6,000 t/h<br />
the renewable energy to form the<br />
■ In-house Mineral Laboratory supports Sizer selection<br />
South African Wind Energy Association: www.sawea.org.za<br />
green hydrogen. ■<br />
EDITOR'S CHOI<br />
factured by Bushveld Energy’s U<br />
technology partner, UniEnergy<br />
Technologies (UET) and deploye<br />
Eskom’s Research, Testing and<br />
Development (RT&D) Centre in<br />
Rosherville, South Africa. The V<br />
a peak of over 120 kWh, was com<br />
sioned during the last quarter o<br />
will be tested for a period of 18 m<br />
In parallel to the market stud<br />
Bushveld Energy and the IDC un<br />
techno-economic study to evalu<br />
merit of establishing a vanadium<br />
lyte production plant in South A<br />
Study results have indicated t<br />
Bushveld Energy can manufact<br />
dium electrolyte at globally com<br />
cost levels.<br />
The study determined the via<br />
establishing a scalable plant wi<br />
production capacity of 200 MWh<br />
annum that could easily scale to<br />
more times that capacity, as de<br />
The scope of the project will e<br />
the construction of an electroly<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong><br />
28<br />
TAKRAF Africa<br />
96 Loper Avenue, Aeroport, Spartan<br />
Kempton Park, 1619, South Africa<br />
T: +27 11 201 2300<br />
takraf.afr@tenova.com<br />
www.takraf.com
Education and training<br />
Vaccines are being developed at Walter Sisulu University.<br />
Stage two of a vaccine-development programme has begun<br />
at Walter Sisulu University, the result of a funding initiative led<br />
by CHIETA, the chemical industries’ SETA.<br />
In 2021, an amount of R3.5-million was allocated for research<br />
and skills development in the vaccine programme headed by Professor<br />
Markus Depfenhart and which also included North-West University.<br />
Yershen Pillay, CEO of CHIETA, acknowledges the significance of the<br />
vaccine development and the impact of the results of the first pre-clinical<br />
trial. “These results indicate that the collaborative initiative by WSU, North-<br />
West University and Prof Depfenhart is well-positioned to develop a novel,<br />
safe and effective DNA vaccine against respiratory diseases in South Africa,<br />
which forms the basis for the second pre-clinical trial.”<br />
Walter Sisulu University has also been allocated R350-million<br />
for renovations by national government, including laboratories,<br />
residences and ICT equipment. WSU and the University of South<br />
Africa (Unisa) offer vocational training (diplomas) and academic<br />
programmes (degrees).<br />
Nelson Mandela University’s Missionvale Campus now offers the<br />
MBChB (Bachelor of Medicine and Bachelor of Surgery) qualification.<br />
Walter Sisulu University is the other academic medical facility in<br />
the province. A R50-million science centre, named after Albertina<br />
Nontsikelelo Sisulu, has been built in Cofimvaba.<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 />
The National Department of Higher Education has invested<br />
R2.8-billion to improve infrastructure at 16 TVET Colleges across the<br />
country. Upgrades at several campuses have been completed while<br />
the Ikhala College campus in Sterkspruit is under construction.<br />
Rhodes University has a strong reputation for research, which has<br />
been enhanced by the addition of the Biotechnology Innovation Centre.<br />
The University of Fort Hare is leading three innovative studies<br />
into biogas, including a project investigating compressed biogas for<br />
public transport. A new Investec Promaths Centre was opened in the<br />
<strong>Eastern</strong> <strong>Cape</strong> in 2022. Investec’s Corporate Social Investment Division<br />
(CSI), in partnership with Kutlwanong Centre for Maths, Science and<br />
ONLINE RESOURCES<br />
<strong>Eastern</strong> <strong>Cape</strong> Department of Education: www.ecdoe.gov.za<br />
Promaths: www.investec.com/promaths<br />
Technology Innovation Agency: www.tia.org.za<br />
SECTOR INSIGHT<br />
OVERVIEW<br />
Investec and Kutlwanong have<br />
opened a Promaths Centre.<br />
Towfiqu barbhuiya on Unsplash<br />
Technology, offers extra classes<br />
in mathematics, science and<br />
technology in grades 10 to 12.<br />
The <strong>Eastern</strong> <strong>Cape</strong> achieved<br />
poor mathematics results in<br />
2021, with just 16% of candidates<br />
obtaining 50% and above.<br />
The Promaths programme<br />
contributed 5% of South Africa’s<br />
distinctions in mathematics and<br />
science in 2021. There are 16<br />
such centres in the country, 10 of<br />
which are supported by Investec.<br />
Investec has also launched its<br />
Promaths Social Challenge where<br />
school pupils suggest projects to<br />
uplift communities in education,<br />
environmental conservation<br />
or youth unemployment. The<br />
top three prizes will benefit the<br />
winning teams’ schools in the<br />
amount of R500 000. ■<br />
29<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong>
OVERVIEW<br />
Tourism<br />
Domestic tourists chose the <strong>Eastern</strong> <strong>Cape</strong> in 2022.<br />
Dylan Mostert was a popular winner of the first Nelson Mandela<br />
Bay Championship. Credit: Sunshine Tour<br />
A<br />
total of 5.7-million domestic tourists visited the <strong>Eastern</strong><br />
<strong>Cape</strong> in 2022, 700 000 more than in the year before.<br />
The provincial economy benefitted to the tune of R8.6-<br />
billion and the Provincial Premier attributed this success to<br />
the province’s SMART marketing approach. This refers to a campaign<br />
that is specific, measurable, actionable, relevant and time-bound.<br />
Part of the programme has been about getting the province on<br />
to film and television screens. The film strategy is covered elsewhere<br />
in this journal but the strategy of supporting the hosting of golf<br />
tournaments was another success. In addition to hosting the South<br />
African PGA for the third time in <strong>2023</strong> at St Francis Links, a new, DP<br />
World Tour-sanctioned event, the SDC Championship, was added to<br />
the calendar and played on the Jack Nicklaus-designed course in March<br />
<strong>2023</strong>. Gqeberha also hosted a new tournament, and the metropolitan<br />
municipality put its weight behind the effort to market the city through<br />
the tournament. The Nelson Mandela Bay Championship was played<br />
as part of the DP World Tour at Humewood Golf Club and attracted<br />
considerable media attention.<br />
Infrastructure improvements at facilities run by the <strong>Eastern</strong> <strong>Cape</strong><br />
Parks and Tourism Agency (ECPTA) are continuing. Most recently, R7.5-<br />
million was spent on erecting four new chalets and a viewing deck at<br />
Hluleka Nature Reserve in the OR Tambo District. To facilitate access<br />
to tourism destinations, a plan is in place to improve roads, such<br />
as the important roads for tourist access, such as those to Hluleka<br />
Nature Reserve and the newly-gazetted road from Viedgesville to<br />
Coffee Bay which are being prioritised.<br />
SECTOR INSIGHT<br />
The Wild Coast Sun continues<br />
to invest in upgrades and<br />
new facilities.<br />
In addition, the National<br />
Department of Tourism is funding<br />
the Interpretation Centre at<br />
Bavianskloof (a World Heritage<br />
Site) in the amount of R42-million;<br />
a further R9-million will be spent<br />
on a hiking trail; the National<br />
Department of Forestry, Fisheries<br />
and the Environment (DFFE) will<br />
spend R45-million on the chalets<br />
at <strong>Cape</strong> Morgan. Work has been<br />
completed on the Silaka Nature<br />
reserve in Port St Johns at a cost<br />
of R11-million, another DFFE<br />
project. The ECPTA is tracking and<br />
profiling tourists’ needs and their<br />
perceptions about the province.<br />
Resorts and hotels<br />
Sun International runs the<br />
Wild Coast Sun and the fivestar<br />
Boardwalk Casino and<br />
Entertainment World in Port<br />
Elizabeth, which includes<br />
conference and events facilities.<br />
Since the Wild Coast Sun<br />
became a four-star resort in<br />
2020, there has been continuing<br />
investment in new facilities and<br />
upgrades. In 2022, the breakfast<br />
and function rooms were treated<br />
to a new floor and bathroom area,<br />
two new franchise restaurants<br />
were opened and a new<br />
convenience shop was introduced.<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong><br />
30
The major change came with the introduction of South Africa’s first<br />
indoor Skypark by The Magic Company, which also operates the<br />
resort’s rides, bowling alley and arcade games. The Mangwanani<br />
Spa will be upgraded in <strong>2023</strong>. The Wild Coast Sun was fully booked<br />
by October for the festive season, with a maximum capacity from 16<br />
December 2022 to mid-January <strong>2023</strong>.<br />
The interior of the <strong>Eastern</strong> <strong>Cape</strong> is home to several high-end private<br />
game reserves such as Shamwari, Mount Camdeboo and Kariega<br />
Game Reserve. Some luxury game lodges are located within national<br />
parks, such as the Gorah Elephant Camp, which is run by Hunter Hotels<br />
and forms part of the Addo Elephant National Park.<br />
Premier Hotels has two hotels in East London, the Mpanga<br />
Private Game Reserve and it manages the East London International<br />
Convention Centre.<br />
The Radisson Blu in Port Elizabeth offers five-star luxury overlooking<br />
Pollock Beach. Tsogo Sun has five <strong>Eastern</strong> <strong>Cape</strong> properties.<br />
Addo National Elephant Park.<br />
Credit: NMB Tourism<br />
The Courtyard Hotel, City<br />
Lodge Hotel and Road Lodge<br />
are close to one another on<br />
Port Elizabeth’s beachfront and<br />
allow the group to cater to three<br />
distinct markets with a total of<br />
442 rooms. East London has a<br />
Road Lodge. ■<br />
ONLINE RESOURCES<br />
Buffalo City Tourism: www.buffalocitytourism.co.za<br />
<strong>Eastern</strong> <strong>Cape</strong> Parks and Tourism Agency: www.visiteasterncape.co.za<br />
Nelson Mandela Bay Tourism: www.nmbt.co.za
OVERVIEW<br />
Film<br />
Investment in film is creating good returns.<br />
SECTOR INSIGHT<br />
The Dam drama series has<br />
attracted viewers and<br />
award nominations.<br />
The <strong>Eastern</strong> <strong>Cape</strong> Provincial Government, through the<br />
<strong>Eastern</strong> <strong>Cape</strong> Development Corporation, invested<br />
R23-million over four years in the film industry.<br />
The return on this investment was a highly-creditable<br />
R389-million with the creation of 6 900 jobs and 572 SMMEs<br />
benefitting during the production phases.<br />
The Economic Impact Report of the National Film and Video<br />
Foundation in 2021 concluded that the film industry is one of the<br />
sectors with the greatest potential for growth in South Africa.<br />
In addition to concrete financial benefits, the rewards to the<br />
province of having tens of thousands of TV series and film watchers<br />
soaking up the scenery of the province, while difficult to quantify, will<br />
be considerable. About 13 projects were supported, including one of<br />
the top ten most-watched television shows on Showmax in 2021, The<br />
Dam. Set in an <strong>Eastern</strong> <strong>Cape</strong> farming community, this psychological<br />
thriller was one of the most nominated series at the 2022 South African<br />
Film and Television Awards.<br />
Tourism, one of the best sectors for creating employment, will have<br />
been boosted by two series of the popular Survivor series. Survivor:<br />
Immunity Island, pictured, which was aired in 2021, showed off the<br />
glories of the Wild Coast landscape, one of the jewels in the crown of<br />
the province’s tourism offering.<br />
Skills transfer to young<br />
people has also accelerated with<br />
the investments taking place in<br />
four of the province’s district or<br />
metropolitan municipalities.<br />
The six goals outlined by the<br />
ECDC as its goals in supporting the<br />
development of the film industry<br />
in the province are:<br />
• attract major direct investments<br />
on a consistent basis<br />
• create a number of temporary<br />
and permanent jobs<br />
• promote the province as a film<br />
tourism destination<br />
• increase the participation by<br />
SMMEs during filming<br />
• increase opportunities for skills<br />
enhancement for young people<br />
• increase revenue through the<br />
contribution of film production<br />
companies to taxes<br />
There is also potential for the<br />
growth and development of a<br />
thriving film industry to have a<br />
positive impact on other sectors<br />
such as communication, media<br />
and entertainment.<br />
The industry, through its<br />
products, further promotes cultural<br />
knowledge and attracts international<br />
interest to the region. ■<br />
ONLINE RESOURCES<br />
Department of Trade, Industry and Competition: www.thedtic.gov.za<br />
<strong>Eastern</strong> <strong>Cape</strong> Development Corporation: www.ecdc.co.za<br />
Film and Publication Board: www.fpb.org.za<br />
National Film and Video Foundation: www.nfvf.co.za<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong> 32
OVERVIEW<br />
Global <strong>Business</strong> Services<br />
The ECDC has a generous incentive scheme.<br />
Callzilla, a call centre servicing the US market, has chosen to<br />
locate its latest office in East London.<br />
Citing reports that South Africa is ranked third in the world<br />
among English-speaking destinations, Callzilla notes that 90%<br />
of services delivered from South Africa are related to customer experience<br />
(CX) and contact centre services. The investment in East London has<br />
created happy customers in the US, according to Callzilla, and happy<br />
employees, pictured.<br />
The GBS Incentive scheme of the <strong>Eastern</strong> <strong>Cape</strong> Development<br />
Corporation (ECDC) provides investment-funding support for<br />
financially viable propositions that create youth employment<br />
opportunities. There are three tiers of support available, depending<br />
on the size of the investment and how many jobs and opportunities<br />
for local SMMEs are created.<br />
For a R50-million project over three years, a maximum sum of<br />
R400 000 is available while a contract between R201-million and<br />
R500-million might attract up to R1.2-million in support.<br />
South Africa’s GBS sector, previously known as BPO, is growing twice<br />
as fast as the world’s and three times faster than India and the Philippines.<br />
The <strong>Eastern</strong> <strong>Cape</strong> has four universities and eight TVET colleges, highspeed<br />
connectivity and an attractive lifestyle.<br />
Other factors in favour of the area are the relatively neutral accents,<br />
good financial and telecommunications infrastructure and the time zone<br />
being the same or close to Europe’s.<br />
The East London Industrial Development Zone (ELIDZ) has an<br />
ONLINE RESOURCES<br />
<strong>Business</strong> Process enabling South Africa (BPeSA): www.bpesa.org.za<br />
Coega SEZ: www.coega.co.za<br />
<strong>Eastern</strong> <strong>Cape</strong> Development Corporation: www.ecdc.co.za<br />
East London Industrial Development Zone: www.elidz.co.za<br />
Credit: Don’t Stare Pictures<br />
SECTOR INSIGHT<br />
A UNDP programme is boosting<br />
digital skills.<br />
ICT strategy that intends creating an<br />
ICT Hub which will include a dedicated<br />
GBS facility, a scalable data centre and<br />
a 1 000-seat-business continuity and<br />
ICT training facility. The ELIDZ currently<br />
operates two data centres with ISO27001<br />
accreditation and has obtained approval<br />
for the concept development of an<br />
800-seater GBS Park in conjunction with<br />
an interested party.<br />
As of May <strong>2023</strong>, a total of 1 529 jobs<br />
had been created in the Coega <strong>Business</strong><br />
Process Outsourcing Park of the Coega<br />
SEZ. Discovery Health and Startek are the<br />
tenants of the park, with almost all of the<br />
employees being classified as permanent<br />
and 70% as youth.<br />
The Coega BPO Park offers a<br />
customised space at competitive<br />
rates in addition to an uninterrupted<br />
power supply, in-house recruitment,<br />
training, a variety of incentives and the<br />
convenience of being accessible to all<br />
main transportation nodes.<br />
A Future Skills Platform programme<br />
passed on digital skills to 959 people early<br />
in <strong>2023</strong>, courtesy of the <strong>Eastern</strong> <strong>Cape</strong><br />
branch of <strong>Business</strong> Processing enabling<br />
South Africa (BPESA), Evolution, Coega SEZ<br />
and Volkswagen SA. The programme has<br />
been running since October 2022 under<br />
the auspices of the UNDP (United Nations<br />
Development Programme). ■<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong>
OVERVIEW<br />
Oceans economy<br />
A Maritime Chamber of Commerce has been established.<br />
Scientists at Nelson Mandela University are part of a project<br />
to create a digital twin of the ocean so that accurate predictions<br />
can be made about the future. Professor Mike Roberts<br />
and his team have deployed oceanographic instruments to<br />
collect data on the ocean dynamics of the Mozambique Channel.<br />
This includes collecting information on currents, temperature, ocean<br />
productivity, habitats, fish and human populations which will help<br />
to predict what the Western Indian Ocean (WIO) will look like from<br />
now until 2100.<br />
Prof Roberts heads the UK-SA Bilateral Research Chair in Ocean<br />
Science and Marine Food Security. This is jointly hosted by Nelson<br />
Mandela University in South Africa and the University of Southampton<br />
in the United Kingdom.<br />
Previous research found that regime shifts in the Agulhas Bank<br />
ecosystem, possibly as result of climate change, resulted in the squid<br />
fishery collapsing in the <strong>Eastern</strong> <strong>Cape</strong> in 2001 and 2013. Over 2 400 squid<br />
fishermen lost their livelihoods, with about 35 000 family dependants<br />
being affected. His team is developing a policy brief that they aim to<br />
put on the <strong>2023</strong> agenda of the United Nations World Food Security<br />
Committee. This is to raise the issue of marine food security.<br />
The Maritime <strong>Business</strong> Chamber (MBC) has been established<br />
in the <strong>Eastern</strong> <strong>Cape</strong>, with its headquarters overlooking the Port<br />
Elizabeth harbour. It aims to address the imbalances in the maritime<br />
industry by representing the interests of all local businesses. It is<br />
aligned with strategic programmes such as Operation Phakisa and<br />
the Comprehensive Maritime Transport Policy (CMTP) and creates<br />
opportunities for SMMEs.<br />
<strong>Eastern</strong> <strong>Cape</strong> economic planners are getting advice from Egypt<br />
on how to scale up aquaculture. The North African country, which is<br />
sharing technical and funding ideas with the <strong>Eastern</strong> <strong>Cape</strong>, produces<br />
1.6-million tons of product in its aquaculture industry whereas South<br />
Africa’ s total is currently less than 10 000 tons.<br />
The focus of an expanded aquaculture sector is at Mbashe, Coega<br />
Special Economic Zone and the East London IDZ.<br />
The Coega Development Corporation (CDC) has set out a 440-ha<br />
zone inside the Coega SEZ adjacent to the deepwater Port of Ngqura.<br />
ONLINE RESOURCES<br />
Maritime <strong>Business</strong> Chamber: www.maritimechamber.co.za<br />
Ocean Sciences Campus (NMU): https://oceansciences.mandela.ac.za<br />
South African International Maritime Institute: www.saimi.co.za<br />
SECTOR INSIGHT<br />
Nelson Mandela University is<br />
mapping the ocean.<br />
Professor Mike Roberts, NMU.<br />
The Coega SEZ is served by two<br />
ports, is on the N2 highway and<br />
close to the Chief Dawid Stuurman<br />
International Airport, an important<br />
consideration for the export of live<br />
products.<br />
Other potential Oceans<br />
Economy sectors such as maritime<br />
repair and maintenance and oil and<br />
gas exploration have great potential.<br />
An Oceans Economy Master Plan<br />
has been created and so far, 73<br />
co-operatives have been awarded<br />
15-year licences by the National<br />
Department of Forestry, Fisheries<br />
and the Environment (DFFE). ■<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong><br />
34
FOCUS<br />
Maritime <strong>Business</strong> Chamber<br />
South Africa’s first Maritime <strong>Business</strong> Chamber aims<br />
for inclusivity in the growing Oceans Economy.<br />
From left to right: Lungisa January (Operations Executive), Unathi Sonti (Executive Chairperson), Nondumiso Mfenyana<br />
(Executive Secretary), Audrick Kramer (Deputy Executive Secretary), Xhanti Lamani (Deputy Executive Chairperson).<br />
The Maritime <strong>Business</strong> Chamber (MBC) is<br />
a registered Non-Profit Company (NPC)<br />
with the aim to address the imbalances<br />
and opportunities in the South African<br />
Maritime Industry representing the interests<br />
of all local businesses currently and wishing to<br />
participate in the sector.<br />
The Chamber has positioned itself as the voice of<br />
the Maritime Industry by providing business support,<br />
promoting sustainable jobs, skills development and<br />
lobbying for business opportunities.<br />
The Chamber is strategically aligned with the<br />
Operation Phakisa, Comprehensive Maritime Transport<br />
Policy (CMTP), South Africa’s Oceans Economy Master<br />
Plan and the IMO Maritime Policy for sustainable<br />
maritime. The MBC is determined to align itself with the<br />
Maritime global commitments for the development of<br />
competent and sustainable Maritime Enterprises.<br />
Mission<br />
To be a leading partner in offering Maritime services<br />
that promote socio-economic growth and Maritime industry<br />
capacity building.<br />
Membership<br />
Membership of the MBC is open to registered businesses<br />
or institutions willing to be part of an effort to grow<br />
participation in the Maritime Industry.<br />
Benefits include:<br />
• Promote industry access & sustainable partnerships<br />
• Provide industry research<br />
• Advocates for all sectors of Maritime<br />
• Information from industry advisory<br />
• Provide expert advise & expertise<br />
• Advance relations & align sustainable programmes<br />
with relevant stakeholders<br />
The Chamber’s obligation to the membership remains at<br />
lobbying and committed to the sector and advocacy for<br />
a more inclusive and empowered Maritime Industry, ie<br />
• Maritime <strong>Business</strong> Services<br />
• Lobbying and advocate on behalf of its constituents.<br />
CONTACT DETAILS<br />
Address: Maritime Chamber House 211, Walmer Boulevard, South End, Gqeberha 6001<br />
Tel: +27 (0) 41 587 5855<br />
Email: adminoffice@maritimechamber.co.za<br />
Website: www.maritimechamber.co.za
OVERVIEW<br />
Manufacturing: general<br />
Investment is accelerating.<br />
The 2022 Provincial Investment Conference attracted the<br />
highest number of investors ever into the province, and the<br />
biggest monetary amount.<br />
Many of the investors who were part of the pledge of a total<br />
of R46-billion were in the manufacturing sector, including the German<br />
roads surface and road maintenance company, Liesen Bitumen.<br />
The investment of Aqora Lithium Batteries points to a trend that will<br />
grow in the years to come, with renewable energy taking an increasingly<br />
important position within investment baskets.<br />
Bushveld Energy, a subsidiary of vanadium miner Bushveld Minerals,<br />
intends commissioning its Belco factory in East London in <strong>2023</strong>. The<br />
company says that this will be the largest vanadium battery electrolyte<br />
plant in the world, excluding China. The company is targeting eightmillion<br />
litres per year within four years from the factory, that was built in<br />
partnership with the Industrial Development Corporation (IDC).<br />
Among other manufacturers making investment pledges were<br />
Benteler, South African Breweries, Mhlobiso Concrete and Toyota<br />
Material Handling. SAB’s Ibhayi Brewery has allocated R510-million for<br />
plant expansion.<br />
The provincial government aims for more diversification in<br />
manufacturing and is targeting sectors where the province already has a<br />
competitive advantage (such as wool and mohair), are labour intensive,<br />
will have a broad impact and have low barriers for SMME entry.<br />
A fibre-processing plant to spin wool and mohair fibre into yarn<br />
is planned, as is a textile mill to focus on cotton, poly-cotton and<br />
acrylic fabric. The latter is planned for the IDZ in East London, which<br />
is already home to Da Gama Textiles, whose factory has the capacity<br />
to produce 45-million square metres of fabric per annum. Da Gama<br />
makes the popular and distinctive shweshwe fabric, using its own<br />
unique printing process.<br />
Several cluster development programmes aim to develop specific<br />
industries by bringing together expertise and logistical support. A Non-<br />
Automotive Manufacturing (NAM) Cluster concentrates on training,<br />
supplier development, energy efficiencies and developing new markets.<br />
Swedish concern Fagerhult Group has entered the South African market<br />
via an acquisition of the factory of Port Elizabeth’s Lighting Innovations,<br />
and the two subsidiary companies Arrow Lighting and Beacon Lighting.<br />
ONLINE RESOURCES<br />
Coega Development Corporation: www.coega.co.za<br />
<strong>Eastern</strong> <strong>Cape</strong> Development Corporation: www.ecdc.co.za<br />
East London Industrial Development Zone: www.elidz.co.za<br />
SECTOR INSIGHT<br />
South African Breweries is<br />
spending R510-million<br />
on expansion.<br />
Liesen Bitumen, Fort Jackson,<br />
Mdantsane.<br />
Montego Pet Nutrition, Graaff-<br />
Reinet’s biggest private employer,<br />
has been investing in both<br />
expanded capacity and in power<br />
generation, with the installation<br />
of an array of solar panels. More<br />
than 200 staff members work in<br />
the Karoo town’s factory.<br />
First National Battery, a Metair<br />
Group company, has one factory<br />
at Fort Jackson and two factories<br />
in East London. Mpact runs two<br />
corrugated packaging convertor<br />
facilities in the <strong>Eastern</strong> <strong>Cape</strong>, at<br />
Deal Party in Port Elizabeth and<br />
Gately Township, East London.<br />
Bodene, a subsidiary of<br />
Fresenius Kabi, makes intravenous<br />
medicine in Port Elizabeth. East<br />
London hosts Johnson & Johnson’s<br />
finance, operations and research<br />
and development divisions. ■<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong><br />
36
Manufacturing: automotive<br />
Panelbeaters and mechanics are to get better access to markets.<br />
OVERVIEW<br />
SECTOR INSIGHT<br />
Ford is pushing for a rail<br />
link to Tshwane.<br />
An Aftermarket Programme has been introduced to assist<br />
independent mechanics and panelbeaters to get better<br />
access to the budgets spent annually by the insurance<br />
industry, estimated to be in the region of R40-billion, and<br />
the national government automotive fleet (R100-million).<br />
The scheme, to be run by the Automotive Industry Development<br />
Centre – EC (AIDC-EC), will be offered to 300 operators in the province for<br />
a three-year period in which training and funding will be highlighted.<br />
The Provincial Government of the <strong>Eastern</strong> <strong>Cape</strong> has announced<br />
that it intends partnering with the private sector to establish a<br />
Component Supplier Development Fund to expand access to finance<br />
for smaller enterprises.<br />
Another task of the AIDC-EC is to prepare the province for the<br />
introduction of electric vehicles. This entails promoting renewable energy<br />
projects within the sector, rolling out skills programmes to assist with the<br />
transition to new technologies and installing electric-vehicle-charging<br />
stations on major routes.<br />
Ford Motor Company has initiated discussions about the feasibility<br />
of developing a sophisticated rail corridor between Gauteng and the<br />
<strong>Eastern</strong> <strong>Cape</strong>. The company wants to send parts to Pretoria and export<br />
cars through the Port of Gqeberha.<br />
Ford makes engines for the Ford Ranger pickup and Everest SUV at its<br />
Struandale plant and it has committed to invest R600-million for modernising<br />
ONLINE RESOURCES<br />
Automotive <strong>Business</strong> Council: www.naamsa.net<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 />
National Association of Automotive Component and Allied<br />
Manufacturers: naacam.org.za<br />
and growing its local operations, which<br />
employ about 850 people, pictured. This<br />
is a part of a bigger investment which<br />
includes the vehicle assembly operations<br />
in Gauteng.<br />
The 520 963m² Kariega facility of<br />
Volkswagen South Africa is one of four<br />
plants worldwide that makes right-handdrive<br />
Polos but the only one in the world<br />
that makes the Polo GTI.<br />
Both the Coega Special Economic<br />
Zone and the East London Industrial<br />
Development Zone (ELIDZ) have<br />
areas dedicated to automotive and<br />
automotive components manufacture.<br />
Mercedes-Benz South Africa’s new<br />
C-Class project (W206) has sparked<br />
several other related investments, which<br />
collectively will create 2 078 new jobs<br />
over two years.<br />
The production of the C-Class<br />
vehicle is a technological marvel and<br />
the plant regularly wins international<br />
awards for quality. The installation of<br />
a new sequencing centre, installed by<br />
Automotive Logistics Solutions (an AHI<br />
company), has made the assembly line<br />
even more efficient.<br />
Home-grown manufacturer of<br />
powertrain and catalytic converter<br />
assembly systems, Jendamark, exports<br />
to 18 countries. Continental Tyre South<br />
Africa is producing a 19-inch tyre for the<br />
first time at its New Brighton facility in<br />
Port Elizabeth. Isuzu SA has completed<br />
its consolidation project, with truck<br />
and bakkie manufacturing now taking<br />
place at its new headquarters in<br />
Struandale, Port Elizabeth. ■<br />
37 EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong>
OVERVIEW<br />
Development finance and<br />
SMME support<br />
Water contract flows from networking.<br />
The Wild Coast Sun has a new water supplier. L’aQua Joyce,<br />
owned and run by Thumeka Mcobothi, pictured, from<br />
Bizana in the Amadiba A/A Marina Location, will provide<br />
water-cooler equipment and bottles as part of the resort’s<br />
Enterprise Development initiative.<br />
The three-year contract follows Thumeka’s attendance of a two-day<br />
SMME <strong>Business</strong> and Networking Conference run by the resort to help<br />
educate and assist SMMEs with information related to procurement<br />
opportunities. She has also been selected to attend the Wild Coast Sun<br />
Academy to study an SMME business course. The resort aims to achieve<br />
90% procurement of all goods and services from BBBEE level 1 suppliers<br />
within the next five years.<br />
The Department of Economic Development, Environmental Affairs<br />
and Tourism (DEDEAT) is working with the <strong>Eastern</strong> <strong>Cape</strong> Development<br />
Corporation (ECDC) to increase the support of SMMEs. This is done by<br />
helping SMMEs gain access to finance and markets, as well as ensuring<br />
that provincial government contracts are accessible to small businesses.<br />
Provincial government departments are encouraged to buy from SMMEs.<br />
Three of the ECDC’s four business units are devoted to small business:<br />
Rural, Enterprise Finance and <strong>Business</strong> Support; Investment Management,<br />
Trade and Investment Promotion; and Economic Development<br />
Coordination and Sector Support.<br />
The ECDC has several financial and non-financial products tailored<br />
to SMMEs through various programmes offered by these business units.<br />
Export Help Desks have been established to support small business in the<br />
Nelson Mandela Bay and Buffalo City Metropolitan Municipalities.<br />
The Small Enterprise Development Agency is an agency of the<br />
National Department of Small <strong>Business</strong> Development (DSBD) which<br />
gives non-financial support to entrepreneurs through training, marketing<br />
and assistance in the writing of business plans. The Seda Technology<br />
Programme (Stp) helps potential businesses become trading entities. The<br />
Seda Incubation Unit supports 14 incubators in the province to the value<br />
of R29.8-million.<br />
Work is underway to refurbish several state-owned industrial parks. Areas<br />
like the Dimbaza Industrial Park assist SMMEs with affordable space and the<br />
ONLINE RESOURCES<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 />
SECTOR INSIGHT<br />
The Seda Technology Programme<br />
supports 14 incubators.<br />
programme has so far created 379 jobs and<br />
involved 71 local SMMEs.<br />
The DSBD has a Shared Economic<br />
Infrastructure Facility, which is investing<br />
R34.7-million in support of <strong>Eastern</strong> <strong>Cape</strong><br />
projects: the KwaNtozonke Product Market<br />
in King Sabata Dalindyebo Municipality and<br />
the Chris Hani Co-operative Development<br />
Centre in Chris Hani District. A further R1.9-<br />
million has been allocated to 141 informal<br />
and microbusinesses in the Amathole and<br />
Joe Gqabi District Municipalities.<br />
Volkswagen South Africa (VWSA) has<br />
a project called Ntinga (“to soar” in Xhosa)<br />
whereby suppliers receive training and are<br />
mentored for 18 months. ■<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong><br />
38
FOCUS<br />
Helping entrepreneurs grow<br />
The <strong>Eastern</strong> <strong>Cape</strong> Development Corporation has several<br />
programmes which support SMMEs.<br />
Services include: business networks; advisory<br />
support; business plan development; feasibility studies;<br />
due diligence; mentorship and coaching; quality<br />
management support; marketing support; intellectual<br />
property registration support and management;<br />
pre-commercialisation studies; skills development;<br />
information workshops and seminars.<br />
The Informal <strong>Business</strong> Support Programme<br />
(IBSP), implemented through the ECDC, sees<br />
to it that small businesses have the tools and<br />
equipment they need to prosper and grow.<br />
The <strong>Business</strong> Development Services<br />
Unit of the <strong>Eastern</strong> <strong>Cape</strong> Development<br />
Corporation (ECDC) forms the backbone<br />
of the enterprise development ecosystem<br />
which ensures the sustainability of businesses.<br />
<strong>Business</strong> Support<br />
The <strong>Business</strong> Support sub-unit provides non-financial<br />
pre-investment and post-investment support,<br />
ensuring that businesses are ready for finance, market<br />
ready and poised for long-term growth.<br />
Ongoing support is available through mentorships,<br />
market access opportunities as well as business and<br />
financial management advice. The unit offers both<br />
strategic and operational services to equip small<br />
businesses to perform to their full potential, with<br />
increased profitability and improved management<br />
processes that enhance their long-term viability.<br />
The <strong>Business</strong> Support sub-unit promotes a<br />
culture of entrepreneurship, improvement in business<br />
competitiveness and facilitates access to market and<br />
to education and training for SMMEs.<br />
ECDC contact details<br />
Address: 1 Moore Street, Quigney, East London<br />
Tel: +27 43 704 5604<br />
Email: info@ecdc.co.za<br />
Website: www.ecdc.co.za<br />
Development Finance<br />
The Development Finance sub-unit manages the ECDC’s<br />
business finance product offering and assists enterprises<br />
gain access to finance.<br />
Through both short-term and long-term products, the<br />
ECDC has set itself apart as the financial service provider of<br />
choice for initiatives that bring a meaningful development<br />
impact. With an understanding of the historical lack of<br />
access of small-to-medium enterprises to finance, the<br />
ECDC uses adequate management capacity and business<br />
viability as key lending criteria.<br />
ECDC Access, the category name for short-term finance,<br />
offers products geared towards facilitating efficient cash<br />
flow management. “Access” denotes the values of flexibility,<br />
convenience, efficiency and transparency. ECDC Future,<br />
the category name for long-term finance, offers long-term<br />
debt finance vehicles, one covering commercial property<br />
and another dealing with equity finance.<br />
The ECDC’s business finance products are best suited<br />
to applications that facilitate job creation and/or retention,<br />
economic empowerment, value addition, rural/township<br />
development and increased export income. Any greenfield<br />
initiative that leads to expansion and rehabilitation will be<br />
eligible for application for finance.<br />
The ECDC aims to provide efficient client service for<br />
the entire duration of the contract term. Monthly account<br />
management and quarterly report-back visits will gauge<br />
the health of the business. ■<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong>
OVERVIEW<br />
Banking and financial<br />
services<br />
Agricultural app extends bank’s reach.<br />
Absa Bank, which already has a strong presence in the agricultural<br />
market in South Africa, has bought shares in an<br />
e-trading platform. Khula! has three platforms that allow<br />
farmers and distributors to connect with exports and retail<br />
and wholesale buyers. More than 5 000 products are available on the<br />
Input Marketplace app.<br />
Absa has previously supported Khula! through its Enterprise<br />
Development division and has worked with the app on standardising<br />
payment options. Abrie Rautenbach, Head of Absa Agri<strong>Business</strong>, says<br />
the acquisition will not only enhance Absa’s agriculture proposition for<br />
SMMEs, but allow Absa to further assist with the continued expansion<br />
of the Khula! proposition, potentially also into other African markets in<br />
which the bank operates.<br />
African Bank, with an eye on listing on the JSE, completed its<br />
purchase of Ubank in 2022. When Ubank came out of curatorship in<br />
2016, the SA Reserve Bank acquired its shares and invested R3-billion. The<br />
purchase will expand African Bank’s lending base by nearly five-million<br />
customers and comes on the back of the purchase of Grindrod Bank,<br />
which strengthened the bank’s business-lending operations.<br />
Two new licences for mutual banking have been approved<br />
nationally, despite the collapse of VBS, a Limpopo-based mutual bank.<br />
The nature of the South African market lends itself to mutual banking.<br />
Both the Young Women in <strong>Business</strong> Network (YWBN) and Bank Zero<br />
will use the mutual model.<br />
Discovery Bank officially launched in March 2019 and is<br />
experiencing rapid growth with deposits of R3.7-billion. Discovery<br />
Bank is applying the behavioural model it uses in its health business to<br />
reward good financial behaviour.<br />
Another relatively new bank is Capitec. Investment holding<br />
company PSG has reduced its holding in Capitec Bank from 32% to<br />
4%, earning about R4-billion by selling those shares.<br />
TymeBank, one of the newer entrants onto the South African<br />
banking scene, is taking the concept of “retail banking” to another level.<br />
Having run banking kiosks within Pick n Pay and Boxer stores for several<br />
years, TymeBank has signed a deal with TFG, a group that has a big<br />
presence in the <strong>Eastern</strong> <strong>Cape</strong>.<br />
ONLINE RESOURCES<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 />
SECTOR INSIGHT<br />
African Bank has<br />
bought Ubank.<br />
Khula! CEO Karidas Tshintsholo.<br />
What used to be known as<br />
the Foschini Group has 34 brands,<br />
including Markhams, Totalsports,<br />
Jet and Dial a Bed, and 30-million<br />
customers. In the short term,<br />
TymeBank will have access to 600<br />
TFG kiosks, taking the bank’s total<br />
in South Africa to 1 450.<br />
The financial and business<br />
services sector is responsible of<br />
19.2% of the <strong>Eastern</strong> <strong>Cape</strong>’s Gross<br />
Domestic Product (StatsSA). The<br />
sector provides employment<br />
for 141 000 people. Agricultural<br />
finance is an important factor<br />
in the <strong>Eastern</strong> <strong>Cape</strong>. Production<br />
loans, vehicle financing and<br />
revolving credit plans all play an<br />
important role in keeping farmers<br />
and agro-processors in business. ■<br />
EASTERN CAPE BUSINESS <strong>2023</strong>/<strong>24</strong><br />
40
<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: Mr Zolile Williams<br />
Tyamzashe Bldg, Room 21<strong>24</strong>, 2nd Flr, Bhisho 5605<br />
Tel: +27 40 949 7191 | 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 />
Block 16, <strong>Business</strong> Village, Bhisho 5605<br />
Tel: +27 43 605 7004/7 | Fax: +27 43 605 7303<br />
Website: www.dedea.gov.za<br />
Department of Education<br />
MEC: Mavhungu Leruli-Ramakhanya<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: Siphokazi Lusithi<br />
31-33 Phillip Frame Rd, Waverly Park, Chiselhurst,<br />
East London 5<strong>24</strong>7<br />
Tel: 086 000 0039 | Fax: +27 43 711 9797<br />
Website: www.ecdhs.gov.za<br />
Department of Public Works and<br />
Infrastructure<br />
MEC: Ntombovuyo Nkopane<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: Xolile Nqatha<br />
Cnr Independence Avenue and Circular Drive, Bisho<br />
Tel: +27 43 605 6800 | Fax: 086 558 02<strong>24</strong><br />
Website: www.safetyec.gov.za<br />
Department of Social Development<br />
MEC: Bukiwe Fanta<br />
Phalo Ave, 5th Flr, Dukumbana Building, Bisho 5605<br />
Tel: +27 43 605 5000 | Fax: +27 43 605 5000<br />
Website: www.ecdsd.gov.za<br />
Department of Sports, Recreation,<br />
Arts and Culture<br />
MEC: Nonceba Khontsiwe<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: Xolile Nqatha<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
Fast-tracking projects<br />
and lowering the cost<br />
of doing business<br />
EASTERN CAPE<br />
The <strong>Eastern</strong> <strong>Cape</strong> Development Corporation<br />
(ECDC) is the host of the <strong>Eastern</strong> <strong>Cape</strong><br />
Investor One Stop Shop.<br />
The Investor One Stop Shop initiative is<br />
geared towards providing investors with services to fasttrack<br />
projects and reduce government red tape when<br />
establishing a business. It is part of the government’s<br />
drive to become investor friendly by improving the<br />
business environment by lowering the cost of doing<br />
business as well as making the process easier.<br />
One Stop Shops house government entities<br />
such as the South African Revenue Service (to help<br />
with customs and tax), Home Affairs, Environmental<br />
Affairs, Eskom and the Companies and Intellectual<br />
Properties Commission under one roof.<br />
An investor can make an appointment, meet a<br />
government representative and be guided by the<br />
representative through the process of setting up a<br />
business. The One Stop Shops simplify administrative<br />
procedures for issuing business approvals, permits and<br />
licences and thereby remove bottlenecks that investors<br />
may face in establishing and running businesses.<br />
The offering includes, but is not limited to:<br />
• Providing an accessible entry point for investors<br />
in need of regulatory compliance.<br />
• Enhancing regulatory and legal processes.<br />
• Improving approval turnaround timeframes.<br />
• Providing information on incentives (tax, land,<br />
training, free trade zones, etc).<br />
• Providing pre-approval information (market<br />
data, costs, incentives, project approval, local<br />
partners, etc).<br />
• Providing post-approval information (facilitation<br />
of permit approvals, information relating to<br />
import of equipment and raw materials, central<br />
bank profit repatriation, etc) to investors.<br />
Participating national government entities<br />
• InvestSA is a division of the South African<br />
Department of Trade, Industry and Competition<br />
(the dtic)<br />
• <strong>Business</strong> registry: Companies and Intellectual<br />
Property Commission (CIPC)<br />
• Tax authority: South African Revenue Service (SARS)<br />
• International Trade Administration Commission<br />
(ITAC)<br />
• National Regulator for Compulsory Specifications<br />
(NRCS)<br />
• Public electricity utility: Eskom<br />
• Municipal Infrastructure Support Agent (MISA)<br />
Visa facilitation<br />
Visa and permit applications can be made at Visa<br />
and Permit Facilitation Centres. Applications are<br />
then assessed by the Department of Home Affairs in<br />
Pretoria. Non-South Africans with a legal residency<br />
permit in South Africa can apply for a visa or permit<br />
at these centres.<br />
There are centres in every province. In the <strong>Eastern</strong><br />
<strong>Cape</strong> there is an office in East London. The South<br />
African government is reviewing its critical skills list as<br />
well as taking steps to make it easier for people who<br />
qualify to apply.<br />
The <strong>Eastern</strong> <strong>Cape</strong> invitation<br />
The <strong>Eastern</strong> <strong>Cape</strong> InvestSA One Stop Shop and ECDC<br />
team can advise you on investment opportunities<br />
and assist investment and trade opportunities from<br />
the same offices. The <strong>Eastern</strong> <strong>Cape</strong> team is committed<br />
and qualified to assist and guide you from concept to<br />
investment phase.<br />
During the last quarter of 2022/23, the EC OSS<br />
provided advisory and facilitation services to more than<br />
17 prospective clients. ■<br />
Contact details<br />
For investment advisory, information and facilitation services please visit the EC One Stop Shop<br />
Website: www.investeasterncape.co.za<br />
Alternatively contact us on<br />
Email: info@investeasterncape.co.za<br />
Call: +27(0) 87131 1450
Change language