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Construction is booming north of Durban

Picture Credit: EBH South Africa - www.ebh.co.za

Property company Tongaat Hulett Developments won Visionary Client of the Year at an engineering awards event in 2017, a recognition of how much construction is underway north of Durban on land that used to be covered in sugar cane.

The South African construction sector is experiencing tough times, with more than one company going into business rescue in 2018, which could explain why the annual Cesa Aon Engineering Excellence Awards acknowledged the developer of eight large projects covering commercial, industrial, retail and residential.

The other mega-project that has created a lot of work for engineers has been the multi-year Western Aqueduct project to bring fresh water to greater Durban.

The Western Aqueduct Joint Venture comprising three companies, Knight Piésold Consulting, Naidu Consulting and Royal Haskoning DHV, acted as agents for eThekwini Water and Sanitation. Stefanutti Stocks Pipelines played a big role, and there were opportunities for excellence and innovations in areas such as break-pressure tanks which were designed by Royal Haskoning DHV and built by ICON Construction.

Marine repair and engineering form a significant sector in the province, with established companies such as EBH South Africa offering comprehensive services at the ports of Durban and Richards Bay (pictured). Both ports are expanding (Durban is building a cruise liner terminal, for example) and will continue to attract engineers.

Dormac, which is headquartered in the Bayhead area of the Port of Durban, is best known for its marine engineering but it offers specialised services to the sugar industry and provides machinery for industrial giants like Toyota and Defy.

All of the province’s biggest industries require sophisticated engineering skills: aluminium smelters in Richards Bay and steel works in Newcastle, Richards Bay and Cato Ridge. There are also chemicals and plastics production plants, and large automotive works.

The Transnet Engineering (TE) plant in the Port of Durban houses six business units and has 3 555 employees. The Coach unit upgrades coaches and the Auxiliary business is the main supplier of rail wagon tarpaulins to Transnet Freight Rail. The Port Equipment Maintenance unit and units specialising in wheels and locomotive overhaul are other entities. There are a further six depots located around the province.

The School of Engineering at the University of KwaZulu-Natal offers a variety of degree options, ranging from undergraduate qualifications to doctorates. The School offers eight areas of specialisation including Bioresources, Electronic and Computer Engineering, and Land Surveying.

Additional resource links:
Article Source: Engineering sector insight, KwaZulu-Natal Business 2019/20
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Developing innovative solutions for a circular economy

Responsible forest management involves increasing the long-term productivity and preserving eco-system values in rural landscapes and protecting high conservation value areas such as wetlands. [Source: Mondi South Africa]

Mondi South Africa is at the forefront of sustainable business practices. Viv McMenamin, CEO Mondi South Africa, explains: “It’s exciting to be playing a lead role in Mondi’s sustainability story. There are so many areas we are proud of but three stand out for me.

“From the work we are doing to reduce our water impact, to managing water catchment areas and wetlands through our work with partners, to using significantly less water in our operations. Second is the progress we have made in becoming a diverse and inclusive workplace, where people can grow to their full potential and contribute to our success. And then of course our globally competitive operations that produce high-quality, fully-recyclable products from sustainably sourced fibre.”

Sustainable fibre

The sustainable management of our forestry operations is key in managing our overall environmental impact, helping to protect ecosystems, and developing resilient landscapes.

Wood is one of the primary raw materials and our staff work hard to provide the best assurance for our stakeholders that the wood and fibre we use comes from responsible sources. Plantation forests in South Africa are managed in a way that secures their long-term biological integrity, social value and productivity.

Maintaining FSC™ certification of forests is also an important part of our management approach. It assures compliance with globally recognised standards for sustainable forest management.

Water as a constrained resource

Given the critical importance of water to business, to local communities and to other stakeholders, we strive to manage water use wisely and efficiently – especially in water-stressed regions. We are committed to reducing the specific contact water consumption of our pulp and paper mills by 5% by 2020, against a 2015 baseline.

Drought conditions in South Africa remain a concern and we continue to look for opportunities to improve water security in the areas where we operate. The focus is on reducing water consumption, in particular at the Richards Bay mill.

WWF-Mondi Water Stewardship Programme

Mondi promotes a landscape approach to freshwater stewardship. The focus of the long-standing WWF-Mondi Water Stewardship Programme (previously the WWF-Mondi Wetlands Programme) has grown from managing and rehabilitating wetlands with different groups of land-users (including Mondi) to catalysing water stewardship at the landscape scale, including ensuring collaboration and action by different land-users in the uMngeni and Mvoti River catchments, both of which are strategically important water-supply areas for KZN’s economic hubs.

In 2014, following many years of collaboration, Mondi Group and WWF launched a global partnership to promote responsible forestry and a sustainable pulp and packaging sector.

In 2017, this global partnership was extended for another three years and the WWF-Mondi Wetlands Programme was renamed the WWF-Mondi Water Stewardship Partnership, reflecting its broadening focus on catchment-based water stewardship. Water stewardship assessments were conducted for the Richards Bay mill and plantations in South Africa.

This was measured against the international Alliance for Water Stewardship Standard, a globally-applicable framework for major water users to understand their water use and impacts. The outcomes are now being used to investigate meaningful, cost-effective improvements to management systems to meet the core requirements and to advance some of the requirements.

In 2018, Mondi joined the WWF Climate Saver’s Programme, WWF’s global platform to engage businesses and industries on climate and energy.

Biodiversity and ecosystems

Responsible forest management involves increasing the long-term productivity and preserving eco-system values in rural landscapes and protecting high conservation value areas such as wetlands.

Degradation of ecosystems and loss of habitats and species has a significant negative effect on the ecosystems that both communities and business rely on. We are committed to protecting biodiversity and ecosystem services in our forestry operations.

Maintaining an effective network of high-conservation value areas and valuable habitats, and on imitating natural dynamics for key types of ecosystems where possible, is another focus.

Eco-efficient products

The investment to expand our product range by producing unbleached kraftliner in addition to white-top kraftliner at the Richards Bay mill has been welcomed by customers. Baywhite, Baycel and Baykraft products are certified for food packaging (ISEGA) and Mondi has adopted Good Manufacturing Practice (externally certified).

www.mondigroup.com

Changes and growth in the Gauteng pharmaceutical industry

  • A licence to make a biosimilar drug has been granted.
  • Pharmacy Direct has spent R100-million on a warehouse upgrade.

South Africa has one of the world’s biggest HIV/Aids programmes. The National Department of Health’s Centralised Chronic Medicines Dispensing and Distribution programme aims to reach six-million patients on treatment by 2021. It is currently serving 4.4-million patients.

In mid-2018 Pharmacy Direct, an Afrocentric business based in Centurion, spent R100-million on upgrading a warehouse for distributing medicines to state patients. This sector is likely to grow if the state goes ahead with plans for National Health Insurance. The NHI intends to create a single fund that will buy services on behalf of all South Africans.

The National Association of Pharmaceutical Manufacturers (NAPM) has re-branded as Generic and Biosimilar Medicines of Southern Africa.

A new field opened up in the pharmaceutical industry when the South African Health Products Regulatory Authority (SAHPRA) gave the go-ahead for the production of a biosimilar drug in July 2018, the first time this has been allowed in South Africa. Teva Pharmaceutical Industries became the first company to win a licence with their version of Amgen’s filgrastim, a white blood cell booster.

South Africa’s pharmaceutical sector is worth approximately R20-billion annually. Although there are more than 200 pharmaceutical firms in the country, large companies dominate the field, with Aspen Pharmacare (34%) and Adcock Ingram (25%) the two key players, followed by Sanofi, Pharmaplan and Cipla Medpro.

Among the other big international brands active in Gauteng are Merck, which has a 55 000 m² plant at Modderfontein, and Pfizer SA, which runs a laboratory in Sandton amongst its facilities in South Africa. Adcock Ingram is building a new steriles plant for ophthalmic products at its Clayville facility.

The private sector accounts for 80% of pharmaceutical industry sales by value and 20% by volume, while this ratio is reversed in the case of the public sector.

Additional resource links:
More sector insight in Gauteng Business 2019/20 edition (digital journal):

Development corridors promise increased traffic

[Image: Gautrain]

The concept of a Gauteng City Region is key to much of the planning for the area’s economic future. Infrastructure development is underway along corridors, each of which has a specific focus.

The corridors and focus areas are:
  • Thami Mnyele: transport, BRT, M&T Development and Plumbago Industrial Park
  • OR Tambo Aerotropolis: creative sector, technology, research and development and logistics
  • Thelle Mogoerane: logistics, Carnival Junction, OR Tambo inland port, Prasa rolling stock manufacturing facility run by Gibela Rail Consortium which is due to deliver 600 trains valued at R51-billion.

The Tambo Springs inland port and logistics gateway has been established near Katlehong as an inter-modal facility which can transfer containers from rail or road to storage facilities and ultimately to the customer. Existing freight rail lines run through the site and link it to the seaports of Durban, Cape Town and Ngqura (Port Elizabeth). The aim with this new facility is to improve efficiency. It is run by the Tambo Springs Development Company. The intention is to add to the port:

  • a logistics park with transportation, processing, manufacture, warehousing and distribution
  • a business park with a retail element
  • a residential component
  • an agri-industrial section.

The OR Tambo International Airport Special Economic Zone (ORTIA SEZ) has diversified beyond the existing Jewellery Manufacturing Precinct in the shape of a R400-million agri-processing plant.

The concept of an aerotropolis is for the airport to become a hub of economic activity in the same way that cities anchor various economic sectors that grow up around the centre. Ekurhuleni’s economy is primarily driven by manufacturing, mining and agriculture. With a strategic location next to the OR Tambo International Airport and identified aerotropolis corridors, future investment in the following sectors is anticipated: manufacturing, aviation and aerospace, transportation and logistics.

Ekurhuleni is hoping not only to be the national centre for logistics and to boost its already impressive manufacturing capacity by building more infrastructure and freight hubs, but it intends the aerotropolis to play a role in helping to consolidate the integration of the nine town councils that went into making up the metropole.

Airports

OR Tambo International Airport caters for more than 20-million passengers every year and handled nearly 415 000 tons of cargo via 14 different cargo carriers in 2017.

Lanseria Airport is growing in importance with kulula, FlySafair and Mango flying in and out of the airport located to the north of Johannesburg. It is a convenient landing point for travellers bound for regional centres like Rustenburg in the North West. Lanseria moved nearly two-million passengers in 2017 and plans to double that figure by 2022.

Gauteng has several smaller airports that host mostly commercial aircraft:

  • Rand Airport in Germiston
  • Grand Central Airport in Midrand
  • Wonderboom Airport in Pretoria North
  • Waterkloof Air Force base, south of Pretoria.

The Commercial Aviation Manufacturing Association South Africa (CAMASA) states that 50 companies are active in the sector, employing more than 3 000 people in highly skilled jobs. Almost all the activity is around Johannesburg and Cape Town and the sector (which encompasses aero-structures and systems, manufacturing, design and engineering) is responsible for R3-billion in exports every year.

Rail

The Gautrain, a high-speed train linking the centre of Johannesburg, Sandton, ORTIA and Pretoria, has been massively successful in terms of its original brief. The Gauteng Management Agency 2017/2018 annual report noted that a peak of 1.4-million passengers per month was reached in May 2017 and that average punctuality of 98.60% had been achieved for all trips scheduled.

But the Gautrain is expensive and not designed to cater for mass public transportation. A feasibility study has been completed on the expansion of the Gautrain and its full integration into the public transport system. New areas that will be covered in the project, which will take place over two decades, will include Mamelodi in Tshwane, Boksburg in Ekurhuleni, Randburg-Laseria in Johannesburg, Mogale City and Syferfontein in the West Rand and Roodepoort/Jabulani.

The Gautrain has also re-activated property development in many areas around its stations and made sites near stations very attractive to developers and investors.

Transnet Rail Engineering (TRE) has a major presence in Gauteng and the metropolitan lines that ferry commuters are run by the Passenger Rail Agency (PRASA). The Wits Metrorail system serves Johannesburg and its surrounds. Park Station, in the north of the central business district, is the largest station in Africa and acts as the metropolitan hub.

Additional resource links:
More Gauteng sector insight in Gauteng Business 2019/20 edition (digital journal):

Research and development the bedrock of mining in Gauteng

  • The Mandela Mining Precinct aims to boost the sector.
  • Wits School of Mining is moving up in world rankings.

The University of Witwatersrand started life as the South African School of Mines. The School of Mining Engineering at Wits is now just one of many at the university, but it is the highest ranked in terms of the QS World University Rankings. It has also been improving its world ranking in recent years and stood at 13th in May 2019 (Mining Weekly).

Gauteng is home to most of the research and training bodies associated with mining. Sibanye-Stillwater is one of many companies supporting research in the province: the Wits Mining Institute’s Digital Mining Laboratory (Digimine) is the focus of its funding. AECI, the explosives and chemicals company, sponsors the Virtual Reality Mine Design Centre at the University of Pretoria.

A new project was launched in 2018 to coordinate efforts in the mining sector. A joint venture between three government departments and the Minerals Council South Africa, the Mandela Mining Precinct aims to develop research into mining, showcase the country’s manufacturing abilities and to continue to create jobs and wealth as ore bodies are depleted.

Mintek is an autonomous body based in Randburg which receives about 30% of its budget from the Department of Mineral Resources. The balance comes from joint ventures with private-sector partners, or is earned in research and development income, the sale of services or products and from technology licensing agreements. An example of collaboration is Project AuTEK which has found a way of getting gold catalysts to play a role in improving fuel-cell efficiency.

Pretoria University has a Department of Mining Engineering, the University of South Africa offers three national diplomas in mine-related fields, the University of Johannesburg has mine-surveying courses and the Vaal and Tshwane universities of technology have engineering faculties.

The national government’s Phakisa programme is to be applied to mining. Intended to fast-track solutions to development problems, an Operation Mining Phakisa Lab has been set up to create concrete plans.

Similarly, the Provincial Government of Gauteng has initiated Action Labs in the mining sector. These are meetings where private and public participants in the mining sector and its value chain discuss possible improvements, partnerships and innovations.

One of the Action Labs‘ focus areas is to strengthen the export of mining services and mining equipment to SADC countries, including the copper belt. The creation and support of mining sector SMMEs is another important component of the plan to create a broader base for mining and mineral beneficiation.

Additional resource links:
More Gauteng sector insight in Gauteng Business 2019/20 (digital journal):

Voorspoed Mine partners with local municipality to provide a home for the elderly

Executive Mayor of Ngwathe Municipality, Cllr Joey Machela, and Voorspoed Mine General Manager, Malcom Hendrickse at the sod-turning ceremony.

Voorspoed Mine has partnered with the Ngwathe Local Municipality to create a better future for the elderly by committing to build a new old-age facility for Ratang Maqheku Centre for the Aged in Parys.

Through its Building Forever strategy, De Beers Group is helping communities to access opportunities and thrive with the aim of leaving a positive and lasting legacy for mining communities to enjoy sustainable livelihoods beyond the life of its operations.

Malcom Hendrickse, Voorspoed Mine General Manager, said, “Our Building Forever approach unites and compels us to create a better future for our people, and we have continued to select partners and projects that will help maximise our positive impact as an organisation. We are proud of the positive impact that the new old-age home will have for elderly citizens for generations to come.

“While Voorspoed Mine stopped mining operations in December 2018, as it reached the end of its life, we will continue to implement our Social and Labour Plan as agreed with our local municipalities.”

Ratang Maqheku Centre currently operates from three rented backyard rooms in Tumahole, Parys. The centre caters for 30 elderly people daily, and provides food, primary healthcare services, physical exercises, as well as access to the local library to improve their literacy and writing skills.

The new 470-square-metre facility will comprise two bedrooms, sick bay, workshop area, rest area, consultation room, three offices, dining area, kitchen with a pantry and laundry room, two ablution facilities, as well as a reception and waiting area. Ratang Maqheku will also receive a brand-new 22-seater vehicle from De Beers Group to transport the elderly to and from the centre.

Speaking at the sod-turning event of the construction of the new facility, Executive Mayor of Ngwathe Local Municipality, Cllr Joey Mochela, said, “We are standing on a construction site of a dream that will soon become a lasting legacy for our community. This event is proof that working together in partnership with the private sector can produce remarkable outcomes.”

In total, Voorspoed Mine spent R31.6-million supporting Socio-Economic Development projects in 2018.

School revamp boosts community

The construction of Phuleng Primary School is underway in Maokeng, Kroonstad.

De Beers Group has partnered with the Free State Department of Education and the Kagiso Shanduka Trust (KST) to unveil the construction of a R27-million school in its labour sending area community of Maokeng in Kroonstad.

The construction of Phuleng Primary School falls under De Beers Voorspoed Mine’s Rural School Development Programme, which aims to address infrastructure needs for local schools, leave a legacy for communities and develop a working partnership with the Department of Education.

Through this partnership, the De Beers Fund and the Free State Department of Education contributed R17-million and R10-million respectively to the construction of the primary school set to benefit over 850 learners. The infrastructure development and overall project delivery will be managed by KST.

Phuleng Primary School was established in 1928 and forms part of Voorspoed Mine’s Social and Labour Plan under the Rural Development Programme. The feasibility studies by KST revealed large cracks throughout the structures and foundation walls, including poor water drainage.

The newly built school will comprise a Grade R and primary section, media centre, nutrition centre, covered walkway and security fencing. The primary section will boast 20 new classrooms and 17 ablution facilities which cater for learners with disabilities. The Grade R section will have three new classrooms, a play area and ablution facilities.

Free State Education MEC Dr Tate Makgoe said, “We wish to express our sincere gratitude to De Beers and KST for choosing to partner with us in delivering quality education to our children. The new state-of-the-art Phuleng Primary School will go a long way in improving learning and teaching in the school.”

De Beers has also partnered with KST and other various organisations in the District Whole School Development Programme, which has been successfully implemented in schools in the Fezile Dabi and Motheo Districts in the Free State. Currently in its fifth year, over 60 schools have benefited through the programme by receiving infrastructure projects such as new and renovated classrooms, ablution facilities, libraries, media centres, science laboratories and kitchens. Over 2 000 teachers are being supported through the curriculum development programme.

De Beers Goup of Companies Logo

Logistics and renewable energy are vital sectors in the Free State economy

Partial view of Bloemfontein [iStock by Getty Images]

Regional overview of the Free State

By John Young

When the leaders of what would become the African National Congress chose a venue for their first-ever conference, Bloemfontein was the natural choice because of the centrality of the town. The city, which has been the judicial capital of South Africa since the creation of the state in 1910, has continued to leverage its central location to become a significant factor in the transport and logistics sector.

The country’s two great highways pass through the province. The N1 provides north-south connectivity and the N3 is South Africa’s busiest road, linking the ports of Richards Bay and Durban with the industrial heartland.

This strategic position lies behind the decision to launch the Maluti-A-Phofung Special Economic Zone on the N3 at Harrismith. Although agriculture and mining remain the mainstays of the provincial economy, diversification and expansion through initiatives such as Special Economic Zones (SEZs) are key to the economic future of the province.

Sectors prioritised at the MAP-SEZ include logistics, ICT, automotive, pharmaceuticals, manufacturing and agri-processing. The 1 000 ha site will has four zones: agri-processing, light industrial, heavy industrials and a container terminal.

Links to the west (Kimberley and on to Namibia) and east (to Lesotho) underpin the planning behind the N8 Corridor concept which covers Bloemfontein, Botshabelo and Thaba Nchu. A plan for the coordinated development of the N8 Corridor has been approved by a range of bodies and is being funded by the Development Bank of Southern Africa (DBSA) and the Mangaung Metropolitan Municipality.

The Bram Fisher Building in Bloemfontein.

Within this are several projects including the ICC Precinct (hotel and convention centre in Bloemfontein), Bio-Medical Park, Airport Node (logistics and supply chain, warehouses, residential apartments, hospitals, schools, hotels and new shopping malls) and tourism infrastructure for the Naval Hill Development.

Three other national highways intersect the province which is also well served by rail and air links. The Bram Fischer International Airport serves the provincial capital city of Bloemfontein.

Another important new sector is solar energy. The Xhariep, Lejweleputswa and Mangaung regions have among the best direct solar radiation kWh/m² in the country. Only Upington in the Northern Cape has a better solar-radiation index. Rezoning for solar farms has already taken place in several places.

The Stortemelk Hydropower Plant in the Free State Province. Picture source: Murry and Dickson Construction.

New opportunities are opening up in the gas and energy sectors. Several new licences to explore have been granted and a R200-million helium extraction plant is under construction near Virginia.

Relations have been established with 35 countries with a view to promoting exports. Africa and the BRICS grouping of Brazil, Russia, India and China are focus areas. Other partnerships based on education and trade include countries and regions like Portugal, Turkey and Madeira.

An important pillar of the economy of the Free State, the chemicals and fuels hub at Sasolburg, is modernising and expanding. International fuel, gas and chemicals company Sasol regularly invests in new technologies and in expanding production of its various products.

The Free State shares borders with six other provinces, in addition to the Mountain Kingdom of Lesotho. A summer-rainfall region with a mean annual rainfall of 532mm, the Free State’s climate, soil types and topography vary greatly within the province, with plains in the west and mountains in the east. The western and southern areas are semi-desert, with some Karoo vegetation occurring in the south.

The Free State produces significant proportions of South Africa’s wheat (30%), sunflowers (45%) and maize (45%) and is ranked third in contribution to national GDP in agriculture.

Municipalities in Free State

The Free State has one metropolitan municipality (Mangaung), four district municipalities and 19 local municipalities.

Mangaung Metropolitan Municipality

Mangaung Metropolitan Municipality is a Category A municipality which governs Bloemfontein, Botshabelo and Thaba Nchu. The sixth-largest city in the country, the Mangaung municipal area covers more than 6 263km² and has a population of about 850 000 people. Bloemfontein is responsible for about 25% of provincial GDP.

Xhariep District Municipality

Towns: Trompsberg, Koffiefontein, Zastron, Philipollis, Edenburg, Fauresmith, Smithfield, Wepener

The southernmost region of the Free State is a largely dry area with open grasslands predominating, although it is also home to the Gariep Dam, South Africa’s largest dam. Crops are produced in the northern parts of the district and sheep farming is the biggest activity in the south. Trompsberg has the second-biggest sheep-shearing barn in the country.

Diamonds, gravel and clay are mined at Koffiefontein. Jagersfontein is one of the first places where diamonds were found, and it has its own version of the Big Hole to prove it. The town of Bethulie is a good stopping-over place for tourists wanting to experience the water sports available on the Gariep Dam.

The dam is also the site of small hydro-power and aquaculture projects which are intended to create employment and tackle food security. The nearby Tussen die Riviere Nature Reserve and the Mynhardt Game Reserve have a variety of wildlife in spectacular settings. Jacobsdal’s Landzicht winery has proved itself as a worthy producer of wine. San rock paintings and Anglo-Boer War sites are plentiful.

Lejweleputswa District Municipality

Towns: Welkom, Virginia, Boshof, Christiana, Bultfontein, Bothaville Mining is the most important economic activity in this area, also known as the Free State Goldfields, but it is also the most important maize-growing area in South Africa. A large natural gas field has been discovered on what used to be gold turf. Bothaville is the self-proclaimed Mielie Capital of South Africa but it is a name that is apt. The town hosts the annual NAMPO maize festival and the headquarters of Grain SA.

Mining town Welkom is the major urban centre in the district. The town of Virginia is the site of a jewellery school and it is intended that this will form the nucleus of a jewellery beneficiation hub and an IT hub.

The area has tourist assets such as a holiday resort on the Allemanskraal Dam, the Goldfields Wine Cellar in Theunissen and the Willem Pretorius Game Reserve but there is potential for growth in the heritage sector.

Fezile Dabi District Municipality

Towns: Sasolburg, Parys, Kroonstad, Frankfort, Heilbron, Viljoenskroon The chemical complex at Sasolburg is the economic driver in the district, which shares a border with Gauteng province along the Vaal River. The town of Heilbron is another important industrial centre and Frankfort does important agricultural processing work. Kroonstad is the district’s second-largest town and has a number of engineering works and a railway junction. A new kraft paper factory has been planned for Frankfort.

A good proportion of South Africa’s grain crop is sourced from this district and when the vast fields of sunflowers and cosmos flowers are in bloom, a marvellous vista is created. The Vaal River presents opportunities for yachting, rafting and resort-based enterprises. Parys is a charming town and Vredefort is home to a World Heritage Site, the Vredefort Dome where a meteor crashed to earth.

Fezile Dabi District Municipality is the biggest contributor towards the provincial GDP, contributing approximately 35%. The Fezile Dabi area is mostly dominated by the industrial power of Sasol, with the manufacturing of refined petroleum, coke and chemical products adding largely to its GDP.

Thabo Mofutsanyana District Municipality

Towns: Tweespruit, Ladybrand, Clarens, Harrismith, Vrede, Ficksburg, Phuthaditjhaba, Bethlehem

Tourism and fruit farming are the two principal economic activities of this area which is characterised by beautiful landscapes: the Maluti and the Drakensberg mountain ranges, wetlands in the north, well-watered river valleys and the plains of the north and west. The most famous asset is the Golden Gate National Park.

Industrial activity is undertaken at Harrismith and Phuthaditjhaba, where the Free State Development Corporation is promoting investment. The Maluti-A-Phofung Special Economic Zone (SEZ) at Harrismith is a multi-modal transport and logistics hub.

The commercial centre of the district is Bethlehem while Clarens and Ficksburg have become famous for their artists and cherries respectively. Marquard produces 90% of South Africa’s cherries. The north of the district has many sunflower seed farms. Tweespruit is sunflower seed production centre.

Learn more about business and investment in the Free State Province (digital journal):

Think like a start-up!

It is a fascinating time and place in history. Disruptive change is so common that it is becoming a corporate buzzword. Apart from innovative technology, the events of 2020 continue to shake every industry on a global scale.

No business is safe today, no matter how successful or dominant it has been in the past. In all chambers of business, we hear vague references to “the new normal.” This term separates leaders into two categories. Firstly, there are those who are waiting to see what the new normal is, and secondly, those who will shape it.

We see leaders who long for the way things were. In their search for predictability, they look to the past, a familiar time where current knowledge and conventions worked. Their processes are designed to protect the status quo.

At the same time, some businesses cannot wait for their time to shine. They are aligning their strategies and processes to capture new and existing markets. Primed to give customers something new or better, they are poised to disrupt.

There is a subtlety to this that managers and executives overlook. Change is not necessarily disruptive or even profitable. Businesses make many, incremental changes to processes. Most adaptations are minor and have a negligible impact. The disruption depends on how customers react.

Therefore, if the client is not the focal point or inspiration for change, then who is – and why does it matter?

And that brings us to a brand new programme on offer at the UFS Business School, where the point of departure is customer-centric Process Redesign, in a time that demands rapid innovation and adaptation.

Our definition of a process is any work that is co-ordinated, recurrent. It is the activity that contributes to cost, value or service quality. That implies that this programme is applicable across all disciplines, including engineering, finance, operations, marketing, human resources, sales, supply chain, logistics and business analysis. It is particularly relevant for middle and senior managers.

The curriculum is based on research into best practices and ideas from multiple fields of management and operations. It combines battle-hardened tools and methods that lead to a measurable, radical change in performance.  It is rooted in systems theory and sound principles of customer-centric design.

The approach of the programme is practical, hands-on experience. The learning journey is designed to generate an immediate return on investment for your organisation. This is achieved by applying the theory to processes that you are familiar with, in your organisation. You will learn how to analyse existing processes, then, use the tools and methods learned to redesign them.

The result is a process that is adapted and responsive to customer needs. The cost-savings and added value generate the return on investment. This methodology has been successfully applied across all organisational types.

The process redesign programme provides the tools to change performance radically and create new sources of competitive advantage. You are invited to the most incredible opportunity to improve the world around you and be worth more.

Contact Ansie Barnard at the UFS Business School:
barnardam@ufs.ac.za
082 900 1080

 

Economic development through collaboration between industry, academia and government

Dolphins jumping just off the Port Elizabeth Coast (source: Nelson Mandela Bay Tourism)

A catalyst for economic growth in the region

The Nelson Mandela Bay Business Chamber is a not-for-profit organisation representative of a broad spectrum of businesses in Nelson Mandela Bay. It is one of the largest business associations in the Eastern Cape, with a membership of more than 700 businesses employing over 100 000 people in a diverse array of sectors.

The Nelson Mandela Bay Business Chamber is a leading catalyst for economic development, through its strategic Triple Helix model of collaboration between industry, academia and government, which serves as the foundation of creating a competitive Nelson Mandela Bay.

The Business Chamber has been the heartbeat of business success in the region for over 150 years. The Business Chamber is driven by a team of dedicated staff and volunteers, lobbying on issues affecting the ease of doing business and companies’ sustainability. The organisation also builds international relations to form a vital link between business owners and international markets.

Nomkhita Mona, Chief Executive Officer

Vision

To be a leading catalyst for economic development in Nelson Mandela Bay.

Mission

By influencing the factors and key stakeholders that create a competitive enabling business environment.

Task Teams

The Nelson Mandela Bay Business Chamber has established a structure of seven task teams to facilitate the ease of doing business.

The task teams are:
  • Water Task Team
  • Roads and Storm Water Task Team
  • SME Task Team
  • Electricity and Energy Task Team
  • Transport and Logistics Task Team
  • Metro Collaboration Task Team
  • Trade and Investment Task Team

An eighth task team, called Industry 4.0, began its work in 2019 to prepare local businesses for the digital shift.

Enterprise Development and Exporter Development

The Nelson Mandela Bay Business Chamber Enterprise Development Programme was launched in 2014, to develop the skills that enhance and grow small businesses. In 2018 the Business Chamber successfully hosted the fifth phase of the Enterprise Development Programme, with SMEs set to graduate in March 2019. Over 120 entrepreneurs have benefited from this programme.

Meanwhile, the pilot phase of the Business Chamber’s Exporter Development Programme concluded at the end of 2018, with 10 companies finishing this programme in its first year. The programme is aimed at empowering SMEs to position themselves as emerging exporters.

Events

Events at the Nelson Mandela Bay Business Chamber keep business owners up to date and informed on a wide variety of topics affecting business in Nelson Mandela Bay. Regular networking functions offer business owners the chance to make new professional contacts.

The Business Chamber’s flagship events – the Annual Business Chamber Golf Day, the Annual Ladies’ Breakfast and the Annual Banquet – are highlights on the Bay’s business and social calendar. The Events Department hosted a total of 61 events in 2018.

Other Services

Publications and marketing

As another value-added service to members, the Nelson Mandela Bay Business Chamber provides members with a variety of publications across print and electronic platforms, including the member magazine Infocom (distributed three times a year, as of 2019) and the annual Business Guide. Both of these publications are ABC-certified, glossy publications.

The Business Chamber regularly updates its website, and engages with members on popular social media platforms including Facebook, Twitter, LinkedIn and Instagram.

Help desk

In line with its vision of providing an enabling environment for business, the Business Chamber set up an Ease of Doing Business help desk in 2018. The help desk assists members through reducing red tape and engaging with the Nelson Mandela Bay Metro regarding these members’ obstacles in conducting business. The Business Chamber also engaged with the city’s leadership in 2018 towards the goal of establishing a One Stop Shop for existing and potential investors and will continue these engagements in 2019.

Research unit

The Business Chamber established an in-house cluster research unit in 2018. Its aim is ultimately to identify several catalytic projects that can be marketed to investors and can contribute to the development of key sectors. The new unit will provide a library of business intelligence and insights for the development of essential clusters.

Certificates of Origin

A Certificate of Origin is a document which states the origin of goods being exported and this “origin” is a key requirement for applying tariffs and other important criteria. As an accredited provider of this service, the Nelson Mandela Bay Business Chamber signs Certificates of Origin for member and non-member companies requiring these services in Nelson Mandela Bay. The Business Chamber also offers exporters the opportunity to certify electronically through the ECOO system.

Corporate Social Investment

Because the majority of our membership’s workforce is based in the city, the region of Nelson Mandela Bay is the direct beneficiary of their Corporate Social Investment programmes – including skills development initiatives, bursaries and scholarships. Many of our member companies significantly contribute to alleviating poverty and specifically unemployment in the region of Nelson Mandela Bay through various initiatives purposed to grow the local economy.

Every year the Business Chamber adopts NGO organisations and collects goods and services from our member companies in order to create awareness around the NGOs. In 2018 the Business Chamber adopted Elsen Academy and the Kleinskool Initiative and collected several items from our companies, including office equipment, computers, stationery and school clothes.

www.nmbbusinesschamber.co.za