MESSAGE Economic
MESSAGE Economic strategy is focussed on human capital formation The Free State Department of Economic, Small Business Development, Tourism and Environmental Affairs makes the case for the Free State Province as an attractive investment destination. It is with pleasure and gratitude that we, as the department charged with promoting investment into the Free State Province, introduce Free State Business 2019. We welcome this well-known publication’s regular description of the economic environment of our province and are pleased to contribute to its pages. A brief overview of the investment climate in our province is provided on the facing page. Our department will also be publishing a dedicated investment booklet. The purpose of the Free State Investment Opportunities Booklet is to provide pertinent information about large-scale investment opportunities currently available in various sectors. These initiatives represent the Free State’s response to President Ramaphosa’s clarion call for increased long-term investment necessary for inclusive growth and job creation. While investment is an essential ingredient to economic growth, it should be pointed out that at the centre of Free State government’s economic development strategy is human capital formation and development through universities and colleges, and various institutions pursuing innovation and offering proof-of-concept services, to name a few. Indeed, Free State is poised to become a laboratory for excellence in education outcomes, research and innovation, particularly in the fields of health, agriculture, agro-processing, manufacturing, water management, ICT, pharmaceuticals and rural development. Domestic and potential investors from around the world are welcome to contact the DESTEA Head of Department at: HoD_office@destea.gov.za. FREE STATE BUSINESS 2019 4
MESSAGE Investing in the Free State Province Dr Mbulelo Nokwequ, Head of Department at DESTEA, outlines some of the Free State’s unique selling propositions. Free State Province is situated in the heart of South Africa and shares borders with Lesotho and six other provinces. It provides easy access to the main ports of Durban, East London and Port Elizabeth. The Free State is an attractive business and investment destination. The province is at the centre of South Africa and the dominant sectors are agriculture, mining, manufacturing and the tertiary sectors, making it ideal for transport logistics and agro-processing. Companies locating to Free State not only enjoy the opportunity to source inputs at competitive prices, but also to benefit from domestic, regional and international markets for their products and services. Because South Africa has been engaging with our economically large trading partners, access to international markets is facilitated through various trade preferences and free-trade agreements. As far as long-term investment is concerned, there are industrial parks and a Special Economic Zone (SEZ) that are supported by the Department of Trade and Industry. Industrial parks are situated in Maluti-a-Phofung, Botshabelo and Thaba Nchu. Maluti-a-Phofung SEZ is situated in Tshiame. The Free State’s strengths for inward investment are boosted by: • openess to business, trade and foreign investment • abundance of natural resources • low factory rentals • Africa’s leading telecommunications network • incentive packages uniquely developed for Special Economic Zones • incentives associated with the revitalised industrial parks • Free State Development Corporation (FDC) support services for priority sectors such as agro-processing and manufacturing • a large labour pool • diverse cultures • competitive land and building cost • world-class transport and telecommunications infrastructure • an idyllic climate • recreational and lifestyle facilities. Select investment opportunities include: • Agriculture and agro-processing • Tourism and property development • Medical and pharmaceutical production and distribution • Manufacturing • Renewable and clean energy • Medical tourism. 5 FREE STATE BUSINESS 2019
