3 years ago

Gauteng Business 2017-18 edition

  • Text
  • Manufacturing
  • Mining
  • Infrastructure
  • Development
  • City
  • Smart
  • Business
  • Investment
  • Business
  • Invest
  • Regional
  • Gauteng
  • Johannesburg
  • African
  • Sector
  • Banking
  • Provincial
  • Economic
  • Tshwane
Gauteng Business 2017/18 is the ninth edition of this highly successful annual journal, that has established itself as the premier business and investment guide for the Gauteng province. Special features for 2017/18 include a focus on major new developments in the region’s metros, complemented by detailed overviews of the main economic sectors in South Africa’s most important provincial economy.


SPECIAL FEATURE The Bureau of Market Research (BMR) has shown that Gauteng accounts for 35% of total household consumption in South Africa. The leading economic sectors are finance, real estate and business (21% of provincial GDP), manufacturing (16.5%), government services (16.3%) and wholesale, retail, motor trade and accommodation (12.8%). The so-called creative industries (including advertising and the film sector) employ upwards of 180 000 people and contribute more than R3.3-billion to the provincial economy. The provincial government’s Economic Development Plan sees this sector as one of the key drivers of future growth. In the provincial capital, Johannesburg, financial services and commerce predominate. The JSE, Africa’s largest stock exchange, is situated in the heart of Johannesburg’s business district, Sandton. Tshwane (which includes Pretoria) is home to many government services and is the base of the automotive industry and many research institutions. The Ekurhuleni metropole has the largest concentration of manufacturing concerns, ranging from heavy to light industry, in the country. The western part of the province is concerned mainly with mining and agriculture, while the south has a combination of maize farming, tobacco production and the heavy industrial work associated with steel and iron-ore workings. Gauteng is not just an important centre of economic activity, it is also an important launching pad for local and international businesses to enter the African market. The country’s biggest airport, OR Tambo International Airport, is at the core of the province’s logistical network. Other airports include Rand Airport (Germiston), Wonderboom (Pretoria) Lanseria and Grand Central (Midrand). The Ekurhuleni Metropolitan Municipality plans on building an “aerotropolis” in partnership with the provincial government and private investors. The intention is to link the airports of OR Tambo and Lanseria and expand logistics capabilities. The Gauteng Division of the High Court of South Africa (which has seats in Pretoria and Johannesburg) is a superior court with general jurisdiction over the province. Johannesburg is also home to the Constitutional Court, South Africa’s highest court, and to a branch of the Labour Court and the Labour Appeal Court. The province has several outstanding universities, and the majority of South Africa’s research takes place at well-regarded institutions such as the Council for Scientific and Industrial Research (CSIR), the South African Bureau of Standards (SABS), Mintek, the South African Nuclear Energy Corporation (NECSA), the Human Sciences Research Council (HSRC) and several sites where the work of the Agricultural Research Council (ARC) is done. Geography The province is located in the Highveld region of South Africa, approximately 1 700 metres above sea-level. It is a landlocked province, surrounded by four other provinces. The Vaal River forms a natural border with the Free State, which lies south of Gauteng, while the North West province is located to the west, Limpopo GAUTENG BUSINESS 2017/18 12

to the north and Mpumalanga to the east. The geography of Gauteng includes low parallel ridges, mountain ranges and undulating hills. Johannesburg is the capital of the Gauteng province, while Pretoria is the administrative capital of South Africa. Other major urban areas include Roodepoort and Krugersdorp to the west of Johannesburg; and Germiston, Springs, Benoni and Brakpan to the east. Soweto, renowned as a focal point in the struggle against apartheid and home to more than two-million people, is situated south of Johannesburg. Investment Gauteng is a national leader in attracting foreign direct investment (FDI). In the period 2014-16, the province attracted R66-billion. The Gauteng Growth and Development Agency (GGDA) has a specialised subsidiary, the Gauteng Investment Centre, which acts as a “one-stop shop” for potential investors looking for advice and support. Efforts are also being made to improve the regional economy by identifying blockages and shortcomings. Researchers from the universities of Johannesburg and Pretoria (through the Gordon Institute of Business Sciences) are examining employment rates, empowerment policies and the SPECIAL FEATURE export value chain. At the same time, the Gauteng Innovation Hub is leading a process to bring innovation and research to the fore in economic policy-making and planning. Partners include the Council for Scientific and Industrial Research (CSIR), the University of the Witwatersrand and the Vaal University of Technology. Gauteng City Region Provincial planning is increasingly being done along “Gauteng City Region” lines, whereby the primacy of economies of the cities and towns of the province is acknowledged. In June 2016, the Gauteng City Region Economic Indaba was attended by all the mayors of the region, the national Minister of Finance and was addressed the South African Deputy President. Gauteng Premier David Makhura gave notice of “how we can unlock, jump-start and reignite a sustainable and inclusive growth trajectory for key sectors of our provincial economy”. Individually, the biggest Gauteng cities contribute to the national GDP as follows: Johannesburg (15%), Tshwane (9%) and Ekurhuleni (7%). At the indaba, the following development corridors of the City Region were identified, each with its own industries and comparative advantages: 13 GAUTENG BUSINESS 2017/18

Other recent publications by Global Africa Network: