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KwaZulu-Natal Business 2021-22

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The 2021/22 edition of KwaZulu-Natal Business is the 13th issue of this unique guide to business and investment in KwaZulu-Natal Province in South Africa. Launched in 2008, this annual journal has established itself as the premier business and investment guide for the province. In addition to the regular articles providing insight into each of the key economic sectors of the province, there is a special report on the prospect of increasing exports on the back of the signing of a continental free trade agreement. The province’s export infrastructure is examined and the diversity and export successes of several companies in a wide range of sectors are noted. The increasing importance of the Oceans Economy to the future of the provincial and national economy is relevant to any examination of the economy of KwaZulu-Natal. This applies as much to trade and ship-repair as it does to the exciting gas discoveries which have been made off the coast of Mozambique and South Africa. To complement the extensive local, national and international distribution of the print edition, the full content can also be viewed online at Updated information on KwaZulu-Natal is also available through our monthly e-newsletter, which you can subscribe to online at

OVERVIEW Construction

OVERVIEW Construction and property The north coast continues to attract high prices. SECTOR INSIGHT Durban has an inner-city revival plan. The Dolphin Coast continues to attract high-end investors. Seaton, The Bay, in Sheffield Beach Estate, north of Ballito and Simbithi Eco-Estate, distinguishes itself from its neighbours by offering direct access to the beach. Collins Residential reported R179-million in sales in two months in late 2020, for the first two parts of the development. Owners are expected to take up residence early in 2022. Further south, Zimbali is another estate holding its own in terms of value, as the Sunday Times reported in September 2020. Seeff Zimbali sold two properties for a combined R44.5-million and Pam Golding Properties were selling plots at Signature Sibaya for prices ranging from R5-million to R12-million. A programme that aims to make Durban’s inner city “Africa’s leading, most vibrant, liveable, walkable City Centre” could provide some impetus to the construction sector. The Inner City Local Area Plan (LAP) for Durban has been developed for the Strategic Planning unit of the eThekwini Municipality by a joint venture called IPPU. A major milestone was reached in November 2019 when the beachfront promenade extension reached the harbour. This means that residents anywhere in the city can now step onto the promenade, from the harbour in the south to Blue Lagoon in the north. The project began in early 2018 and cost R400-million. ONLINE RESOURCES Credit: Collins Residential Construction Industry Development Board: Master Builders Association KwaZulu-Natal: SA Estate Agency Affairs Board: SA Institute of Valuers: According to the organisers of the 2019 KZN Construction Expo, infrastructure will attract more than R200-billion in investment over seven years and R35-billion will be spent over 15 years at the Port Waterfront development. The King Shaka International Airport and Dube TradePort are also attracting property investments. Two new industrial parks are being developed: Cornubia is part of a larger project near Umhlanga and Clairwood in Durban South will offer more than 300 000m² of A-grade industrial space. Tongaat Hulett Developments (THD) has for some years been rolling out a series of developments on land it owns north of Durban and it has launched the nTshongweni Urban Development on either side of the busy N3 highway west of the city. KwaZulu-Natal has a number of brick companies and four cement factories. Three of these are run by NPC at Simuma, Durban and Newcastle, and the company has a further six sites for concrete and two for aggregate. NPC is part of the Intercement group. Lafarge has several aggregate quarries and eight Readymix plants around the province. The company’s grinding operation in Richards Bay closed in 2017. ■ KWAZULU-NATAL BUSINESS 2021/22 36

OVERVIEW Tourism Dedicated funds are promoting transformation. SECTOR INSIGHT KwaZulu-Natal expected more than R1-billion from events in 2020. The Tourism Transformation Fund, created by the National Department of Tourism and the National Empowerment Fund (NEF), has disbursed several grants to KwaZulu-Natal operations. These include the Rhino Ridge Lodge in Hluhluwe and the Jozini Tiger Lodge, located on Lake Jozini with views of the Lebombo Mountains. The latter lodge is a community-owned initiative which employs 96 local people, mostly women. The provincial government has invested in maintenance and upgrades of facilities such as the caves at Ngodini and Ndumo and the Bhanga Nek Campsite. There are plans to upgrade the Mandela Capture Site near Howick. The combined contribution of retail and tourism to provincial GDP is 14%. The province anticipated income injection from business events to be hosted in 2020/2021 to be about R1.2-billion. All of that fell away because of the global Covid-19 epidemic. The meetings, incentives, conferences and exhibitions (MICE) sector is likely to be the hardest hit by the lockdowns and it is difficult to anticipate when it will recover. ONLINE RESOURCES Credit: Kevin Folk on Unsplash Durban International Convention Centre: Ezemvelo KZN Wildlife: Moses Mabhida Stadium: Tourism KwaZulu-Natal: Similarly, the investment of R220-million into the construction of a cruise terminal is unlikely to see a return for some time. Adventures don’t come more hair-raising than throwing yourself into the void above a sports stadium, but that’s what thousands of visitors to the Moses Mabhida Stadium have been doing for a decade. The SkyCar, a funicular trip over the top of the roof and bungy-jumping are popular, as is the “Adventure Walk” on the south side of the stadium. The 56 000-capacity stadium is home to a professional soccer team and forms part of a sporting precinct that includes the province’s professional rugby franchise, the Kings Park Stadium, and has greatly increased KwaZulu-Natal’s ability to host big events such as the Fact Durban Rocks and the Monster Jam. The upgrading of the Point area between the beach and the Port of Durban has resulted in major investments. The Docklands Hotel at the Durban Waterfront is a fourstar Signature development that cost about R100-million to develop. ■ 37 KWAZULU-NATAL BUSINESS 2021/22

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