Limpopo Business 2017-18 edition

MESSAGE

MESSAGE Limpopo welcomes investors to the “gateway” province A message from the Premier of Limpopo, the Honourable Chupu Stanley Mathabatha. Chupu Stanley Mathabatha, Premier of Limpopo It gives me great pleasure to welcome the readers of Limpopo Business to the heartland of Southern Africa. Limpopo is also known as the “gateway” province because of our strategic location on the Great North Road to Zimbabwe, our links to the Port of Maputo in Mozambique via the Phalaborwa Spatial Development Initiative and the Maputo Corridor and our close proximity to the Republic of Botswana and three South African provinces, Gauteng, North West and Mpumalanga. Trade in the mining and agricultural products of Limpopo is supported by an excellent transport and logistics sector which recently received an additional boost with the approval by the South African national government of a new Special Economic Zone in the province. The Musina-Makhado Special Economic Zone will leverage the existing advantages in mining and logistics of the northern part of Limpopo and special tax and customs regimes will be attractive to investors. A mining-focussed SEZ at Tubatse is also under consideration and we expect to attract about R44-billion in investments into these two zones. The rich soils of Limpopo produce great quantities of high-quality minerals and fruit and vegetables. Investors with the ability to beneficiate minerals or add value to agricultural produce through processing can take advantage of the favourable terms offered by Special Economic Zone legislation. Power generation, steel and coking plants and plasma waste gasification are among the possibilities for the Musina SEZ, while the focus at Tubatse will be platinum group metals beneficiation and also the manufacturing of goods that are used in the mining industry. Working together with the private sector, our provincial government has identified 10 major projects with a combined value of R46-billion. This will go a long way towards helping us to expand the productive capacity of our economy. We invite other investors to explore with us the possibilities for further projects that will support our effort to put Limpopo on a higher trajectory of economic growth and development. Our Limpopo Development Plan symbolises our dedication to the improvement of our provincial economy. The plan is our contribution to the nation’s development and it details how we in Limpopo share the same vision and imperatives regarding poverty reduction, elimination of social inequality and the creation of sustainable jobs. We are pleased that Limpopo has recorded the second-highest employment gains in 2016. In the fourth quarter, Limpopo managed to create 64 000 new jobs. Jobs gained were mainly in the areas of construction, mining and agriculture. We are committed to improving infrastructure in the province, both to improve the quality of life of our citizens and as a way of enabling investment. Limpopo Connexion, a subsidiary of the Limpopo Economic Development Agency, has begun in earnest with the rollout of LIMPOPO BUSINESS 2017/18 10

MESSAGE infrastructure for the broadband telecommunication programme in Limpopo. The programme implementation is in two phases, with the first phase commencing in quarter two of the 2017/18 financial year. This phase rolls out the broadband infrastructure in Polokwane, including the identified key provincial growth points. The second phase of the programme will cover over 80% of the provincial population, as per the provincial spatial development framework. A Provincial Infrastructure Hub has recently been created, with 68 professionals already appointed. This body will help to coordinate the delivery of strategic social-economic infrastructure across the province. Heritage and culture are increasingly being recognised as potential economic drivers. A provincial performance theatre is to be built in Polokwane at the corner of Oost and Grobler streets. This project will among other things help ignite the cultural industry, promote our rich and diverse cultures and create job opportunities. Two Limpopo festivals are already proving the rich potential of cultural events. The Mapungubwe Festival a signature event in the country’s entertainment calendar. During the last Mapungubwe Festival, a number of crafters generated substantial income. Another striking event on the province’s social calendar is the annual Marula Festival. The festival regularly attracts about 30 000 people including hundreds of visitors from neighbouring countries such as Mozambique, Zimbabwe and Zambia. This year’s guest list includes people from as far as South America. The economic spinoffs of this festival are unrivalled. More than 13 cooperatives under Mukumbi Industries brews 12 000 litres of marula beverages for the public throughout the festival. Apart from marula beverages, local entrepreneurs also sell other by-products of marula, such as jam, cooking oil, soap, hand and body lotions and nuts. Tourism remains one of the key competitive advantages for Limpopo. The Kruger National Park is South Africa’s number-one tourist attraction. A number of private concessions have been granted along the public park’s edge and there are several private game reserves scattered throughout the province’s diverse landscapes. Golf tourism is another growth sector with proximity to the country’s major point of entry at Johannesburg’s OR Tambo International Airport a big selling point. Whether you are a tourist, a business person or an investor, Limpopo is a province that is rich in opportunities. We look forward to welcoming you. www.limpopo.gov.za 11 LIMPOPO BUSINESS 2017/18