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Limpopo Business 2020/21 edition

  • Text
  • Manufacturing
  • Transportation
  • Logistics
  • Sez
  • Agriculture
  • Tourism
  • Africa
  • Africa
  • Province
  • Venetia
  • Province
  • Platinum
  • Provincial
  • Sector
  • Polokwane
  • African
  • Mining
  • Economic
  • Limpopo
The 2020/21 edition of Limpopo Business is the 12th issue of this essential publication that, since its launch in 2007, has established itself as the premier business and investment guide for the Limpopo Province. Limpopo has been attracting significant investments in the mining sector in recent years and the green light for the creation of the Musina-Makhado Special Economic Zone in the province’s far north has attracted several billion dollars. A metallurgical and energy cluster will inaugurate the SEZ, after which investments in agri-processing, logistics and manufacturing are expected to follow. In addition to the regular articles providing insight into each of the key economic sectors of the province, there are special features on transport and logistics, and specific plans that are in place to promote manufacturing in Limpopo. News related to mining, agriculture, tourism, construction and property, water, education and development finance is carried in overviews of the main economic sectors.

SPECIAL FEATURE The

SPECIAL FEATURE The mining sector continues to invest in projects in Limpopo. The province has huge reserves of coal, platinum, chromium, uranium clay, nickel, cobalt, vanadium, limestone and tin. Demand will always fluctuate, and the commodities cycle has recently been very volatile, but the world will always need minerals. Limpopo’s assets include the largest diamond mine in South Africa (De Beers Venetia Mine), the biggest copper mine in South Africa (Palabora Mining Company), the biggest open-pit platinum mine in the country and the biggest vermiculite mine in the world. The province has 41% of South Africa’s platinum group metals (PGMs), 90% of South Africa’s red-granite resources and approximately 50% of the country’s coal reserves. Antimony, a strategic mineral found in large quantities in China, is another of Limpopo’s major assets. According to the State of the Province Address given by Premier Chupu Mathabatha in February 2020, mining employment decreased from 106 000 to 86 000 between the 4th quarter of 2018 and the 4th quarter of 2019. This situation was partially reversed in the early stages of 2020 as global demand for PGMs increased and prices rose. The mining sector was less affected by shutdowns due to the pandemic than some other industries. The Premier further reported that the province would be receiving a total investment of R36.3-billion over the next five years from mining activity. The Provincial Government is in the process of reassessing its industrial strategy, the main thrust of which involves strengthening the drive to promote clusters in the mining, agriculture and tourism sectors. The other strategic thrust of the planning initiative is to help prepare Limpopo to exploit new sectors such as renewable energy and the creative sector and to examine the implications of the Fourth Industrial Revolution. From left to right: Limpopo Premier Representative, MEC Thabo Mokone, Malcolm Boyd from World Vision, Mxolisi Mgojo (Exxaro Resources CEO), Andile Sangqu (Executive head, Anglo American South Africa) and Dr Thulani Dlamini, CSIR CEO. Image: Anglo American. IMPACT CATALYST Two of Limpopo’s biggest companies, South Africa’s most respected research institution, a global humanitarian aid organisation and the Limpopo Provincial Government have signed up to the Impact Catalyst, which aims to drive socioeconomic growth through collaboration. The Impact Catalyst is part of Anglo American’s Collaborative Regional Development programme, and the launch in November 2019 was supported by partners Exxaro Resources, the Council for Scientific and Industrial Research (CSIR), World Vision and the Provincial Government. With mining playing the role of a foundational sector in the Limpopo economy, the Impact Catalyst is an attempt to help communities build up other sectors of the economy to take advantage of the opportunities related to mining. Various initiatives to be supported relate to agri-processing, biofuels, waste recycling, integrated game farming and community health. Enterprise and supplier development programmes fall under the ambit of the venture, as does integrative geo-spatial planning, as developed by the CSIR. Integrated planning initiatives have the potential to bring together business, government and other affected parties such as NGOs, community and faith groups and academics. LIMPOPO BUSINESS 2020/21 10

SPECIAL FEATURE SPECIAL FEATURE BANDIT – EXPERIENCE THE BEST OF BOTH WORLDS Polokwane has good hotel and conferencing facilities. Park Inn by Radisson Polokwane is the newest Thulamela Local Municipality, Vhembe District Thohoyandou is the administrative centre of First-world technology and quality combined SABS-approved roadworthy trailers built at Africa with African simplicity. The main woodchipper Biomass Company in Worcester, South Africa. hotel to open in the city. Nearby Moria attracts up to Municipality and the University of Venda. The Ivory unit is manufactured by Bandit Industries, Inc. Engine-powered woodchippers are fitted a million people every year, when the Zion Christian Route passes through the district. Other attractions with 35-plus years’ experience with Tier 3, South African standard, diesel or Church celebrates Easter. include an ancient baobab tree, the Dzata Ruins, the in innovation and international petrol engines, depending on the woodchippers’ research. These units specification Museum of the or clients’ Drum, preference. the mystical Electric Lake and Fundudzi Sekhukhune District PTO are shipped to options and Nwanedi are also Provincial available in Park. various Bandit models. Government is the largest employer in South this southern Africa The add-ons are specifically handpicked to give district, followed by agriculture and hunting. where they The vast Waterberg District are you the best set-up and will provide you with a majority of households are rural (94%) and fitted Groblersdal onto well-balanced The mining sector woodchipper is the largest that contributor will outperform to regional GDP, other while chippers agriculture in Africa. is also significant. Several is the district capital. The region’s fertile lands produce most maize, tobacco, peanuts, vegetables, sunflower seeds www.abc.co.za towns in the district are in the mineral-rich Bushveld and cotton on a large scale. Agriculture makes up 25% Igneous Complex. of the economy. Burgersfort is an important town The district also features the riches of the because of platinum mining. Waterberg Coal Fields, iron ore (at Thabazimbi) and Geography The province is home to two universities, the tin and platinum at Mookgophong. The town of Mopani District University of Venda and the University of Limpopo, Lephalale is at the heart of the region’s coal-mining Limpopo covers about 10% of South Africa’s land and seven Technical and Vocational Education and Giyani mass is and the is administrative home to about capital 10% of of the the country’s district and popis and Training power-generation (TVET) colleges. sectors The Turfloop and is the Graduate site of key ulation. to the local The economy. 2011 census The public recorded sector 5.4-million is one of Eskom’s School of huge Business new is Medupi in Polokwane. power plant which is the residents. largest employers The main and languages the key sectors of the are people agriculture Limpopo and mining. are Mopani Sesotho, has Xitsonga an established and Tshivenda food man- the The capital area around of Limpopo Mokopane Province. is one Located of the rich- on of under The construction. centrally situated city of Polokwane is ufacturing but English industry, is widely in canned, used in business preserved and and government. production The Limpopo and vegetable Province’s juices. 125 Phalaborwa 754km² wheat, from the tobacco, high-density cotton, beef, population maize and of peanuts. greater driedfruiest the agricultural Great North zones Road in and South almost Africa, equidistant producing is covers the gateway a remarkably to the Kruger diverse National geographical Park. It has and a The Johannesburg bubbling hot and springs the neighbouring of Warmbaths countries (Bela-Bela) of good cultural airport landscape is a that tourism also hub. rich Palaborwa in minerals Mining and is Botswana, a popular Zambia, tourism destination, Zimbabwe and the Mozambique, district has Company agricultural (PMC) products. is the major economic driving force many Polokwane’s luxury golf upgraded estates. international The Legend airport Golf & plays Safari in the The area. N1 State-owned highway is phosphate a key reason and for phosphoric the province’s producer important Foskor role is in another nation’s major logistics employer. sector. The 18 holes Polokwane designed is the by province’s a different main famous centre golfer, for ind- and Resort an increasingly has the distinction important of regional having role. had each of its acid Marula It passes Festival through is held Limpopo in Phalaborwa from the every south year. to the an ustry, extra commerce, hole which education is very long and (360m) medical but services. also very border A subtropical town of climate Musina and and fertile on to soils Zimbabwe combine and to high: The city requires is close a helicopter to big concentrations ride to get to of the mineral tee-off make its neighbours greater Tzaneen in the very Southern productive African in Development and Community vegetables. (SADC). Limpopo’s The second busy N11 most highway pop- industries reflect this diversity. ■ terms of point deposits 400m and up the to mountainside. fertile agricultural lands. Its fruit ulous links city the has province a population to Botswana of 80 to 000. the The west Letaba and Valley Mpumalanga produces Province a large proportion to the east. of South Africa’s mangoes, Most avocadoes of South Africa’s and tomatoes. logistics operators Forty sawmills have a presence in the provincial capital city of Polokwane operate in the area, drawing on the heavily forested and logistics hubs have been established in hills around the city. that city and in Musina. The province has a Vhembe sophisticated District rail network which Transnet Freight Rail aims to further expand, primarily to haul the The province’s Vhembe vast District reserves borders of coal away Zimbabwe to the coast and Botswana. at Richards The Bay. district’s administrative capital is Thohoyandou. Two of the Vhembe’s largest engineering vast bushveld projects supports in commercial the history and of game South farming Africa have and the recently district been has considerable undertaken cultural in Limpopo: and historical the Medupi assets. power Game station farming (at is a Lephalale growing subsector, in the far as west) is eco-tourism. and the De Beers’ Hoop Venetia Dam (in Mine, the situated south-east). just west of Musina, is South Africa’s largest diamond producer. LIMPOPO BUSINESS 2018/19 11 LIMPOPO BUSINESS 2020/21 14

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