SPECIAL FEATURE
SPECIAL FEATURE Vocational Training (TVET) College are being pursued to enhance the skills of local people. Fetakgomo-Tubatse SEZ The Fetakgomo-Tubatse SEZ (FTSEZ) is located in the heart of the one of the most mineralrich localities on earth, the eastern limb of the Bushveld Igneous Complex which includes the Merensky reef. Dozens of mining operations are in the Sekhukhune District, all of which need mining supplies. An existing Mining Supply Park, developed by Glencore, has the potential to be one of the core units within the FTSEZ. The Park is located near to the Lion Ferrochrome Smelter in Steelpoort The existence of the mines and the supplier park will be leveraged to create opportunities to industrialise the manufacturing of these supplies and also to beneficiate the mined product. The broader aim is to build the regional economy with strong upstream and downstream links in the mining value chain, particularly with regard to platinum group metals (PGMs). Specific industries being targeted include vehicle components related to green hydrogen fuel cells and electrolyte energy (from PGMs), vehicle batteries, auto catalysts, and components for the vehicle and trucking industry. A lot of preparatory work has been done to set governance structures in place. The dtic has concluded Memorandums of Agreement with the Limpopo Department of Economic Development, Environment and Tourism, Sekhukhune District and Tubatse Local Municipality. In the MOA, all four stakeholders hold 25% of the shareholding in the Special Purpose Vehicle (SPV) that is responsible for the running of the FTSEZ. Acting DDG Molefane explains how the decision was made to locate an SEZ in the southeastern part of Limpopo: “The acceptance of Tubatse region’s proposal is also based on its vast mineral resources. The zone is located within the eastern limb of the Bushveld Igneous complex (BIC), which is known of having the world’s largest deposits of Platinum Group Metals, along with vast quantities of tin, iron ore, chromium, titanium and vanadium. The region’s 20 mines currently export minerals in raw form. The FTSEZ will further benefit the local economy by focusing on upstream and downstream beneficiation. This will promote larger-scale industrialisation for both the manufacturing of mining inputs and the beneficiation of the mining outputs.” There are hopes that the SEZ will help with the regional integration of the economies of Limpopo with Mozambique, Zimbabwe and other African regions. When SEZs hire specialists with scarce skills, this can lead to a significant transfer of skills to local artisans or professionals in the host region. This could also stimulate growth opportunities for SMMEs as procurement chains grow and expand. Says Molefane, “The FTSEZ will create opportunities for opening commercial routes to ports in neighbouring Mozambique, parts of South Africa and even possibly to Zimbabwe and Tanzania to accelerate trade efficiencies.” Glencore CEO Japie Fullard is equally positive about the positive spinoffs. He comments, “We believe that the FTSEZ will stimulate business in the region and we would expect significant investments to follow, resulting in the further industrialisation of the region. This will have a multiplier effect for local enterprises and development.” ■ A fuel terminal is planned for the North Site of the MMSEZ. LIMPOPO BUSINESS 2024/25 16 PHOTO: SAPREF
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