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North West Business 2020-21 Edition

  • Text
  • Invest
  • Manufacturing
  • Parks
  • Zones
  • Business
  • Investment
  • Industrial
  • Africa
  • Africa
  • Province
  • Programme
  • Banking
  • Provincial
  • Platinum
  • Sector
  • Mining
  • Municipality
  • Tourism
  • Province
  • Rustenburg
The guide to business and investment in the North West Province, South Africa. The 2020/21 edition of North West Business marks the 10th publication of this highly successful journal that, since its launch in 2009, has established itself as the premier business and investment guide for the North West Province. North West Business includes news and analysis of the most important sectors, with a regional overview covering the strategic thinking behind plans to attract investment into the province. Best known for its platinum mines, grain and livestock farming and tourism, the province is making a concerted effort to bolster its manufacturing capacity. Corridor development, agri-parks and the creation of a Special Economic Zone are among the economic stimulus plans covered in this edition.

OVERVIEW Water Providing

OVERVIEW Water Providing water to schools is a priority. Good progress has been made towards supplying water to the 79 schools in the province which were identified as having inadequate water facilities. This includes the drilling of boreholes and construction of storage tanks. All new schools built in the North West are supplied with kitchens in line with the National Schools Nutrition Programme. South Africa is a waterscarce country and water management is critical to economic planning. The western part of North West Province is particularly Image: Sedibeng Water dry. In the eastern part of the province, national government has sent water tanks to some parts, and has upgraded the treatment plants upstream from the Hartbeespoort Dam. Large infrastructure has been the focus of national and provincial initiatives in recent years. In his State of the Province address in 2020, Premier Dr Zamani Saul announced that priority projects are currently at between 80% and 95% completion and he pledged that they would be completed in the course of the year. The following projects have been completed: • Dinokana Water Augmentation. • Ganalaagte Boreholes and Sewer Pump Station refurbishment. • Naledi Water Augmentation phase 1 and 2. • Tshing Cent Fall Sewer Line. Municipalities are charged with delivering water and handling waste-water but many municipalities have not been equal to the task. A new body has been formed to help municipalities deliver services. The Municipal Infrastructure Support Agency (MISA) falls under the National Department of Cooperative Governance and Traditional Affairs and will assist municipalities to plan for, provide and maintain infrastructure. The first action of MISA was to commission 81 engineers and town planners. Online Resources Blue Drop Awards: www.ewisa.co.za National Department of Water and Sanitation: www.dwa.gov.za South African Association of Water Utilities: www.saawu.org.za Water Research Commission: www.wrc.org.za Sector Insight A new agency has been set up to assist municipalities. The province has 83 sewage-treatment plants, and the national Blue Drop award system has found most of them need improvement. JB Marks Local Municipality, which has Potchefstroom as its main town, is one of only three municipalities in the country that acts as a waterservice authority and as a service provider. It has won awards for its levels of service. The biggest service providers active in the North West are: • Rand Water. • Magalies Water. • Sedibeng Water (which has taken over the service area of Botshelo Water). • Midvaal Water Company supplies water to Matlosana (Klerksdorp). Three of South Africa’s six major catchment areas are located in the province: the Limpopo, the Orange and the Vaal. Within these catchment areas, only the Vaal River has a strong enough flow to allow for significant amounts of water to be taken from it directly to support irrigation or industry. There are four water-management areas in the province, three of which are linked to the Vaal River. Water is imported into the provincial system through transfers between water basins. ■ NORTH WEST BUSINESS 2020/21 30

Manufacturing New technology makes new tyres at Bridgestone. Bridgestone South Africa’s investment in new technology at its plant in Brits is allowing the company to produce 19-inch tyres for the BMW X3 being assembled in Pretoria. These tyres would otherwise have to be imported. Bridgestone’s factory is one of only four in the world that produces runflat tyres. About 850 people are employed at the plant. Also in Brits are wire-harness manufacturer Pasdec Automotive Technologies, Bosch, and Dubigeon Body and Coach. SOS Tie & Die is a manufacturer of precision pressings, components and press tools, based in Brits close to Tshwane’s Rosslyn automotive hub. AVMY Steel Science is the largest supplier of small-quantity steel in the SADC region. Chassis manufacturer KLT Group announced in 2019 the acquisition of the Brits plant which comprises a pressing, Coil prepared for slitting. Image: AVMY Steel Science welding, assembly and e-coating facility. The KLT Group has four plants in South Africa and employs more than 1 000 people. A provincial Integrated Manufacturing Strategy has been compiled. The strategy notes the North West’s strategic location near to the industrial hub of Gauteng and its low input costs and easy access to busy trade routes. These factors make the development of the chemical processing sector a good proposition for investors. The province also has easy access to natural resources, especially with regard to the ingredients necessary for the manufacture of phosphate and nitrogen-based fertilisers. In addition to Brits (automotive components and tyres), other concentrations include mining equipment and engineering (Klerksdorp) and food and beverages (Potchefstroom). Online Resources Automotive Industry Development Centre (AIDC): www.aidc.co.za Centre for Advanced Manufacturing: www.cfam.co.za National Department Trade, Industry & Competition: www.dtic.gov.za North West Development Corporation: www.nwdc.co.za OVERVIEW Sector Insight AVMY Steel Science has a new owner. Rustenburg has a mixture of enterprises, the biggest of which are mining-related smelters. Production of non-metallic mineral products is concentrated around Lichtenburg and Mahikeng (cement), and Rustenburg (stone). Tough Metals Toys factory and Totpak are located in Ventersdorp. As one of the country’s biggest producers of livestock, hides for car seats for the province’s automotive industry could profitably be sourced locally. The Centre for Advanced Manufacturing (CFAM) at North- West University specialises in extruder technology. RCL Foods has a large processing plant at Rustenburg. Dairybelle (Bloemhof ) and Clover (Lichtenburg) have cheese factories in the province. Water from the Schoonspruit Eye near Ventersdorp supplied South Africa’s first bottled water. Nestlé has purchased the rights to this water source. Nestlé’s soy-creamer processing plant is located in Potchefstroom. About 30% of the country’s grain and oil-seed crop pass through Senwes silos every year. Sasko operates a white-maize mill in Klerksdorp. SAB’s Rosslyn Brewery supplies the North West with most of its beer. ■ 31 NORTH WEST BUSINESS 2020/21

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