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South African Business 2017 edition

  • Text
  • Development
  • Network
  • Johannesburg
  • Durban
  • Town
  • Opportunities
  • Investment
  • Business
  • Investing
  • Government
  • Business
  • Economy
  • Africa
  • Africa
  • African
  • Sector
  • Economic
  • Manufacturing
  • Province
  • Tourism
South African Business is a unique guide to business and investment in South Africa. In addition to an up-to-date economic overview of the country, analyses of the main industrial sectors, plus profiles of the nine provincial economies, the 2017 edition of South African Business includes special features on key topical issues such as skills development and education, renewable energy and the REIPPPP programme, and trade with Africa.

OVERVIEW O.R. Tambo

OVERVIEW O.R. Tambo International in Gauteng caters for more than 17-million passengers every year, receives more than 105 000 arriving air-traffic movements and employs 18 000 people. The Cape Town International Airport has been expanded and improved. King Shaka International Airport (KSIA) opened north of Durban in 2010. Emirates is the international carrier to KSIA. Several airports have been mooted as possible regional freight nodes: Wonderboom Airport in Pretoria, Polokwane International Airport in Limpopo and Mahikeng Airport in the North West Province. Maritime The national government has introduced a maritime policy intended to better exploit the "Oceans Economy". Altogether, the government wants these projects to contribute R20-billion to the South African economy by 2019. Investments in South Africa's port infrastructure will have an impact on the broader transport and logistics sector. In the Western Cape, investment has begun to kick-start this policy: a new fuel-storage facility is going up at the Cape Town docks and the Port of Saldanha will soon have an Offshore Supply Base (OSSB) to support the maritime oil and gas industry (very active off the coast of Africa at the moment). Incentives to boat manufacturers in Durban and Cape Town have been offered, small harbours around the coast of South Africa are to ONLINE RESOURCES Airports Company South Africa: www.airports.co.za Passenger Rail Agency of South Africa: www.prasa.com South African National Roads Agency Limited: www.sanral.co.za be rehabilitated and three new harbours are to be launched in KwaZulu-Natal, the Northern Cape and the Eastern Cape. If the Port Nolloth harbour project on the West Coast gets the green light, then accompanying infrastructure will follow. A new rail link between the coast and Upington could be needed. Deputy Minister of Transport, Sindisiwe Chikunga, has said that of all the vessels that carried 300-million tons of cargo through SA's ports annually, not one was registered in South Africa. The result of South Africa not having a merchant fleet is that more than R40-billion is paid to foreign ship operators. The province of KwaZulu-Natal is well-placed to take advantage of the focus on the maritime economy. Between them, the ports of Durban and Richards Bay handle 78% of South Africa’s cargo tonnage. Durban’s annual throughput of containers is about one-million, more than 60% of the country’s total. The Port of Durban is already home to a variety of maritime companies. Southern African Shipyards (SAS) is an experienced manufacturer of ship hulls. To improve their competitiveness, three South African shipbuilders (SAS, Damen Shipyards Cape Town and Nautic Africa) will pool their resources on contracts in other parts of Africa. Different South African ports probably need to specialise to some degree, but cooperation pacts like this one might also be a template for the boat repair and servicing sector. SOUTH AFRICAN BUSINESS 2017 82

Airports Company South Africa PROFILE Airports Company South Africa is expanding its successful local operation into an international one. Company profile Airports Company South Africa was formed in 1993 as a public company and, although majority owned by the South African Government, is legally and financially autonomous and operates under commercial law. As the largest airport authority in Africa, the company manages a network of nine major airports in South Africa, including the three main international gateways ie O.R. Tambo International, Cape Town International and King Shaka International airports. Traffic development The traffic development mandate is to identify, evaluate and develop air service opportunities collaboratively with key stakeholders (ie airlines, regulators, national, provincial, local and tourism) across the Airports Company South Africa network of airports to enable trade, tourism, and mobility of goods and services for sustainable economic growth. Air service is important for connecting the local economies with the rest of the world, thus emphasis is placed on prioritisation of small and rural communities within the Republic of South Africa for seamless access/connectivity to the national air transport system. Traffic development works collaboratively with key stakeholders such as airlines, regulators, government and tourism agencies to identify, evaluate and develop potential air service opportunities across the globe. This links Airports Company South Africa’s network of airports with the aim of enabling trade, tourism, and mobility of goods and services within Southern and sub- Saharan Africa. Its main focus is on building sustainable relationships and economic development to transform the opportunities the region has to offer into sustainable value for all. Although the introduction of new air services has potential to stimulate demand for air travel, it is equally important to strike a good balance between supply and demand to ensure that the current needs are served without compromising the future air travel needs. Airport Company South Africa's role is to provide route/traffic development services and support to all airlines and air travel stakeholders in line with the Competition Commission Act 83 SOUTH AFRICAN BUSINESS 2017

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