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South African Business 2019 edition

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The 2019 edition of South African Business is the seventh edition of this annual guide to business and investment in South Africa. Regular pages cover all the main economic sectors of the South African economy and give a snapshot of each of the country’s provincial economies. Feature articles on topical issues such as Special Economic Zones and African trade provide unique insights, together with comprehensive overviews of critical economic sectors. Other special features focus on the exciting new possibilities in renewable energy, airports as engines of regional growth and the maritime sector as an entirely new prospect for South African entrepreneurs and businesses. South African Business is complemented by nine regional publications covering the business and investment environment in each of South Africa’s provinces. The e-book editions can be viewed at www.globalafricanetwork.com

PROFILE Upington Special

PROFILE Upington Special Economic Zone More than 500 hectares of prime land is available for investors. Upington, the second-biggest town in the Northern Cape, is located along the banks of the Orange River and is a popular tourist destination with warm weather and long sunny days. The Northern Cape is ideally situated to serve the following industries: solar energy, mining, agricultural, aviation and other industries. The Upington SEZ has a geographically designated area set aside for specifically targeted economic activities to accelerate industrial development. In the heart of the Green Kalahari, right next to Upington International Airport, there is more than 500ha of prime land available to be utilised by investors (440ha for the Industrial Park and 85ha for the Aviation Park). Upington is situated 130km from the Namibian border post and about 350km from the border post to Botswana. Upington also has good access roads such as the N10 and the N14, effectively linking up Namibia and Botswana. The Upington International Airport has a 5km-long KEY CONTACTS Mr Thobela Dikeni, Chief Executive Officer, NCEDA Tel: +27 53 833 1503 and 060 997 7202 Babalwa Mbobo, Sector Specialist, Upington SEZ Tel: +27 54 333 1136 and 071 016 5813 Email: bmbobo@upington-sez.co.za Dr. Mphulane Ramorena, Project Executive Tel: 076 442 4437 Email: mramorena@upington-sez.co.za Physical address: 24 Schroder Street, Upington 8801 runway, the longest civilian runway in the southern hemisphere. The airport’s location and the dry, arid climate add to making the location particularly favourable for the establishment of an Aviation Park to serve the global markets. The Dawid Kruiper Local Municipality (DKLM) has made the land available for the development of the Upington SEZ. The development will be divided into seven phases. The ZF Mgcawu District has a well-developed economy and active business community supported by government and government parastatals. Industrial hub The main objective for the proposed Upington SEZ in the Northern Cape Province is to establish a worldclass industrial hub to service the Southern African Development Community (SADC) region in the following sectors: • Renewable energy with the focus on solar component manufacturing • Aeronautics through the development of an Aviation Park • Mineral beneficiation • Agro-processing • Astronomy exploration • High-value micro technology. Together with our partners, the Northern Cape Economic Development Trade and Investment Agency (NCEDA), the Northern Cape Department of Economic Development and Tourism, the National Department of Trade and Industry (dti) and the Airports Company South Africa (ACSA), we invite all interested investors to contact us. NCEDA: 6 Monridge Office Park, Cnr Kekewich & Memorial Street, Kimberley 8301 Tel: +27 53 833 1503 Fax: +27 53 833 1390 Website: www.nceda.co.za SOUTH AFRICAN BUSINESS 2019 38

The Upington SEZ boasts several advantages INTERVIEW Thobela Dikeni, CEO of the Upington SEZ, explains how climate and location enhance the value proposition. Thobela Dikeni BIOGRAPHY Thobela Dikeni has held various managerial positions in the private sector, including senior positions at Standard Bank and FNB (where he was Director Public Sector Banking). He was Director Business Development and Africa for Naspers’ subsidiary Paarl Media. He has studied Economics and Management and attended several executive development programmes at international institutions. He is currently studying for a Master’s degree in Information and Knowledge Management. He has served on private and public sector boards. What sectors are you hoping to attract to the SEZ? In the first phase, renewable energy and aviation. These sectors are the focus of the Economic Development sector of the Northern Cape and in line with the Provincial Growth and Development Strategy (PGDS). How does the location of the SEZ support the business case for investing? Renewable energy: Upington is an area with warm weather and long sunny days for solar energy generation. The increasing and sustained demand for photovoltaic (PV) and concentrated solar power (CSP) systems will produce a number of assembly opportunities for PV panels and inverters as well as CSP in-field mirrors, structures and backward integration of manufacturing facilities. European and Chinese companies continue to express interest in establishing solar energy component manufacturing and assembly plants. About 440ha of land is set aside for the development of a solar farm with a complete EIA for industrial development. Aviation: An arid climate which is not susceptible to accelerated corrosion and deterioration and the availability of relatively low-cost open land are positive factors. Upington is close to the northern border of South Africa which makes it convenient and strategic from the African continental perspective and its relative remoteness enhances security considerations. How important is the airport? Successful SEZs are attached to ports, whether airport or sea port. Therefore, the proximity to an airport will assist the value proposition and logistics connectivity of the SEZ. Upington Airport has an unusually long runway (5km) that serves as a designated African landing site for the shuttles of National Aeronautics and Space Administration (NASA). What progress has been made in getting the SEZ off the ground? Positive feasibility studies have been conducted. Environmental Impact Assessments have been completed. A Record of Decision has been received. The application for designation was submitted in May 2018. 39 SOUTH AFRICAN BUSINESS 2019

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