51 minute read
A regional overview of the Free State
A regional overview of Free State
By John Young
A regional overview of the Free State
By John Young
As of February 2020, nearly 100 new permanent jobs had been created within the Maluti-a-Phofung Special Economic Zone (MAP SEZ), the strategically located area on the N3 highway designed to attract new investment to the Free State Province.
Sectors prioritised at the MAP SEZ include logistics, ICT, automotive, pharmaceuticals, manufacturing and agro-processing. The 1000ha site has four zones: agro-processing, light industrial, heavy industrial and a container terminal. Control of the project now rests with the provincial Department of Small Business Development, Tourism and Environmental Affairs (DESTEA).
Other areas that are being upgraded to provide infrastructure to encourage manufacturing are the Phuthaditjhaba Industrial Park and the Botshabelo Industrial Park. The N3 is South Africa’s busiest road and the Highway Junction truckstop at the entrance to Harrismith claims to be Africa’s biggest. More than 1 500 vehicles pass through every day and three forecourts cater to three fuel brands. Refuelling, storage and handling take place here, highlighting the province’s strengths in logistics as the country’s most central province.
The country’s two great highways pass through the province. The N3 links the ports of Richards Bay and Durban with the industrial heartland and the N1 provides north-south connectivity. The provincial capital, Bloemfontein, is another logistics hub. Three other national highways intersect the province which is also well served by rail and air links. The Bram Fischer International Airport serves the provincial capital.
Links to the west (Kimberley and on to Namibia) and east (to Lesotho) underpin the planning behind the N8 Corridor concept which covers Bloemfontein, Botshabelo and Thaba Nchu. A plan for the coordinated development of the N8 Corridor has been approved by a range of bodies and is being funded by the Development Bank of Southern Africa (DBSA) and the Mangaung Metropolitan Municipality.
With acquisitions in the chemicals sector, drilling about to start for natural gas and the bedding down of a new Special Economic Zone, there are opportunities for growth in the Free State economy.
Projects and purchases
The Omnia Group is present in 45 countries, has more than 4 400 employees and a net asset value of R9.7-billion (March 2020). The company’s agricultural and chemicals divisions have a large
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presence in the northern Free State town of Sasolburg and the company has recently acquired a US-based firm that specialises in patented agriculture biological products, further expanding its geographical footprint and product range.
International fuel, gas and chemicals company Sasol regularly invests in new technologies and in expanding production of its many products.
Renergen, the owners of the Virginia Gas Project, announced in March 2020 that their findings had “radically improved” the company’s drilling plan. One of the key facts to emerge is that the gas contains helium of up to 12%, a good percentage. Despite the drawback associated with Covid-19, Renergen also announced that it was going to roll out filling stations across South Africa to cater to companies in the trucking industry converting to gas.
Mining is reduced in importance but remains a significant employer. Harmony Gold has several assets in the province and Sibanye-Stillwater has undertaken a feasibility study on a property adjacent to its existing Beatrix mine.
In agriculture, the Free State is looking forward to the implementation of the African Continental Free Trade Agreement (AfCFTA), the free trade agreement that was stalled by the Covid-19 pandemic. The Free State’s agricultural export basket is well suited to trading with African states and strategies are being considered to promote apples, asparagus, cherries, cut flowers, sorghum, venison and wine.
The Free State produces significant proportions of South Africa’s wheat (30%), sunflowers (45%) and maize (45%) and is ranked third in contribution to national GDP in agriculture.
The Free State shares borders with six other provinces, in addition to the Mountain Kingdom of Lesotho. A summer-rainfall region with a mean annual rainfall of 532mm, the Free State’s climate, soil types and topography vary greatly within the province, with plains in the west and mountains in the east.
The western and southern areas are semidesert, with some Karoo vegetation occurring in the south. The southernmost region of the Free State is a largely dry area with open grasslands predominating, although it is also home to the Gariep Dam, South Africa’s largest dam.
Municipalities in Free State
The Free State has one metropolitan municipality (Mangaung), four district municipalities and 19 local municipalities.
Mangaung Metropolitan Municipality Mangaung Metropolitan Municipality is a Category A municipality which governs Bloemfontein, Botshabelo and Thaba Nchu. The sixth-largest city in the country, the Mangaung municipal area covers more than 6 263km² and has a population of about 850 000 people. Bloemfontein is responsible for about 25% of provincial GDP.
Xhariep District Municipality Towns: Trompsberg, Zastron, Philipollis, Smithfield, Wepener The southernmost region of the Free State is a largely dry area with open grasslands predominating, although it is also home to the Gariep Dam, South Africa’s largest dam. The dam is also the site of small hydro-power and aquaculture projects. The nearby Tussen die Riviere Nature Reserve and the Mynhardt Game Reserve are popular. Crops are produced in the northern parts of the district and sheep farming is the biggest activity in the south. Diamonds, gravel and clay are mined at Koffiefontein. Jagersfontein is one of the first places where diamonds were found.
Lejweleputswa District Municipality Towns: Welkom, Virginia, Boshof, Christiana, Bultfontein, Bothaville Mining is the most important economic activity in this area, also known as the Free State Goldfields, but it is also the most important maize-growing area in South Africa. A large natural gas field has been discovered on what used to be gold turf. Bothaville hosts the annual NAMPO maize festival and the headquarters of Grain SA. Welkom is the major urban centre in the district. The area has tourist assets such as a holiday resort on
The Early Childhood Development Centre at Zamdela in Sasolburg is supported by Sasol. Image: Sasol the Allemanskraal Dam, the Goldfields Wine Cellar in Theunissen and the Willem Pretorius Game Reserve.
Fezile Dabi District Municipality Towns: Sasolburg, Parys, Kroonstad, Frankfort, Heilbron, Viljoenskroon The chemical complex at Sasolburg is the economic driver in the district, which shares a border with Gauteng province along the Vaal River. Kroonstad is the district’s second-largest town and has a number of engineering works and a railway junction.
A good proportion of South Africa’s grain crop is sourced from this district and when the vast fields of sunflowers and cosmos flowers are in bloom, a marvellous vista is created. The Vaal River presents opportunities for yachting, rafting and resort-based enterprises. Parys is a charming town and Vredefort is home to a World Heritage site – the Vredefort Dome where a meteor crashed to earth.
Fezile Dabi District Municipality is the biggest contributor towards the provincial GDP, contributing approximately 35%. The Fezile Dabi area is mostly dominated by the industrial power of Sasol, with the manufacturing of refined petroleum, coke and chemical products adding largely to its GDP.
Thabo Mofutsanyana District Municipality Towns: Phuthaditjhaba, Bethlehem, Ladybrand, Clarens, Harrismith, Ficksburg Tourism and fruit farming are the two principal economic activities of this area which is characterised by beautiful landscapes: the Maluti and the Drakensberg mountain ranges, wetlands in the north, well-watered river valleys and the plains of the north and west. The most famous asset is the Golden Gate National Park.
Industrial activity is undertaken at Harrismith and Phuthaditjhaba, where the Free State Development Corporation is promoting investment. The Maluti-a-Phofung Special Economic Zone (SEZ) at Harrismith is a multimodal transport and logistics hub. The commercial centre of the district is Bethlehem while Clarens and Ficksburg have become famous for their artists and cherries respectively. ■
FDC empowers youth
Job creation scheme is a multi-agency effort.
INDUSTRIAL PROPERTY TO RENT IN HARRISMITH INDUSTRIAL PROPERTY TO RENT IN HARRISMITH FDC is renting out 18 850 sqm standalone factory including Furniture Manufacturing Machinery, Equipment, and Furniture for Business FDC is renting out 18 850 sqm standalone factory including Furniture Operation.. Manufacturing Machinery, Equipment, and Furniture for Business Operation..The factory is Situated at Site 2277 in Harrismith and close proximity to all amenities, on main arterial routes and Quick access onto N3 Freeway.
The factory is Situated at Site 2277 in Harrismith and close proximity to all amenities, on This factory offers the following: main arterial routes and Quick access onto N3 Freeway. Sprinkler System. 4 Roller Doors This factory offers the following: Security Guard House
Sprinkler System.Well fenced and secured 4 Roller DoorsAmple parking
Security Guard House3 phase power with 100 amps
Well fenced and secured8 toilets, 6 offices and boardroom, reception, kitchen and separate warehouse ablutions with shower
Ample parking 3 phase power with 100 amps Occupation available immediately. Please contact Mr Tefo Matla for more 8 toilets, 6 offices and boardroom, reception, kitchen and separate warehouse ablutions with information or to view: shower Tel: 051 4000 800 Email: tefo@fdc.co.za www.fdc.co.za
Occupation available immediately. Please contact Mr Tefo Matla for more FDC IS ZERO TOLERANCE TO FRAUD AND CORRUPTION.PLEASE REPORT FRAUD AND CORRUPTION INCIDENTS TO THE FRAUD HOTLINE 0800 212 154information or to view:
Tel: 051 4000 800 Email: tefo@fdc.co.za www.fdc.co.za
FDC IS ZERO TOLERANCE TO FRAUD AND CORRUPTION.PLEASE REPORT FRAUD AND CORRUPTION INCIDENTS TO THE FRAUD HOTLINE 0800 212 154
Images: DESTEA
In its efforts to empower youth, the Free State Development Corporation (FDC) is participating in job creation for unemployed individuals in the province. The FDC has signed a funding agreement with the Unemployment
Insurance Fund (UIF) under the Labour Activation
Programme (LAP) as an implementing agency.
The LAP is an initiative by the UIF to provide work experience, training and skills opportunities to former contributors to the UIF who have lost their jobs, and unemployed youth. This is carried out under the Training and Skills Development
Business Unit. The UIF is an agency of the
Department of Labour.
The unit intends to prioritise employment, skills and re-skilling of unemployed individuals, combating long-term unemployment and poverty alleviation in the province. “The implementation of the programme will cultivate an entrepreneurial culture and train participants to increase their chances of acquiring employment and starting their own business,” says Thabiso Tshabalala, FDC Project Manager.
The programme targeted 1 500 learners who come from various communities around the Free State. The beneficiaries, both male and female, have already completed their theoretical and practical experience in building and civil construction (paving), welding and mixed farming. A total of 819 women completed this training.
Positive feedback received from learners indicates that the programme is on the right path. This will create an economy that will result in employment opportunities for women, youth and many currently unemployed South Africans who should be productive participants in the economy. ■
FDC offers affordable rental rates for businesses
The property management and development unit of the FDC has a diverse property portfolio.
The Free State Development Corporation oversees and administers a diverse and substantial portfolio. If you are a small, medium, micro enterprise or a labourintensive company in search of suitable industrial and commercial premises, look no further. FDC’s Property Management Unit offers rental space for your small to medium enterprise at affordable rates through its diverse and substantial property portfolio. Over the years the unit has provided business premises to the general public, business people and government departments who want to initiate projects. The unit has also been instrumental in providing warehousing, manufacturing space, offices and space in various shopping centres across the province.
Offering you quality services Overseeing a total of 253 commercial and 290 industrial properties, FDC uses this infrastructure to: • Facilitate commercial and industrial activity • Assist new investors who may be looking for suitable premises • Facilitate SMME development, particularly in rural areas. Our spread The substantial property portfolio makes FDC one of the biggest property owners in the province with industrial, residential and commercial properties in excess of 900 000m² situated in the Mangaung Metro and Thabo Mafutsanyana District.
Our industrial properties are located in: • Thaba Nchu • Botshabelo • Industriqwa, Harrismith • Phuthaditjhaba.
Our cost structures FDC’s property rates of leasing are competitive and compare favourably with similar industrial and commercial properties elsewhere in the country. FDC’s industrial property rates currently range from R9.08 to R16.09 per square metre for factory space, depending on the features of the property, and from R30 to R96 per square metre for commercial premises and are adjusted from time to time in line with prevailing economic conditions.
INDUSTRIAL PROPERTY TO RENT IN HARRISMITH INDUSTRIAL PROPERTY TO RENT IN HARRISMITH FDC is renting out 18 850 sqm standalone factory including Furniture Manufacturing Machinery, Equipment, and Furniture for Business FDC is renting out 18 850 sqm standalone factory including Furniture Operation.. Manufacturing Machinery, Equipment, and Furniture for Business Operation..The factory is Situated at Site 2277 in Harrismith and close proximity to all amenities, on main arterial routes and Quick access onto N3 Freeway.
The factory is Situated at Site 2277 in Harrismith and close proximity to all amenities, on This factory offers the following: main arterial routes and Quick access onto N3 Freeway. Sprinkler System. 4 Roller Doors This factory offers the following: Security Guard House
Sprinkler System.Well fenced and secured 4 Roller DoorsAmple parking
Security Guard House3 phase power with 100 amps
Well fenced and secured8 toilets, 6 offices and boardroom, reception, kitchen and separate warehouse ablutions with shower
Ample parking 3 phase power with 100 amps Occupation available immediately. Please contact Mr Tefo Matla for more 8 toilets, 6 offices and boardroom, reception, kitchen and separate warehouse ablutions with information or to view: shower Tel: 051 4000 800 Email: tefo@fdc.co.za www.fdc.co.za Occupation available immediately. Please contact Mr Tefo Matla for more FDC IS ZERO TOLERANCE TO FRAUD AND CORRUPTION.PLEASE REPORT FRAUD AND CORRUPTION INCIDENTS TO THE FRAUD HOTLINE 0800 212 154information or to view: Tel: 051 4000 800 Email: tefo@fdc.co.za www.fdc.co.za
FDC IS ZERO TOLERANCE TO FRAUD AND CORRUPTION.PLEASE REPORT FRAUD AND CORRUPTION INCIDENTS TO THE FRAUD HOTLINE 0800 212 154
Incentives Incentives may be granted in the form of rental holidays, reduced rental rates and discounts on utilities for investments contributing to job creation on a large scale.
Black Economic Empowerment Concessions which may be granted to businesses with more than 50% black ownerships include the following: • A discount of 10% on normal rental rates • An additional discount of 2% for womenowned businesses, where women have more than 50% shareholding in the business • An additional discount of 2% for youthowned entities where more than 50% of shareholding in the business belongs to individuals below the age of 35 • An additional discount of 2% for businesses where disabled persons hold 25% shareholding or more.
These concessions do not apply in instances of lease renewals or existing leases.
Three easy steps to occupying your new premises Once FDC has identified a suitable site for your business, you will have to confirm your interest in the site in writing with the corporation.
Within a week of receiving the confirmation and all legal documentation, premises will be allocated based on the availability and the specific requirements of the prospective tenant. You will sign the agreement and pay the initial costs which include the following: deposits; admin and legal fees; two month’s rental in advance.
You will be able to occupy the premises after FDC has prepared the building according to the agreed requirements.
Contact details For more information regarding factory space to rent please contact us: Tel: +27 51 4000 800 Email: wecare@fdc.co.za
Phuthaditjhaba Industrial Park
Phuthaditjhaba Industrial Park
Phuthaditjhaba IP is strategically located in the Eastern Free State and 40km away from the N5 and Phuthaditjhaba IP is strategically located in the N3 highways. The park is on the border between Eastern Free State and 40km away from the N5 and the Gauteng and Kwazulu-Natal provinces. N3 highways. The park is on the border between The Park is situated within the Thabo the Gauteng and Kwazulu-Natal provinces. Mofutsanyana District Municipality in the The Park is situated within the Thabo Maluti-A-Phofung Local Municipality. It is Mofutsanyana District Municipality in the owned and managed by the Free State Development Corporation (FDC), which is the official agency responsible for driving economic development in the Free State Province. The Park is divided into Industrial estates ie factory units, which are further divided into small and large units. Small units range from Maluti-A-Phofung Local Municipality. It is owned and managed by the Free State Development Corporation (FDC), which is the official agency responsible for driving economic development in the Free State Province. The Park is divided into Industrial estates ie factory units, which are further divided into small and large units. Small units range from 50m² to 499m² while the large units are 500m² 50m² to 499m² while the large units are 500m² and above in size. These factories are mainly and above in size. These factories are mainly rented for manufacturing and service industries rented for manufacturing and service industries and to a lesser extent retail (wholesaling) and and to a lesser extent retail (wholesaling) and warehousing (storage). There are a total of 296 warehousing (storage). There are a total of 296 factories in the Phuthaditjhaba Industrial Park. factories in the Phuthaditjhaba Industrial Park.
The Industrial Park occupies a total of The Industrial Park occupies a total of 257 257 360m² gross land area, with approximately 360m² gross land area, with approximately 62% occupancy rate and 185 companies. It 62% occupancy rate and 185 companies. It has one of the biggest local employers in the has one of the biggest local employers in the CMT sector, employing 1 200 local people, who CMT sector, employing 1 200 local people, who comprise more than 90% women. The Park is a comprise more than 90% women. The Park is a major economic hub of the district, with varied major economic hub of the district, with varied businesses located in the park. businesses located in the park.
The municipality provides services such as The municipality provides services such water and electricity, and the infrastructure is as water and electricity, and the infrastructure owned by the municipality. There is more than is owned by the municipality. There is more 120 000m2 of vacant land and 112 vacant factories than 120 000m2 of vacant land and 112 vacant (large and small). Sectors include textiles, plastic factories (large and small). Sectors include products, manufacturing, construction, food and textiles, plastic products, manufacturing, snacks. The total number of jobs is estimated construction, food and snacks. The total number at 7 300. of jobs is estimated at 7 300.
Botshabelo Industrial Park
Botshabelo Industrial Park
The Botshabelo Industrial Park is situated approximately 60km from the economic hub The Botshabelo Industrial Park is situated on the eastern side of the Mangaung Metro. approximately 60km from the economic hub The industrial area was developed in 1985 on the eastern side of the Mangaung Metro. The with the assistance of DBSA. industrial area was developed in 1985 with the The Botshabelo Industrial Park boasts assistance of DBSA. manufacturing and service companies in The Botshabelo Industrial Park boasts the textiles, electrical, plastic production, poultry, food and snack sectors. Currently it provides employment to an estimated 7 519 people, of which the majority are women. Mangaung and Maluti-A-Phofung form part of the distressed regions and were declared as one of the Presidential nodal areas that manufacturing and service companies in the textiles, electrical, plastic production, poultry, food and snack sectors. Currently it provides employment to an estimated 7 519 people, of which the majority are women. Mangaung and Maluti-A-Phofung form part of the distressed regions and were declared as one of the Presidential nodal areas that require require development. development.
The BIP was the first to receive phase 1 and The BIP was the first to receive phase 1 and phase 2 of the revitalisation programme. The phase 2 of the revitalisation programme. The initiation of the revitalisation programme has initiation of the revitalisation programme has had some impact and has seen an increase had some impact and has seen an increase in in investment within the park. The Industrial investment within the park. The Industrial Park Park has 144 factories operating with 113 has 144 factories operating with 113 occupied. occupied. The total capital investment is The total capital investment is around R755around R755-million.million.
The factory sizes range from 500m² to The factory sizes range from 500m² to 2 500m². The Park also has an incubator centre 2 500m². The Park also has an incubator centre known as the Small Business Park. known as the Small Business Park.
Office and industrial space available
Free State Development Corporation (FDC) offers a wide range of spacious and affordable rental space for SMMEs. INDUSTRIAL PROPERTY TO RENT IN HARRISMITH FDC is renting out 18 850 sqm standalone factory including Furniture INDUSTRIAL PROPERTY TO RENT IN HARRISMITH Manufacturing Machinery, Equipment, and Furniture for Business FDC is renting out 18 850 sqm standalone factory including Furniture Operation.. Manufacturing Machinery, Equipment, and Furniture for Business The factory is Situated at Site 2277 in Harrismith and close proximity to all amenities, on There are opportunities to rent factory space at Operation..main arterial routes and Quick access onto N3 Freeway.Commercial portfolio Free State Development Corporation properties in The factory is Situated at Site 2277 in Harrismith and close proximity to all amenities, on This factory offers the following: This portfolio is divided into urban and rural areas Sprinkler System. Botshabelo, Phuthaditjhaba and Industriqwa. main arterial routes and Quick access onto N3 Freeway. 4 Roller Doors and typically consists of the following: shopping
The FDC offers affordable rental space, ranging This factory offers the following: Security Guard House centres, office blocks, market stalls, kiosks and from massive stand-alone industrial buildings, office containers. Sprinkler System. 4 Roller Doors Well fenced and secured Ample parking blocks and shopping centres, to loose single-tenant Security Guard House3 phase power with 100 amps commercial buildings situated in rural areas to suit Well fenced and secured 8 toilets, 6 offices and boardroom, reception, kitchen and separate warehouse ablutions with shower Industrial incentives different needs. Ample parking Rental holiday of up to six months. 3 phase power with 100 ampsOccupation available immediately. Please contact Mr Tefo Matla for more 8 toilets, 6 offices and boardroom, reception, kitchen and separate warehouse ablutions with information or to view: Industrial portfolio shower Tel: 051 4000 800 Email: tefo@fdc.co.za www.fdc.co.zaBlack Economic Empowerment Industrial building: Mainly stand-alone industrial- The following concessions may be granted to type buildings designed for manufacturing and/or Occupation available immediately. Please contact Mr Tefo Matla for more FDC IS ZERO TOLERANCE TO FRAUD AND CORRUPTION.PLEASE REPORT FRAUD AND CORRUPTION INCIDENTS TO THE FRAUD HOTLINE 0800 212 154businesses with more than 50% black ownership: warehouse purposes. information or to view: • Discount of 10% on normal rental rates Large factories (>500m²): Consists of mainly • A Tel: 051 4000 800 Email: tefo@fdc.co.za www.fdc.co.za n additional 2% for women-owned businesses, standard and custom-built factories used for FDC IS ZERO TOLERANCE TO FRAUD AND CORRUPTION.PLEASE REPORT FRAUD AND where women have more than 50% shareholdingCORRUPTION INCIDENTS TO THE FRAUD HOTLINE 0800 212 154 manufacturing, service industries and warehousing. • Additional 2% for businesses qualifying as youthSmall industrial units (<300m²): Standard units in owned entities with more than 50% shareholding small industrial parks and incubators designed for belonging to individuals below the age of 35 years incubation of start-up manufacturing and/or service • An additional 2% for businesses with more industry activities. than 25% shareholding belonging to disabled Warehouses: Buildings occupied by businesses individuals servicing the broader economic base that is utilised • The concessions may be granted to any business for storage and distribution. entity and community-based projects will qualify Factory shops: Manufacturing entities utilising indus- for small industries with a 50% rental holiday for trial space to sell own products to the general public. the first year Wholesalers/retailers: Community projects in the • Rental holidays. manufacturing and service sectors, serving the broader economic base, targeting ownership in It is our duty to facilitate commercial and industrial historically disadvantaged communities. Ownership activity, assist new investors looking for spacious and control must be widely based in such and affordable premises, and facilitate SMME communities rather than by an individual member development, particularly in rural areas. of such communities. Vacant land: Serviced or unserviced land zoned for Look no further than FDC for spacious and commercial and industrial use. affordable, subsidised rental facilities
Contact details: Email: wecare@fdc.co.za • Tel: +27 51 4000 800 • Website: www.fdc.co.za
Free State Development Corporation (FDC)
Driving enterprise development and investment in South Africa’s most central province, the Free State.
The FDC contributes to the Free State’s economic development through four service delivery pillars:
SMME/co-operative funding and support The FDC provides products and services to SMMEs and co-operatives in the form of financial support (business loans) as well as business development support (facilitating training and mentoring service providers). The principal loan products offered to Free State entrepreneurs by the FDC are: • Start-up loans for recently established businesses that are mainly at formative stages. • Expansion loans offering viable and existing businesses the capital needed to expand. • Business take-over finance to assist potential clients to acquire a business as a going concern. • Bridging finance for SMMEs with short-term cashflow problems with contracts or tenders. Property management The FDC administers a diverse property portfolio and can offer small to medium enterprises suitable premises at affordable rates. The corporation has some 253 commercial properties, 290 industrial properties and a large number of residential and vacant land for development. The corporation aims to use them to facilitate commercial and industrial activity, while assisting new investors looking for suitable premises. The FDC offers advice and guidance in terms of the following incentives: • Subsidised rental rates. • Rental holidays of up to three months. • Special incentives and discounts for BEE companies or individuals.
INDUSTRIAL PROPERTY TO RENT IN HARRISMITH FDC is renting out 18 850 sqm standalone factory including Furniture INDUSTRIAL PROPERTY TO RENT IN HARRISMITH Manufacturing Machinery, Equipment, and Furniture for Business FDC is renting out 18 850 sqm standalone factory including Furniture Operation.. Manufacturing Machinery, Equipment, and Furniture for Business The factory is Situated at Site 2277 in Harrismith and close proximity to all amenities, onOperation..main arterial routes and Quick access onto N3 Freeway.
The factory is Situated at Site 2277 in Harrismith and close proximity to all amenities, on This factory offers the following: Sprinkler System. main arterial routes and Quick access onto N3 Freeway. 4 Roller Doors This factory offers the following: Security Guard House Investor servicesSprinkler System.Well fenced and secured Export-related services The FDC offers a range of services to investors and 4 Roller DoorsAmple parking The FDC services to exporters include the businesses looking to trade in the Free State. These Security Guard House3 phase power with 100 amps Export Promotion Programme, which aims to include the following: • Project appraisal and packaging. grow demand for Free State products in global markets through capacity-building workshops, Well fenced and secured 8 toilets, 6 offices and boardroom, reception, kitchen and separate warehouse ablutions with shower • Promotion and facilitation of investment projects Ample parking the dissemination of trade leads, networking and facilitation of access to finance. opportunities with inbound trade missions, 3 phase power with 100 ampsOccupation available immediately. Please contact Mr Tefo Matla for more • Providing access to business and government product promotion through participation in 8 toilets, 6 offices and boardroom, reception, kitchen and separate warehouse ablutions with information or to view: networks and assistance with business retention and expansion. outbound group missions and on national and international exhibitions, access to national exportshower Tel: 051 4000 800 Email: tefo@fdc.co.za www.fdc.co.za • Information on statutory requirements, investment advice and assistance with investment incentive programmes, market access information and technical advice on exporting procedures ■ Occupation available immediately. Please contact Mr Tefo Matla for more FDC IS ZERO TOLERANCE TO FRAUD AND CORRUPTION.PLEASE REPORT FRAUD AND CORRUPTION INCIDENTS TO THE FRAUD HOTLINE 0800 212 154 incentive applications and business permits. information or to view: • Assisting with the development of local and international markets and facilitating Contact details Tel: 051 4000 800 Email: tefo@fdc.co.za www.fdc.co.za joint ventures/equity partnerships through Free State Development Corporation identification of local partners. Tel: +27 51 4000 800 FDC IS ZERO TOLERANCE TO FRAUD AND CORRUPTION.PLEASE REPORT FRAUD AND Emails: wecare@fdc.co.za | invest@fdc.co.zaCORRUPTION INCIDENTS TO THE FRAUD HOTLINE 0800 212 154 Website: www.fdc.co.za
Maluti-A-Phofung SEZ investment opportunities Maluti-A-Phofung SEZ investment opportunities
of the traffic to different locations in South Africa and neighbouring countries such as Lesotho and Swaziland. Through its cross-docking M aluti-A-Phofung Special Economic Zone (MAP SEZ) has been established in terms of the Special Economic Zones Act No. 16 of 2014. The programme is intended SEZ project pipeline There are various companies that have signed letters of intent to locate in the MAP SEZ. Some of the sectors targeted for establishment within the The SEZ is booming with investment to the tune of R1.1-billon for 2020. precinct and its logistics and warehousing sectors the MAP SEZ to deepen industrial development and improve MAP SEZ are as follows: presents itself as a solution to lighten the traffic pressure on the N3.manufacturing competitiveness in the Maluti-A- • Logistics and distribution. Phofung region. This Special Economic Zone (SEZ) is part of the Free State leg • Agro-processing. of the massive Durban-Free State-Gauteng logistics and industrial Situated in Harrismith and Tshiame in the Eastern • Food processing. corridor that is intended to strengthen the logistics and transport Free State, MAP SEZ is strategically located on the N3 • Rail-based container terminal (Transnet Freight corridor between South Africa’s main industrial hubs to:national road, halfway between Johannesburg and Rail). • Ignite the economy of the region through industrialisation. • Attract foreign and direct investment. • Create access to export and import markets. • Integrate Free State industrial strategy activities into the corridor. • Create job opportunities and grow the economy within the region. Durban. MAP SEZ offers 1 038 hectares of land for industrial development. Since the Durban port is the busiest in the southern hemisphere, it therefore means that the N3 carries the majority of the traffic to different locations • Starch chemicals. • Biogas. MAP SEZ milestones • MAP SEZ was launched by President Zuma on 25 in South Africa and neighbouring countries such as MAP SEZ CEO Mpho Mgemane April 2017 to operate as a Special Economic Zone. Lesotho and Swaziland. Through its cross-docking • Maluti-A-Phofung SEZ was granted an operator precinct and its logistics and warehousing sectors the MAP SEZ presents itself as a solution to lighten the traffic pressure on the N3. This Special Economic Zone (SEZ) is part of the Free M aluti-A-Phofung Special Economic Zone (MAP SEZ) has been established in • permit in 2017 by the Minister of Trade and Industry after cabinet approval. Perimeter fencing and lighting have been completed. State leg of the massive Durban-Free State-Gauteng terms of the Special Economic • Bulk infrastructure roll-out is in progress and is logistics and industrial corridor that is intended Zones Act No 16 of 2014. The 90% complete. to strengthen the logistics and transport corridor programme is intended to • The SEZ has developed a marketing and between South Africa’s main industrial hubs to: deepen industrial development promotion pipeline which has attracted • Improve access to export and import markets. and improve manufacturing 30 potential investors with an estimated • Integrate Free State industrial strategy activities competitiveness in the Maluti- investment value of R 2.6-billion and will create into the corridor.A-Phofung region. Objectives approximately 22 130 permanent and temporary • As part of its mandate, the MAP SEZ is intended to establish Create job opportunities and grow the economy job opportunities in the next 5 to 10 years. Since the Durban port is within the region.the busiest in the southern manufacturing opportunities and create a regional and international • Construction of top structures commenced in hemisphere, it therefore means trade environment with added value-chain benefits. It has also been June 2019. Investor benefitsthat the N3 carries the majority established to simulate social and economic benefits and regional Benefits that will be derived from locating within development and to create What the MAP SEZ offers MAP SEZ include: • a prosperous trade city and Lots of space – more than 1000ha available to • 15% corporate tax instead of 28% corporate tax. functional trade ecosystem. prospective investors. • Building allowance. • Finally, to encourage Long-term lease periods which provide investors • Employment incentive. beneficiation activities that an opportunity to recoup investment on • Customs controlled area (CCA). infrastructure. promote value-added benefits • 12i Tax allowance. • and help to create a prosperous Affordability in the form of concessions offered on rentals. trade city and functional trade ecosystem.
Priority sectors Some of the many MAP SEZ priority sectors are: • Automotive • Agro-processing • Logistics • General processing • ICT • Pharmaceuticals.
Investor benefits Some of the many investor benefits that can be derived from locating within MAP SEZ include but are not limited to the following: • 15% corporate tax instead of 28% corporate tax. • Building allowance tax. • Employment incentive tax. • 12i tax allowance.
MAP SEZ milestones Maluti-A-Phofung SEZ was granted an operator permit in 2017 by the Minister of Trade, Industry and Competition after cabinet approval. MAP SEZ was gazetted as a Special Economic Zone on 2 June 2017 and its tax incentives were gazetted on 6 July 2018.
SEZ project pipeline Since inception the MAP SEZ has engaged numerous investors and through these engagements has built a pipeline of lucrative local and international investments to the tune of R2.3-billion. From this pipeline MAP SEZ is proud to pronounce that it has secured investments from five investors to the value of R1.1-billion in various sectors. The operations of these investors were established in June, September and November 2020. These investors are a source of great pride for the MAP SEZ as they have created 103 jobs since the start of their operations and are projected to create 466 jobs collectively, once they are fully operational.
The MAP SEZ is now gaining momentum in terms of attracting local and foreign investors and is supported by its healthy investment pipeline of approximately R3.2-billion, which is project-ed to create 12 000 work opportunities. ■
Contact details
Any investor interested in establishing their business within the SEZ can contact: Ms M Setai, Manager in the Office of the Chief Executive Officer Maluti-a-Phofung Special Economic Zone Tel: +27 51 4000 800 | Cell: +27 73 210 0935 Email: maphoika@mapsez.co.za | Website: www.mapsez.co.za
Free State Gambling, Liquor and Tourism Authority
Free State Province
Center yourself in the heart of South Africa
CEO of Free State Gambling, Liquor and Tourism Authority, Mr Kenny Dichabe
The Free State Gambling, Liquor and Tourism Authority (FSGLTA) is one of the two entities of the Department of Economic, Small Business Development, Tourism and Environmental Affairs (DESTEA). The FSGLTA was established by the FSGLTA Amendment Act 4 of 2017, which was amended to incorporate the former Free State Tourism Authority and Free State Gambling and Liquor to form the new entity which is known as FSGLTA. Vision A transformed economy and a prosperous society with an effective, well-regulated gambling and liquor industry and a vibrant tourism sector.
Mission To be a leading developmental institution that drives economic transformation, regulation and adaptation to the ever-changing industry dynamics to benefit the Free State.
Mandate The mandate of the Free State Gambling, Liquor and Tourism Authority is to regulate the gambling and liquor industries within the province and to market and promote tourism in the province. The Authority’s purpose is to promote legally compliant, responsible, sustainable and transformed gaming and liquor industries through effective licensing, regulating and reporting on the activities of the industries, and to position the Free State Province as a tourist destination of choice.
The gambling industry • Invite applications for licences (gambling) • Consider, grant or refuse applications • Cancel, suspend, vary, renew or revoke a licence or registration approved • Implementation of norms and standards in the gambling industry as determined by the National Gambling Act • Ensure that gambling activities are effectively regulated, licensed and controlled • Ensure compliance to the act, rules and regulations
The liquor industry • Receive applications for registrations (liquor) • Reduce the socio-economic and other costs of alcohol • Promote the development of a responsible and sustainable liquor industry in relation to gambling • Generate revenue for the Free State Province
Image: iStock
The tourism industry It is important that the FSGLTA intensifies its efforts to ensure effective marketing of the province in order to attract domestic tourists as well as international tourists. The province continues to enhance tourism infrastructure, up-skill the sector, inculcate the culture of service excellence and enhance the provision of world-class visitor experiences. The Authority has partnered with event organisers and tour operators to market and promote the Free State as a tourist destination. These are achieved through the following: • Forging strategic partnerships with the public and private sectors to leverage from each the capability and capacity to improve the industry • Streamlining the impact of events through partnerships and sponsorships • Improving on Meetings, Incentives,
Conferencing and Events (MICE) as a focused growth area of the market • Continuous review of the marketing plans to stay on par with the industry trends. ■
GAMBLING AND LIQUOR CONTACT DETAILS • Mangaung Metro Abraham Classen classena@fsglta.gov.za | 051 404 0320 | 079 506 0272 • Thabo Mofutsanyana Peter Moleko molekop@fsglta.gov.za | 078 309 4178 • Lejweleputswa Thabo Tlake tlaket@fsglta.gov.za | 057 492 0001 | 072 533 6681 • Fezile Dabi Bongakele Nzunga nzungab@fsglta.co.za | 056 492 0001 | 082 256 5926 • Gariep Abraham Classen classena@fsglta.gov.za | 051 404 0320 | 079 506 0272
TOURISM ROUTE CONTACT DETAILS • Cheetah Route Nthabiseng Methola cheetah@freestatetourism.org | 073 125 1614 • Eagle Route Bonolo Molefe eagle@freestatetourism.org | 072 056 6090 • Flamingo Route Dineka Lephowane flamingo@freestatetourism.org | 073 796 8577 • Lion Route Keakabetse Ramokonopi lion@freestatetourism.org | 084 951 1564 • Springbok Route Kefiloe Molefe molefek@fsglta.gov.za | 079 496 2999
South African investment incentives
The South African government, particularly the Department of Trade, Industry and Competition, has a range of incentives available to investors, existing companies, entrepreneurs and co-operatives across many sectors.
South Africa wishes to diversify its economy and incentives are an important part of the strategy to attract investors to the country.
The Department of Trade, Industry and Competition (the dtic) is the lead agency in the incentives programme, which aims to encourage local and foreign investment into targeted economic sectors, but the Industrial Development Corporation (IDC) is the most influential funder of projects across South Africa.
There are a variety of incentives available and these incentives can broadly be categorised according to the stage of project development: • Conceptualisation of the project – including feasibility studies and research and development (grants for R&D and feasibility studies,
THRIP, Stp, etc) • Capital expenditure – involving the creation or expansion of the productive capacity of businesses (MCEP, EIP, CIP, FIG, etc) • Competitiveness enhancement – involving the introduction of efficiencies and whetting the competitive edge of established companies and commercial or industrial sectors (BBSDP, EMIA,
CTCIP, etc) • Some of the incentives are sector-specific, for example the Aquaculture Development and
Enhancement Programme (ADEP), Clothing and Textile Competitiveness Improvement
Programme (CTCIP) and the Tourism Support
Programme (TSP).
Manufacturing
Key components of the incen- INDUSTRIAL PROPERTY TO RENT IN HARRISMITH tive programme are the Manufacturing Incentive Programme INDUSTRIAL PROPERTY TO RENT IN HARRISMITH FDC is renting out 18 850 sqm standalone factory including Furniture Manufacturing Machinery, Equipment, and Furniture for Business The factory is Situated at Site 2277 in Harrismith and close proximity to all amenities, on FDC is renting out 18 850 sqm standalone factory including Furniture Manufacturing Machinery, Equipment, and Furniture for Business Operation.. (MIP) and the Manufacturing The factory is Situated at Site 2277 in Harrismith and close proximity to all amenities, on Operation..main arterial routes and Quick access onto N3 Freeway. This factory offers the following: Competitiveness Enhancement main arterial routes and Quick access onto N3 Freeway. Sprinkler System. 4 Roller Doors Programme (MCEP). The initial This factory offers the following: Sprinkler System. Security Guard House Well fenced and secured MCEP, launched in 2012, 4 Roller Doors Security Guard House Ample parking 3 phase power with 100 amps 8 toilets, 6 offices and boardroom, reception, kitchen and separate warehouse ablutions with was so successful that it was Well fenced and secured Ample parking shower oversubscribed with almost 890 3 phase power with 100 amps 8 toilets, 6 offices and boardroom, reception, kitchen and separate warehouse ablutions with Occupation available immediately. Please contact Mr Tefo Matla for more information or to view: businesses receiving funding. shower Tel: 051 4000 800 Email: tefo@fdc.co.za www.fdc.co.za
A second phase of the progOccupation available immediately. Please contact Mr Tefo Matla for more FDC IS ZERO TOLERANCE TO FRAUD AND CORRUPTION.PLEASE REPORT FRAUD AND CORRUPTION INCIDENTS TO THE FRAUD HOTLINE 0800 212 154 Tel: 051 4000 800 Email: tefo@fdc.co.za www.fdc.co.za information or to view: ramme was launched in 2016. The grants are Incentives for SMMEs not handouts as the funding covers a maximum FDC IS ZERO TOLERANCE TO FRAUD AND CORRUPTION.PLEASE REPORT FRAUD AND CORRUPTION INCIDENTS TO THE FRAUD HOTLINE 0800 212 154 of 50% of the cost of the investment, with the A lot of emphasis is placed on the potential remainder to be sourced elsewhere. role of small, medium and micro enterprises in
The Enterprise Investment Programme (EIP) job creation and a number of incentives are makes targeted grants to stimulate and promote designed to promote the growth of these investment, BEE and employment creation in the businesses. These include: manufacturing and tourism sectors. • Small Medium Enterprise Development Prog-
Aimed at smaller companies, the maximum ramme (SMEDP) grant is R30-million. Specific tax deductions are • Isivande Women’s Fund permissible for larger companies investing in the • Seda Technology Programme (Stp). manufacturing sector under Section 12i of the • Seda is the Small Enterprise Development Agency, Income Tax Act. an agency of the Department of Small Business Development that exists to promote SMMEs.
Other incentives
Trade-related incentives
Other incentives that are available to investors as well as existing businesses in more than one sector include the following: • Technology and Human Resources for Industry Programme (THRIP) • Support Programme for Industrial Innovation (SPII) • Black Business Supplier Development Programme (BBSDP), which is a cost-sharing grant offered to black-owned small enterprises • Critical Infrastructure Programme (CIP) that covers between 10% and 30% of the total development costs of qualifying infrastructure • Co-operative Incentive Scheme, which is a 90:10 matching cash grant for registered primary co-operatives • Sector Specific Assistance Scheme, which is a reimbursable 80:20 cost-sharing grant that can be applied for by export councils, joint action groups and industry associations. The Export Marketing and Investment Assistance (EMIA) Scheme includes support for local businesses that wish to market their businesses internationally to potential importers and investors. The scheme offers financial assistance to South Africans travelling or exhibiting abroad as well as for inbound potential buyers of South African goods. ■
Online Resources
Department of Trade, Industry and Competition: www.thedtic.gov.za Free State Development Corporation: www.fdc.co.za Industrial Development Corporation: www.idc.co.za Official South African government incentive schemes: www.investmentincentives.co.za
Establishing a business in South Africa
South Africa has eased the barriers to doing business for locals as well as international companies and individuals.
South Africa has a sophisticated legal, regulatory and banking system. Setting up a business in South Africa is a relatively straightforward process with assistance being offered by organisations such as the Department of Trade, Industry and Competition and provincial investment agencies like the Free State Development Corporation (FDC).
South African law regulates the establishment and conduct of businesses throughout the country. Tax, investment incentives, regulations governing imports, exports and visas are uniform throughout the country.
The particular environment varies from province to province with regard to the availability of human and natural resources, the infrastructure and support services, business opportunities and the quality of life. In this respect, the FDC can offer specific advice about the business environment in the province.
Business is regulated by the Companies Act and the Close Corporation Act, which cover accounting and reporting requirements. Under new legislation, no new Close Corporations can be created but CCs can convert to companies.
Registration of company The company must be registered with the Companies and Intellectual Properties Commission, (CPIC) in Pretoria within 21 days of the company being started. There are a range of administrative procedures that need to be fulfilled.
Bank account A business bank account must be opened in the company’s name with a bank in South Africa.
Registration with the receiver of revenue • As a Provisional Taxpayer • As a VAT vendor • For Pay As You Earn (PAYE) income tax payable on money earned by employees • For Standard Income Tax on Employees
Registration with the Department of Labour Businesses employing staff will have to contact the Department of Labour regarding mandatory contributions to the Unemployment Insurance Fund (UIF). Register with Compensation Commissioner for Compensation Fund: Files with the Compensation Fund (in the Department of Labour) for accident insurance (Workmen’s Compensation).
Registration with the local authority Relevant only to businesses dealing in fresh foodstuffs or health matters.
Other procedures • Checking exchange control procedures (note that non-residents are generally not subject to exchange controls except for certain categories of investment).
• Obtaining approval for building plans or she has tried to find a suitably qualified local • Applying for industry and export incentives employee prior to hiring a foreigner? • Applying for import permits and verifying import • Is the prospective employee appropriately INDUSTRIAL PROPERTY TO RENT IN HARRISMITH duties payable • Registering as an exporter if relevant and qualified and do they have the relevant experience? INDUSTRIAL PROPERTY TO RENT IN HARRISMITH FDC is renting out 18 850 sqm standalone factory including Furniture Manufacturing Machinery, Equipment, and Furniture for Business The factory is Situated at Site 2277 in Harrismith and close proximity to all amenities, on FDC is renting out 18 850 sqm standalone factory including Furniture Manufacturing Machinery, Equipment, and Furniture for Business Operation.. applying for an export permit. The factory is Situated at Site 2277 in Harrismith and close proximity to all amenities, on Operation..main arterial routes and Quick access onto N3 Freeway. This factory offers the following: Business permits main arterial routes and Quick access onto N3 Freeway. Sprinkler System. 4 Roller Doors Business entities Foreign nationals who wish to establish their own This factory offers the following: Sprinkler System. Security Guard House Well fenced and secured There are a variety of forms which businesses can business or a partnership in South Africa must, 4 Roller Doors Security Guard House Ample parking 3 phase power with 100 amps 8 toilets, 6 offices and boardroom, reception, kitchen and separate warehouse ablutions with take, including private and public companies, apart from having sufficient funds to support Well fenced and secured Ample parking shower personal liability companies, non-profit companies, themselves and their family, be able to invest at 3 phase power with 100 amps 8 toilets, 6 offices and boardroom, reception, kitchen and separate warehouse ablutions with Occupation available immediately. Please contact Mr Tefo Matla for more information or to view: state-owned companies and even branches of shower least R2.5-million in the business. Tel: 051 4000 800 Email: tefo@fdc.co.za www.fdc.co.za foreign companies (or external companies). The funds must originate overseas, be Occupation available immediately. Please contact Mr Tefo Matla for more FDC IS ZERO TOLERANCE TO FRAUD AND CORRUPTION.PLEASE REPORT FRAUD AND CORRUPTION INCIDENTS TO THE FRAUD HOTLINE 0800 212 154information or to view:
Branches of foreign companies fall under transferable to South Africa and belong to the Tel: 051 4000 800 Email: tefo@fdc.co.za www.fdc.co.za Section 23 of the Companies Act of 2008 and are applicant (ie emanate from the applicant’s own FDC IS ZERO TOLERANCE TO FRAUD AND CORRUPTION.PLEASE REPORT FRAUD AND CORRUPTION INCIDENTS TO THE FRAUD HOTLINE 0800 212 154 required to register as “external companies” with bank account). The business must also create the CIPC. An external company is not required jobs for South African citizens. After six months to appoint a local board of directors but must to a year, proof will have to be submitted that the appoint a person resident in South Africa who business is employing South African citizens or is authorised to accept services of process and permanent residents, excluding family members any notices served on the company. It must also of the employer. appoint a registered local auditor and establish a Applications for work permits for selfregistered office in South Africa. employment can only be lodged at the South African Consulate or Embassy in the applicant’s Patents, trademarks and copyrights country of origin. The processing fee is US$186. The Trademarks (including service marks) are valid for applicant would also have to lodge a repatriation an initial period of 10 years and are renewable guarantee with the consulate/embassy equivalent indefinitely for further 10-year periods. Patents are to the price of a one-way flight from South Africa granted for 20 years, normally without an option back to his or her country of origin. to renew. The holder of a patent or trademark This guarantee is refundable once the must pay an annual fee in order to preserve its applicant has either left South Africa permanently validity. Patents and trademarks may be licensed or obtained permanent residence. Any application but where this involves the payment of royalties for an extension of a business permit may be to non-resident licensors, prior approval of the lodged locally. The processing fee per passport licensing agreement must be obtained from holder is R425. Some countries also need to pay the dtic. South Africa is a signatory to the Berne R108 per return visa. Copyright Convention. A list of countries to which this applies is available from the Department of Home Affairs. Permits for foreign nationals The FDC assists investors in applying for the Work permits relevant work permits to conduct their business. In considering whether or not to grant a work permit, the Department of Home Affairs will first What can the FDC do for you? evaluate the validity of the offer of employment The FDC will help new businesses by assisting in by conducting a number of checks to confirm the project appraisal and packaging, putting investors following: in touch with relevant agencies and government • Has the Department of Labour been contacted? departments, alerting investors to investment • Has the position been widely advertised? incentives and setting up joint ventures where • Is the prospective employer able to prove that he required. ■
Growing the Dr Mbulelo Nokwequ, Head of Department at DESTEA, outlines some of the Free State’s tourism sector unique selling propositions.
The Tourism Unit of DESTEA is providing market access for local operators.
DESTEA’s Tourism Unit’s objective is to grow the tourism sector’s contribution to the Free State economy. In achieving this, various activities and functions are F ree State Province is situated in the heart of South Africa and shares borders with Lesotho and six other provinces. It provides easy access to the main ports of Durban, East London and Port Elizabeth. The Free State is an attractive business and investment destination. performed, which include: The province is at the centre of South Africa and the dominant sectors • Creating a conducive environment for tourism to are agriculture, mining, manufacturing and the tertiary sectors, making thrive • Formulating and implementing a Provincial Tourism Sector Strategy to guide tourism activities in the province • Providing market access opportunities both locally and internationally to provincial tourism enterprises • Roll out programmes to enhance visitor services • Promotion of tourism safety through among others, programmes such as the Provincial Joint Operational and Intelligence Structure (Provjoints), it ideal for transport logistics and agro-processing. Companies locating to Free State not only enjoy the opportunity to source inputs at competitive prices, but also to benefit from domestic, regional and international markets for their products and services. Because South Africa has been engaging with our economically large trading partners, access to international markets is facilitated through various trade preferences and free-trade agreements. and experience with law enforcement agencies, and also through As far as long-term investment is concerned, there are industrial • Facilitate and promote tourism education and implementing the Tourism Monitors Programme.parks and a Special Economic Zone (SEZ) that are supported by the capacity-building for the tourism sector Department of Trade, Industry and Competition. Industrial parks • Promote the culture of tourism and service Journey to Service Excellenceare situated in Maluti-A-Phofung, Botshabelo and Thaba Nchu. • an idyllic climate excellence Maluti-A-Phofung SEZ is situated in Tshiame. The J2SE will focus on nominating a small town • recreational and lifestyle • Promote transformation of the tourism sector for in the rural tourism nodes and assisting the The Free State’s strengths for inward investment are boosted by: facilities. inclusive tourism economy, as well as providing • openness to business, trade and foreign investment town to develop a service excellence-orientated • support to youth and women in tourism abundance of natural resources culture in their organisations and different Select investment opportunities • • Facilitating events tourism to reduce seasonality low factory rentals structures with strong media attention and focus include: and enhance geographic spread • Africa’s leading telecommunications network during the activation. A town will be identified • Agriculture and agro• Facilitate funding for initiatives that seek to and the principles of Service Excellence will be • incentive packages uniquely developed for Special Economic Zones processing develop and grow tourism in the province communicated to all organisations. A criterion has • incentives associated with the revitalised industrial parks • Tourism and property • been developed for the nomination which Free State Development Corporation (FDC) support services for development has been shared and discussed with relevant priority sectors such as agro-processing and manufacturing • Medical and pharmaceutical • a large labour pool stakeholders. A number of activities will be production and distribution • diverse cultures implemented in anticipation of the big media • Manufacturing • competitive land and building cost event to launch J2SE Town. • Renewable and clean energy At its core, the J2SE aims to bring together • world-class transport and telecommunications infrastructure • Medical tourism. the entire town including restaurants, accommodation facilities, tourist attractions, police, banks and petrol attendants, among 7 others, to be informed, trained and exposed to FREE STATE BUSINESS 2020 the four components of the SANS 1197:2012. A secondary objective of this programme is to establish a local Tourism Service Excellence structure or to link with existing structures to build a sustainable service culture. ■
Environmental sustainability
The Environment and Conservation Branch is working to promote a pristine environment that facilities economic transformation.
Environmental sustainability within the Free State Province is conducted within the prescripts of promoting Section 24 of the South African Constitution, recognising and promoting environmental rights as contained in the Bill of Rights. We also recognise our responsibility to promote a pristine environment that facilitates a transformative economic agenda to create jobs and a just society.
The main focus areas are: • Environmental Quality and Protection: environmental education and awareness; waste and air quality management; environmental impacts and assessments; EPWP. Also promoting the circular economy with a particular focus on waste and recycling. • Biodiversity Conservation and Research: maintenance of resorts and reserves; protected areas maintenance and expansion; biodiversity research; game culling and auctions including the transformation and promotion of Biodiversity Economy; transformative entrepreneurship; development and promotion of the wildlife economy.
Current considerations • Ensur ing sustainable environmental management. • Improve national and provincial state of environmental reporting. • Integration of environmental objectives in national, provincial and instruments and tools. • Implementation of Chapter 4 of NEMA provisions in relation to fair decision-making and conflict management (conciliation, arbitration and investigations). Responding to EIA complaints and appeals without compromising on economic transformation, job creation and the promotion of spatial integration. Conservation priorities The Free State is 128 000km² in extent, or 12.8-million hectares. This means that it is the third-largest province in South Africa. Located in the centre of the country, with ideal soils and climate, the province is an extremely important food producer and the environmental health of the province is therefore vital to the food security of the country.
The province boasts a strong conservation mindset, not only from within the DESTEA but also from land owners generally.
Prior to the adoption of the Free State Protected Area Expansion Strategy there were already 240 formally declared Nature Reserves in the province. Since the inception of the Biodiversity Stewardship programme an additional 53 000 hectares of private land have been declared and added to the conservation estate. Priority focus is now on extending these conservation areas into the remaining natural areas of the province thereby conserving wetlands, rivers, terrestrial ecosystems and species for future generations.
In addition to the formal conservation areas, there are over 300 000 hectares of game and mixed-species ranches. The province generates over R600-million per annum from the local hunting industry, which maintains many huntingsupport businesses such as taxidermists, curio producers, etc. ■
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MoneiSeleho,Nedbank'sProvincial ManagerforthePublicSectorinLimpopo andMpumalanga,saysthatgiventhe strategicimportanceofthepublicsectorto theeconomyandthecountryatlarge, Nedbankhasa dedicatedpublicsectorteam toprovidefinancialsolutionsthatenablethe broadermandateofservicedelivery.‘We understandthatthevariousspheresof governmentandtheiragenciesfaceunique challenges,andarereadyandabletodraw onthebank’sinnovative,seamlessand hassle-freeproductstohelpbuildagreater nation.’
Withanenduringbeliefinthevalueof strongpartnershipsinfacilitatingbusiness growth,effectivecommunitydevelopment andenvironmentalconservation,Seleho’s teamboastsextensiveexperiencein provincialandlocalgovernment,stateownedentitiesandeducationalinstitutions. ‘Ourservicesaretailoredspecificallyforthe needsofthepublicsectorandinclude extensivetransactionalbankingsolutions, shorttolongtermfunding,financial productsandservicesforpublicservants andvalue-addedservices.’
Inaddition,Nedbanksupportsitspublic sectorclientsontheirtransformation journeythroughtheimplementationof variousenterprisedevelopmentinitiatives. ‘Thefocustogrowsmallandmedium enterprisesisabusinessimperativefor economicsustainabilityaswellasfor ensuringathriving,vibrantsocialand economicfuture,’saysSeleho.
Weunderstandthat thevariousspheresof governmentandtheir agenciesfaceunique challenges…’ ‘
To findoutmoreabouthowNedbankcan partnerwithyourorganisation togrowa greaterSouthAfrica,pleaseemail MoneiSeleho at moneis@nedbank.co.za or visit www.nedbank.co.za/business
seemoneydifferently
MONEYEXPERTSBRINGING 21ST-CENTURYBANKINGTO LIMPOPOANDMPUMALANGA
ClaudeKeena,NedbankProvincialSalesManagerforLimpopo andMpumalanga,saysthatadeepconnectionwiththe communityiswhatunderlieshisteam'spersonaland professionalvalues.
Basedineachcommunity,ourteams haveathoroughunderstandingofthe localeconomyandagenuineinterest inthesuccessofeachclient.Webelievethat ourrolegoesbeyondprovidingbanking solutionsandweplayanactiverolein empoweringthecommunitiesinwhichwe operate.’
Keenasaysthat,asmoneyexpertswhodo good,Nedbankstrivestoempowerthe workplaceemployees whodrivethe Limpopo&Mpumalangaeconomy bysaving themtimeandmoney,aswellashelping themmanagetheirmoneybetterthrough the WorkplaceBankingsolution.
'Weassistclientstosavetimebyproviding onsiteassistancefromourdedicatedteams, andwehelpthemsavemoneythroughour preferentialbankingpackagesandour award-winning FinancialFitnessand ConsumerEducationprogrammes.These interventionsassistclientsinmanagingtheir moneybetterbyprovidingbudgetingand moneymanagementtraining,equipping theirstafftobetterdealwitheveryday moneymanagementchallenges'
Andtheinnovativebankingjourney continues,ensuringgreatervalueforclients. Ourmarket-leadingMoneyappallowsclients tomanageaccountsandinvestments,make paymentsandsetsavingsgoalsand budgetsfromtheirsmartphone.
Keenaaddsthatworkingwithcommunities isentrenchedinthebank’svaluesthrough communitydevelopment,skillsdevelopment, educationandjobcreation,aswell asenvironmentalconservation.‘Theseplay avitalroleinbuildingasustainableeconomy andvibrantsociety.Webelieveourfastgrowingpresenceincommunitiesgoesalong wayinenablinggreaterfinancialinclusion whilecontributingtowardseconomicgrowth,' hesays.
Ifyouareinterestedintakingyourbusiness tothenextlevelthroughourworkplace bankingsolutionandwouldlikemore informationabout Nedbank’sspecialised serviceoffering,pleasecontact ClaudeKeena at claudek@nedbank.co.za or visit www.nedbank.co.za.
seemoneydifferently
NEDBANK:PARTNERINGFOR GROWTHANDSUSTAINABLE AGRIBUSINESSES
AccordingtotheAgriculturalBusinessChamber(Agbiz), SouthAfrica’sagriculturalsectorisnotexpectedtobehitas hardbytheCovid-19pandemicastheglobalagriculturalsector.
Infact,thankstobumpergrainandfruit harvests,wecouldseea10%year-onyearrecoveryinGDPinthesectorfor 2020.Thecurrentmaizeharvestisup38% fromthe2018/19harvest,andisthesecondlargestharvestonrecord,whichmeans thatSouthAfricaremainanetexporterof maizeandcouldalsoexportmaizebeyond theAfricancontinent.
Whilethisisgoodnewsforaneconomy enteringwhat’sexpectedtobethedeepest recessiononrecord,theagriculturevalue chainfacesadauntingtask:toincreasefood productionby70%tomeetthedemandsofa globalpopulationthatisexpectedtoreach ninebillionby2050.Aswithmanyeconomic sectors,itisbecomingclearthattechnology andinnovationarethedriversinthe establishmentofmoreefficient,productive andsustainableagriculture.
IvorMeeding,NedbankRegionalManager AgricultureforMpumalanga,saysthat Nedbankhascreatedinnovativefunding solutionsdesignedtosupportfarmerswith sustainablefarminginterventionswherethe commodityproducedorinfrastructureitself isusedassecurity.‘Forexample,with droughtaperpetualthreatthatSouth Africafaces,ourfundingsolutionsrange fromwater-efficiencyinnovationsand cutting-edgeirrigationtoshade-netting, whichimprovestheyieldofunderperforming crops,protectsthemfromnaturalhazards andreduceswateruse.’
Nedbank'spurposeistohelpclients'see moneydifferently'andwedothisby applyingourbigger-picturebusiness bankingapproachtounderstandeach client’sbusinessandthespecificchallenges andopportunitiestheyface.Thisenablesus toprovidethebankingsolutionstheyneed, rangingfromtheinnovationsmentioned abovetoshort-andlong-termfinancial support,’hesays.
Nedbankhascreatedinnovative fundingsolutionsdesignedto supportfarmerswithsustainable farminginterventions…’ ‘
Ifyouwouldliketo seehowourspecialist teamscanassist you,orwantmore information,pleasesendemail IvorMeeding at ivorm@nedbank.co.za orvisit www.nedbank.co.za/business.
KEY SECTORS
Overviews of the main economic sectors of the Free State Agriculture Mining Oil and gas Manufacturing Tourism 36 38 39 40 41
