Posted: February 19, 2019
Minister Davies pleased with Saldanha Bay IDZ entering an operational mode
|The Minister of Trade and Industry, Dr Rob Davies has expressed contentment with the new investment agreements that the Saldanha Bay Industrial Development Zone concluded, which now bring the total number of signed investors to eight and investment value totaling just over R3 billion.
Five of these investors include international investors from the United Kingdom, Europe, the Middle East and Africa, with the rest being local South African companies. All these investors are investing in a variety of fabrication workshops for steel and other metals, equipment and marine repair facilities, oil lubricant and fuel plants, as well as specialised engineering services.
The investors are targeting construction to start between March 2019 and March 2020.
“The investments signal a significant start of establishing new industrial value-chains in and around the Port of Saldanha. The Saldanha Bay Industrial Development Zone is part of the Department of Trade and Industry’s (the dti) Special Economic Zones Programme and is developing into a world-class offshore and maritime hub,” says Davies.
He adds that having established most of the major land-based infrastructure and some of the marine infrastructure, their partnership with the Transnet National Ports Authority has already started some of the design and commercial work for expanding the infrastructure offering with additional port facilities. The value proposition to the market also includes a free port model for optimal operational ease, in a sector where logistics efficiency and certainty are as valuable as quality engineering services.
“The Saldanha Bay IDZ’s investment pipeline includes at least five more investments that are close to conclusion. If these are realised they will add another R2.4 billion of investment to the short and medium term outlook of the zone. The total investor pipeline includes around 40 additional interested companies in various stages of engagement,” says Davies.
The Minister of Economic Opportunities in the Western Cape, Ms Beverley Schäfer says these investments by local and international investors signal confidence in the oil, gas and maritime sector will contribute to opportunities for the development of small businesses in the region.
“We have already seen significant strides in skills development as a result of our focus on the oil and gas sectors and continued growth and investment has the potential for further skills development and job creation opportunities into the future,” says Schäfer.
Issued jointly by the Department of Trade and Industry (the dti) and the Western Cape Government.