The delegation, comprising Inner City Regeneration Programme Manager Lungelo Buthelezi and Nomalanga Sokhela from the Economic Development Directorate, engaged global shipyards, captains, manufacturers and investors.  

They were supported on the ground by Brian Ngiba, Managing Director of Ziziba Holdings, Navigo’s strategic local partner. 

A major highlight of the visit was the ceremonial handover of the Letter of Intent (LOI) between eThekwini Municipality and Navigo, custodians of the YARE programme and widely regarded as the global leader in superyacht destination development. 

The LOI, signed by eThekwini City Manager Musa Mbhele, was formally presented by Buthelezi to Navigo President Katia Balducci at a high-profile event attended by industry leaders and international media in Viareggio, Italy. 

Through this partnership, Navigo has confirmed its commitment to mobilise significant private-sector investment towards Durban’s superyacht infrastructure and refit capabilities, with projected investment estimated at over R1.9-billion. 

The delegation also extended formal invitations to over 100 superyacht captains and more than 100 global yacht manufacturers to attend the YARE Symposium to be held in Durban in November this year.  

Durban will become the first African city ever to host this globally recognised event. 

Sentiments from shipyards and captains have been positive, signalling strong confidence in Durban’s emerging value proposition and market potential. 

The anticipated economic impact of this partnership is significant. Projections indicate that more than 2,500 direct jobs could be created by 2030 across marine engineering, refit services, advanced manufacturing and tourism. 

Parallel to this, eThekwini and the Durban University of Technology are advancing plans for Africa’s first Professionalised Superyacht Academy, which will train young South Africans in high-demand skills such as welding, marine engineering and advanced composites fabrication. 

Throughout the visit, from 8 to 16 March, Durban’s delegation held strategic engagements with senior executives from leading shipyards.  

The City’s proposed superyacht precinct, located on a 24-hectare site within the Port of Durban, was presented as a compelling and competitive offering for future investment.

In terms of the TNPA Ship Repair Strategy, this site is specifically reserved for the refit market, which includes superyacht servicing and maintenance, a key selling point for international investors. 

Reflecting on the historic moment, Buthelezi said that presenting the signed LOI to Navigo’s leadership on behalf of the City Manager was an honour, adding that the ceremony signalled Durban’s readiness and unwavering commitment to establishing a world-class superyacht ecosystem. 

Navigo President Katia Balducci affirmed the organisation’s confidence in Durban, stating: “This partnership represents the beginning of a historic chapter for Africa’s participation in the global superyacht industry. Durban has the vision, the infrastructure and the commitment to succeed.”

The Municipality is now moving into the next phase of implementation. Preparations are underway to host the YARE Symposium in Durban this November, alongside detailed planning for the proposed superyacht precinct. 

Strengthening Durban’s ocean economy

Participation in international platforms such as YARE – Yachting Aftersales & Refit Experience forms part of eThekwini Municipality’s broader strategy to grow the city’s ocean economy and attract global investment into the maritime sector.

By building strategic relationships with industry leaders and investors, Durban aims to unlock new opportunities for marine manufacturing, tourism development, skills transfer and job creation.

As the global superyacht industry continues to expand, Durban’s engagement with YARE demonstrates the city’s commitment to strengthening its position as a competitive maritime destination and a future hub for superyacht services in the Southern Hemisphere.

Contact the team!

International superyacht builders, refit specialists and global marina developers should contact Invest Durban as soon as possible to discuss opportunities in Durban.

Below are ten reasons why the ELIDZ presents a compelling environment for industrial investment.

1. Plug-and-play industrial land

Investors at the ELIDZ gain access to fully serviced, development-ready industrial land, with bulk infrastructure already in place. This means no delays, no hidden capital expenditure, and no servicing risks when establishing operations, providing a ready platform for industrial development.

2. Strategic automotive port access

The ELIDZ is located close to a dedicated automotive port. With automotive berth access, lower congestion, and faster turnaround times, manufacturers benefit from more efficient logistics and export movement. Location continues to play a critical role in industrial competitiveness.

3. A deep automotive skills base

East London is home to one of South Africa’s most mature automotive labour pools. Decades of OEM manufacturing expertise, combined with an MBSA-trained workforce and a strong pipeline from WSU and TVET institutions, contribute to a skilled and experienced workforce, supporting the continued growth of automotive manufacturing.

4. An established supplier network

The ELIDZ operates within a ready-made ecosystem of component manufacturers, logistics providers, and service companies. This established network helps reduce operational risk, retraining costs, and supply chain realignment for manufacturers, strengthening the industrial value chain.

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5. Strong government coalition

Investment within the ELIDZ is supported by collaboration between ELIDZ, DEDEAT, Buffalo City Metro, the Provincial Treasury, Transnet Port, and the DTI. This coalition works to unlock incentives, accelerate approvals, and de-risk investment, creating a coordinated approach to industrial development.

6. Green energy and smart manufacturing

The ELIDZ supports reduced energy costs and carbon footprint reduction, while enabling smart factory readiness, EV innovation, and green logistics solutions. This positions manufacturers for a more sustainable future.

7. A proven automotive zone

The ELIDZ has built a 20-year track record hosting Mercedes-Benz Tier 1 and Tier 2 suppliers, supporting export-focused manufacturing. This experience contributes to the Zone’s global credibility in automotive production.

8. Supporting localisation

Through the ELIDZ Manufacturing Incubator, enterprise development programmes support opportunities linked to the Geely value chain. Structured incubation programmes help strengthen local participation within the manufacturing sector.

9. Improving project economics

The ELIDZ provides access to a structured package of automotive and SEZ incentives designed to support investment, localisation, and export competitiveness. These incentives help strengthen the business case for industrial investment.

10. A de-risked investment environment

The ELIDZ provides investors with a proven industrial platform and a mature operating environment. This helps reduce ramp-up complexity and lowers transition risk when establishing operations, offering a practical pathway for industrial investment.

Connect with the ELIDZ team to explore available opportunities and join a growing manufacturing ecosystem. Visit www.elidz.co.za or contact 043 702 8200 to learn more about investment opportunities.

Here are 10 more compelling reasons to establish your business in the East London IDZ!

Key assets include Saldanha Bay Port—Africa’s deepest natural harbour—for bulk exports such as iron ore, supporting oil, gas, and maritime services. The district includes five municipalities: Matzikama, Cederberg, Bergrivier, Saldanha Bay, and Swartland. 

In 2024, the WCD generated R47.1-billion in GDPR (Gross Domestic Product per Region), contributing 5.1% to the Western Cape economy. It supported 182,346 jobs (7.1% of provincial employment). Sectoral composition in 2024 showed a balanced mix: 

• Primary activities: 25.0% of GDPR and 38.0% of jobs (agriculture dominant at 23.9% GDPR and 37.8% employment). 
• Secondary sector: 26.1% of GDPR (manufacturing 21.1%). 
• Tertiary sector: 48.9% of GDPR and nearly half of jobs (strong in trade, finance, personal services, and government). 

Growth opportunities abound in renewables (wind/solar farms), green hydrogen, aquaculture, agro-processing, and eco-tourism, driven by the revised Economic Development Strategy (May 2025), which emphasises inclusive growth for higher employment and incomes through private-sector innovation and stakeholder synergy. 

Projections & Featured Projects: Long-term GDPR growth 1.4%–2.0% annually through 2028. FDI since 2003: R631.7m (1,504 jobs).

Key projects:

• Matzikama Aquaculture Zone (R600m–R1bn),
• Clanwilliam Smart Town (R450m),
• Hopefield Museum (R6m),
• green hydrogen initiatives (multi-billion scale potential). 

Planning for Growth 

The Een Weskus / One West Coast Plan 2025-2050 (revised Nov 2025) and Spatial Development Framework (2020) guide sustainable development, focusing on nodes such as Saldanha-Vredenburg and the N7/Olifants corridors.

Under-supply of social facilities (e.g., 40 primary schools) creates opportunities for education/health investments. IDP Amendment (2022-2027) and 2024-2027 Budget/MTREF support these. 

Municipal investment profiling: A digital approach

In 2023, the South African Local Government Association (SALGA introduced the “Investment Profile Template Guide for Municipalities in South Africa” to help municipalities present their investment potential. Research showed only 15% of South African municipalities had investment profiles at the time.

However, limited financial and human resources have hindered digital promotion and investment attraction. SALGA has launched a programme to assist municipalities with digital initiatives, and the following municipalities are included in the first phase:

• City of Ekurhuleni (Gauteng) 
• West Coast District Municipality (Western Cape) 
• Mnquma Local Municipality (Eastern Cape) 
• Matjhabeng Local Municipality (Free State)

The main objective of this project is to provide municipalities with a platform to market themselves as investment destinations to both domestic and foreign investors using an already existing platform and access to the Global Africa Network audience.  

Dube TradePort is a designated SEZ, strategically located adjacent to the King Shaka International Airport in Durban, South Africa.

Spanning 2,840 hectares, it is the only facility in Africa that integrates an international airport with a dedicated cargo terminal, warehousing and logistics platforms, commercial offices, retail developments, and high-tech agricultural zones all within a single, secure precinct.

Current progress

• Trade Zone 1: Fully operational + 50 investors
• Trade Zone 2: Serviced and operational
• Trade Zone 3: EIA approved; engineering report to support SPLUMA (Spatial Planning and Land Use Management Act) submission
• Agri Zone 1: Fully Operational 
• Agri Zone 2: Development ready
• Support Zone 1: Development ready
• Support Zone 2: SPLUMA underway

Project info

• Investor: Dube TradePort Corporation (DTPC) (executing entity)
• Investment Value: R13-billion (to date)
• Construction Period: 2008 – 2068

Contact Dube TradePort

Project history

The Port Nolloth Atlantic Salmon Project forms part of a broader regional aquaculture initiative led by South African Atlantic Salmon (SAAS), developed in partnership with African Aquaculture Company (AAC) and Norwegian technology partners. The concept originated when a group of Norwegian aquaculture pioneers recognised the unique potential of the Benguela Current, which provides cold, nutrient-rich seawater ideal for salmon farming along the west coast of southern Africa.

Initially, AAC established offshore salmon operations in Lüderitz, Namibia, under Namibian Atlantic Salmon (NAS), using sea-based production methods. As part of the natural evolution of this initiative, a land-based expansion model was conceived for South Africa, where offshore conditions are too rough for traditional sea cages but the marine water quality is ideal for onshore flow-through systems.

SAAS was established in 2024 as a dedicated South African entity to develop this new onshore salmon farming industry. The project is based on Norwegian flow-through technology developed by Andfjord Innovation, which combines the biological advantages of sea farming with the environmental control and efficiency of land-based systems. This technology ensures high fish welfare, energy efficiency, and minimal ecological impact.

Following extensive site investigations supported by the Department of Forestry, Fisheries and the Environment (DFFE), two sites were identified for development:

• Paternoster (Western Cape) – Phase 1 pilot project (20 tonnes) and Phase 2 expansion site
• Port Nolloth (Namaqua Mariculture Park, Northern Cape) – Phase 2 expansion site

The Port Nolloth project will be the first large-scale onshore salmon operation in the Northern Cape, forming part of the Namaqua Mariculture Development Zone under the Operation Phakisa Oceans Economy Programme. It represents the regional expansion of SAAS’s model and a key step toward achieving a long-term production capacity of 100 000 tonnes per annum of sustainably farmed Atlantic salmon in Southern Africa.

The initiative combines Norwegian expertise and technology transfer with South African empowerment and local participation, in partnership with the Basani Marine Group (a 71% black-owned aquaculture investment company). It will contribute significantly to job creation, food security, export revenue, and regional economic diversification in the Northern Cape.

• Targeted sector: Aquaculture – Onshore Salmon Farming

Development area:

Description of the project

Southern African Atlantic Salmon (SAAS) aims to establish the first large-scale onshore Atlantic salmon farming operation in South Africa, using cutting-edge Norwegian flow-through technology. The company is looking at multiple locations along the coastline in the Western and Northern Cape provinces. The project will commence with a 20-tonne phase one in Paternoster, followed by a full-scale 10 000-tonne production phase.

SAAS is targeting to build a sustainable and ecologically sound fish farming industry in South Africa based on the learnings obtained in Norway over the last decades. Hatching eggs of salmon and trout in order to increase fish abundance in rivers and (re)introduction of fish in closed waters have a 170 years tradition in Norway and the industry has grown significantly over the last decades. The long term target is to produce 100,000 tonnes per annum of Atlantic Salmon in South Africa.

The West coast of southern Africa, from Gansbaai and up to Lüderitz, has ideal water temperatures for farming of Atlantic salmon. The Benguela current is transporting cold water from the Antarctic with typical water temperatures from 10 ºC to 16 ºC. East of Cape Agulhas, the water temperature is assumed to be too high for farming of Atlantic salmon. However, the South African coastline has very few sheltered bays that can be utilized for traditional net pen production and the available bays have depth restrictions, thus the farming is assumed to start onshore in controlled environment whereas offshore production units may be installed in the future.

SAAS will spear-head this potentially new industry in South Africa based on recent technological innovations from Norway. The company is searching for sites in South Africa and the team has visited multiple sites along the coastline of Northern and Western Cape based on recommendations from DFFE. Currently, two sites have been identified for salmon farming, the Namaqua Mariculture Park in Port Nolloth and the Oyster farm in Paternoster and the company has started to work on high level development plans for these areas.

The team has over the last years put in significant time and resources for development of salmon farming in South Africa. Combined knowledge of salmon farming and in-depth understanding of the specific sites and sea conditions provide the intellectual property to ensure success of this exciting venture.

Being a first in its kind in South Africa, the development will consist of multiple stages:

• Smolt will initially be produced at the Fizantakraal freshwater site in the vicinity of Paarl for continued supply of smolt. For commercial quantities a new company, “Benguela Smolt SA”, was incorporated to operate all future smolt requirements.
• Phase One to showcase the concept of farming salmon onshore in South Africa.
• Phase Two with construction of 8 pools for grow-out of salmon in commercial quantities of 10 000 tonnes to meet increasing demand domestically as well as for export.

A site has been secured for the initial smolt production, Fizantakraal, which takes place in fresh water. The site has been operating for more than 20 years and has also produced salmon smolt before, in addition to trout ova for export.

The project will follow the aquaculture regulations in South Africa and the project development will be based on the outcome of the pilot and the environmental impact assessment (the EIA report).

The company will import ova from leading suppliers, hatch the ova and grow the smolt to 100-150 grams in its facility in South Africa, and transport the smolt by road to the grow-out site in Paternoster. The salmon will be grown to 3,5 – 5 kg in onshore basins, before slaughtering and selling the salmon into the Southern African market until volumes reach the marked size where after export markets have been identified.

Operations are planned to start, subject to regulatory constraints, with import of ova in 2025 to start production of smolt. After approximately one year, the smolt can be transferred to the sea-water basins for the grow out phase which takes another year (12-14 months). After demonstrating commercial viability in South Africa, SAAS is planning a production ramp-up in steps of 10 000 tonnes towards the long-term goal of 100 000 tonnes production capacity in onshore basins split at different locations. Each production step of 10 000 tonnes is expected to give an annual revenue of around 80-million EUR based on the average salmon price of 8 EUR/kg .

The Pilot stage is expected to last for 2 – 3 years and with an expected corresponding investment of 3-million EUR.

For each 10 000 tonnes step, the capex investment is estimated to around 1,3-billion Rand.

The initiative aligns with South Africa’s Operation Phakisa Oceans Economy strategy and contributes to national goals for food security, job creation, and foreign currency generation.

Partnership

• Private sector
• Local municipality
• DFFE
• Stellenbosch University

Invest / Partner 

Potential private sector investment or business partners are encouraged to make contact with the project team. Please provide a brief introduction and summary of potential level of engagement:

Hosted by the East London Industrial Development Zone (ELIDZ) in partnership with the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) through the Natural Resources Stewardship Programme II (NatuReS II), the three-day regional exchange will take place from 24 – 26 February 2026 at the ELIDZ Conference Centre.

The gathering comes at a time when water security is increasingly becoming a defining challenge for economic growth and industrial sustainability across Africa. Delegates from South Africa, Ethiopia, Zambia and Tanzania — including representatives from government, industry, water utilities, academia, civil society and development institutions will share practical approaches aimed at strengthening water stewardship while sustaining industrial competitiveness and economic resilience.

Held under the theme: “From Source to Industry: Stewardship Multi-Stakeholder Partnerships for Socio-Ecological Transformation and Water-Smart Industrial Futures,” the exchange will explore how collaborative partnerships between industry, government and communities can respond to growing climate pressures and water scarcity challenges affecting industrial regions across the continent.

The programme will further showcase how industrial zones can serve as innovation platforms for sustainable resource management, highlighting the ELIDZ’s implementation of water stewardship initiatives as part of advancing integrated, climate-responsive industrial development.

Event details

• Event: Natures II Regional Learning Exchange 2026
• Dates: 24-26 February 2026
• Time: 08:30-17:00
• Venue: ELIDZ Conference Centre, East London

Programme highlights

Media will have opportunities to cover:

• Opening leadership addresses outlining regional priorities for water security and sustainable industrialization
• High-level discussions on the link between water resilience and industrial competitiveness
• African case studies demonstrating multi-stakeholder stewardship partnerships
• Industry dialogue on the business case for water stewardship
• Guided site visits showcasing ELIDZ water stewardship infrastructure, including water testing and alternative water-sourcing facilities
• Interview opportunities with programme leaders, technical experts, and participating stakeholders

Members of the media are invited to attend selected sessions and engagements during the programme. Media representatives are requested to confirm attendance in advance for accreditation and logistical arrangements.

Media RSVP & enquiries

• Siphosethu Tikana (CPRP)
• Acting Manager: Marketing & Corporate Communications
• East London Industrial Development Zone (ELIDZ)
• Email: siphosethuti@elidz.co.za | Website: www.elidz.co.za

About East London Industrial Development Zone (ELIDZ)

The East London Industrial Development Zone (ELIDZ) is a prime industrial site in South Africa. It is geographically designated and positioned for specialised industrial activity. The ELIDZ was one of the first IDZs in South Africa to be awarded a provisional operator’s licence in September 2002.

Renowned for its leadership sustainability, the ELIDZ has earned the prestigious title of being named one of the world’s leading Eco-Parks. This recognition, awarded by the United Nations Industrial Development Organisation’s (UNIDO) Global Eco-Industrial Park Programme (GEIPP), highlights the ELIDZ’s unparalleled commitment to environmental conservation.

Serving as a global model for eco-industrial parks, the ELIDZ epitomises innovation, infrastructure, and skills development as crucial elements for unlocking economic opportunities, not only in South Africa but worldwide.

Mpumalanga is one of South Africa’s most productive and important agricultural regions and through strategic investments in the Mpumalanga International Food Market (MIFM) and the Nkomazi Special Economic Zone (NSEZ) the province is set to become a major force in food production and distribution.

Mpumalanga’s sophisticated and well-segmented tourism and hospitality sector is ripe for investment and expansion.

Mpumalanga economy

The provincial economy of Mpumalanga is exceptionally diverse. Established industries in the province include Mining, Stainless Steel, Petrochemicals, Pulp and Paper, Ferro-Alloys, Energy Generation, Tourism, Agriculture and Agro-Processing.

Companies in these sectors include global giants in their industries such as Sasol (energy and chemicals), Sappi (paper, packaging, pulp and forests), Samancor Chrome (ferrochrome), Exxaro, ARM and Glencore (mining).

The province’s commercial farmers are among the most efficient in the world, exporting huge quantities of everything from citrus to macadamia nuts. Columbus Stainless is the only stainless-steel manufacturer on the continent.

Governance

The province has three district municipalities and 17 local municipalities. Several agencies which promote the regional economy report to the Mpumalanga Provincial Government. Large parts of the province comprises extensive rural villages that form part of areas run by traditional authorities.

Transport

Kruger Mpumalanga International Airport (KMIA) in Mbombela plus many airfields such as Middelburg. Extensive freight rail network, busiest in South Africa. The N4 highway (Maputo Corridor) is an east-west spine of a highly developed road system.

Mpumalanga’s strategic location makes it a valuable transport and logistics hub:

• Maputo Development Corridor enhances logistics
• Preferential access to lucrative EU market
• Proximity to South Africa’s economic heartland
• Access to regional SADC market: 360-million population
• Access to deepwater Port of Maputo

Maputo Development Corridor

The Maputo Development Corridor is South Africa’s leading Spatial Development Initiative (SDI), linking Mpumalanga Province, Gauteng Province and the Nkomazi Special Economic Zone with the deepwater Port of Maputo in Mozambique.

This efficient corridor provides investors and exporters with good access to the export markets of South East Africa, the Indian Ocean Rim and Far East Asia. The Maputo Development Corridor comprises road, rail, Special Economic Zone, border posts, port and terminal facilities.

Mpumalanga’s diverse and resource-rich economy makes it one of the most attractive trade and investment destinations in South East Africa.

The corridor runs through the most highly industrialised and productive regions of Southern Africa. The Corridor has been extensively upgraded to international standards and links the industrial heartland of South Africa to its nearest port in Maputo, Mozambique, which is one of the fastest-growing countries in South East Africa.

Unique selling proposition

• Abundant resources: minerals and agricultural produce
• Established manufacturing infrastructure: smelters, petrochemicals, food processing, paper, sugar
• Strategic location: access to regional and global markets
• Tourism hotspots: the iconic Kruger National Park, world-class reserves, adventure tourism and new UNESCO World Heritage Site
• Mpumalanga International Food Market (MIFM)
• Nkomazi Special Economic Zone (NSEZ)
• The University of Mpumalanga
• Support for Green Economy research and investment

How to invest in Mpumalanga

The Mpumalanga Economic Growth Agency (MEGA) is the official Economic Development Agency for the Mpumalanga Provincial Government and an entity of the Department of Economic Development and Tourism.

MEGA’s primary mandate is to foster the sustainable growth and development of Mpumalanga’s economy through its operational activities of Trade and Investment Promotion, Development Funding, Equity Investments, and Property and Infrastructure Development. The Agency remains accountable to the Mpumalanga Department of Economic Development and Tourism (DEDT).

MEGA is the foreign investor’s or trader’s first point of contact for doing successful business in Mpumalanga Province. Through the Trade and Investment Promotion Division, the Agency provides a variety of services to potential investors and trading partners.

MEGA services

MEGA staff will go out of their way to make the process of investing in Mpumalanga
or starting a business in the province easy. MEGA is focussed on customer needs
and provides innovative solutions with a high level of service. Services include:

• Trade and Investment Promotion
• Properties and Infrastructure
• Funding

Planning the way forward

National government has articulated a Nine-Point Plan which seeks to prioritise projects that will tackle key economic issues. MEGA is aligned with the plan, which include issues relevant to growing the provincial economy:

• • revitalise agriculture and the agro-processing chain
  • advancing mineral beneficiation
  • implementing the Industrial Policy Action Plan (IPAP) effectively
  • unlocking the potential of SMMEs, cooperatives and township and rural enterprises
  • resolving the energy challenge
  • stabilising the labour market
  • upscaling private investment
  • investment in science and technology, water and sanitation, transport and broadband connectivity

Invest in Mpumalanga — Contact MEGA 

Interested companies or individuals seeking to gain access to the vast opportunities available to investors in Mpumalanga, please send a brief message of introduction, indicating your main business or investment objectives:

More investment opportunities in Mpumalanga:

• • PPP opportunity to invest in the Blyde River Canyon Cableway Project
  • Partnership opportunity in development of hydroelectric power station
  • Hotel development opportunity in prime tourism spot
  • Investment opportunities in the Agriculture sector
  • Investment opportunities in Mpumalanga’s tourism sector
  • Invest in the development of a connected urban park in Mbombela, South Africa

Mpumalanga Trade and Investment Profile

Find more details about the economy of Mpumalanga and explore existing opportunities in the region: 

The Free State Province lies in the heart of South Africa, with the Kingdom of Lesotho nestling in the hollow of its bean-like shape. Situated between the Vaal River in the north and the Orange River in the south, the region is one of flat, rolling grassland and fields of crops, rising to lovely mountains in the north-east.

The Free State shares borders with six other provinces and provides easy access to the main ports of Durban, East London and Gqeberha (Port Elizabeth). The country’s major national highway, N1, runs through the centre of the province on a north-south axis.

Mangaung, comprising Bloemfontein, Botshabelo and Thaba Nchu, is South Africa’s newest metropolitan authority. The Bram Fischer International Airport in the provincial capital is the site of a multi-phase industrial and commercial development.

The N8 Corridor covers Bloemfontein, Botshabelo and Thaba Nchu and contains projects including the ICC Precinct (hotel and convention centre in Bloemfontein), Bio-Medical Park, Airport Node (logistics and supply chain, warehouses, residential apartments, hospitals, schools, hotels and new shopping malls), and tourism infrastructure for the Naval Hill development.

The province has an established institutional, educational and administrational infrastructure and is home to the Supreme Court of Appeal, the University of the Free State and the Central University of Technology.

Multiple sector opportunities

The Free State is home to immense investment opportunities in sectors such as agriculture, agro-processing, manufacturing, ICT, infrastructure development, green energy, construction, tourism and trade.

Some of the biggest current sectors in the province are agriculture, mining, manufacturing and tertiary sectors, making it an ideal location for transport logistics and agro-processing operations. The province is the granary of South Africa, with agriculture central to its economy, while the mining industry is still a large employer.

The province supplies significant proportions of the nation’s sorghum (53%), sunflowers (45%), potatoes (33%), groundnuts (32%), dry beans (26%), wool (24%) and almost all of its cherries (90%). Red meat and dairy are other important products, while game hunting is a growing sector. Crop production represents about two-thirds of the province’s gross agricultural income. The main crops are maize and wheat. Sunflowers, sunflower seeds, sorghum and soybeans are other major crops. The Mangaung Fresh Produce Market plays a vital role in the sector, catering to householders, bulk buyers, informal traders, agents and farmers.

Opportunities are opening up in the province’s gas and energy sector, with exploration licences being granted, and a R200-million plant started producing liquified natural gas (LNG) and helium in 2022.

Opportunities in renewable energy are boundless. Rezoning for solar farms has already taken place in Theunissen, Bloemfontein, Fauresmith and Hoopstad. Solar projects include the 60MW Boshoff Solar PhotoVoltaic (PV) park (Sun Edison) and the 64MW Letsatsi Solar PV (Solar Reserve, Kensani Group and Intikon Energy).

Sasolburg, on the province’s northern border, is one of the country’s most important industrial complexes. It is home to the global giant Sasol and several other chemical facilities. Other towns that are the centre of economic activity include Kroonstad, an important agricultural, administrative and educational centre; Parys, on the banks of the Vaal River; QwaQwa, a vast settlement known for its handcrafted items; Ficksburg, famous for its cherry festival; and Bethlehem, gateway to the Eastern Highlands.

Companies locating to the Free State not only enjoy the opportunity to source inputs at competitive prices, but also 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.

Adding to the province’s attractiveness as an investment destination, there are several industrial parks and a Special Economic Zone (SEZ) that are supported by the National Department of Trade, Industry and Competition (dtic). Industrial parks are situated in Maluti-A-Phofung, Botshabelo and Thaba Nchu. The Maluti-A-Phofung SEZ (MAPSEZ) is situated in Tshiame in the northern part of the province, on the busy N3 highway.

The N3 transports vast amounts of cargo between Johannesburg and Durban, and the infrastructure at the MAPSEZ has been set up in such a way as to suit logistics operators. Manufacturing opportunities are also encouraged within the MAPSEZ and attractive concessions and allowances are available to investors. The key sectors that are being targeted are automotive, agro-processing, logistics, general processing, ICT and pharmaceuticals.

Contact

To find out about a specific opportunity or discuss your potential investment in the Free State, please contact the Free State Department of Small Business Development, Tourism and Environmental Affairs here:

[contact-form-7]

During this mission, IPD experts will conduct visits to selected companies to evaluate key aspects such as product quality, export readiness, and compliance with European standards.

This initiative is fully funded by the German Federal Ministry for Economic Cooperation and Development (BMZ), which means that all services provided by the IPD are offered at no cost.

Additionally, participating companies will gain access to valuable resources, including training sessions, workshops, and personalized coaching on EU market regulations, product quality assurance, certifications, and export documentation.

• Download the German Import Promotion Desk brochure from the ECDC website here
• To register, please follow the link below:
  Company Profile – Natural Ingredients South Africa
• Enquiries should be directed to exporthelpdesk@ecdc.co.za.

Project background

Through the Accelerated and Shared Growth Initiative for South Africa (AsgiSA), public sector infrastructure investment in the form of bulk water and water distribution has increased and important issues have been tackled.

Core agricultural strategies have sought to:

• Enhance equitable access to and participation in agricultural opportunities and to unlock entrepreneurial potential.
• Enhance profitability through sustained global competitiveness in the agricultural sector’s input supply, primary production, agro-processing and agro-tourism industries.
• Enhance farmers’ capacities to use resources in a sustainable manner and to ensure the wise use and management of natural resources.

For example, assets mainly sitting in the hands of black farmers but without commercial value has been addressed through zoning and Agricultural Hubs. Through other support initiatives such as the Orange River Farmer Settlement and Development Programme, 4 000 ha Water Rights Programme and the Land and Agrarian Reform Programme, the Namakwa Irrigation Development was born.

Project description

The project will develop approximately 3 200 ha of high-potential arable land in the Namakwa District. This arable land is located in 11 distinct areas. Each of these have been described, planned and costed individually. Onseepkans has been identified as the pilot to this larger project and the bulk water system is being constructed. Of the identified land, 2 000ha has existing water licences. A further 1 200 ha will have to be secured.

The basket of products to be produced include cash crops such as lucerne and grains, but the bulk of the development is aimed at high-value crops with export potential in order to secure significant growth on the required investment.

This development will generate R521-million per annum in value of production when in full production. It will lead to an increase in the Gross Domestic Product (GDP) of the Namakwa District. Additional value will be added through inputs such as machinery and equipment, chemicals, packing material, fuel, electricity, water, etc.

This development would add an additional R200-million to the Namakwa economy on a direct level. Adding the indirect and induced levels, the impact on GDP exceeds R272-million per annum for the entire economy.

Project finance

The project so far has been funded by government through conditional grant funding but it is expected that strategic and equity partners will be invited to participate.

The anchor project of the Namakwa Irrigation Development is in Onseepkans and over R120-million is being spent by government on the bulk water and water distribution networks to irrigate plots and new developments.

A further R30-million has been spent in the development and maintenance of vineyards to produce export raisins. Equity investors and BBBEE investors are sought.

Project status

The anchor project is currently being developed and stakeholders include the IDC and Raisins SA. Bankable business plans and feasibility studies have been conducted.

Partnerships

• Department of Agriculture, Land Reform and Rural Development (Provincial and National)
• IDC
• Khai-Ma Local Municipality

Invest in this project:

For more information about the investment opportunity, please contact the team here with reference: Namakwa Irrigation Project.

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