Pretoria – The Department of Trade and Industry (dti) has welcomed Cabinet’s approval of the Musina-Makhado Special Economic Zone (SEZ) in Limpopo.
In a statement on Monday, the dti said the designated zone will promote industrial development in the region, with a specific focus on mineral beneficiation, agro-processing, petro-chemicals, and other light industries.
This SEZ is anchored in an investment of over R40 billion in the energy and metallurgical industrial cluster. The implementation of various projects over the next five years is expected to create over 21 000 jobs.
The Musina-Makhado region is also part of the Trans-Limpopo Spatial Development Initiative and is well positioned for regional integration and linkages with Mozambique, Zimbabwe and Botswana. Musina is also the main land-based trade route between South Africa and the broader African continent. This development will also improve rail and road transport links between South Africa and the rest of the continent.
In March, Trade and Industry Minister Rob Davies published his intention to designate the South African Energy and Metallurgical SEZ for public comment.
The designation is in line with the Industrial Policy Action Plan (IPAP), which has identified SEZs as strategic interventions designed to accelerate economic development through greater investment, export volumes and job creation.
“In alignment with the National Development Plan (NDP), this development is intended to accelerate economic growth, attract foreign and domestic direct investment, expand the manufacturing sector and mineral beneficiation, as well as create employment in the region,” said Minister Davies on Monday.
The designation of the zone was preceded by an extensive public consultation process that was undertaken by the dti in April this year. During the public hearings and meetings held in Musina, Makhado and Nzhelele, members of the local communities expressed their support for the creation of the SEZ in the area.
They said job creation through fair employment processes, capacity building and skills development, financial support and development of local small, medium and micro enterprises (SMMEs), co-operatives and empowerment deals for facilitating equitable ownership, need to be prioritised. – SAnews.gov.za
