Pretoria - Chinese company Rayal Porcelain Roof and Floor Tile Manufacturing, which has invested more than R300 million in the country, is set to increase its work force in the near future.
Trade and Industry Deputy Minister Elizabeth Thabethe on Tuesday visited the company located in Bronkhorstspruit.
The company, which currently employs over 300 people, intends on tripling its work force between 2015 and 2016, its executive director Yi John Zhu said during the deputy minister’s visit.
“Our total investment up to now is R320 million, combining workshop space and production line. In the near future, we intend to set up more production lines according to the market needs, which can expand to three to four production lines, to cover different types of tile products,” Zhu said.
Thabethe said the company’s investment in the country was a sign that government’s strategy of attracting foreign direct investment was having the desired effect.
In 2009, the company expressed interest to set up operations in South Africa.
“We assisted them to meet all the strategic requirements. The purpose of [today’s] visit is to determine how far they have advanced since the beginning. Judging by the advanced state of their operations, it is safe to say that our attractive incentive programmes and aggressive marketing of our country through trade fairs and investment missions is having a desired effect,” said Thabethe.
If the country can attract more foreign direct investors like Rayal, then South Africa will be able to see increased investment, which will in turn stimulates job creation, said the deputy minister.
The company employs 230 locals and 80 Chinese nationals.
“Full implementation of our business model will see us increase our total workforce to between 800 and 1 000,” added Zhu.
The Department of Trade and Industry will assist the company to reach full capacity by accessing some of the incentives that are on offer at the department.
“We have had fruitful discussions and have established a few areas where we can assist the company to fast track its expansion goals. We will assist them to acquire our Manufacturing Competitiveness Enhancement Programme (MCEP) incentive, to allow them to build their own sub-station to tackle their electricity supply challenge,” said Thabethe.
The programme offers incentives designed to drive growth and promote competitiveness in the manufacturing sector. It includes a package of incentives specifically designed for established manufacturers with the aim of promoting competitiveness and retaining jobs.
MCEP has helped to sustain over 100 000 jobs since its inception in May 2012.
Thabethe’s visit is a follow up to a bilateral meeting that took place last year in Shanghai during the South African Expos in China. - SAnews.gov.za
