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The Eastern Cape, a land of undulating hills, expansive sandy beaches, majestic mountain ranges and emerald green forests, is the second-largest of the nine provinces in terms of surface area. The region boasts remarkable natural diversity, ranging from the dry, desolate Great Karoo to the lush forests of the Wild Coast and the Keiskamma Valley; the fertile Langkloof, renowned for its rich apple harvests; and the mountainous southern Drakensberg region at Elliot. The Eastern Cape’s main feature is its spectacular coastline lapped by the Indian Ocean. With its long stretches of pristine sandy beaches, rocky coves, secluded lagoons and towering cliffs, the coastline provides the province with an unsurpassed natural tourist attraction. The graceful curve of Algoa Bay provides an ideal setting for the port of Port Elizabeth. East London offers equally favourable harbour facilities. The province is serviced by three airports situated in Port Elizabeth, East London and Mthatha. The architecture of many of its cities and towns reflects the rich heritage of its people. Important towns in the province include Bhisho, the capital; Uitenhage, which has important motor vehicle-manufacturing and related industries; King William’s Town, rich in early settler and military history; Grahamstown, also known as the “City of Saints” because of its more than 40 churches; Graaff-Reinet, with its interesting collection of historic buildings; Cradock, the hub of the Central Karoo; Stutterheim, the forestry centre of the province; Aliwal North, famous for its hot sulphur springs; and Port St Johns, the largest town on the Wild Coast. In the Eastern Cape, various floral habitats meet. Along the coast, the northern tropical forests intermingle with the more temperate woods of the south. This makes for an interesting forest habitat of various species endemic to this region. Age-old forests occur at Keiskammahoek, Dwesa, Port St Johns and Bathurst; dune forests are found at Alexandria; and man groves along the Wild Coast. Rolling grasslands dominate the eastern interior of the province, while the western central plateau is savanna bushveld. The northern inland is home to the aromatic, succulent-rich Karoo. The peopleThe Eastern Cape has almost seven million people living on 169 580 km2 of land. The majority of the people speak isiXhosa, followed by Afrikaans and English. The province has a number of Higher Education institutions, including the:
Primary education is nearly universal, with only 2,6% of children not attending primary school. Some 84% of adults are functionally literate and 96% of youths are literate. The infant mortality rate has decreased consistently from 4,2% in 2003/04 to 3,32% in 2006/07. According to the Labour Force Survey, released in March 2008, the official unemployment figure is 23,1%. Agriculture, fishing and forestryThe Eastern Cape has excellent agricultural and forestry potential. The fertile Langkloof Valley in the south-west has enormous deciduous fruit orchards, while the Karoo interior is an important sheep-farming area. Angora wool is also produced here. Working closely with local municipalities, communities and key stakeholders, the special-purpose vehicle, AsgiSA (Eastern Cape) Pty Limited will play a facilitative role in unlocking investment opportunities estimated at more than R4,2 billion through rural development zones. These programmes include forestry development and timber processing, intensive agriculture and agroprocessing. The development of alternative and local vegetable marketing and processing facilities through an agri-park concept ensures that excess household production is appropriately channelled to benefit producers. The agri-park initiative has been developed in co-operation with the University of Fort Hare. The first satellite agri-park is being initiated at Dutywa. The Alexandria-Grahamstown area produces pineapples, chicory and dairy products, while coffee and tea are cultivated at Magwa. People in the former Transkei region are dependent on the farming of cattle, maize and sorghum. An olive nursery has been developed in collaboration with the University of Fort Hare to form a nucleus of olive production in the Eastern Cape. Extensive exotic forestry plantations in the high rainfall areas of Keiskammahoek provide employment for large numbers of the population. The province is a summer-rainfall region with high rainfall along the coast, becoming gradually drier behind the mountain ranges into the Great Karoo. The Eastern Cape Provincial Government plans to develop the province’s forestry and timber industry by creating up to 100 000 ha of plantations over the next 10 years. The Eastern Cape has been selected as the national pilot for the implementation of biofuels, through the mass planting of canola. This project has the potential to create 21 600 direct and indirect job opportunities. The basis of the province’s fishing industry is squid, some recreational and commercial fishing for line fish, the collection of marine resources and access to line-catches of hake. Ostrich exports are flourishing and the provincial Department of Agriculture has been hailed for the support it is giving this industry. Each ostrich-export establishment has a resident official veterinarian, which is a requirement for exporting ostrich products to the European Union. The game industry is enjoying unprecedented demand in the international market due to health-conscious consumers increasingly demanding lean organic game meat. IndustryThe Mzimvubu Project is key to turning around the economy of the region to establish a modern agro-industrial economy centred around Mthatha, in the same way that the industrial development zones (IDZs) of Coega and East London are clustering industrial development in those areas. The Provincial Industrial Strategy, launched in May 2008, outlines broad government efforts that are necessary to transform the structure and distribution of industrial activity in the Eastern Cape to meet particular economic, social and political objectives. These objectives include job creation (and job retention), increased and sustained growth, income distribution, spatial distribution of economic activity, deracialising ownership of the economy and promoting social forms of ownership. The metropolitan economies of Port Elizabeth and East London are based primarily on manufacturing, the most important industry being motor manufacturing. The province is the hub of South Africa’s automotive industry. Several of the world’s biggest motor manufacturers, such as Volkswagen, Ford (Samcor), General Motors (Delta) and DaimlerChrysler, have plants in the Eastern Cape. With two harbours and three airports offering direct flights to the main centres, and an excellent road and rail infrastructure, the province has been earmarked as a key area for growth and economic development. Environmentally friendly projects include the Fish River Spatial Development Initiative (SDI), the Wild Coast SDI, and the West Bank (East London) and Coega IDZs. The latter, 20 km east of the Port Elizabeth-Uitenhage metropoles, was the first IDZ to be earmarked, and is one of the biggest initiatives ever undertaken in South Africa. Plans for the development of the area as an export-orientated zone include the building of the port of Ngqura. The railway from Mthatha to East London was refurbished and the process of finding an operator for the line initiated. The Eastern Cape is becoming more accessible as the Provincial 2010 Public Transport Plan, which links air, road, rail, maritime, taxi and bus operations, is being implemented. In 2008/09, substantial resources were being invested in the road network. This included R1,5 billion for building new roads, rebuilding existing roads and maintenance. The extension of the N2 from Kei Mouth to Port St Johns – the Wild Coast meander – will unlock the tourism potential of the scenic coastline. In addition, the 248-km road will also facilitate agricultural and economic productivity, and access to government services at schools, clinics and police stations. Some R363 million has been allocated for Expanded Public Works Programme projects in road construction, providing job opportunities for 6 000 people. The R78-million upgrade of the Bhisho Airport was completed in 2008 and Mthatha Airport is being upgraded at a cost of R60 million. 2010 World CupIn King Sabata Dalindyebo Municipality, the final design for a new 15 000-seater stadium had been approved and R100 million has been allocated for the construction of this facility. In Buffalo City, two stadiums – Absa Stadium, which seats 10 000 and Bhisho Stadium with 20 000 seats – are being refurbished. The city has been identified as a basecamp city for training prior to and during the 2010 World Cup. The provincial Department of Sports, Recreation, Arts and Culture has partnered with the Educational Institute for Service Studies in Port Alfred, to upscale the capacity of bed-and-breakfast owners. Parallel to the football spectacular, there will be an arts and culture programme. A crafters’ database was being compiled, together with three additional crafter-hubs in Dimbaza, Dispatch and Flagstaff. Fan parks – public viewing areas with large-screen TVs, entertainment and food and beverage stands – will be established for the tournament. KwaZulu-Natal
Aptly called South Africa’s “Garden Province”, KwaZulu-Natal is one of the country’s most popular holiday destinations. This verdant region includes South Africa’s lush subtropical east coast. Washed by the warm Indian Ocean, it stretches from Port Edward in the south, and northwards to the Mozambique boundary. In addition to the magnificent coastline, the province also boasts sweeping savanna in the east, and the majestic Drakensberg mountain range in the west. Visitors to KwaZulu-Natal can either disembark at Durban International Airport, which handles more than 2,5 million passengers a year, or at Durban harbour. Alternatively, they can make use of the extensive national road network. KwaZulu-Natal is one of the major tourist destinations in South Africa. Durban is one of the fastest-growing urban areas in the world. Its port is the busiest in South Africa and one of the 10 largest in the world. The port of Richards Bay handles over 1 000 containers per month. Combined, these two ports handle about 78% of South Africa’s cargo tonnage. KwaZulu-Natal is the only province with a monarchy specifically provided for in the Constitution. Richards Bay is an important coal-export harbour. The province has several popular coastal holiday resorts, such as Port Shepstone, Umhlanga Rocks and Margate. In the interior, Newcastle is well known for steel production and coal mining, Estcourt for meat processing, and Ladysmith and Richmond for mixed agriculture. The KwaZulu-Natal coastal belt yields sugar cane, wood, oranges, bananas, mangoes and other tropical fruit. The province is also well known for its active conservation activities. There are several reserves in the province such as the Royal Natal National Park, Giant’s Castle and the Kamberg Nature Reserve. Some of South Africa’s best-protected indigenous coastal forests are found along the subtropical coastline of KwaZulu-Natal; for example, at Dukuduku and Kosi Bay. It is also along this coast that the magnificent St Lucia Estuary and Kosi Bay lakes are located. In 1999, the Greater St Lucia Wetlands Park was declared a world heritage site. It has since been renamed iSimangaliso Wetland Park. Separating KwaZulu-Natal from Lesotho, the Drakensberg runs 200 km along the western boundary of the province. The northern part of the province, south of the Swaziland border, is typical African savanna, providing a natural backdrop for its rich wildlife, which is protected in several game parks. The peopleKwaZulu-Natal has more than 10 million people living on 92 100 km2 of land (Community Survey, 2007). The principal language spoken is isiZulu, followed by English and Afrikaans. Remnants of British colonialism, together with Zulu, Indian and Afrikaans traditions, make for an interesting cultural mix in the province. The province boasts several universities, universities of technology and other educational institutions, including the University of KwaZulu-Natal and the Durban Institute of Technology. Agriculture and industryKwaZulu-Natal ranks second as a major contributor to the economy, accounting for 16,7% of South Africa’s GDP. The KwaZulu-Natal Government has embarked on a strategy to attract investors to the province. A project involving a developer from the United Arab Emirates comprises a multibillion-rand investment on the northern side of uThukela River in the Macambini area. The project will be implemented in phases and will create thousands of permanent jobs. This will be the fifth project of its kind in the world based on the concept of a “city within a city”. The project will be a fully integrated tourist destination located on about 7 500 ha. It will comprise a variety of market-segmented residential communities, entertainment attractions, hospitality, education, healthcare, leisure, retail and commercial offerings. Richards Bay is the centre of operations for South Africa’s aluminium industry. The Richards Bay Coal Terminal is instrumental in securing the country’s position as the second-largest exporter of steam coal in the world. Richards Bay Minerals is the largest sand-mining and mineral-processing operation in the world. The motor vehicle-manufacturing industry has created a considerable multiplier effect in component- and service-providers. In recent times, the province has undergone rapid industrialisation owing to its abundant water supply and labour resources. Industries are found at Newcastle, Ladysmith, Dundee, Richards Bay, Durban, Hammarsdale, Richmond, Pietermaritzburg and Mandeni. The sugar-cane plantations along the Indian Ocean coastal belt form the mainstay of the economy and agriculture of the region. The coastal belt is also a large producer of subtropical fruit, while the farmers in the hinterland concentrate on vegetable, dairy and stock farming. Another major source of income is forestry in the areas around Vryheid, Eshowe, Richmond, Harding and Ngome, which is also known for its tea plantations. The summer-rainfall coastal regions of this province are hot and humid with a subtropical climate. The KwaZulu-Natal Midlands between the coastal strip and the southern Drakensberg Escarpment are drier, with extremely cold conditions in winter and snow on the high-lying ground. In the north, the subtropical strip extends around Swaziland to the edge of the escarpment. The KwaZulu-Natal Growth Fund provides medium- to long-term funding for sustainable infrastructure and related projects in the province. The fund’s Investment Committee has approved projects with an estimated value of R414 million spread across key economic sectors such as manufacturing, transportation and logistics and agroprocessing. 2010 World CupOn 25 November 2007, the 2010 FIFA World Cup™ Preliminary Draw took place in Durban, KwaZulu-Natal. The province hosted representatives from 204 of the 208 soccer-playing nations of the world as well as a contingent of international media – the largest FIFA representation ever. One of the distinctive features of the Moses Mabhida Stadium under construction in Durban, is the multimedia centre, which will tell the story of the people of KwaZulu-Natal. This multimedia centre will offer information about KwaZulu-Natal’s economic and cultural activities. The 2007/08 financial year saw major development initiatives, beginning with the Dube Trade Port and King Shaka International Airport, an investment of R6,8 billion and the soccer stadium of R2,6 billion. The plans for the multimedia interpretation centre at uMgungundlovu, Palace of King Dingane, have been completed. The KwaZulu-Natal Provincial Government is upgrading stadiums and building multipurpose sports facilities to allow some of its communities to host teams during the 2010 tournament. The selected municipalities for the projects include uMgungundlovu, Amajuba, Ugu and Uthungulu. Northern Cape
The Northern Cape lies to the south of its most important asset, the mighty Orange River, which provides the basis for a healthy agricultural industry. The landscape is characterised by vast arid plains with outcroppings of haphazard rock piles. The cold Atlantic Ocean forms the western boundary. This region covers the largest area of all the provinces and has the smallest population. Its major airports are situated at Kimberley, the capital, and at Upington. The Northern Cape has an excellent road network, which makes its interior easily accessible from South Africa’s major cities, harbours and airports. Important towns are Upington, centre of the karakul sheep and dried-fruit industries, and the most northerly wine-making region of South Africa; Springbok, in the heart of the Namaqualand springflower country; Kuruman, founded by the Scottish missionary Robert Moffat; and De Aar, second most important junction of South Africa’s railway network. Sutherland is host to the southern hemisphere’s largest astronomical observatory, the multinational-sponsored Southern African Large Telescope. South Africa has been shortlisted as one of two countries to host the Square Kilometre Array (SKA), a giant next-generation radio telescope being developed by scientists from 17 countries. The proposed SKA will be located in the Northern Cape. Other important Northern Cape towns include the sheep-farming towns of Carnarvon, Colesberg, Kenhardt and Prieska, which are renowned for their semi-precious stones and variety of succulents. Apart from a narrow strip of winter-rainfall area along the coast, the Northern Cape is a semi-arid region with little rainfall in summer. The weather conditions are extreme – cold and frosty in winter, with extremely high temperatures in summer. The largest part of the province falls within the Nama-Karoo Biome, with a vegetation of low shrubland and grass, and trees limited to water courses. The area is known for its spectacular display of spring flowers that attracts thousands of tourists every year. This biome is home to many wonderful plant species, such as the elephant’s trunk (halfmens), tree aloe (kokerboom) and a variety of succulents. The province has several national parks and conservation areas. The Kalahari Gemsbok National Park, together with the Gemsbok National Park in Botswana, is Africa’s first transfrontier game park, known as the Kgalagadi Transfrontier Park. It is one of the largest nature-conservation areas in southern Africa and one of the largest remaining protected natural ecosystems in the world. The park provides unfenced access to a variety of game between South Africa and Botswana. The Ai-Ais-Richtersveld Transfrontier Conservation Park spans some of the most spectacular scenery of the arid and desert environments in southern Africa. Bisected by the Orange River, which forms the border between South Africa and Namibia, it comprises the Ai-Ais Hot Springs Game Park in Namibia and the Richtersveld National Park in South Africa. Some of the distinctive features in the area include the Fish River Canyon (often likened to the Grand Canyon in the United States of America) and the Ai-Ais hot springs. This arid zone is further characterised by a unique and impressive variety of succulent plant species. Nowhere is the Orange River more impressive than at the Augrabies Falls, which ranks among the world’s greatest cataracts on a major river. The Augrabies Falls National Park was established to preserve this natural wonder. The peopleThe Northern Cape is sparsely populated and houses more than one million people on 361 830 km2 of land (Community Survey, 2007). About 68% of the population speak Afrikaans. Other languages spoken are Setswana, isiXhosa and English. The official unemployment rate of the Northern Cape is 25,7% (Labour Force Survey, March 2008). The last remaining true San (Bushman) people live in the Kalahari area of the Northern Cape. The area, especially along the Orange and Vaal rivers, is rich in San rock engravings. A good collection can be seen at the McGregor Museum in Kimberley. The province is also rich in fossils. According to the results of the 2007 Community Survey conducted by Statistics South Africa:
Agriculture and industryThe Northern Cape is enjoying tremendous growth in value-added activities, including game farming. Food production and processing for the local and export market is also growing significantly. Underpinning the growth and development plan of the province are the investment projects that link up with the existing plans of the Namaqua Development Corridor, where the focus is on the beneficiation and export of sea products. The economy of a large part of the Northern Cape, the interior Karoo, depends on sheep farming, while the karakul-pelt industry is one of the most important in the Gordonia district of Upington. The province has fertile agricultural land. In the Orange River Valley, especially at Upington, Kakamas and Keimoes, grapes and fruit are cultivated intensively. Wheat, fruit, peanuts, maize and cotton are produced at the Vaalharts Irrigation Scheme near Warrenton. The Integrated Provincial SMME Strategy will allow the province to implement effective second-economy interventions to address poverty, underdevelopment and marginalisation. Small Enterprise Development Agency offices have been established in all five districts to offer non-financial support, business advice and business counselling to SMMEs. Between 2006 and 2008, 3 572 SMMEs were assisted. The Northern Cape has identified business process outsourcing and offshoring as one of the projects capable of providing a considerable number of job opportunities through the establishment of call centres. The first-ever call centre in Ga-Segonyana in the Northern Cape was launched in February 2008. The Finnish Government has committed itself to assist the province with the development of the Northern Cape Information Society Strategy and Development Plan through the Provincial Information Society Programme. It seeks to create, use and share information and knowledge to empower communities and individuals to achieve their full potential, promote sustainable development and improving the quality of life. Since 2004, the Provincial Government has spent in excess of R1,6 billion on infrastructure projects. Agriculture is still one of the mainstay sectors of the Northern Cape’s economy and is therefore critical in the overall economic planning. In this regard, agricultural development programmes like the Farmer Support and Development Programme and the Comprehensive Agriculture Support Programme were expected to be strengthened by improved funding of R53 million in 2008. TourismThe province has tabled a Tourism Bill to further strengthen the tourism industry and prepare the province for the 2010 World Cup and beyond. The tourism industry has the potential to contribute significantly to the region’s GDP, hence the Provincial Government’s investment of R18 million in 15 tourism information offices, upgrades and promotion projects. MiningKimberley, the capital of the Northern Cape, is often referred to as the “Diamond Capital of the World”. The Northern Cape is rich in minerals. The country’s chief diamond pipes are found in the Kimberley district. In 1888, the diamond industry was formally established with the creation of De Beers Consolidated Mines. Alluvial diamonds are also extracted from the beaches and the sea between Alexander Bay and Port Nolloth. The Sishen Mine near Kathu is the biggest source of iron ore in South Africa, while the copper mine at Okiep is one of the oldest mines in the country. Copper is also mined at Springbok and Aggeneys. The province is rich in asbestos, manganese, fluorspar, semi-precious stones and marble. Until recently, the majority of small-to medium-scale alluvial operations were concentrated along or near the Vaal River system. With the deposits available for mining declining rapidly, there has been a gradual shift towards the Orange River system. Two recent larger-scale investments also show continued prospects in this sector. As part of the implementation of the economic development initiatives, the province established the Diamond, Gemstone and Jewellery Hub that will host the State Diamond Trader. The Gold Chain Technology Project, focusing on the production of gold and silver chains for the export market, was launched in 2008. The total investment amounts to R82 million. The Provincial Government and private investors are to open a gold jewellery-manufacturing facility worth R100 million in Kimberley, in an effort to ensure that more value is added to precious metals locally, with finished products destined for export markets. 2010 World CupAs the 2010 World Cup approaches, co-operation between the public and private sectors as seen and demonstrated in some key infrastructure projects, will ensure that the Northern Cape and its cities and towns are placed in a position to optimise the benefits of this event. The province is developing the Northern Cape Sports Academy, with the multipurpose sports complex to be constructed being a central element of its strategy. Free State
The Free State lies in the heart of South Africa, with Lesotho nestling in the hollow of its bean-like shape. Between the Vaal River in the north and the Orange River in the south, this immense rolling prairie stretches as far as the eye can see. The capital, Bloemfontein, has a well-established institutional, educational and administrative infrastructure, and houses the Supreme Court of Appeal. The city, also referred to as the “City of Roses”, is home to some of the province’s many tertiary educational institutions, including the University of the Free State and the Central University of Technology. Important towns include Welkom, the heart of the goldfields and one of the few completely preplanned cities in the world; Odendaalsrus, another gold-mining town; Sasolburg, which owes its existence to the petrol-from-coal installation established there; Kroonstad, an important agricultural, administrative and educational centre; Parys, on the banks of the Vaal River; Phuthaditjhaba, well known for the beautiful handcrafted items produced by the local people; and Bethlehem, gateway to the Eastern Highlands of the Free State. Nestled in the rolling foothills of the Maluti mountains in the north-eastern Free State, the Golden Gate Highlands National Park is the province’s prime tourist attraction. The park derives its name from the brilliant shades of gold cast by the sun on the spectacular sandstone cliffs, especially the imposing Brandwag rock, which keeps vigil over the park. The N1, which is the artery between Gauteng and the Western and Eastern Cape, passes through the middle of the Free State. The annual Mangaung African Cultural Festival, popularly called Macufe, is hosted in partnership with the Tourism Authority and the Performing Arts Centre of the Free State. The peopleThe Free State houses more than 2,7 million people on about 129 480 km2 of land (Community Survey, 2007). The main languages spoken are Sesotho and Afrikaans. According to the Labour Force Survey released in March 2008, the official unemployment rate is 24,3%. Many of the towns display a cultural mix that is clearly evident in street names, public buildings, monuments and museums. Dressed-sandstone buildings abound on the Eastern Highlands, while beautifully decorated Sotho houses dot the grasslands. Some of South Africa’s most valued San rock art is found in the Free State. The districts of Bethlehem, Ficksburg, Ladybrand and Wepener have remarkable collections of this art form. AgricultureThis summer-rainfall region can be extremely cold during the winter months, especially towards the eastern mountainous regions. The western and southern areas are semi-desert. Known as the “Granary of the Country”, the Free State has cultivated land covering 3,2 million ha, while natural veld and grazing cover 8,7 million ha. Field crops yield almost two thirds of the gross agricultural income of the province. Animal products contribute a further 30%, with the balance generated by horticulture. Ninety percent of the country’s cherry crop is produced in the Ficksburg district, while the two largest asparagus-canning factories are also situated in this district. Soya, sorghum, sunflowers and wheat are cultivated, especially in the eastern Free State, where farmers specialise in seed production. About 40% of the country’s potato yield comes from the high- lying areas of the Free State. The province produces about 100 000 t of vegetables and 40 000 t of fruit each year. The main vegetable crop is asparagus, both white and green varieties. The industry is expanding and becoming increasingly export-orientated. In terms of floriculture, the Free State has an advantage due to the opposing seasons of the southern and northern hemispheres. The province exports some 1,2 million t of cut flowers per year. The development of agriculture as a sustainable economic contributor, especially regarding emerging and small farmers, is one of the high-impact projects which are currently underway. MiningThe mining industry is the major employer in the Free State. Investment opportunities are substantial in productivity-improvement areas for mining and related products and services. South Africa is the world’s largest producer of gold. A gold reef of over 400 km long, known as Lejweleputswa (formerly known as the “Goldfields”), stretches across Gauteng and the Free State; the largest gold-mining complex being Free State Consolidated Goldfields, with a mining area of 32 918 ha. Some 82% of the region’s mineral production value is derived from this activity, primarily in the goldfields region, which comprises the districts of Odendaalsrus, Virginia and Welkom. Twelve gold mines operate in the province. Roughly 30% of South Africa’s gold is obtained from this region, and the province lies in fifth position as a global producer. Harmony Gold Refinery and Rand Refinery are the only two gold refineries in South Africa. Gold mines in the Free State also supply a substantial portion of the total silver produced in the country, while considerable concentrations of uranium occurring in the gold-bearing conglomerates of the goldfields are extracted as a by-product. Bituminous coal is mined in the province and converted to petrochemicals at Sasolburg. Diamonds from this region, extracted from kimberlite pipes and fissures, are of a high quality. The largest deposit of bentonite in the country occurs in the Koppies district. The Free State Provincial Government has approved the establishment of two biofuel plants in Bothaville and Hoopstad. Manufacturing and industrySince 1989, the Free State economy has changed from being dependent on the primary sector to being a manufacturing, export-orientated economy. The Free State GDPR amounted to about R75 827 million in 2004, representing a 5,5% contribution to the South African economy. By 2008, the province had completed the first phase of the Harrismith Logistics Hub, which when completed, will become the multinodal freight logistical base in the Free State. The second phase of the project will commence in 2009 and will entail the mobilisation of stakeholders and participants such as freight companies. The Provincial Government has set aside R2 million for the initial stages of the second phase. Some 14% of the province’s manufacturing is classified as being in high-technology industries, which is the highest percentage of all the provincial economies. An important manufacturing industry in the province can be found in the northern Free State, which is one of the most important chemical hubs in the southern hemisphere. The province has competitive advantages in the production of certain fuels, waxes, chemicals and low-cost feedstock from coal. The growth in high-tech industries is significant in the context of the changing contribution of the gold-mining industry to gross geographic product. The province’s development strategy centres on competitiveness, empowerment, capacity-building and beneficiation. 2010 World CupFree State Stadium in Bloemfontein will host five first-round marches and one second-round match during the World Cup. It has 48 000 seats. The province was expected to embark on the following projects from 2007:
By February 2008, all the major master plans regarding transport, ICT, and safety and security had been finalised. Co-operation with Lesotho and the Northern Cape will extend the economic benefits of the event far beyond the borders of the Free State. North West
North West, also known as the “Platinum Province”, is centrally located on the subcontinent with direct road and rail links to all southern African countries, and with its own airport near the capital city, Mafikeng. The province borders Botswana and is fringed by the Kalahari Desert in the west and the Witwatersrand area in the east. North West is divided into the Central, Bophirima (towards the west), Southern, Rustenburg and Eastern regions. Most economic activity is concentrated in the Southern Region (between Potchefstroom and Klerksdorp), Rustenburg, and the Eastern Region, where more than 83,3% of gross domestic product per region (GDPR) of the province is generated. The province offers several tourist attractions, including the internationally renowned Sun City, the popular Pilanesberg National Park, the Madikwe Game Reserve and the Rustenburg Nature Reserve. The GDP in constant 2000 prices grew from R58 billion in 1996 to more than R72 billion in 2006. Since the launching of the Provincial Growth and Development Strategy in 2004, the economic growth per year consistently outperformed the annual population growth of the province, registering growth rates of 3,6%, 4,9% and 4,3%, in 2004, 2005 and 2006, respectively. According to the Labour Force Survey released in March 2008, the official unemployment rate in the province was 24%. Limpopo Capital: Polokwane Principal languages: Sesotho sa Leboa 52,1% Xitsonga 22,4% Tshivenda 15,9% Population: 2 238 286 (Community Survey, 2007) Area (km2): 123 910 Limpopo Capital: Polokwane Principal languages: Sesotho sa Leboa 52,1% Xitsonga 22,4% Tshivenda 15,9% Population: 2 238 286 (Community Survey, 2007) Area (km2): 123 910The people Of the 3,6 million people living in the North West, 65% live in the rural areas (Community Survey, 2007). The Community Survey indicates in terms of access to basic services that:
MiningDiamonds are mined at Lichtenburg, Koster, Christiana and Bloemhof, while Orkney and Klerksdorp have gold mines. The area surrounding Rustenburg and Brits boasts the largest single platinum-production area in the world. Marble is also mined here. Fluorspar is exploited at Zeerust. Projects in the province include the following:
ManufacturingManufacturing contributes 7% to the province’s GDP and 9% of its employment opportunities. It provides 2,6% of the South African manufacturing sector’s contribution to GDP. Manufacturing is almost exclusively dependent on the performance of a few sectors in which the province enjoys a competitive advantage. These are fabricated metals (51%), the food sector (18%) and non-metallic metals (21%) (Provincial Economies, 2003). Industrial activity is centred in the towns of Brits, Klerksdorp, Vryburg and Rustenburg. The Brits industries concentrate mostly on manufacturing and construction, while those at Klerksdorp are geared towards the mining industry, and those at Vryburg and Rustenburg towards agriculture. The Platinum SDI, situated on the Coast-to-Coast highway that links the port of Maputo in Mozambique to Walvis Bay in Namibia is expected to unlock further development. About 200 potential project opportunities in tourism, manufacturing, agriculture and mining have been identified. AgricultureAgriculture is of extreme importance to the North West. It contributes about 2,6% to the total GDPR and 19% to formal employment. Some 5,9% of the South African GDP in agriculture and 16,96% of total labour in agriculture are based in the North West (Provincial Economies, 2004). The province is an important food basket in South Africa. Maize and sunflowers are the most important crops, and the North West is the major producer of white maize in the country. Some of the largest cattle herds in the world are found at Stellaland near Vryburg, which explains why this area is often referred to as the “Texas of South Africa”. Marico is also cattle country. The areas around Rustenburg and Brits are fertile, mixed-crop farming land. 2010 World CupRustenburg is the official hosting city in the North West, with the Royal Bafokeng Stadium in Rustenburg being the official match venue. The stadium will also be used for the Confederations Cup in June 2009. By January 2009, all major refurbishments to the stadium had been completed. Preparations in the province include:
Gauteng
Although it is the smallest of the nine provinces, Gauteng is the powerhouse of South Africa and the heart of its commercial business and industrial sectors. Johannesburg, nicknamed “Egoli” (Place of Gold), is the capital of the province and a city of contrasts. Mine-dumps and headgear stand proud as symbols of its rich past, while modern architecture rubs shoulders with examples of 19th-century engineering prowess. Gleaming skyscrapers contrast with Indian bazaars and African muti (medicine) shops, where traditional healers dispense advice and traditional medicine. Gauteng continues to strengthen its position as the economic engine of the country and the continent. The 2007 Community Survey, conducted by Statistics South Africa, shows that the percentage of informal settlements in the province has dropped to 22,6%. The percentage of households using electricity remains the highest in the country at 83,5%. The percentage of households with piped water stands at 97,9%. Gauteng has the highest population in the country, at 10 451 713 people. One in four households in the country stays in the province. The three most important sectors contributing to GDPR are finance, real estate and business services; manufacturing; and general government services. Sustained growth has led to a steady reduction in unemployment. According to the Labour Force Survey, March 2008, unemployment in Gauteng declined from 30,4% in September 2001 to 19,5% in September 2007. Gauteng is also the financial-services capital of Africa. More than 70 foreign banks have their head offices here, as do at least the same number of South African banks, stockbrokers and insurance giants. The province blends cultures, colours and first- and third-world traditions in a spirited mix that is flavoured by many foreign influences. Most overseas visitors enter South Africa via OR Tambo International Airport. South of Johannesburg is Soweto, developed as a township for black people under the apartheid system. Most of the struggle against apartheid was fought in and from Soweto, which is estimated to be inhabited by over two million people. Soweto is a city of enterprise and cultural interaction. It is also a popular tourist destination, with sites such as Kliptown, where the Freedom Charter was drawn up; the home of former President Nelson Mandela; the Hector Petersen Memorial site; and restaurants and shopping malls. It boasts one of the largest public hospitals on the continent, the Chris Hani-Baragwanath Hospital. The 65 000 m2 Maponya Mail attracts on average 1,5 million people a month. Some 50 km north of Johannesburg lies Pretoria, dominated by government services and the diplomatic corps of foreign representatives in the country. Pretoria is the administrative capital of South Africa and home to the Union Buildings. Pretoria, also known as the “Jacaranda City”, is renowned for its colourful gardens, shrubs and trees, particularly beautiful in spring when some 50 000 flowering jacaranda trees envelop the avenues in mauve. The city developed at a more sedate pace than Johannesburg, and town planners had the foresight to include an abundance of open space. Pretoria has more than 100 parks, including bird sanctuaries and nature reserves. An air of history pervades much of central Pretoria, especially Church Square, around which the city has grown. Many buildings of historical and architectural importance have been retained or restored to their former splendour. The industrial area of Rosslyn and the townships of Soshanguve and GaRankuwa are situated north of Pretoria. Cullinan, known for its diamonds, lies to the east. Other important Gauteng towns include Krugersdorp and Roodepoort on the West Rand, and Germiston, Springs, Boksburg, Benoni, Brakpan and Kempton Park on the East Rand. Vanderbijlpark and Vereeniging in the south of the province are major industrial centres, while Heidelberg, Nigel and Bronkhorstspruit to the east are of agricultural importance. Although the province is highly urbanised and industrialised, it contains wetlands of international importance, such as Blesbokspruit near Springs. The peopleGauteng is the most densely populated province in South Africa. It houses more than 10 million of the country’s people (Community Survey, 2007). The level of urbanisation is 97%. The province houses some of the most important educational and health centres in the country. Pretoria boasts the largest residential university in South Africa, the University of Pretoria, and what is believed to be the largest correspondence university in the world, Unisa. More than 60% of South Africa’s research and development (R&D) takes place in Gauteng. The province is home to leading research institutions such as the:
Johannesburg has two residential universities: There are also several teacher-training colleges, technical colleges and universities of technology in the province. ManufacturingThe manufacturing sector in Gauteng includes more than 9 300 firms, employing more than 600 000 people. Industries that have contributed significantly to this output are basic iron and steel; fabricated and metal products; food; machinery, electrical machinery, appliances and electrical supplies; vehicle parts and accessories; and chemical products. In 2008, the Ford Motor Company announced a R1,5-billion investment in South Africa. Part of the investment will go towards the expansion of the production capacity of its motor assembly plant in Tshwane. The Automotive Supplier Park in Tshwane will be expanded to accommodate the growing demand from a range of new motor manufacturers. The logistics centre will be extended and the Gauteng Provincial Government will explore the creation of supplier parks related to the heavy vehicle industry for export purposes. A total of 4 404 direct jobs were created in the Automotive Supplier Park between 2002 and 2007, with 70% of them being for people from historically disadvantaged backgrounds. A further 2 000 employment opportunities were created in the support functions to the component suppliers. Other initiatives undertaken to boost growth and job creation include the acceleration of work to establish a jewellery-manufacturing precinct at the OR Tambo International Airport and a plan to revive and increase the capacity of the Ekandustria Industrial Park in Metsweding. TechnologyA large number of institutions engaged in R&D and innovation choose Gauteng as their preferred site of operation. In 2008, the Innovation Hub in Pretoria was expected to be expanded to accommodate 40 high-tech SMME companies. In 2008, there were 68 companies in the hub’s Incubation Programme, employing a total of 850 people. The collaboration between Gauteng and the Department of Science and Technology has resulted in the province being included as part of the key programmes under the Co-operation Framework on Innovation Systems between Finland and South Africa (Cofisa). The 30-month Cofisa programme will focus on the capacity development of key stakeholders and knowledge transfer between the first and second economies. TourismTourist arrivals to the province continue to grow, creating jobs and other economic opportunities for the people. One in every two foreign visitors in Gauteng South Africa visits Gauteng, making the province the country’s highest earner of tourism income. Agriculture and industryGauteng’s agricultural sector is geared to provide the cities and towns of the province with daily fresh produce, including dairy products, vegetables, fruit, meat, eggs and flowers. A large area of the province falls within the so-called “Maize Triangle”. The districts of Bronkhorstspruit, Cullinan and Heidelberg hold important agricultural land, where groundnuts, sunflowers, cotton and sorghum are produced. This summer-rainfall area has hot summers and cold winters with frost. Hail is common during the summer thunderstorms. Gauteng is an integrated industrial complex with major areas of economic activity in three sub-regional areas, namely the Vaal Triangle; the East, West and Central Rand; and Pretoria. The Vaal Triangle has a strong manufacturing sector; the West Rand concentrates on primary mining; and the Central Witwatersrand is dominated by the manufacturing and finance sectors, with mining capital playing a major role. All sectors rely heavily on the Vaal Dam (on the Vaal River), from where water is piped across the province. Most steel in South Africa is produced and consumed in Gauteng. South Africa is also one of the top-10 primary producers of aluminium in the world. The value of this industry in Gauteng is worth about US$20 million. Johannesburg houses the JSE Limited, the largest securities exchange in Africa. 2010 World CupSoccer City, near Soweto, Johannesburg, will host the final match of the 2010 World Cup. It will accommodate 94 700 soccer fans. Ellis Park in Johannesburg, the venue of the 1995 Rugby World Cup final, will undergo a major renovation before the 2010 World Cup. It will have 61 000 seats. Loftus Versfeld Stadium (50 000 seats) in Pretoria will also host 2010 World Cup games. Some R40 million was set aside in 2007/08 for the rehabilitation of the R21 highway to improve connectivity between Pretoria and the OR Tambo International Airport. The province has won the right to host SoccerEx, the largest football business exhibition in the world, over the next three years. It provides an international platform to showcase the province’s readiness to host the 2010 World Cup. The opening and closing ceremonies as well as a number of group matches will be hosted in the province. Mpumalanga
Mpumalanga means “Place where the Sun Rises”. Because of the province’s spectacular scenic beauty and abundance of wildlife, it is one of South Africa’s major tourist destinations. With a surface area of only 79 490 km2, the second-smallest province after Gauteng, it has the fourth-largest economy in South Africa. Bordered by Mozambique and Swaziland in the east and Gauteng in the west, it is situated mainly on the high plateau grasslands of the Middleveld, which roll eastwards for hundreds of kilometres. In the north-east, it rises towards mountain peaks and terminates in an immense escarpment. In some places, this escarpment plunges hundreds of metres down to the low-lying area known as the Lowveld. The area has a network of excellent roads and railway connections, making it highly accessible. Because of its popularity as a tourist destination, Mpumalanga is also served by a number of small airports, such as the Kruger Mpumalanga International Airport. Nelspruit is the capital of the province and the administrative and business centre of the Lowveld. Witbank is the centre of the local coal-mining industry; Standerton, in the south, is renowned for its large dairy industry; and Piet Retief in the south-east is a production area for tropical fruit and sugar. A large sugar industry is also found at Malelane in the east; Ermelo is the district in South Africa that produces the most wool; Barberton is one of the oldest gold-mining towns in South Africa; and Sabie is situated in the forestry heartland of the country. The Maputo Corridor, which links the province with Gauteng and Maputo in Mozambique, heralds a new era in terms of economic development and growth for the region. As the first international toll road in Africa, the Maputo Corridor is attracting investment and releasing the local economic potential of the landlocked parts of the country. The best-performing sectors in the province include mining, manufacturing and services. Tourism and agroprocessing are potential growth sectors in the province. Mpumalanga falls mainly within the Grassland Biome. The escarpment and the Lowveld form a transitional zone between this grassland area and the Savanna Biome. Long stretches of undulating grasslands change abruptly into thickly forested ravines and thundering waterfalls of the escarpment, only to change again into the subtropical wildlife splendour of the Lowveld. Sabie and Graskop provide a large part of the country’s total forestry products. These forestry plantations are an ideal backdrop for ecotourism opportunities, with a variety of popular hiking trails, a myriad waterfalls, patches of indigenous forest and many nature reserves. Lake Chrissie is the largest natural freshwater lake in South Africa and is famous for its variety of aquatic birds, especially flamingos. The peopleEven though it is one of the smaller provinces, Mpumalanga has a population of more than 3,6 million people (Community Survey, 2007). Mpumalanga’s official unemployment rate is 22,9% (Labour Force Survey, March 2008). In Mpumalanga, 82% of households have access to electricity for lighting, 77% of households live in formal dwellings, 66% of households have access to a refrigerator, 78% of households have access to a cellphone and 41% of households have access to sanitary facilities. Agriculture and forestryThe province is a summer-rainfall area divided by the escarpment into the Highveld region with cold frosty winters, and the Lowveld region with mild winters and a subtropical climate. The escarpment area sometimes experiences snow on high ground. Thick mist is common during the hot, humid summers. An abundance of citrus fruit and many other subtropical fruits – mangoes, avocados, litchis, bananas, pawpaws, granadillas, guavas – as well as nuts and a variety of vegetables are produced here. Nelspruit is the second-largest citrus-producing area in South Africa and is responsible for one third of the country’s export in oranges. The Institute for Tropical and Subtropical Crops is situated here. Groblersdal is an important irrigation area, which yields a wide variety of products such as citrus fruit, cotton, tobacco, wheat and vegetables. Carolina-Bethal-Ermelo is mainly a sheep-farming area, but potatoes, sunflowers, maize and peanuts are also produced in this region. To facilitate the growth of the agricultural sector, the province will increase the cultivation and processing of soya beans into biofuels. During 2007, soil analysis was done to identify suitable soil for soya-bean production. In addition, a farmer outreach programme was started and private-sector support for the programme was secured. In 2008/09, R20 million was allocated to initiate a pilot project on 8 000 hectares (ha) of land, with a view to expanding the scale in the 2009/10 financial year. During 2007/08, the allocation of R30 million for the Masibuyel’ Emasimini Project was used to provide 52 tractors, seeds and fertilisers to the rural poor to maximise food production in poor rural areas. A total 11 935 ha of land were ploughed and planted to benefit 5 913 people. In the 2008/09 financial year, R35 million was allocated to scale up support to deliver 83 tractors, plough and plant 15 000 ha of land, thereby reaching 5 916 new beneficiaries. IndustryMpumalanga is very rich in coal reserves. The country’s major power stations, three of which are the biggest in the southern hemisphere, are situated here. Unfortunately, these cause the highest levels of air pollution in the country. Secunda, where South Africa’s second petroleum- from-coal installation is situated, is also located in this province. One of the country’s largest paper mills is situated at Ngodwana, close to its timber source. Middelburg produces steel and vanadium, while Witbank is the biggest coal producer in Africa. The province’s flagship programmes include the Maputo Development Corridor; the Moloto Rail Development Corridor; the Water for All, the Heritage, Greening Mpumalanga; and tourism programmes. In September 2007, the unemployment rate in Mpumalanga stood at 22,9%. 2010 World CupA provincial “one-stop” 2010 office has been established, which will act as a central point of co-ordination of the 2010 World Cup programmes and activities, incorporating the Department of Culture, Sport and Recreation, the host city Mbombela and the 2010 Directorate in the Premier’s Office. The Mbombela Stadium, with a capacity of 46 000 seats, will host the first four matches in Nelspruit. TourismMpumalanga is an ancient land, with evidence of human habitation stretching back 100 000 years, and the first major kingdoms and mining empires beginning 46 000 years ago. The region’s pre-colonial history is, however, still largely unexplored. Bordering on Swaziland, and encompassing huge areas of the world-renowned Kruger National Park as well as private game reserves, Mpumalanga offers untold opportunities to view a unique concentration of wildlife – either on camping safari or in the air-conditioned luxury of a five-star game lodge. Limpopo
Limpopo, South Africa’s northernmost province, lies within the great elbow of the Limpopo River. It is a province of dramatic contrasts – from true bushveld country to majestic mountains, primeval indigenous forests, latter-day plantations, unspoilt wilderness areas and a patchwork of farming land. Limpopo has a strong rural basis. Its growth strategy centres on addressing infrastructure backlogs, the alleviation of poverty, and social development. Limpopo is the gateway to the rest of Africa. It is favourably situated for economic co-operation with other parts of southern Africa, as it shares borders with Botswana, Zimbabwe and Mozambique. The province is linked to the Maputo Development Corridor through the Phalaborwa SDI, which is a network of rail and road corridors connecting to the major seaports, which will open up Limpopo for trade and investment. This is complemented by the presence of smaller airports in centres such as Phalaborwa and Musina, as well as the Gateway International Airport in Polokwane. The airport carries about 38 000 passengers a year. Statistics South Africa’s figures show that Limpopo’s economy grew from 4,1% in 2005 to 4,6% in 2006. Limpopo has been experiencing an average economic growth of 4,2% in the last four years. Limpopo is also beginning to observe a gradual decline in the unemployment rate. The unemployment rate decreased from 35,6% in March 2006 to 27,6% in September 2007. Polokwane is the capital city and lies strategically in the centre of the province. The Great North Road running through the centre of the province strings together a series of interesting towns. Bela-Bela, with its popular mineral spa, is near the southern border of the province. Further north lie Modimolle with its table-grape industry and beautiful Waterberg mountain range; Mokopane; Polokwane; Makhado at the foot of the Soutpansberg mountain range; and Musina, with its thick-set baobab trees. The crossing into Zimbabwe is at Beit Bridge, where the South African section of this important route north into Africa ends. Other important Limpopo towns include the major mining centres of Phalaborwa and Thabazimbi; and Tzaneen, producer of tea, forestry products and tropical fruits. This province is in the Savanna Biome, an area of mixed grassland and trees, which is generally known as bushveld. A trip through this summer-rainfall area shows that this is tree country. Rich in natural beauty, culture and wildlife, Limpopo is an ideal breakaway destination for tourists. The province’s natural resources include more than 50 provincial reserves, as well as several private game reserves. The largest section of the Kruger National Park is situated along the eastern boundary of Limpopo with Mozambique. The peopleIn Limpopo, more than 5,2 million people live on about 123 910 km2 of land (Community Survey, 2007). Several museums and national monuments bear testimony to ancient peoples and fearless pioneers who braved the unknown. Living museums include:
AgricultureThe bushveld is cattle country, where controlled hunting is often combined with ranching. About 80% of South Africa’s hunting takes place in this province. As the largest producers of various crops in the agricultural market, Limpopo is exploiting this capacity as a resource for agritourism. For instance, the Modimolle Grape Festival is celebrated in January. The province developed the Limpopo Agricultural Development Strategy, whose priority lies in the development of agricultural hubs – a concept adapted to suit areas with the greatest potential to increase land availability for agricultural production while enhancing the broader economy of such areas. Two of the five hubs identified are Nandoni in the Vhembe District and Nebo Plateau in the Sekhukhune District. Sunflowers, cotton, maize and peanuts are cultivated in the Bela-Bela-Modimolle area. Tropical fruit, such as bananas, litchis, pineapples, mangoes and pawpaws, as well as a variety of nuts, are grown in the Tzaneen and Makhado areas. Extensive tea and coffee plantations also create many employment opportunities in the Tzaneen area. The climatic conditions in this province allow for double harvesting seasons, which ultimately translates into Limpopo becoming the national food basket. It produces about 60% of the country’s tomatoes; 75% mangoes; 65% papaya; 33% oranges; 36% tea; 25% citrus, bananas and litchis; and 60% of its avocados. It has initiated a process to open market access for exporting some of its fresh produce to the People’s Republic of China. More than 45% of the R2-billion annual turnover of the Johannesburg Fresh Produce Market comes from Limpopo. The largest tomato farm in South Africa lies between Tzaneen and Makhado. Extensive forestry plantations are also found here. Plantations of hard wood for furniture manufacturing have also been established and many of the rural people practise subsistence farming. The northern and eastern parts of this summer-rainfall region are subtropical with hot, humid summers and mist in the mountainous parts. Winter throughout the province is mild and mostly frostfree. The Agribusiness Academy at Tompi Seleka and Madzivhandila was officially launched in 2007 in collaboration with the Flemish government. This academy mentors and trains small-scale farmers, including providing refresher courses for extension officers. The Agribusiness Academy is also supporting an agritourism initiative at Ha-Makuya in the Vhembe District in partnership with the University of the Witwatersrand. The revitilisation of the Tshivhase Tea Estate in the Vhembe District has reached a stage where rural people of Limpopo can proudly produce their own tea. IndustryMining is a significant economic activity in the province. Limpopo is rich in mineral deposits, including platinum-group metals, iron ore, chromium, high- and middle-grading coking coal, diamonds, antimony, phosphate and copper, as well as mineral reserves like gold, emeralds, scheelite, magnetite, vermiculite, silicon and mica. Base commodities such as black granite, corundum and feldspar are also found in the province. The province is a typical developing area, exporting primary products and importing manufactured goods and services. It has high potential and capacity with appropriate economic development, and is an attractive location for investors. Resources such as tourism, rain-fed agriculture, minerals and an abundant labour force offer excellent investment opportunities. TourismThe dropping of fences between state-owned nature reserves and private game farms is opening up a new chapter in public-private partnerships within the conservation field. Limpopo has defended its market share of international arrivals by maintaining its presence in the market and by designing new tourism products. It has developed through partnership with Open Africa and the European Union three new routes, namely ‘‘Seraki”, ‘‘Land of Legends” and “Bush to Beach”. The opening of the “Bush to Beach” route, which links Limpopo through the Giriyondo border post to Mozambique has opened up opportunities for 4x4 tourism packages. The Limpopo Tourism and Parks has developed a stronger marketing drive to popularise these routes for domestic and international travellers. 2010 World CupThe Peter Mokaba Stadium in Polokwane will host some of the 2010 World Cup matches. It will have a capacity of 46 000 seats. By mid-2008, the development, upgrading and construction of the terminal of Polokwane International Airport was nearing completion. The objective is to develop it into a regional commercial and cargo hub. Source: South Africa Yearbook 2008/09 |
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