Keynote address by the MEC For Finance, Economic Development And Tourism, Mr Sikhumbuzo Kholwane on the occasion of the opening of the Mpumalanga Investor Conference held at the Protea Hotel Marriot, Kruger Gate, Hazyview, Mpumalanga Province
Programme Director
Members of the Executive Council present
Director General, Mr Thulani Mdakane
Chairperson of Mpumalanga Economic Growth Agency, Mr. Davies Mculu and Members of the Board of Directors
Head of Department, Mr. Muzi Mkhize, and other Heads of Department present
Chief Executive Officer of Mpumalanga Economic Growth Agency, Mr. Xola Sithole and CEO’s present
Distinguished conference speakers and delegates
Members of the Diplomatic Core
Esteemed guests
Ladies and gentlemen
Thank you very much Programme Director for the opportunity to say a few words to all delegates at this important investor conference in the place of the rising sun - Mpumalanga.
I hope that we will make this gathering worthwhile for all our people, especially for the poor, who have placed their faith in us to make a success of this conference.
Let me also extend our warm welcome to all our social partners and the investors from home (local) and abroad who have graced this occasion.
I have the greatest of faith that your presence will assist us to restore confidence in our economy, and inspire us to roll up our sleeves and vigorously confront the current challenging socio-economic climate.
Our economy is facing the biggest challenges in many years due to a multiplicity of unfavourable domestic and international developments.
According to the latest GDP (gross domestic product) data of Statistics South Africa, only agriculture and mining experienced a positive economic growth rate in the first quarter of this year, while the other industries either declined or stagnated.
This disappointing economic performance must however not derail us from pursuing our developmental goals and our vision as outlined in the National Development Plan.
In fact, the great revolutionary leader of the African National Congress and former President General, Oliver Reginald Tambo, once said, and I quote
“The fight for freedom must go on until it is won, until our country is free and happy and peaceful as part of the community of man...” close quote
Although we defeated the Apartheid regime and attained freedom, we are faced with a challenge to free our people from poverty, inequality and to create more and sustainable jobs for our people, especially the youth.
Programme Director
Our grand plans, the Mpumalanga Vision 2030 and the Nine Point Plan set forth the strategic framework for accelerated socio-economic transformation and inclusive growth in our Province.
Industrial Centres of Competence
The Mpumalanga Economic Growth and Development Path (MEGDP) and Mpumalanga Industrial Development Plan (MIDP) direct us to support and strengthen the performance of key economic sectors such as Mining and Metals; Petrochemicals; as well as Agriculture and Forestry.
Accordingly, we have identified three Industrial Centres (regions) of Competence in the Province, with the aim of stimulating economic growth through diversification and specialization of key economic sectors.
One of these centres encompasses the greater Mbombela-Thaba Chewu-Nkomazi region (at Ehlanzeni District Municipality), identified as an Agriculture and Forestry Industrial Centre of Competence.
Secondly, the Govan Mbeki Local Municipality has been identified as a Petrochemical Industrial Centre of Competence, while the Emalahleni-Steve Tshwete Local Municipalities have been identified as a Mining and Metals Industrial Centre of Competence.
The overall objective of these Centres of Technology is to attract relevant foreign and domestic direct investment required to support the mastery of the targeted industrial capabilities.
Programme Director,
Mpumalanga is open for business! Mpumalanga is open to new partnerships for economic growth and prosperity that will trickle down to the poorest of the poor.
Here are the reasons why?
We offer a strategic location in the world market and in the South African economy in particluar, together with modern infrastructure and innovative technology.
We have a large and diverse portfolio of investment projects in infrastructure, agriculture, mining, tourism, manufacturing, and property development.
We offer an ideal climate and topography for forests and major mineral resources.
We boast some of the country’s most impressive industrial complexes thus making Mpumalanga a sound investment destination for local and international investors.
Ladies and gentlemen, we have packaged various investment proposals in the context of the industrial development plan; in the green economy, and our jewel, the tourism industry, to open up opportunities for collaboration and co-investment in the economy and people of Mpumalanga who yearn for improved quality of living.
I will briefly touch some of the opportunities that government wants to present to the delegates during this conference.
Opportunities in skills development
There is no more profitable investment than putting a sizable amount of capital on education and skills development.
To this end, the province is setting up the requisite infrastructure for the establishment of a High Tech Centre of Excellence (HTCE) to enhance human capital and increase the skills-base of the province
Opportunities in steel industry
For the country to achieve its goals as set out in the National Development Plan, we need a reliable local supply of steel, bricks and mortar.
To support the growth of the steel and metal fabrication industry, Emakhazeni Local Municipality is inviting potential investors to build the steel and metal fabrication hub.
The municipality is offering 1.64 hectares of prime land for use for this economic activity.
Opportunities in recycling plant
We have set in motion a process to develop a glass recycling plant in Siyabuswa, in the Dr. JS Moroka Local Municipality.
The Glass Recycling Plant will be used for ceramic tiles; culets; road reflectors; beads; bollard, glass wall and pavement blocks.
MEGA has allocated land for the development of the glass recycling plant. The identified infrastructure has water and electricity available on site but the road infrastructure around needs some improvement.
Opportunities in agriculture
The government will continue to support small scale farmers to grow primary production in identified commodities of the agricultual sector.
We have started to implement various projects in the sector which include the International Fresh Produce Markets and associated Agri-hubs to stimulate production, support demand and increase opportunities for freight logistics.
We invite you to partner with us in this one of a kind venture.
Opportunities in International Convention Centre
The Provincial Government has resolved to build a modern, state of the art International Conference Centre (ICC) in the provincial capital of Mbombela.
The ICC will include a centre accommodating indoor sports, ranging from boxing tournaments, basketball as well as ancillary meeting rooms and other conferencing amenities.
Opportunities in tourism industry
Programme Director, Mpumalanga is home to the Kruger National Park, South Africa’s most prized tourism asset. We are pleased to also host you on the border of this facility.
Tourism is one of the key drivers of economic growth and job creation in South Africa, and in our Province.
It is estimated that the province attracts over one million tourists a year to the natural wonder of the Bourke’s Luck Potholes, God’s Window, the Blyde River Canyon, and the bordering world famous Kruger National Park.
As part of the expansion plans for these ecotourism sites, our public entities – the Mpumalanga Tourism and Parks Agency (MTPA) and the Mpumalanga Economic Growth Agency (MEGA) - seek investors to build an exclusive 5-star hotel and top quality restaurant located at the Bourke’s Luck Potholes on the Highveld part of Blyde River Canyon Nature Reserve.
We also want partners to further develop one of our world-famous lookout points on top of a 700m high cliff in the Drakensburg Mountains overlooking the Lowveld Escarpment – the God’s Window.
In line with the strategic priority of improving tourist experiences, we want to build a “Sky Walk” tourism attraction off the edge of the God’s Window cliffs, giving 360° panoramic views out and 700 meters down through a glass floor.
As you would know, our Province is the host to the largest and deepest green canyon in the world - the Blyde River Canyon - which is a major South African tourism attraction.
To give the tourists a more compelling reason to experience this natural gift, MTPA and MEGA seek investors to build a Cable Car transporting tourists from the top of the Canyon to the peninsula below, in the middle of Blyde Lake.
Conclusion
Having said all this, we want you to note that most of our Province’s potential remains untapped, requiring your inquisitive and enterprising minds to identify and seize investment opportunities even beyond what will be shared with you during this conference.
We also want to assure the investor community that this government remains committed to the fiscal policy as introduced by the government in the 2016 medium term expenditure framework.
We will continue to implement the Joint Action Plan agreed to by all the provinces and the National Treasury to establish and nurture a favorable environment for investment.
We will continue to strengthen governance in departments and public entities; and ensure that the public expenditure remains within the fiscal ceiling, and expand opportunities to enable the growth of small enterprises amongst others.
Our wish is that this conference signals the best of our intentions to restore the economy such that it surpasses all and any of its former glory.
Thank you for supporting our province for which we, in return, will support you.
Your investments will be safe in our province and you are assured of our support.
I wish you a very successful conference and hope this is a beginning of our fruitful and successful relationship.
I thank you
