18 October 2006
Limpopo's trade and investment mission to India and Malaysia, led by Premier
Sello Moloto, is beginning to bear fruit, says honourable Collins Chabane,
Limpopo MEC for Economic Development, Environment and Tourism. "Many companies
have shown interest in doing business in the province."
First is Gem Granite, the largest mining company in India with several
quarries and processing plants throughout the country. The group has other
diverse interests including textile spinning and weaving plants. It already
exports to the Unites States (US), Europe and Asia. Honourable Chabane met with
Mr Rajiv Bahadur, Senior Executive and Director of the company. "We informed
him about the various granite deposits in Limpopo and particularly the reserves
of black granite in the Mopani district for which a local company, Katlego
Holdings, holds prospecting rights."
"We persuaded him to visit province for a series of meetings with all
relevant stakeholders in the project as well as the national Department of
Minerals and Energy. Our officials at Trade and Investment Limpopo (TIL) will
also accompany him on a site visit. He accepted the invitation and his visit is
scheduled for 11 November 2006 onwards. As we speak, our officials at TIL are
facilitating visas for him, his geologist and quarry manager. This is a big
scoop for the province."
Mining was the big winner. The MEC accompanied by the South African High
Commissioner, met Mr N Prasad, the Vice President of VISA Power Ltd, a company
in the coal and energy industry. It manufactures steel, infrastructure and
power. It has steel plants (including stainless steel requiring ferro-chrome)
all over India. The group also builds power stations and are currently planning
to build a 1000 MW unit in east India plus two other cities. "They are looking
at procuring coking coal with low ash, low sulphur and high volatility. Though
they are already importing coal from various sources including South Africa,
they have expressed a wish to explore mining in the country."
"Though they have raised questions about the rail logistics and capacity in
South Africa, we are confident that the province will be able to meet their
needs. We informed them about the capacity of such companies as Kumba Resources
which would be able to supply around 300 000 tons per annum. They expressed an
interest in Sekoko's proposed project in Soutpansberg which requires
exploration. We have urged them to visit the province so that they could enter
into dialogue with Sekoko. The Director of the company, Mr Tim Thobela, was
contacted and informed about the initiative. We then went a step further to
advise Mr Prasad to open an office in Polokwane in partnership with a South
African partner."
The MEC summed up the province's responsibilities between now and the
envisaged visits from the two companies. "A comprehensive and meaningful
programme has to be developed for the visiting delegation with specific project
proposals on the table and good site visits. We are going to work hard to
conclude these deals."
Honourable Chabane also held meetings with the Chandigahr Chamber of
Commerce and Industry in Punjab. Represented by its Chairperson, Mr RS Sachdeva
and a number of members and prominent business people, the chamber welcomed the
Limpopo delegation warmly. The chamber's delegation had interests in general
engineering, machinery components manufacturing, construction, alternative
energy (bio-diesel), tractor assembly and the hospitality industry. Mr Sachdeva
reaffirmed their and India's commitment to continuing the historical links and
strong bond of co-operation and friendly relations between India and South
Africa.
The MEC made a passionate presentation on investment opportunities in
Limpopo. He highlighted the investment required in the province in mining and
beneficiation, value added agro-processing and the opportunities in the tourism
sector. "We then proposed to them that they should formalise their chamber's
relations with TIL through a Memorandum of Understanding (MoU) to facilitate
the exchange of information and implementation of projects. The chamber warmly
agreed to the proposal. This is yet another victory for our trade and
investment mission."
More lessons from India? "We have found that India is a good source for
acquiring skills particularly at local government level," says MEC Chabane,
"and good progress is being made and Limpopo is at the forefront. Bilateral
trade is on the increase. There are synergies and opportunities in mining,
particularly beneficiation, with empowerment partnerships. Mining is a key area
but should be approached with a specific business to business matching
agenda."
MEC Chabane has also met the Chief Executive Officer of the Africa Desk of
the Confederation of Indian Industry, Mr RK Mahna. "There will be follow-ups
made with various companies that have shown interest in Limpopo as a viable
trade and investment destination through the assistance of the Confederation of
India Industries (CII)."
Another immediate success story is in the agricultural sector. MEC Chabane
also met with the director of Proactive Overseas (Pty) Ltd, Mr Pradeep Kumar.
The company travels and has business interests with numerous north African
countries in agricultural processing. "We made a presentation on Limpopo. He
has shown keen interest in agri-processing. After we have identified specific
projects back at home, we hope to invite the company to visit the province
during the director's travels to Africa."
In Malaysia, in the city of Putrajaya, the delegation met with the Economic
Planning Unit (EPU), a think-tank in the office of the country's Prime Minister
responsible for development planning and technical co-operation programme. The
unit's functions include formulating policies and strategies in development
planning, preparing long and medium term plans, preparing and evaluating the
development budget, advising government on economic issues, initiating
necessary economic research and preparing a number of public entities for
privatisation.
In closing the discussion between Limpopo's delegation and the EPU, Premier
Sello Moloto commented, "We are certainly looking at formalising relations
between our Policy and Co-ordination Unit in my office and the EPU. There's a
lot we could learn from each other. Drawing synergies from each other will be
the key to such co-operation."
The provincial delegation also met with the Construction Industry
Development Board of Malaysia. The body's mission is to develop the Malaysian
construction industry towards global competitiveness. Its functions include
promoting and stimulating development, improvement and expansion of the
construction industry, advise and make recommendations to the federal
government and the state governments on matters affecting or connected with the
construction industry, promote, stimulate and undertake research into any
matter related to the construction industry and promote, stimulate and assist
in the export of service related to the construction.
"We are delighted to say that the ICDB has accepted our invitation to visit
the province," said honourable Maite Nkoana-Mashabane, MEC for Local Government
and Housing in Limpopo. "They have also agreed to spread the good word among
their members about numerous construction opportunities in the province,
especially within the context of infrastructural demands we have in preparing
for the FIFA World Cup 2010. They were very delighted indeed for our
visit."
"Though we are returning home victorious," said Premier Moloto, "we are
certainly coming back to nurture these fruitful relations we have
established."
Contact:
Saul Molobi, General Manager - Provincial Communication Services
Tel: (015) 287 6311
Cell: 083 444 2822
Issued by: Office of the Premier, Limpopo Provincial Government
18 October 2006
Source: Limpopo Provincial Government (http://www.limpopo.gov.za/)
