Programme Director;
The Deputy Marshall of the Wielkpolska Region of Poland, Mr Mateusz Klemenski;
Members of the business delegation from Poland;
CEO of the Mpumalanga Economic Growth Agency (MEGA), Advocate Boyce Mkhize;
Officials from the Department and Mpumalanga Economic Growth Agency (MEGA);
Distinguished guests;
Ladies and gentlemen;
Dzień dobry (Good morning)
It is indeed my pleasure and honour, to address this Business Forum, as we strengthen business relations between our two Provinces. This gathering is nothing but a platform to share what we can offer to one another, in order to better the lives of the people of South Africa, particularly of Mpumalanga and Poland on the other hand.
We South Africa, we continue to face the triple challenges of poverty, unemployment and inequality. We therefore have a mandate to implement economic growth initiatives such as trade and investment promotion, which are geared at addressing the triple challenges I have just alluded to.
Ladies and gentlemen.
The word Mpumalanga is an Nguni word, which means “a place where the sun rises!’ Our Province is therefore the energy powerhouse of South Africa literally – firstly the sun which is the source of energy rises here, and secondly, we generate almost 80 percent of South Africa electricity. Mpumalanga is also truly an unparalleled tourism destination. From the scenic beauty of the Blyde River canyon; awe-inspiring Berlin Falls; the Sudwala caves; to the God’s Window; and the world renowned Kruger National Park. We are the only Province which offers this rare opportunity to look through this window of God. Indeed no one can challenge us when we say God started his creation somewhere in the country, but ended in Mpumalanga given its scenery treasure.
I therefore implore you to explore our tourism treasures, before your depart back home. I am quite sure that once you have experienced our tourism offering and the hospitality of our people, you will definitely come back with your families in future. More importantly, you will come back and invest in Mpumalanga.
Panie i panowie! (Ladies and gentlemen).
We have developed the Provincial economic growth blueprint – the Mpumalanga Economic Growth and Development Path (the MEGDP) which has identified six key sectors crucial and with the potential to create the much needed jobs in Mpumalanga. These sectors are:
- Infrastructure development;
- green economy;
- agriculture;
- mining;
- manufacturing; and
- tourism and other high level services.
It is our wish that given an abundance of investment opportunities in our Province, that you will consider investing in these sectors.
Ladies and gentlemen,
You will recall that both South Africa and Poland has signed an economic co-operation agreement, which is aimed at increasing two-way trade and investment between the two countries. This agreement was signed by our Trade and Industry Minister, Dr Rob Davies and the Polish Under-Secretary of State, Beata Stelmach. It covers sectors such as:
- mining and mineral exploration;
- carbon enrichment;
- oil and gas;
- construction;
- transport;
- infrastructure.
It was therefore along these sectors, that a joint economic commission was set up within the ambit of the agreement to explore areas of economic co-operation which provide maximum opportunities in trade and investment development. The new bilateral co-operation will also explore agriculture and rural development, education and skills development, environmental affairs, science and technology, transport and maritine.
It is worth noting that South Africa and Poland have a long and historic relationship in a number of areas of co-operation which include education, science and technology and military matters amongst others. South Africa and Polish economic relation have also strengthened in the form of both trade and investment that has also grown. The total value of the two-way trade between our two countries grew by R2.6 billion in 2006 to R7, 6 billion in 2013. We must therefore strive by all means to increase trade and investment between our two (2) countries.
Ladies and gentlemen
The level of trade between Mpumalanga Province and Poland is growing. However the balance of trade is in favour of Poland. The total export to Poland grew from 25.24 percent in 2011 to 37.57 percent in 2013, whereas the total import grew from 11.22 percent in 2011 to 54.83 percent in 2013. The top five export products to Poland in 2013 were:
1. Textiles and textile articles.
2. Mineral products.
3. Machinery and mechanical appliances; electrical equipment (parts thereof).
4. Live animals, animal product.
5. Raw hides and skins, leather, fur-skins and articles thereof: saddlery and harness; travel goods, handbags and similar containers; and articles of animal gut.
On the other hand, the top five import products from Poland in 2013 were:
1. Machinery and mechanical appliances; electrical equipment; parts thereof.
2. Base metals & articles of base metal.
3. Vehicles, aircraft, vessels and associated transport equipment.
4. Articles of stone, plaster, cement, mica or similar materials.
5. Optical, photographic, cinematographic measuring, checking, precision, medical and surgery instruments.
Potential trade and investment opportunities
Ladies and gentlemen.
Indeed we have an abundance of investment opportunities which we believe you will be interest in. In the manufacturing sector, such trade and investment opportunities exist in the following strong and established industries of the Province:
- Steel;
- Stainless steel;
- Petro-chemical;
- Food and agro-processing;
- Paper;
- Sugar; and
- Timber.
In the mining sector, trade and investment opportunities exist through the extraction and beneficiation of minerals such as:
- Coal;
- Gold;
- Chrome;
- Vanadium;
- Granite; and
- Various clays.
Similarly the agriculture sector presents trade and investment opportunities through the cultivation and processing of a variety of cash crops such as corn, sunflower seed and canola in addition to a range of fruit and vegetable.
In addition, this diverse economy, presenting a variety of opportunities, is supported be world class infrastructure in the form of:
- the Maputo Development Corridor;
- Railway network that shadows the Road Corridor that cuts across the Province and linking the industrial nodes of Mpumalanga to the Mozambiquean harbour of Maputo;
- The Kruger Mpumalanga International Airport which links the Province nationally, regionally and;
- internationally for both passenger and cargo traffic.
We appreciate your interest in partnering in the following areas:
- Household appliances;
- Food products, soft and natural drinks;
- Electronic and electrical appliances;
- Trading and processing in spices and herbs;
- Transportation (such as buses and coaches);
- Doors and window making; and
- Legal fraternity;
Ladies and gentlemen.
The advent of green or renewable energy has also provided us with an opportunity to exploit this sector – at the same time contributing towards saving our environment from climate change consequences. In providing renewal energy, an abundance of opportunities exist in this emerging green energy sector such as:
- Production of smokeless stoves which use ethanol gel – the green energy source which could replace paraffin given the high incidents of paraffin-caused fires and deaths;
- Production of solar panels and solar water heaters;
- Establishment of charcoal producing plants using agricultural, forestry and municipal waste;
Supplying clean technology equipment to Eskom’s Kusile Power Station
The power station will be South Africa’s first station to use flu gas desulphurisation method; and the establishment of LED lights production plant.
As I close, once more I appreciate you taking time to come and visit us as you explore the investment opportunities available in our Province. It is through such co-operation that we can fight poverty, unemployment and inequality in both our countries.
Together we move both Mpumalanga and the Wielkopolska Region forward.
I wish you an excellent stay in Mpumalanga and a fruitful engagement.
Dziękuję (I thank you!)
