Name of the Project
Maluti-A-Phofung Special Economic Zone (MAP-SEZ).

Location
The project is located near Harrismith, at the foothills of the Maluti mountains, in the Free State, South Africa.

Client
Free State Development Corporation.

Project Description
The 103 ha MAP-SEZ forms an important part of government’s SEZ Programme, which is aimed at ensuring excluded areas of the country are developed and able to contribute to the country’s economic growth.

The SEZ will provide road and rail logistics, as well as handling facilities for the Gauteng–Durban port corridor and link it to the Bloemfontein–Cape Town corridor.

The main industries the SEZ will serve are agriculture, agroprocessing, automotive and logistics, and will include container terminal and car terminal facilities.

The SEZ will function as a back-of-port operation to ease congestion at the Durban port and will provide South African customs functions and facilities for imported and exported goods, including goods being transported north into Southern African countries.

It will incorporate an intermodal rail and road facility, with specialist transfer infrastructure and associated storage facilities, including cold-chain storage facilities. There is more land available in the vicinity that could potentially accommodate expansion, if required.

Jobs to be created
None stated.

Value
R4.8-billion.

Duration
The SEZ was launched in April 2017.

Latest Developments
The MAP-SEZ was launched by President Jacob Zuma on April 25.

Zuma said at the event that many of the excluded areas lacked the critical factors for long-term economic and industrial success and that the SEZ Programme was an important catalyst that would allow excluded areas to contribute to the country’s economy.

He further noted that the SEZ, others like it and the Department of Trade and Industry's (DTI’s) broader industrial parks initiatives were critical to efforts to radically transform the economy. He also noted that, to date, the SEZ Programme has attracted over R9-billion of investment into the country.

There are currently eight SEZs in South Africa and the DTI has been working with the National Treasury to improve the incentive package put on offer to attract more investors.

“This includes a 15% corporate tax for ten years, instead of the usual 28% corporate tax companies have to pay. There are also value added tax and customs duties exemptions for those who invest in an SEZ,” Trade and Industry Rob Davies noted.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
None stated.

Contact Details for Project Information
Free State Development Corporation, tel +27 51 400 0800 or email info@fdc.co.za.