Government would reconvene the Interdepartmental Task Team (IDTT) on Iron-Ore and Steel to “exhilarate” mineral beneficiation, which would add value to the economy and contribute towards the country achieving 5% economic growth, Trade and Industry Minister Dr Rob Davies has announced.
He said that, over the past five years, government had been stuck on the issue of iron-ore and steel as a result of court cases.
“Those court cases have run their course and we are now going to reconvene the IDTT with the intention of ensuring that a proportion of the iron-ore that is produced in South Africa is made available at a discounted price to support steel manufacturers who are prepared to price that steel in the bottom quartile of world prices.”
Davies also revealed that the Mineral Beneficiation Action Plan, which had been identified as a "distinct piece of work", would be integrated into the Industrial Policy Action Plan (Ipap).
He commented that only radical economic change would be capable of overcoming the triple challenges of unemployment, poverty and inequality.
“Nothing less will make the grade. If we want 5% economic growth, we have to bring about radical change at all of the levels – our vision and our broad directive compass being the National Development Plan. But within that, we recognise the New Growth Path, the infrastructure programme and the Ipap as key components and drivers of taking us where we want to go,” he stated.
Meanwhile, government was also planning to use special economic zones (SEZs) to drive platinum beneficiation.
There would be two SEZs dedicated to platinum beneficiation, focusing on jewellery, catalytic converters and fuel cell technology around small power stations.
“Partners and potential foreign investors have been identified already. They need reliable, available quantities of platinum at a sufficiently attractive discount price to support that activity, [and] that's where beneficiation comes in,” the Minister said.