The link between the metals and engineering (M&E) sector and the mining, construction and auto manufacturing industries will come under scrutiny at the fourth Southern African Metals and Engineering Indaba taking place at the IDC Conference Centre in Sandton on Thursday and Friday this week.
“The continued survival of the M&E sector depends, as far as the domestic economy is concerned, crucially on the health and growth of the sectors which are drivers of its demand, namely mining, construction and the automotive sector. For the sector to return to profitability, demand for its products must grow. This can be through maintaining higher exports or improving domestic demand coming from the mining, construction and automotive sectors,” Steel and Engineering Industries Federation of Southern Africa (SEIFSA) Economist Marique Kruger said today.
She added that volatility in output in mining, construction and the auto sectors has implications for the domestic market for the M&E sector, which depends largely on intermediate products supplied to them. Ms Kruger said the top industries to which the sector sells its output are the construction sector (14.6%), followed by the automotive sector (12.7%) and mining (9.7%).
Commenting on the plenary session, SEIFSA CEO Kaizer Nyatsumba said the relationship between the M&E sector and mining, construction and automotive industries is of paramount importance since none of the sectors can survive without the other. He said it was against this backdrop that SEIFSA had dedicated a session to exploring and leveraging the relationship among these crucial sectors of the economy.
Taking part in the plenary session will be SEIFSA Chief Economist Michael Ade, Minerals Council South Africa Economist Tafadzwa Chibanguza, National Association of Automobile Manufacturers of South Africa Director Nico Vermeulen and Master Builders South Africa Executive Director Roy Mnisi.
Mr Nyatsumba said that other topics that will feature prominently during the 2018 Indaba include:
- The Continental Free Trade Area: How Much Progress Has Been Made to Date?
- How much of the National Development Plan has been implemented – and is it still relevant?
- Constraints to investing in the Metals and Engineering Sector and improving trade on the African continent
- Innovation and Excellence as Strategic Levers for Global Competitiveness
Among the high-profile speakers expected to address the conference are:
- Cabinet Ministers Dr Nkosazana Dlamini-Zuma, Dr Zweli Mkhize and Pravin Gordhan;
- Business leaders like Black Business Council CEO Kganki Matabane, ArcelorMittal General Manager: Africa Overland Alph Ngapo, Hazleton Pump International Managing Director Mathys Wehmer, Atlantis Foundries CEO Mervyn Moodley, Eskom CEO Phakamani Hadebe, Transnet CEO Siyabonga Gama, and PWC Africa Director Andrew Shaw
- Policy makers and civil service representatives like Department of Trade and Industry (Dti) Director-General Lionel October, and Dti Chief Director for Africa Multilateral Economic Relations Wamkele Mene;
- Representatives of global organisations like World Bank Group Lead Economist John Gabriel and International Finance Corporation Senior Investment Officer Paul Mukasa;
- Civil society leaders like Council for Scientific and Industrial Research CEO Dr Thulani Dlamini; Organisation Undoing Tax Abuse Executive Director Wayne Duvenage and Council for the Advancement of the South African Constitution Executive Secretary Lawson Naidoo; and
- Politicians like ANC Economic Transformation Head Enoch Godongwana, Democratic Alliance Shadow Minister for Trade and Industry Geordin Hill-Lewis and DA Shadow Minister for Public Enterprises Natasha Mazzone.