Owing to delays and deferments of investments caused by the Covid-19 pandemic, the Saldanha Bay Industrial Development Zone (SBIDZ) has adjusted its yearly targets downwards by 40% midway in the year, setting new targets of just over R1-billion in gross domestic product (GDP), R833-million in gross geographic product (GGP) and 1 788 jobs for the period under review.
These were some of the results presented by CEO Kaashifah Beukes during the company’s yearly report at its annual general meeting on November 17.
On the final tally, the SBIDZ contributed R1.1-billion to South Africa's GDP, R893-million to the Western Cape GGP and sustained 1 644 jobs throughout the Western Cape and 1 960 jobs throughout South Africa; thus, exceeding its adjusted targets by 9% for the year under review.
Beukes said the SBIDZ achieved this through the diligent, proactive work it undertook to reopen the zone as soon as allowed, putting constructive measures in places like a Covid-19 occupational health and safety adviser for tenants and contractors.
“We also strengthened our customer management with our investment pipeline and key role-players such as the Saldanha Bay municipality, the provincial Treasury, the Department of Economic Development and Tourism (Dedat), the [Office] of the Premier and the Department of Trade, Industry and Competition (DTIC),” she said.
SBIDZ board chairperson Thembisile Salman, meanwhile, confirmed that the company had the building blocks required to take it forward. He reiterated his thanks for the continued support of its shareholders, the Western Cape government's Dedat and the national DTIC within the SEZ Programme and the local authority Saldanha Bay municipality.
"The relationships we have developed with our key programme partners, including Transnet National Ports Authority, is vital for the success of the SBIDZ in building momentum in a challenging investment climate," he said.
"The global trends in trade and investment have re-emphasised the strategic imperative for the IDZ to be self-sustainable and the need to proactively look for new sources of funding such as strategic equity partnerships.
“Also, the other challenge facing the IDZ is to ensure alignment in the zone with port strategic planning and operations: The current National Ports Plan of 2019 will increase capacity, but it has a 28-year timeline if we do not act together,” he elaborated.
However, he lamented that structural challenges would continue to constrain the economy's growth potential in the medium term, saying that “these should be progressively addressed as envisaged in South Africa's Economic Reconstruction and Recovery Plan of which infrastructure development is one of the key priority areas".
Meanwhile, Beukes said the "unified view of the board and management”, considering South Africa’s fiscal and other challenges, was that it would have to adopt an even more aggressive stance to capitalise on opportunities.
The SBIDZ, like all special economic zones across the world, operates within the national and international investment climate.