Business Guide Middelburg Chamber of Commerce and Industry 2018-2019
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Business Guide Middelburg Chamber of Commerce and Industry 2018-2019 Inside the guide: Business Directory | Business Services | Community Information | Economic Profile Maps: Middelburg/Mhluzi Map 1 Steve Tshwete Local Municipality Tel: 013 249 7000 Fax: 013 243 2550 THE ONLY WAY IS www.stlm.gov.za Investing in Steve Tshwete Local Municipality Steve Tshwete Local Municipality is a progressive and thriving municipality with world-class infrastructure that has seen it become one of South Africa’s leading municipalities. In less that 150km from the South African Capital, Pretoria and 170 from the country’s economic giant, Johannesburg, the Steve Tshwete Local Municipality is ideally located for business. It is also situated along the N4 which makes it possible and convenient to access Mozambique WIRELESS and the port of Richards Bay. SAVE TIME AND MONEY WITH OUR INTERNET SOLUTIONS. 17 Reasons to invest in Steve Tshwete Local Municipality 1. Our Infrastructure is world class. 2. Roads network is extensive, well-constructed and regularly maintained • UNCAPPED / UNSHAPED 3. We have the highest level of water management and quality, certified with Blue Drop Status. The most Blue Drop awards in the province with six awards. • NO THROTTLING 4. Electricity is abundantly available. Three Eskom power stations are located within the municipal area with various mines supplying necessary coal. • 24/7 MONITORING AND SERVICE 5. Tariffs for municipal services are reasonable and fair as compared to other South African metropolitan areas. 6. Property Reasonably priced and serviced industrial and commercial property is available. Depending on the level of • 18 000 TOWERS job creation offered by projects, access to this property can be provided. 7. Tax holidays - As incentive, the so called ‘tax holidays’ can be provided to prospective investors. 8. The Municipality does not directly determine incentive policies but does address needs to prospective investors on • (1:1) (1:10) CONTENTION RATIO an individual and case-by-case basis. 9. No traffic jams. On average, it is possible to reach the workplace within five to 10 minutes • 1 MBPS - 100 MBPS 10. The main centre of the municipality, Middelburg retains its typical rural residential atmosphere in spite of its strong mining and industrial income base. The climate is ideal: Mild winters with hot summers. • A NO FAIR USAGE POLICY 11. South Africa’s only stainless steel manufacturer, Columbus Stainless is based in Middelburg, providing more than 2 000 job opportunities. 12. The municipality focuses primarily on its strong industrial base which serves both the local mining sector and Eskom. 13. The municipality is situated within SA’s maize triangle, and therefore also has a strong agricultural component. Call us today for a quotation. 14. Financially, the municipality has the exemplary record of a 100% payment rate since 2005. As a result of this achievement, STLM has become a model of effective and high quality municipal service delivery for the rest of 013 249 8800 South Africa. For the past five years STLM has been awarded a clean audits in five consecutive years. 15. STLM has landing space that can accommodate small and large aircrafts. 16. Accredited Municipality of the year: Govan Mbeki Human Settlement Award. [email protected] 17. The Steve Tshwete Municipality is open for business and is committed to working closely with all stakeholders to grow the local economy, create sustainable jobs and promote skills transfer. 2 3 MCCI Business Guide Steve Tshwete Economic Profile 2018 For a complete economic profile of Steve Tshwete, please contact IHS Markit Regional contribution www.ihsglobalinsight.co.za | | Phone: 012 622-9660 To understand where Steve Tshwete Local Municipality fits into the greater economy, comparing it with its peers within the district and the province provides another level of insight. As Table 2 illustrates, in 2017 Steve Tshwete contributed 35.4% of the total GVA Economic Performance for the Nkangala District Municipality (DM), which ranks the local municipality as the second largest contributor within the DM, The Steve Tshwete Local Municipality's economy is made TABLE 1. Historic and forecasted GDP growth rates (constant 2010 while the largest contributor was Emalahleni with 45.3%. up of various industries, where each industry is measured prices), 1996-2022 TABLE 2. Regional contribution to Nkangala District Municipality's industries (GVA at current prices), 2017 in terms of its value added produced in the local economy. Industry 1996- 2001- 2006- 2011- 2017- Industry Victor Khanye Emalahleni Steve Tshwete Emakhazeni Thembisile Hani Dr JS Moroka Table 1 shows how these industries have grown or shrank 2001 2006 2011 2016 2022 Agriculture 22.1% 12.5% 39.1% 10.6% 10.3% 5.4% in the past 25 years, within blocks of 5 years at a time. Agriculture -4.2% -1.8% 8.7% 2.5% 2.8% Mining 3.7% 59.9% 33.7% 1.6% 0.9% 0.2% Mining 1.5% 0.3% 7.7% 1.0% 1.3% Manufacturing 4.5% 30.0% 57.4% 2.7% 3.9% 1.5% Sectors that have consistently shown positive growth Manufacturing -0.8% 4.6% 5.2% 1.4% 2.6% Utilities 3.9% 47.0% 37.2% 2.5% 5.7% 3.7% since 1996 are the Mining, Trade and Transport industries, Utilities -1.1% 3.9% 8.9% -7.0% -1.8% Construction 7.7% 39.1% 28.5% 3.8% 13.5% 7.3% while the Agriculture and Utilities sectors have grown Construction -4.9% 7.0% 12.5% 3.4% 2.7% Trade 8.5% 39.9% 30.7% 4.2% 10.7% 6.0% negatively or shrank over some years. Most recently the Trade 0.3% 1.8% 7.2% 3.0% 2.5% Transport 12.6% 38.4% 25.9% 6.7% 10.4% 6.0% Community Services industry has been the fastest growing Transport 3.5% 5.1% 8.6% 3.8% 3.1% Finance 5.7% 35.2% 29.8% 3.1% 6.7% 19.5% sector within the municipality, although it is the view of Finance -1.3% 6.1% 5.9% 3.9% 3.7% Community services 6.8% 35.0% 31.0% 4.0% 12.9% 10.3% IHS Markit that the Finance industry will become the Community services -2.1% 1.7% 7.4% 4.0% 0.9% Total Industries 5.8% 45.3% 35.4% 3.0% 5.6% 4.8% leading industry in terms of growth over the next 5 years. Total 0.0% 2.3% 7.2% 1.4% 1.8% Source: IHS Markit - Regional eXplorer (ReX), April 2018 Source: IHS Markit – Regional eXplorer (ReX), April 2018 Looking at the underlying industries, Steve Tshwete’s manufacturing sector made up the largest portion of all manufacturing in Nkangala in 2017, contributing to over 57% of the DM’s GVA, with the agriculture, utilities, and mining industries also bringing a significant input to Nkangala’s economy. Labour glimpse Breaking down the Mpumalanga province into its various local municipalities and how much they have contributed to the province’s In 2017, the number of people in Steve Tshwete that were of working age was 187k of which 132k people were economically active. total GVA. According to Figure 1.3, Steve Tshwete ranked as the fourth largest contributor to Mpumalanga’s economy in 2017 with a This resulted in a labour force participation rate of 71%. Dividing this group further into employed and unemployed, 23k people were percentage of 13.3 decimal points. The City of Mbombela (including Umjindi) made up the largest part of the province’s economy not employed and resulted in an unemployment rate of 17%. Those that were employed in 2017 worked mostly in the Formal (non- with 23.5%, while Dipaleseng was the smallest contributor at 0.8%. Agricultural) sector, of which 45% contributed to tertiary industries (Trade, Transport, Finance and Community Services). FIGURE 1.3 Contribution to provincial GVA (current prices) by local municipality in Mpumalanga, 2017 FIGURE 1.2. The labour profile of Steve Tshwete Local Municipality, 2017 City of Mbombela (incl Umjindi) 23.5% Place of Residence Place of Work Emalahleni Govan Mbeki Steve Tshwete 13.3% 100% 100 Elderly Domestic Bushbuckridge workers Msukaligwa Non-EAP Nkomazi 80% 55 80 Tertiary Thaba Chweu 3.4% Participation, 71% industries Lekwa Mkhondo Working age Formal 45 60% Employed 60 Chief Albert Luthuli 187 (non-Agriculture) 109 Live in region 77 Thembisile Hani 109 Economically (thousands) Victor Khanye 40% Active 40 Dr JS Moroka % contribution to GVA, Mpumalanga local municipalities Secondary Population Emakhazeni industries (EAP) Dr Pixley Ka Isaka Seme 132 17 20% Unemployment, 17% 20 Dipaleseng 0.8% Youth Informal Mining 0% 5% 10% 15% 20% 25% 68 Unemployed 20 23 15 Commuters (net) Agriculture 0% 0 Source: IHS Markit – Regional eXplorer (ReX), April 2018 Population Labour force EAP Jobs By sector Formal Source: IHS Markit – Regional eXplorer (ReX), April 2018 For economic reports on any province, district, or local municipality in South Africa, please contact IHS Markit, www.ihsglobalinsight.co.za 4 5 Message from the CEO - Anna-Marth Ott MCCI is committed to local first business practice as this has a proven and sustained a positive impact on our economy. - 2018-06-30 In a lightning flash, the Middelburg Chamber of Commerce & and we populated the Where To Stay tab, with the tourism Industry’s (MCCI) 2017 year ended in near disaster. Instead of businesses in the area. We will again focus on our services to reviewing 2017’s gains and losses, we had to face the fact that this industry in 2018. Index two-thirds of our building destroyed by fire. MCCI’s Wildly Important Goal (WIG) membership program Nashua Mpumalanga 2 Project Presentations Computer Solutions Faced with decisions that could impact MCCI’s future, the remains our primary focus.