1 MAKHADO LOCAL ECONOMIC DEVELOPMENT STRATEGY MAKHADO LOCAL ECONOMIC 2013 DEVELOPMENT STRATEGY Physical Address: 83 Krogh Street, Makhado | Tel: (015)519-3000 2 MAKHADO LOCAL ECONOMIC DEVELOPMENT STRATEGY ACRONYMS AND ABREVIATIONS AIDS : Acquired Immune Deficiency Syndrome CBD : Central Business District CBO : Community Based Organisation CRDP : Comprehensive Rural Development Programme CSIR : Council for Scientific and Industrial Research CTA : Community Tourism Association DC : Development Corridors DDP : Department of Development and Planning DGP : District Growth Point District : Vhembe District Municipality DMR : Department of Mineral Resources DoL : Department of Labour DTI : Department of Trade and Industry FET : Further Education and Training GVA : Gross Value Added HDI : Human Development Index HIV : Human Immunodeficiency Virus IDP : Integrated Development Plan LDA : Limpopo Department of Agriculture LDRT : Limpopo Department of Roads and Transport LED : Local Economic Development LEDET : Limpopo Economic Development, Environment and Tourism Department LEDA : Limpopo Economic Development Agency LEGDP : Limpopo Employment, Growth and Development Plan Limpopo : Limpopo Province LSP : Local Service Point LTA : Limpopo Tourism Authority Makhado : Makhado Local Municipality MGP : Municipal Growth Point MINTEK : Mining Technology MLM : Makhado Local Municipality 3 MAKHADO LOCAL ECONOMIC DEVELOPMENT STRATEGY Municipality : Makhado Local Municipality NAFCOC : National African Chamber of Commerce and Industry NSDP : National Spatial Development Perspective PGP : Provincial Growth Point Province : Limpopo Province SDF : Spatial Development Framework SEDA : Small Entreprise Development Agency Study Area : Makhado Local Municipality SMME : Small Medium, Micro Entreprise TIL : Trade Investment Limpopo TISA : Trade Investment South Africa UNIVEN : University of Venda VDM : Vhembe District Municipality Vhembe : Vhembe District Municipality 4 MAKHADO LOCAL ECONOMIC DEVELOPMENT STRATEGY TABLE OF CONTENTS ACRONYMS AND ABBREVIATIONS..........................................................................................................................................2-3 EXECUTIVE SUMMARY.........................................................................................................................................................9-13 SECTIONS 1. INTRODUCTION......................................................................................................................................................14 1.1 Background.....................................................................................................................................................14 1.2 Report Structure..............................................................................................................................................14 1.3 What is LED................................................................................................................................................14-15 1.4 Approach and Methodology..........................................................................................................................15-16 1.5 Geographic Location.........................................................................................................................................16 1.6 Legislative and Policy Framework.................................................................................................................16-17 2. PROFILE OF MAKHADO LOCAL MUNICIPALITY..........................................................................................................18 2.1 Overview.........................................................................................................................................................17 2.2 Demographic Profile.........................................................................................................................................18 2.2.1 Population...................................................................................................................................18-19 2.2.2 Age distribution.................................................................................................................................19 2.2.3 Education....................................................................................................................................19-20 2.3 Labour Profile..................................................................................................................................................20 2.4 Development Profile.........................................................................................................................................21 2.4.1 Poverty profile..................................................................................................................................21 2.4.2 Human Development Index...............................................................................................................21 2.4.3 Local Gini Co-Efficient........................................................................................................................22 2.5 Social Issues....................................................................................................................................................22 2.5.1 Crime..........................................................................................................................................22-23 2.5.2 HIV/AIDS.....................................................................................................................................23-24 2.6 Basic Services.............................................................................................................................................24-25 2.7 Spatial Profile..................................................................................................................................................25 2.7.1 Land size..........................................................................................................................................25 2.7.2 Land tenure......................................................................................................................................25 2.7.3 Land use..........................................................................................................................................25 2.7.4 Growth points...................................................................................................................................26 2.7.5 Development corridors..................................................................................................................26-27 2.8 Environmental Profile.......................................................................................................................................27 2.8.1 Hydrology....................................................................................................................................27-28 2.8.2 Soils.................................................................................................................................................28 2.8.3 Climate ............................................................................................................................................28 2.9 Infrastructure Profile........................................................................................................................................29 2.9.1 Water...............................................................................................................................................29 2.9.2 Electricity.....................................................................................................................................29-30 2.9.3 Transport.....................................................................................................................................30-31 2.9.4 Telecommunications.....................................................................................................................31-32 2.9.5 Social infrastructure......................................................................................................................32-33 2.9.6 Commercial and industrial property...............................................................................................33-34 3. A PROFILE OF MAKHADO LOCAL MUNICIPALITY ECONOMY.......................................................................................34 3.1 An introduction to Makhado economy................................................................................................................34 3.2 Gross Value Added......................................................................................................................................35-36 3.3 Gross Domestic Product...............................................................................................................................36-37 3.4 Employment by Sector.....................................................................................................................................38 3.5 Comparative Advantage...............................................................................................................................38-39 3.6 Income and Expenditure...................................................................................................................................39