The North West Province offers a broad range of opportunities for investment and trade. Benefitting from the Province’s natural position, the prospective investor can attain cost effective proximity to ideal trading environments throughout the entire Southern African Development Community (SADC) which offers a market of more than 150 million people.
Enabling factors positioning the Province as a preferred business and investment destination include:
- Proximity and easy access to the Gauteng Province
- Good infrastructure (N4 and N12 corridors among other)
- Easy access to Botswana and Namibia via well-developed corridors
- Easy access to markets in the SADC region and the rest of Africa
- A well-developed industrial sector that consists of both local and foreign companies
- Diversified economic sectors, ranging from mining, mineral beneficiation and manufacturing to renewable energy, agri-processing and tourism.
- Scoped projects as well as untapped opportunities ready for investment and development
The focus sectors for economic growth provide tremendous potential in terms of investments and opportunities. These sectors include: Manufacturing, Mining and Mineral Beneficiation, Renewable Energy, Agriculture and Agri-processing as well as Services, Information Technology and Tourism.
Several developed and undeveloped opportunities are available to investors:
In addition, NWDC has scoped project profiles available on the following projects:
For more information on investment opportunities and projects please contact NWDC Trade and Investment Office on +27 (0)14 594 2570
Developed and undeveloped opportunities:
The North West is home to around 750 000 goats or around 11 % of the total goat population in South Africa. Of this total, close to 13 % are Boer goats and the balance is comprised of a variety of indigenous goats.
Goat meat production is dominated by developing countries, particularly countries in Asia and on the Asian sub-continent. In 2010, the world’s top five goat meat producing countries were China, India, Nigeria, Pakistan and Bangladesh. Global goat exports are dominated by Australia, Ethiopia, China, Pakistan and France. In turn, the world’s top five importers of goat meat are the USA, Bahrain, the United Arab Emirates (UAE), China and Saudi Arabia. Demand for goat meat is expected to rise significantly in the future in line with pressures to satisfy the food consumption demands of a growing world population.
The initial stages of the value chain involve the breeding of goats for eventual use in the production of goat meat or skins, or to be reared to provide milk for the production of goat milk products and cheese. In the North West, many goats are sold live by farmers at livestock auctions or to individuals in local communities for use in cultural or traditional ceremonies.
The Reivilo Ostrich Abattoir will be located in the Greater Taung Municipality area. The project Proposes to develop an EU export focused abattoir with downstream SMMEs, Small Co-ops and regional opportunities.
Establishment of the Beef Beneficiation, including industrial and commercial facilities that are dedicated for production and business services to attract new businesses by providing integrated infrastructure in one location and providing localised environmental controls that are specific to the needs of the industrial area to:
- support the beneficiation of cattle through a world-class economy of scale abattoir, meat processing and packaging plant and cold storage facilities
- support the beneficiation of cattle hides through an economy of scale tannery, leather furniture manufacturing plant, leather footwear manufacturing plant, leather apparel manufacturing plant and shared warehousing
- 70% of the value of North West Province exports during 2009 comprised live animals, and only 14% of the value of North West Province exports comprised meat and edible meat products. This represents a significant beneficiation opportunity for the North West Province, given that 13% of SA’s cattle herd is located in North West Province, with beef cattle comprising 60% of the North West Province livestock output.
Renewable Energy Opportunities
The North West is rated as the fourth largest electricity consuming province in South Africa and consumes approximately 12% of the available electricity. This is mainly due to the high demand of the electrical energy-intensive mining and related industrial sector. Approximately 63% of the electricity supplied to the North West Province is consumed in its mining sector.
South Africa experiences some of the highest levels of solar radiation in the World. The average daily solar radiation in South Africa is approximately 7,500 MJ/m2, which are high compared to the United States and Europe. The North West Province in particular has a very good solar potential with an average daily solar radiation greater than 8,000 MJ/m2, particularly in the western parts of the province where the average daily solar radiation is about 8,500 MJ/m2 and higher.
Cogeneration entails the generation of electricity from a waste heat source. The constrained electricity environment in South Africa makes cogeneration a viable option for energy generation at the country’s ferrochrome plants. Cogeneration involves the redirecting of waste hot and/or combustible gasses generated by an industrial plant for the generation of electricity that could be used by the plant itself or sold to external customers.
The South African ferrochrome industry consumes approximately 10% of the country’s overall installed electricity generation capacity. By introducing cogeneration, it may be possible for the ferrochrome industry to generate between 10% and 17% of its own electricity requirements. This figure may rise by a further 33% to 50% with the introduction of new technologies (e.g. heat recovery from slag and ferrochrome metal which is currently lost to the environment).
Fuel cells hold substantial potential for the North West Province in terms of renewable energy applications and localised assembly and possible manufacture, which would increase demands for PGM with the national uptake of such an economy. The North West Province is the largest producer of platinum and related metals worldwide, accounting for 64.7% of the South Africa output total.
There are in the order of 63 municipal landfill sites within the North West Province. These landfills are however under increasing pressure due to constraints in terms of remaining airspace and life. The majority of economic activity is concentrated in the southern region between Tlokwe and Matlosana, as well as Rustenburg and the eastern region, where more than 83.3% of the province’s economic activity takes place.