Sustainable Development Goal 9 was formulated and adopted in view of Africa’s inefficacy to industrialize. This coverage intends to ‘build resilient infrastructure, promote sustainable industrialization and foster innovation’. Industrial improvement is recognised as one of the nation’s top priorities, due to this fact numerous emerging alternatives abound for Africa to industrialize. To seize such opportunities, African governments are required to implement innovative approaches to industrial policy, certainly one of which is an increased focus on the position of Special Economic Zones (SEZs) and industrial parks as devices of business development.
Industrial Parks and SEZ’s are two of the spatial interventions recognized by the South African authorities and are subsequently aligned with international approaches. Industrial spaces can be leveraged as catalysts for socio-economic improvement. All issues thought-about, such spaces are recognised as enablers and are subsequently usually managed as such, and not for rent-seeking purposes. Moreover, industrial parks and SEZs successfully lend themselves as areas for piloting and experimentation of latest applied sciences and completely different approaches to industrial development, in addition to for group and environmental programmes owing to the nexus between these three elements.
Industrial parks and SEZs, as properly as associated industrial spaces, have the potential to grow the financial system as a result of owing to the opportunities for employment and establishing new businesses and value chains. This consequently develops the tax base and local financial exercise which is crucial in facilitating social improvement. Up-sell of interventions established via industrial areas assist industrial and economic improvement, the transition to sensible cities and transformation to a green economy as properly as facilitate adoption of 4th Industrial Revolution solutions. What’s more, such interventions provide a platform for widespread engagement of multiple stakeholders that helps win-win outcomes serving economic, social and environmental interests. Accordingly, industrial parks and SEZ’s have the propensity to supply elevated worth, assuming the required planning and implementation is pursued proactively.
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There are at present an estimated 4000 industrial zones globally (SEZ’s, EPZ, FTZ’s etcetera), evidently demonstrating the validity of such mechanisms. There is, however, debate as to the success of these zones and analysis has subsequently recognized multiple success elements, corresponding to governance, enabling regulatory frameworks, location and types of providers offered. Suffice it to say, it remains worthwhile to discover the educational gained in executing such spaces and the impact on supporting financial activities in a sustainable manner that help positive industrial, social and environmental outcomes.
The Special Economic Zones and Industrial Parks Programmes of the Department of Trade, Industry and Competition (the dtic) will play a important role within the effectuation of South Africa’s economic reconstruction and restoration plan. This ultimately stems from the SEZ Programme representing the core of the reimagined industrial strategy, which is purposefully structured to stimulate local and overseas direct investments.
Notwithstanding the catastrophic influence of the COVID-19 pandemic on global economies, the worth of private investments within the South African SEZs saw a R1.eight billion increase from March 2019 to March 2020, whereas the variety of operational investments rose from 129 to 143 in the same timeframe. It is projected that the number and worth of operational investments will enhance by nearly R10 billion when the next financial year ends.
Off-limits and Special Economic Zones characterize a key feature inside the convention of the upcoming and eagerly awaited Manufacturing Indaba. The digital conference and exhibition, to be hosted between 22 – 25 November 2021, is about to assemble international industry experts to handle technological improvements and evolving developments, whereas looking for actionable options to urgent challenges. The platform will empower thought leaders to change ideas, insights and experiences and serves to boost awareness of emerging alternatives within the realm that’s manufacturing.
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