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TRADE & INVESTMENT PROFILE www.experiencenortherncape.com Province of the Northern Cape REPUBLIC OF SOUTH AFRICA NORTHERN CAPE PROVINCE

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trade & Investment

ProfIle

www.experiencenortherncape.com

Province of the

Northern CapeRePubliC of South AfRiCA

NortherN Cape proviNCe

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Land area: 361 830 km2

population: 1 096 731population Density: 3,1 per km2

Capital City: KimberleyMajor towns: Upington, Colesberg, Kuruman, Springbok and De Aar.airports: The Northern Cape has two major airports in Kimberley and Upington. Direct flights are available from Johannesburg and Cape Town to both Kimberley and Upington.rail: Kimberley has rail links with most major South Afri-can cities. It also serves as a stop over for the Blue Train and Rovos Rail Heritage Train.roads: Linked to main entry points into South Africa - N1, N10, N12, N7 & N14.

Northern Cape

Vaalbos National Park

Namaqua National Park

Tankwa Karoo National Park

Augrabie Falls National Park

Richtersveld National Park

Karoo National Park

Kakamas

Upington

Kathu

Postmasburg

Kimberley

Barkly-West

Danielskuil

Griekwastad

Keimoes

Kenhardt

Williston

Vioolsdrif

Kleinzee

Garies

Kamieskroon

Nieuwoudtville

Hondeklip Baai

PrieskaSpringbok

FraserburgFraserburg

CarnarvonLoeriesfontein

Brandvlei

Calvinia

Sutherland

Loxton

Britstown

De Aar

Victoria WestHanover

Colesberg

Kuruman

Olifantshoek

N14

N10N12

N7

N8

N8

N1

N9

'

'

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Kimberley

1 PURPOSE .......................................................02

2. PROVINCIAL GROWTH &

DEVELOPMENT STRATEGY ............................02

3. SOCIO ECONOMIC PROFILE .........................03

Key Provincial Attributes ................................03

Key Economic Attributes ................................03

Economic Growth ...........................................04

Economic Performance ..................................06

Employment Status ........................................09

Exports and Imports .......................................13

4. TRADE AND INVESTMENT PROFILE .............16

Mining and Mineral Beneficiation: ................16

Agriculture and Agro-Processing ..................18

Fishing and Mari-Culture ...............................20

Tourism ...........................................................21

Science, Technology and Information

Communication Technology ...........................22

Renewable Energy ..........................................23

Infrastructure ..................................................24

Manufacturing .................................................25

CoNteNtS

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1. pUrpoSeTo provide you as a potential visitor and investor to the Northern Cape with a socio-economic overview and a compelling business case of existing opportunities in the province.

The key economic sectors that are focused on to realise the socio-economic priorities of the Province are as follows:

• AgricultureandAgro-Processing

• FishingandMari-culture

• MiningandMineralProcessing

• Manufacturing

• Tourism

• KnowledgeEconomy

• RenewableEnergy

5

Building a prosperous, sustainable, growing provincial economy to eradicate poverty and

improve development for a caring society

Promoting and facilitating economic growth, diversification and transformation

Efficient and effective infrastructure network

Poverty eradication through special development

Improving governance efficiency and effectiveness

Comprehensive rural development program (CRDP

Spatial development Framework (PSDF)

Ensure availability of affordable energy

Trade development and promotion

Enterprise development and broad -based economic empowerment

Regional and local economic development

Environment and sustainable development

Development of the knowledge - based society and economy (science and technology)

Ensure availability of adequate financial services

Vision

Pillars

Interdependent Provincial Priorities / Foundations

*

*

2. proviNCiaL GroWth & DeveLopMeNt StrateGY

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3. SoCio eCoNoMiC overvieWKeY proviNCiaL attribUteS

The Northern Cape has the largest geographic footprint of all provinces in South Africa, covering 31% of the country's surface area.

In spite of the large area, the province has the smallest population number and is home to only 1.16 million people or 2,2% of the total 58,3 million South Africans. This translates into an average population density of 3.1 people per km² in the province, which is exceptionally low compared to the national average of 44 people per km²

The province is located in the western part of South Africa and is bordered by four other provinces and the Atlantic Ocean on the west, Namibia on the north west and Botswana on the north, making it an ideal gateway to West African and other international markets. Mining and Agriculture are the two most important sectors in the province.

KeY eCoNoMiC attribUteS

The Northern Cape Province contributes 2,2% to national GDP, which is small compared to its geographic size, but reasonable relative to its low population number.

This economic contribution can mainly be ascribed to activities in the mining and community services sectors with a combined 49% share of the economic output for the province. The distribution of economic activities across other sectors is low, but somewhat evenly spread, indicating a diverse range of activities. Nonetheless, electrical power generation presents an opportunity for greater economic diversification and growth in the province.

The province has a good road and rail network, making the interior easily accessible from South Africa's major cities, harbours and airports. This offers a good platform for the establishment of new power infrastructure

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eCoNoMiC GroWth

Looking at the real annual economic growth per region Gauteng still is the largest provincial economy in country, with a contribution of almost 35 percent (34.75%), further increasing from the previous year contribution of 33.92%. Kwazulu-Natal also marginally improved its contribution to the country’s economy, to contribute in the region of 15.96%, while thirdly largest contributor being the Western Cape. The Northern Cape province contribution saw a minimal decline between 2013 and 2014, however remain the least contributor.

(Statistics South Africa(StatsSA), 2016) preliminary estimates indicate that the highest real annual economic growth rates by region – as measured by gross domestic product by region (GDPR) at market prices – for 2014 compared with 2013 were recorded in Northern Cape at 2.8%, Mpumalanga at 2.7 per cent, KwaZulu-Natal and Gauteng both at 2.1 %, and Western Cape at 1.9% North West contracted by 3.8 %, and was the only region to register a negative growth rate in 2014.The negative economic performance of North West is attributed to a decline of 15.1 % in the mining(Statistics South Africa(StatsSA), February, 2016)

Figure 1: Provincial contributions to the South African economy - Constant 2010 prices

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%age contributions %age changesindustry 2009 2010 2011 2012 2013 2014 2009 2010 2011 2012 2013 2014

Primary Industries 32.1 32.2 30.7 30.0 30.0 29.2 -3.8 3.3 -2.2 4.3 4.3 6.2 Agriculture 8.0 7.1 6.9 6.7 6.6 7.2 -2.9 0.2 -12.3 2.8 3.3 3.0 Mining 24.1 25.0 23.8 23.2 23.4 22.0 -4.1 4.2 0.7 4.7 4.6 6.9 Secondary Industries 9.4 8.6 7.7 8.3 9.5 9.2 1.1 2.1 0.8 0.6 3.4 1.0 Manufacturing 3.5 3.2 2.4 2.7 3.2 3.0 -6.0 6.9 0.8 0.3 2.6 0.2 Utilities 2.7 3.0 3.4 3.6 3.7 3.9 0.0 0.9 1.2 0.1 -0.1 0.6 Construction 3.2 2.4 2.0 2.0 2.6 2.4 13.2 -2.4 0.2 1.6 8.9 2.6 Tertiary industries 49.4 50.0 51.7 52.0 49.8 51.0 -1.2 1.4 3.9 3.0 0.9 1.3 Trade 10.0 11.1 11.1 10.2 10.2 11.2 -5.1 2.8 4.2 2.2 0.3 0.3 Transport 9.5 8.9 9.7 10.4 10.9 10.6 -1.6 0.9 2.4 2.0 0.9 1.9 Finance 11.0 12.0 11.8 12.3 8.6 9.4 0.6 -0.6 3.5 2.7 1.9 0.7 Personal services 5.7 4.4 5.0 4.7 4.7 4.7 0.6 0.9 3.0 2.2 1.2 0.7 Government services 13.1 13.5 14.1 14.4 15.4 15.1 0.3 2.4 5.3 4.9 0.5 2.4 All industries at basic prices 90.9 90.7 90.1 90.3 89.2 89.3 -1.9 2.1 1.4 3.3 2.3 3.0 Taxes less subsidies on products 9.1 9.3 9.9 9.7 10.8 10.7 -5.7 3.3 6.1 3.5 0.1 0.6 GDPR at market prices 100.0 100.0 100.0 100.0 100.0 100.0 -2.3 2.2 1.9 3.3 2.1 2.8

Table 1: Northern Cape GDPR – 2009 - 2014

Source: Statistics South Africa (StatsSA), Regional GDP, 01 March 2016

The Northern Cape economy grew by an unprecedented 2.8% during 2014, a telling improvement from the 2.1% recorded in 2013.However, somewhat below the 3.3% recorded during 2012, which was propelled by growth in the tertiary and primary sectors. This 2.8 registered growth in 2014, is a further testimony to the resilience of the provincial economy. While also is a telling fact that the provincial economy is mostly at the mercy of the exogenous factors, as in the current period the South African economy grew by a muted 1.5%. The European Union economies constitutes that largest trade block the Northern Cape trades with. As such there has been tapered improvements in the growth and off course outlook of the region assisted the mining sector to outperform, registering growth of 6.9%. However, given the current commodity price scenario, the province finds itself in a rather precarious proposition.

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Figure 2: Northern Cape growth by Industry – 1996 - 2014

Source: (Statistics South Africa(StatsSA), 2016)

Economic research has in the past indicated that the South African economy and that of the Northern Cape have a strong correlation. One notable aspect is the fact that the Northern Cape Province is more susceptible global events, and the current global economic developments do not bode well for future. The slowdown in the emerging market and developing economies in the infrastructure investments and economic thus manifests itself as an economic poser for the provincial economy1. With one of South Africa’s biggest trading partner’s China’s slowing down its infrastructure investment and propelling the consumer-driven economy, the province would have to reconfigure its economy, as the mining sector’s dominance would wane somewhat as the commodity prices continue on the woeful performance.

1 The primary sector continues to lead in terms of export earnings. This given the fact that most of its mineral resources are distributed across the globe, and accounting for 90 percent of its provincial export products.

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Northern Cape industry contributors

6.4%

27.7%

0.6%

3.2%2.2%11.1%9.0%

13.5%

26.3% Agriculture

Mining

Manufacturing

Electricity

Construction

Trade

Transport

Finance

Community services

8.0%

27.5%

2.6%3.2%

2.4%11.2%

8.1%

14.1%

22.9%Agriculture

Mining

Manufacturing

Electricity

Construction

Trade

Transport

Finance

Community services

Figure 3: Northern Cape industry contributors

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Figure 4: Northern Cape and South Africa’s economic growth

Source: (Statistics South Africa(StatsSA), 2016)

As a province, the Northern Cape could in no way be left out of this gloomy world economic picture. However, according to the Statistics South Africa (StatsSA), GDP figures, the provincial economy grew by almost three percent (i.e. 2.8%), during 2014. This was markedly higher than the national growth of 1.5%. The provincial economic growth in 2014, was spurred on by the mining, agricultural and construction sectors. Figure 8above highlights the provincial industries growth performance from 1996 until 2014, as per (Statistics South Africa (StatsSA), March, 2016).

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According to the latest Statistics South Africa’s Quarterly Labour Force Survey (QLFS) report, the South African employment figures indicate that the working-age population was 36,3 million – 16,0 million employed, 5,2 million unemployed and 15,1 million not economically active, thus resulting in an unemployment rate of 24,5%, an absorption rate of 44,2% and a labour force participation rate of 58,5%. There is a notable increase in the number of employed people and in the not economically active population were observed between. Employment gains were

mainly observed in the formal sector on a quarterly basis(Statistics South Africa(StatsSA), March, 2016).

The number of unemployed people decreased by 225 000 during the same period which, combined with an increase of 190 000 in the number of employed, resulted in a quarterly decline of 1.0 percentage point in unemployment rate, an increase in absorption rate (0.4 of a percentage point) and adecrease in labour force participation rate (0.3 of a percentage point).(Statistics South Africa(StatsSA), March, 2016)

Northern Cape q1 2014

q2 2014

q3 2014

q4 2014

q1 2015

q2 2015

q3 2015

q4 2015

average Growth (q-q)

Growth (y-y)

Population 15-64 yrs. 754 756 759 761 764 766 768 771 762.4 0.3% 1.2%Labour Force 434 439 430 450 466 441 464 420 442.9 -9.4% -6.6%Employed 308 297 302 320 307 297 302 312 305.8 3.1% -2.7%Unemployed 126 142 128 129 159 144 161 108 137.2 -32.8% -16.2%Not economically active 319 318 329 312 297 325 305 351 319.5 15.0% 12.5%Discouraged work-seekers 41 41 38 46 40 40 45 59 43.8 31.5% 27.2%

Other 278 277 291 265 257 285 260 292 275.7 12.2% 9.9%rates (%)

Unemployment rate 29.0 32.3 29.7 28.7 34.1 32.7 34.8 25.8 30.9 -25.9% -10.1%Employed / population ratio (Absorption) 40.9 39.3 39.8 42.1 40.3 38.7 39 40.4 40.1 2.5% -4.0%

Labour force participation rate 57.6 58.0 56.7 59.1 61.1 57.5 60 54.5 58.1 -9.6% -7.8%

Table 2: Northern Cape Labour Force Characteristics – q1 2014 – q4 2015

Source: Research and Development computations based on (Statistics South Africa(StatsSA), March, 2016)

NortherN Cape proviNCiaL eMpLoYMeNt StatUS

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Similar to the notable increase in the South African employment figures, the provincial employment also improved on a quarter-to-quarter comparison. According to (Statistics South Africa(StatsSA), March, 2016), the Northern Cape employment increase by roughly 10 000, between quarter 3 and 4 of 2015. As would be expected, with the increase in the number of persons employed, unemployment will inevitably decline as well. Indeed, the provincial unemployment numbers declined from 53 000 leading to a 25.8% unemployment rate, the lowest since the last quarter of 2013(wherein it recorded 24.9%)(Statistics South Africa(StatsSA), March, 2016).

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Figure 5: South Africa’s Unemployment rate and Provinces

Source: (Statistics South Africa(StatsSA), February, 2016)

For the most part of 2015, the Northern Cape unemployment rate was the highest in the country. However, according to (Statistics South Africa(StatsSA), March, 2016), the province has the fourth highest unemployment after the Free State (29.8%), Gauteng (27.6%),and the Eastern Cape (27.4%). the Limpopo province continues has one of the lowest unemployment rate in the country, however it has relinquished its position to the Western Cape, which now has the lowest unemployment rate.

The provincial decline in unemployment was constituted by the agricultural sector, this is despite the uneasy drought experienced by the province. The agricultural sector contributed 9 182 employment in the fourth quarter of 2015, as compared to the third quarter (See Table 6 below). This positive increase falls flat by roughly 16 900 jobs, when compared to the previous year, and this could be attributed to the drought and likely production output by the sector. The positive employment figures by the agricultural sector, was supported by the growth in the Community Services with 3 725 new jobs, Manufacturing with about 3 026 employment creation and Financial Services sector with 2 646 new recruits(Statistics South Africa(StatsSA), March, 2016).

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Whilst, the Trade, Construction and Transport sector experienced significant declines in employment. The Trade sector was the largest casualty with over 7 000 jobs shed in the quarter-on-quarter. In terms of year-on-year comparison, the Trade sector lost 1 782. This consistent decline in the Trade sector employment figures is in the main attributable to the eroded disposable income by the private households – leading to lowered demand for goods and services(Statistics South Africa(StatsSA), March, 2016).

Figure 6: Northern Cape Sectoral Employment weight – 2015q4

Source: (Statistics South Africa(StatsSA), March, 2016)

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eXportS aND iMportS

Total exports and imports in South Africa and the Northern Cape are given below.

Year South africa Northern Cape2010 668 855 998 6 188 1302011 794 742 999 5 685 5862012 825 024 999 6 046 5592013 932 587 999 6 753 6052014 1 003 825 998 13 649 207

Table 3: Total exports - South Africa and the Northern Cape (Rand)

The province accounts for approximately 7% of global diamond exports, 13% of all zinc and lead exports and more than 25% of the world’s manganese exports. The 2014 decline in the Northern Cape exports is linked to the international debt crisis and the shrinkage in the European export markets.

Year South africa Northern Cape2010 609 111 997 558 0992011 743 755 998 734 3222012 856 569 997 1 234 1722013 1 000 928 997 5 033 2662014 1 072 463 997 3 403 822

Table 4: Total imports - South Africa and the Northern Cape (Rand)

The Northern Cape imports considerably. The focus areas for the imports are mainly technology, equipment, infrastructure related inputs imported from across the globe. By percentage share, the Northern Cape imports from Europe are about 81,6%, 9,9% is from Americas, 6,8% from Asia, 1,17% is from Oceania and the rest of the African continent accounts for 0,3% of Northern Cape imports.

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2010 2011 2012 2013 2014

Agriculture and hunting 751 796 142 631 390 486 893 331 024 1 289 214 272 1 775 632 452

Forestry and logging 2 868 200 6 935 059 1 286 515 1 072 587 1 560 126

Mining of metal ores 116 721 9 905 1 736 599 0 3 718 307 589

Other mining and quarrying 4 938 909 565 4 552 267 753 4 562 002 459 4 638 876 379 6 899 023 364

Food, beverages and tobacco products

111 908 258 95 990 817 160 991 471 210 360 866 188 610 280

Textiles, clothing and leather goods

5 260 163 5 518 774 8 729 686 10 616 043 14 074 837

Wood and wood products 24 048 514 17 354 905 28 263 751 26 289 009 29 701 075

Fuel, petroleum, chemical and rubber products

55 834 279 83 686 023 84 842 049 68 990 318 88 066 563

Other non-metallic mineral products

5 094 650 5 884 023 6 748 152 6 467 295 18 388 292

Metal products, machinery and household appliances

67 644 964 129 634 941 154 895 757 175 354 907 260 211 726

Electrical machinery and apparatus

3 770 950 5 407 023 7 692 510 9 578 722 9 205 484

Electronic, sound/vision, medical & other appliances

2 192 204 2 193 870 2 185 257 1 889 089 9 378 550

Transport equipment 21 889 036 19 622 130 22 379 104 205 735 776 237 144 451

Furniture and other items NEC and recycling

196 249 016 129 675 472 111 371 131 108 948 706 399 391 959

Electricity, gas, steam and hot water supply

546 974 14 880 0 0 0

total 6 188 129 636 5 685 586 061 6 046 558 979 6 753 605 452 13 649 207 461

Table 5: Northern Cape Exports by Sector (Note: Export ports that are not Northern Cape based to be considered.)

The Primary Sector continues to lead in terms of export earnings, accounting for 90% of its provincial export products.

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2010 2011 2012 2013 2014Belgium 87 841 312 79 395 828 55 569 393 39 833 509 87 099 151Germany 15 513 270 7 247 865 16 688 623 188 732 548 208 472 034Hong Kong (China) 91 021 164 83 664 271 200 808 658 166 623 978 337 675 318Israel 24 662 083 11 852 362 20 013 744 12 088 544 2 803 328Netherlands 0 195 309 457 222 125 466 266 937 553 333 845 060United Arab Emirates 105 157 909 51 982 827 82 695 874 84 958 237 62 482 919United Kingdom 4 812 983 882 4 510 792 586 2 320 736 597 396 497 888 133 219 769United States of America 113 206 723 22 545 733 23 531 035 73 630 127 55 802 615

Table 6: Top countries to which the Northern Cape exported to

The exports to Belgium, Israel and the United States of America were mainly from the diamond industry. Our fresh produce during this period was mainly exported to Germany, the Netherlands, United Arab Emirates and the United Kingdom. Hong Kong (China) mainly enjoyed commodities imports from the Northern Cape.

2010 2011 2012 2013 2014Brazil 3 755 374 0 6 169 897 11 922 978 19 595 262China 15 599 603 28 016 655 21 395 855 30 381 955 634 528 230India 313 304 9 214 9 257 439 11 382 391 698 304 446Russia / Russian Federation 5 373 721 1 671 170 6 055 006 7 525 461 562 343 199

Table 7: Northern Cape exports to the rest to of the BRICS countries

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4. traDe aND iNveStMeNt proFiLe

The competitive and comparative advantage of the Northern Cape can be summarized as follow:

• MineralResources,

• Climate,

• OpenSpacesandDistances,

• Astronomy,

• AirQualityand

• Coastline.

The way to approach these opportunities is through the key economic sectors and these are as follow:

• MiningandMineralBeneficiation

• AgricultureandAgroProcessing

• FishingandMariculture

• Manufacturing

• Tourism

• Knowledgeeconomy

• RenewableEnergy

MiNiNG aND MiNeraL beNeFiCiatioN The Northern Cape has an abundance of mineral resources and this stretches throughout the province. These include diamonds, iron ore, manganese, copper, granite and semi-precious stones to mention just a few.

Diamonds account for 27 per cent of the Northern Cape’s mining output. 95% of South Africa’s diamond production currently passes through Kimberley and is processed in Kimberley. 97,6% of all South African alluvial diamond mining activities take place in a 200 square kilometres radius from Kimberley and these are mostly traded and processed in Kimberley .

Deposits of lead, manganese, iron, zinc, limestone and gypsum are plentiful.

Lead: The Northern Cape produces 13.4% of the world’s exports of lead.

Iron: Most of South Africa’s iron ore production comes from the Northern Cape. The Sishen Mine is the biggest source of iron ore in South Africa and is the third biggest iron ore producer in the world.

Manganese: More than 25% of the world’s manganese is supplied by the Northern Cape which has 80% of the world’s manganese reserves, most of which are concentrated in the John Toala Gaetsewe District.

Granite processing shows major potential in the Namaqua district.

Tigers Eyes: All South Africa’s reserves of this semi-precious stone are concentrated in the Northern Cape

Sugilite: The Northern Cape is the primary producer of this semi-precious stone.

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iNveStMeNt opportUNitieS

• Manufacturingandprocessingof raw materials such as lead, iron, manganese, copper diamonds, gemstones, iron ore and granite.

• Beneficiationofpreciousandsemi-precious stones and minerals for diamonds, Tiger's Eye, sugilite, topaz, rose quartz, jasper, chrysoberyl, amethysts, agate, amazonite and picture stones.

• Diamondcuttingandpolishing as well as jewellery manufacturing.

- Diamond Cutting and Polishing

- Kimberley Diamond, Gemstones and Jewellery Hub

- Kimberley International Diamond and Jewellery Academy

- Iron Smelter

- Manganese Sintering and Smelter

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aGriCULtUre aND aGro proCeSSiNG

Agriculture is the second most important economic activity in the Province. The Northern Cape is generally drier than the rest of South Africa, but has fertile soil, several rivers and produces some of the country’s finest quality agricultural projects. The arid conditions have benefits for livestock producers in that the nutritional value of the veldt remains relatively high throughout the year. Two of the biggest rivers in South Africa, namely the Orange and the Vaal, run through the Northern Cape and forms the backbone of approximately 140 000 hectares of irrigation in the province.

The Northern Cape is a major exporter of table grapes, fruit and meat, and is responsible for much of South Africa’s sheep and goat farming. Most crop farming takes place along the fertile banks of the Orange River or in the intensely irrigated Vaalharts region in the north-east.

The vibrant agricultural and agro-processing industries also offer viable development scenarios in the food processing sector, irrigation development, crops and product range expansion for export and niche markets. The fishing and mariculture industries also present an ideal environment for growth and investment as the west coast of the Northern Cape Province offers favourable biological conditions, excellent shore-based infrastructure and a strong research and development base for potential ventures.

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iNveStMeNt opportUNitieS

agro- processing and value addition

• Meatprocessingandexport

• Groundnuts

• Lucerne

• Cotton

• FruitsandVegetables

• Malt

trade and investment

• Meat:pork,beef,mutton

• Gamebreedingandvenison

• Wine

• Tablegrapesandseveralotherfruits and vegetables

• Nuts–Pecannuts,

• DriedFruits,citrus

• Olives–OliveOil

• Dates

• Lucerne

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FiShiNG aND Mari-CULtUre

The Northern Cape offers favorable biological conditions, excellent shore-base infrastructure, the presence of a number of pioneer private sector Mari culturist and a strong research and development base offer an ideal environment for investment and growth in this industry along the West coast.

Port Nolloth have good standard harbor and fish processing infrastructure. The following species are produced here:

• Abalone

• Turbot

• Oysters

Further trade and investment opportunies are available:

• PortNollothCommunityFishFactory–processing plant

• Fourabaloneranchingrightstojointventure with local partners

• Possiblemariculturepartnersinabalone, mariculture kelp and kelp processing

• Theestablishmentofanoysterhatchery

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toUriSMTourism is one sector that could challenge mining and agriculture as the most important in the province. The province has repositioned itself as the mecca for extreme and adventures sports and has rolled out an extensive marketing campaign under the brand pillars of Extreme Culture, Extreme Adventure and Extreme Nature.

These brand pillars highlight the unique offerings of the Northern Cape that would appeal to a broad range of potential tourist. For adventure seekers, outdoor enthusiasts and extreme athletes, the Northern Cape is a destination with an abundance of activities on offer ranging from 4x4 trails, hiking and mountain-biking, white river rafting, , adventure motor-biking, sandboarding, paragliding and fly-fishing.

In an effort to cement their reputation as an unparalleled extreme sports destination, the Northern Cape is the proud host of the Maloof Money Cup skateboarding world championships and the BLOODHOUND world land-speed record attempt.

In terms of nature, the Northern Cape boasts a total of six national parks, including two Transfrontier parks crossing into world-famous safari destinations such as Namibia and Botswana as well as six provincial nature reserves, two of the largest rivers in South Africa and three legendary deserts.

The various provincial parks offer amazing investment opportunities for potential investors as the Northern Cape provincial government is actively pursuing public-private partnerships to develop the full tourism potential of the region.

iNveStMeNt opportUNitieS

• ResortdevelopmentatVanderkloofDam,

• RolfonteinprivatereserveandGoegapNatureReserve. The development potential at these sites would be a joint venture with the provincial government as the reserves are government assets. Pre-feasibility studies have already been completed and prospective developments include holiday resorts, accommodation facilities, restaurants and conference centres, which will significantly increase the province’s tourism product offerings.

• Furtherinvestmentopportunitiesisthedevelopment of the Kimberley Resort that caters for skateboarding, bmx, motorcrossing, waterskiing etc.

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SCieNCe, teChNoLoGY aND iNForMatioN CoMMUNiCatioN teChNoLoGY

The Northern Cape Province is world renowned for its astronomy potential which is currently realised by means of the Karoo Array Telescope and the development of the Square Kilometer Array Project.

SKa eCoNoMiC opportUNitieS aND beNeFitS

technology and Space:

Sutherland is host to the southern hemisphere’s largest astronomical observatory, the multinational-sponsored Southern Africa Large Telescope. It is a pristine facility with several international countries making use of this facility for research purposes.

information technology:

In terms of IT infrastructure, Kimberley is serviced by a fibre optic-based network run by TELKOM. International links are fed via submarine cable and satellite networks. Kimberley is connected to Europe and the United States via the SAT3 fibre optic submarine cable. Kimberley lies in the same time zones (GMT+2) as large parts of Europe, thus facilitating communications and eliminating jet lag for international travelers.

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reNeWabLe eNerGY

The Northern Cape solar resource is amongst the best in the world, making it an ideal location for solar power generation. The Province offers abundant potential for renewable energy production.

Besides solar, the province has the potential for electrical power generation from wind, hydro, and biomass.

iNveStMeNt opportUNitieS

• Wind

• Solar

• IndependentPowerProduceror Park

• Services

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iNFraStrUCtUre

Upington Cargo hub:

• UpgradingofUpingtonairport,Upington,theNorthernCape’ssecondlargest city.

• Upgradingtheairportwillactasacatalysttounlockthegrowthpotential of the region by allowing producers to export vastly increased volumes of perishable goods.

• TheairporthasthelongestrunwayintheSouthernHemisphere,issuitable for Boeing 747’s.

Opportunities also exist for the upgrading of the province’s road and railway networks eg. upgrading of Sishen – Saldanah rail links.

infrastructure Development

• DevelopmentofaharbourinPortNolloth.

• IbubheziNaturalGasFieldofftheWestcoast.

• Toconstructagaspipelineoffshoreforuseinmineralprocessing

• DeAarRailCargoHub

• KathuIndustrialPark

• DevelopmentofaFiveStarHotelnexttotheMithahSepherephereConvention Centre

• DevelopmentofaKimberleyAdventureResort

• GamagaraMiningCorridor

• AdventureSports

• EstablishmentofSEZinUpingtonwithkeyemphasisonsolarenergyundustry and multi-product initiative

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MaNUFaCtUriNG

The manufacturing sector has tremendous potential for growth. The Province is blessed with a magnitude of resources and this is combined with primary and secondary that has a consumption of consumables, goods and equipment. The highest demand is for the production of goods consumed by the mining and agriculture sectors.

Existing and possible future manufacturing include:

• MiningEquipment

• MiningTools

• BuildingandConstructionrelatedmaterialandequipment

• Agricultureequipmentandmachinery

• KathuIndustrialSupplierPark:Mining,Transport,Constructionandrenewable Energy

• UpingtonCargoandElectronicsHub:SKA,RenewableEnergyandAircraft

• KimberleyDiamondandJewelleryHub

• KimbereyInternationalDiamondandJewelleryAcademy

• NorthernCapeMaltPlant

• DeAar:RenewableEnergyHub

• UpingtonVehicleTesting:Custombuildhigh-speedvehichletestingtrack

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BreaKInG tHe land sPeed

reCord

Department of economic Development & tourism: Metlife tower, Market Square private bag X6108Kimberley 8300

teLephoNe : 053 839 4000FaCSiMiLe : 053 831 1141eMaiL : [email protected] : [email protected] : [email protected]

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