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Metals and Engineering Sector Masterplan Key to Unlocking Growth Opportunities

By Featured, Press Release

Johannesburg, 13 September 2019 – The Metals and Engineering Sector Masterplan, which is currently being formulated will unlock growth opportunities for the embattled metals and engineering sector, which faces, among other challenges, rising input costs and lack of demand, Trade and Industry Minister Ebrahim Patel said this morning.

Addressing delegates attending the Southern African Metals and Engineering Indaba taking place at the IDC Conference Centre in Sandton, Minister Patel said the sector is a critical bedrock of the economy and there is a need to expand its productivity and advance its capabilities to increase the sector’s contribution to South Africa’s GDP.

Industrialisation, Minister Patel said, will be at the centre of economic recovery and there is a need to refocus on the industrial strategy.

“We are working on the Masterplan for the sector, we have met with metals and engineering sector stakeholders in an effort to ensure that they contribute to the formulation of the Plan. Subsequent to the meeting, we have received more than 40 submissions from industry players. I will be appointing a Facilitator so we can further engage the contributors and finalise the plan. The final Masterplan will be a concise, action-oriented and implementable plan,” he said.

He said Government has recommitted to the sector through the R1.5 bn steel fund and the  establishment of the metal fabrication support programme. He added that Government has also played a key role in  restoring Highveld Steel to become Africa’s only manufacturer of rail lines. In addition, the Minister said Government has spearheaded the initiative, which resulted in Totoya minibuses, which were previously imported, being assembled locally, thus contributing towards employment creation.

“We did the same with buses, which we previously imported from Brazil. We realised that South Africa had the capability and drove the process, to date more than 750 busses have been assembled in South Africa and not only are they assembled locally but they also boasts about 80% local content .

Furthermore, the Minister said his Department will focus on monitoring that the local content law is applied and that there is a committee to ensure consequences for non-adherence.

In conclusion, Minister Patel said enormous opportunities will also be presented by the African Continental Free Trade Agreement. Africa is the new growth frontier, it has an about $100 billion infrastructure gap, this will require at least five times the amount of steel that South Africa currently consumes.  Opportunities are enormous but proper planning will be required in order for the metals and engineering sector to benefit.

In response to Minster Patel’s remarks, SEIFSA President Elias Monage stressed the need for regular engagements between Government, business and labour.

“For the M&E Masterplan to succeed, we need to move away from event-driven communication where challenges are raised then we disappear only to meet the following year and raise the same challenges. We require full commitment from all metals and engineering sector stakeholders and we need Government to provide a conducive environment for the

Masterplan to work and for the sector to grow.” Mr Monage said.


Issued by:

Ollie Madlala
Communications Manager
Tel: (011) 298 9411 / 082 602 1725

SEIFSA Dr Nkosazana Zuma


By Press Release

Johannesburg, 20 September 2018 – South Africa’s National Development Plan (NDP) was still relevant despite the slow pace of its implementation, Minister in the Presidency Nkosazana Dlamini-Zuma said at the Southern African Metals and Engineering Indaba this afternoon.

“We have not made sufficient progress as far as eradicating the triple challenges of unemployment, poverty and inequality, but we still feel strongly that the NDP is still relevant but needs to be approached differently, with us having learned from the last six years. We also think that there was an oversight to think we could implement without breaking it down into five-year implementation plans. This is what we will begin to do with the remaining years of the NDP. We will also use the last two years of the plan to monitor and evaluate,” Dr Dlamini-Zuma said.

Going forward, the Minister said Government needed to improve planning generally, not only across all departments, but also across different spheres of Government.

South Africa Needs New Anti-Corruption Agency To Deal With Public Corruption And Corporate Malfeasance


By Press Release

Johannesburg, 20 September 2018 – State capture needs to be dealt with urgently to restore public confidence in the State, the constitutional framework and the rule of law. This is the view of Council for Advancement of the South African Constitution Executive Secretary Lawson Naidoo.

Speaking on the first day of the two-day Southern African Metals and Engineering Indaba taking place at the IDC Conference Centre, Mr Naidoo said to end or contain the cancer of public corruption and corporate malfeasance in South Africa, the country needs a fit for purpose anti-corruption agency focused on enforcement, prevention and education. The agency would be buttressed by a strong political will.

Speaking on the same panel, Organisation Undoing Tax Abuse Executive Director Wayne Duvenage said state capture was a serious matter which had allowed creative accounting to take place, unchallenged, at State-owned entities.

Economic growth image


By Featured, Press Release

Johannesburg, 20 September 2018 – The prioritization of economic growth, global competitiveness and policy certainty and predictability are key to improving South Africa’s Sovereign credit rating, so said Massmart Holdings Chairman Kuseni Dlamini.

Speaking at the fourth Southern African Metals and Engineering Indaba currently taking place at the IDC Conference Centre, Mr Dlamini said South Africa needed to be fully aligned on the growth imperative if other socio-economic goals such as employment creation, investment attraction and retention are to be achieved.

He said the country also needed to embrace global competitiveness as part of a national culture.

“The success of the country’s automotive manufacturing industry, the renewable energy independent power producer programme and the country’s world class financial services sectors are concrete examples of global competitiveness at work which must be replicated in other sectors,” he said.

In addition, Mr Dlamini said South Africa should attract and retain foreign direct investment. This, in turn, required a concerted and sustained collective effort by SA Inc. through the alignment of messaging on the country’s attractiveness as an investment location of choice.


By Featured, Press Release



Among other imperatives, local industrial manufacturing, including SA’s heterogeneous metals and engineering (M&E) sector, needs innovation to spur industrial growth.

The public has not often viewed machinery and equipment makers as leading innovators, despite the fact that over the years, innovation in industrial manufacturing has had an enormous effect on society.

Automation has transformed factory floors and made it cheaper and faster to produce everything from cars to televisions. Smarter cutting tools are imminent and new technologies for wind turbines and electrical grids are laying the foundations for a shift to cleaner energy.

The recent uptick in agricultural output has been largely supported by innovative equipment and processes, which have made farming more efficient. A growing body of work highlights a strong correlation between innovation and industrial growth at the macro level and also between innovation and firm revenues at the micro level.

Many studies report that the most innovative companies are growing significantly faster.

The difference for industrial manufacturing companies was dramatic, with the most innovative recording growth levels more than four times those of the least innovative companies…