Sustainable Development Goal 9 was formulated and adopted in view of Africa’s inefficacy to industrialize. This policy intends to ‘build resilient infrastructure, promote sustainable industrialization and foster innovation’. Industrial improvement is recognised as one of many nation’s prime priorities, due to this fact varied rising opportunities abound for Africa to industrialize. To seize such alternatives, African governments are required to implement progressive approaches to industrial policy, one of which is an elevated give consideration to the position of Special Economic Zones (SEZs) and industrial parks as instruments of commercial improvement.
Industrial Parks and SEZ’s are two of the spatial interventions recognized by the South African authorities and are subsequently aligned with world approaches. Industrial spaces may be leveraged as catalysts for socio-economic growth. All things considered, such areas are recognised as enablers and are due to this fact typically managed as such, and never for rent-seeking functions. Moreover, industrial parks and SEZs successfully lend themselves as areas for piloting and experimentation of recent technologies and completely different approaches to industrial improvement, in addition to for group and environmental programmes owing to the nexus between these three elements.
Industrial parks and SEZs, as nicely as associated industrial areas, have the potential to grow the economy as a result of owing to the alternatives for employment and establishing new businesses and value chains. This consequently develops the tax base and native financial activity which is crucial in facilitating social development. The myriad of interventions established via industrial spaces help industrial and economic development, the transition to good cities and transformation to a green economy as well as facilitate adoption of 4th Industrial Revolution options. What’s extra, such interventions present a platform for widespread engagement of a number of stakeholders that helps win-win outcomes serving economic, social and environmental pursuits. Accordingly, industrial parks and SEZ’s have the propensity to offer increased value, assuming the required planning and implementation is pursued proactively.
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There are presently an estimated 4000 industrial zones globally (SEZ’s, EPZ, FTZ’s etcetera), evidently demonstrating the validity of such mechanisms. There is, nonetheless, debate as to the success of those zones and research has subsequently identified multiple success components, similar to governance, enabling regulatory frameworks, location and types of providers supplied. Suffice it to say, it remains worthwhile to explore the learning gained in executing such spaces and the influence on supporting financial activities in a sustainable manner that help optimistic 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 function within the effectuation of South Africa’s economic reconstruction and recovery plan. pressure gauge in the end stems from the SEZ Programme representing the core of the reimagined industrial strategy, which is purposefully structured to stimulate native and foreign direct investments.
Notwithstanding the catastrophic influence of the COVID-19 pandemic on global economies, the value of personal investments in the South African SEZs saw a R1.8 billion increase from March 2019 to March 2020, whereas the number of operational investments rose from 129 to 143 in the same time frame. It is projected that the quantity and value of operational investments will improve by nearly R10 billion when the next monetary yr ends.
Industrial Parks and Special Economic Zones represent a key function within the convention of the upcoming and eagerly awaited Manufacturing Indaba. The virtual conference and exhibition, to be hosted between 22 – 25 November 2021, is set to assemble international trade experts to handle technological innovations and evolving developments, while seeking actionable solutions to pressing challenges. The platform will empower thought leaders to change concepts, insights and experiences and serves to boost consciousness of rising alternatives throughout the realm that’s manufacturing.
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