Free State Business 2019

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Free State Province Center yourself in the heart of South Africa

Regular maintenance ensures safe and reliable operations

Sasol is most grateful to every employee and the 2 486 contract workers employed by Service Providers who worked 178 941 labour hours to successfully complete the shutdowns.

68 years ago the first sod was turned in Sasolburg in the Free State to mark what was to become Sasol, a global integrated chemicals and energy company. Through our talented people, we use selected technologies to safely and sustainably source, produce and market chemical and energy products competitively to create superior value for our customers, shareholders and other stakeholders. We develop and commercialise technologies, and build and operate world-scale facilities to produce a range of high value product streams, including liquid fuels, chemicals and lower-carbon electricity. We employ more than 31 000 people working in 32 countries. The original Sasol facility in Sasolburg forms part

of Sasol’s Operations that consists of our core chemical and energy product manufacturing assets. In Southern Africa these are Secunda Synfuels, Secunda Chemicals, Mozambique, Sasolburg, Satellite and Natref Operations. Internationally they include facilities in the US, Europe and Asia. The value proposition of these operation hubs lies in our ability to integrate and operate complex technologies at scale, with world-class product quality and cost advantages. During the previous financial year, Sasol’s Sasolburg Operations increased production volumes by 2%, supported by our expanded wax facilities that were officially

During September 2018 alone, 27 054 shutdown activities were performed safely by contractors and Sasol employees at seven Sasol plants in Sasolburg.

inaugurated on 6 February 2018. In line with our aim of ensuring safe, reliable and environmentally compliant facilities, our operations focus on optimising their processes, improving efficiency and promoting safety in the workplace. This is achieved through activities such as regular inspections and maintenance work performed during plant shutdowns to ensure the safety and integrity of our operations. During September 2018, seven plants conducted shutdowns in Sasolburg, while a further 11 plants will perform shutdowns during the first quarter of 2019 as part of our four-yearly shutdown cycle. “Our common goal is to make Sasol a great company that delivers long-term value to

our shareholders, employees and stakeholders. Sasolburg Operations therefore holds substantial longterm value that requires continuous investment to enhance the efficiency and reliability of our facilities,” said Sasolburg Operations Senior Vice President, Louis Fourie.


CONTENTS Free State Business 2019 Edition

Introduction Foreword 3 Free State Business is a unique guide to business, investment and tourism in the province.

Special features Regional overview of the Free State Gas and hydropower projects are powering ahead in South Africa’s most centrally located province.


Investing in the Free State 12 Opportunities for investors are presented by the Department of Economic, Small Business Development, Tourism and Environmental Affairs and the Free State Development Corporation.

Economic sectors Agriculture 30 Investors in agri-processing are sought. Mining 32 Harmony Gold has bought several Free State mines. Manufacturing 36 New chemicals plant opens in Special Economic Zone. Oil and gas


Natural gas and helium are attracting investment. Tourism 40 Bloemfontein has a new hotel. Education and training


The University of the Free State is a research leader. FREE STATE BUSINESS 2019


About the cover Harmony, a major gold producer which has been active in the Free State for many years, recently acquired new mines.



Free State Business A unique guide to business and investment in the Free State

Publisher: Chris Whales Publishing director: Robert Arendse Editor: John Young Online editor: Christoff Scholtz Art director: Brent Meder Design: Tyra Martin Production: Lizel Olivier Ad sales: Sydwell Adonis, Shiko Diala, Sandile Koni, Gavin van der Merwe, Sam Oliver, Gabriel Venter, Vanessa Wallace, Jeremy Petersen and Reginald Motsoahae Managing director: Clive During Administration & accounts: Charlene Steynberg and Natalie Koopman Distribution & circulation manager: Edward MacDonald Printing: FA Print


he 2019 edition of Free State Business is the ninth issue of this highly successful publication that, since its launch in 2008, has established itself as the premier business and investment guide for the Free State. The Free State has several investment and business opportunities. The official launch of the Maluti-A-Phofung Special Economic Zone is a significant event for the economy of South Africa’s most centrally located province. Overviews on each of the key economic sectors provide up-to-date information on trends in the mining and tourism sectors, for example. Regular information about the size and nature of each sector is also included. To complement the extensive local, national and international distribution of the print edition, the full content can also be viewed online at Updated information on the Free State is also available through our monthly e-newsletter, which you can subscribe to online at, in addition to our complementary business-to-business titles that cover all nine provinces as well as our flagship South African Business title. Chris Whales Publisher, Global Africa Network Media Email:



Free State Business is distributed internationally on outgoing and incoming trade missions, through trade and investment agencies; to foreign offices in South Africa’s main trading partners around the world; at top national and international events; through the offices of foreign representatives in South Africa; as well as nationally and regionally via chambers of commerce, tourism offices, airport lounges, provincial government departments, municipalities and companies.

Global Africa Network Media (Pty) Ltd Company Registration No: 2004/004982/07 Directors: Clive During, Chris Whales Physical address: 28 Main Road, Rondebosch 7700 Postal address: PO Box 292, Newlands 7701 Tel: +27 21 657 6200 | Fax: +27 21 674 6943 Email: | Website:

Member of the Audit Bureau of Circulations

ISSN 1999-5059

COPYRIGHT | Free State Business is an independent publication published by Global Africa Network Media (Pty) Ltd. Full copyright to the publication vests with Global Africa Network Media (Pty) Ltd. No part of the publication may be reproduced in any form without the written permission of Global Africa Network Media (Pty) Ltd. PHOTO CREDITS | Main cover photo supplied by Harmony Gold Company. Other pictures supplied by Department of Trade and Industry, iStock, Imbali Homsek Group, Petra Diamonds, REH Group, Sasol, University of the Free State (Evert Kleynhans).

DISCLAIMER | While the publisher, Global Africa Network Media (Pty) Ltd, has used all reasonable efforts to ensure that the information contained in Free State Business is accurate and up-to-date, the publishers make no representations as to the accuracy, quality, timeliness, or completeness of the information. Global Africa Network will not accept responsibility for any loss or damage suffered as a result of the use of or any reliance placed on such information.




Economic strategy is focussed on human capital formation The Free State Department of Economic, Small Business Development, Tourism and Environmental Affairs makes the case for the Free State Province as an attractive investment destination.


t is with pleasure and gratitude that we, as the department charged with promoting investment into the Free State Province, introduce Free State Business 2019. We welcome this well-known publication’s regular description of the economic environment of our province and are pleased to contribute to its pages. A brief overview of the investment climate in our province is provided on the facing page. Our department will also be publishing a dedicated investment booklet. The purpose of the Free State Investment Opportunities Booklet is to provide pertinent information about large-scale investment opportunities currently available in various sectors. These initiatives represent the Free State’s response to President Ramaphosa’s clarion call for increased long-term investment necessary for inclusive growth and job creation. While investment is an essential ingredient to economic growth, it should be pointed out that at the centre of Free State government’s economic development strategy is human capital formation and devel-



opment through universities and colleges, and various institutions pursuing innovation and offering proof-of-concept services, to name a few. Indeed, Free State is poised to become a laboratory for excellence in education outcomes, research and innovation, particularly in the fields of health, agriculture, agro-processing, manufacturing, water management, ICT, pharmaceuticals and rural development. Domestic and potential investors from around the world are welcome to contact the DESTEA Head of Department at:


Investing in the Free State Province Dr Mbulelo Nokwequ, Head of Department at DESTEA, outlines some of the Free State’s unique selling propositions.


ree State Province is situated in the heart of South Africa and shares borders with Lesotho and six other provinces. It provides easy access to the main ports of Durban, East London and Port Elizabeth. The Free State is an attractive business and investment destination. The province is at the centre of South Africa and the dominant sectors are agriculture, mining, manufacturing and the tertiary sectors, making it ideal for transport logistics and agro-processing. Companies locating to Free State not only enjoy the opportunity to source inputs at competitive prices, but also to benefit from domestic, regional and international markets for their products and services. Because South Africa has been engaging with our economically large trading partners, access to international markets is facilitated through various trade preferences and free-trade agreements. As far as long-term investment is concerned, there are industrial parks and a Special Economic Zone (SEZ) that are supported by the Department of Trade and Industry. Industrial parks are situated in Maluti-a-Phofung, Botshabelo and Thaba Nchu. Maluti-a-Phofung SEZ is situated in Tshiame. The Free State’s strengths for inward investment are boosted by: • openess to business, trade and foreign investment • abundance of natural resources • low factory rentals • Africa’s leading telecommunications network • i​ ncentive packages uniquely developed for Special Economic Zones • incentives associated with the revitalised industrial parks • Free State Development Corporation (FDC) support services for priority sectors such as agro-processing and manufacturing • a large labour pool • diverse cultures • ​competitive land and building cost • ​world-class transport and telecommunications infrastructure


• •

an idyllic climate recreational and lifestyle facilities.

Select investment opportunities include: • Agriculture and agro-processing • To ur ism an d p ro p er t y development • ​ M edical and pharmaceutical production and distribution • Manufacturing • Renewable and clean energy • Medical tourism.



Working together, growing the Free State Ikhraam Osman, CEO of the FDC, invites business people to explore the opportunities on offer in the Free State.

IKHRAAM OSMAN CEO, Free State Development Corporation


he World Bank projected that the GDP growth for BRICS (Brazil, Russia, India, China and South Africa) will increase to 5.3% in 2018, followed by 5.4% in 2019 and 2020. As the bloc’s powerhouses, India and China are leading the pack in terms of higher GDP growth rates. The annual economic growth rate in India is projected to be 7.5% in 2019 while China’s annual growth rate is projected to decline to 6.3% in 2019 from 6.8% in 2017. Brazil, Russia and South Africa have lower GDP growth rates compared to China and India. The South African economy is projected to grow by only 1.7% in 2019. In line with the Free State Growth and Development Strategy and the mandate of broadening access to economic opportunities for the Free State-based business sector, the Free State Development Corporation (FDC) will continue to unlock business opportunities for both local direct and foreign direct investors. The FDC continues to foster par tnerships with various stakeholders with the aim of advancing SMME development, FREE STATE BUSINESS 2019

promoting exports and attracting investment within the province. As an organisation, we believe that the best way to grow the Free State, and the country, is through meaningful collaboration and partnerships which allows us to pool all our resources together for the betterment of our entrepreneurs. This 2019 Free State Business publication presents the Free State’s value proposition as a business and tourism destination. The province is open for business with the annual Macufe (Mangaung African Cultural) Festival that brings up to 150 000 travellers into the Mangaung Metro’s City of Roses as Bloemfontein, the capital, is commonly known. The “Tabalaza Initiative”, which is spearheaded by the Department of Economic, Small Business, Tourism and Environmental Affairs (DESTEA), will continue to link start-up innovative business initiatives in the Free State with funding and mentoring support from established business. Key opportunities in the Free State include the following: • A leading agricultural commodities producer presenting significant opportunities across the agro-processing value chain. • Engineering opportunities within the Lejweleputswa District as a result of excellent engineering training and capacity-building resulting from the mining sector. • The Maluti-A-Phofung Special Economic Zone, situated at Tshiame in Harrismith in the Thabo Mafutsanyane District in the Eastern Free State, is targeting investments into the province. This SEZ is situated midway between the biggest port in Africa, Durban, and the biggest market in Africa, Gauteng. • FDC offers an attractive rental incentive package for manufacturing entrepreneurs that enter into a minimum five-year lease agreement with it. • The FDC and the dti will soon commence with the second phase of revitalising its industrial parks in Botshabelo, Mangaung and Phuthaditjhaba in Maluti-A-Phofung. • The industrial park in the key town of Sasolburg, the anchor town of the Metsimoholo Municipality, in the Fezile Dabi District in the Northern Free State, has space available for rental to industrial tenants. We will utilise all our resources in creating a conducive environment for entrepreneurs to thrive and unleash the potential of the provincial economy to grow through our commitment to: • relationship building • commitment to our customers and investors • economic transformation for the common good of all our people • assisting investors with accessing incentives and grants where available. With the support from the provincial government, we will indeed grow the Free State.


Free State Development Corporation (FDC) Driving enterprise development and investment in South Africa’s most central province, the Free State.

The FDC contributes to the Free State’s economic development through four service delivery pillars:

SMME/co-operative funding and support The FDC provides products and services to SMMEs and co-operatives in the form of financial support (business loans) as well as business development support (facilitating training and mentoring service providers). The principal loan products offered to Free State entrepreneurs by the FDC are: • Start-up loans for recently established businesses that are mainly at formative stages. • Expansion loans offering viable and existing businesses the capital needed to expand. • Business take-over finance to assist potential clients to acquire a business as a going concern. • Bridging finance for SMMEs with short-term cashflow problems with contracts or tenders.

Export-related services FDC services to exporters include the Export Promotion Programme, which aims to grow demand for Free State products in global markets through capacity-building workshops, the dissemination of trade leads, networking opportunities with inbound trade missions, product promotion through participation in outbound group missions and on national and international exhibitions, access to national export-incentive programmes, market access information and technical advice on exporting procedures.

Property management The FDC administers a diverse property portfolio and can offer small to medium enterprises suitable premises at affordable rates. The corporation has some 253 commercial properties, 290 industrial properties and a large number of residential and vacant land for development. The corporation aims to use them to facilitate commercial and industrial activity, while assisting new investors looking for suitable premises. The FDC offers advice and guidance in terms of the following incentives: • Subsidised rental rates.

Rental holidays of up to three months. Special incentives and discounts for BEE companies or individuals.

Investor services The FDC offers a range of services to investors and businesses looking to trade in the Free State. These include the following: • Project appraisal and packaging. • Promotion and facilitation of investment projects and facilitation of access to finance. • Providing access to business and government networks and assistance with business retention and expansion. • Information on statutory requirements, investment advice and assistance with investment incentive applications and business permits. • Assisting with the development of local and international markets and facilitating joint ventures/ equity partnerships through identification of local partners.

For additional information please contact the Free State Development Corporation on +27 51 400 0800.


FREE STATE PROVINCE Gas and hydropower projects are powering ahead in South Africa’s most centrally located province. By John Young


ew opportunities are opening up in the Free State in the gas and energy sectors. Several new licences to explore for gas have been granted and a R200-million helium extraction plant is under construction near Virginia. With proven reserves of 25-billion cubic feet, the rights to the field are owned by Renergen and they will be worked by Afrox, a subsidiary of the Linde Group of Germany. The Stortemelk Hydropower Project (pictured) was built as part of the national Renewable Energy Independent Power Producer Procurement Programme (REIPPPP). The collaboration of Renewable Energy Holdings (REH), Aurecon and Earthworld Architects delivered a facility with installed capacity of 4.5MW on the As River. Unusually for a power plant, the project won the 2017 Award for Architecture from the South African Institute of Architects for the Free State region. FREE STATE BUSINESS 2019


Another emerging sector is solar energy. The Xhariep, Lejweleputswa and Mangaung regions have among the best direct solar radiation kWh/m² in the country. Only Upington in the Northern Cape has a better solar-radiation index. Rezoning for solar farms has already taken place in Theunissen, Bloemfontein, Fauresmith and Hoopstad.

Investment Foreign investments into the Free State totalled R8.4-billion in 2017 and the province has now achieved the status of being a net exporter of goods. Relations have been established with 35 countries. Africa and the BRICS grouping of Brazil, Russia, India and China are focus areas. Other partnerships based on education and trade include countries and

SPECIAL FEATURE regions like Portugal, Turkey and Madeira. An annual G lob al Investors Trade Bridge is held to promote investment into the province. In November 2016 the first Free State/ Madeira Flower Festival took place in Parys. This is a first step in creating links to export markets in floriculture and horticulture. The official launch in April 2017 of the Maluti-A-Phofung Special Economic Zone was a significant event for the economy of the Free State. Although agriculture and mining remain the mainstays of the provincial economy, diversification and expansion through initiatives such as Special Economic Zones (SEZs) are key to the economic future of the province. Sectors prioritised at the Maluti-A-Phofung SEZ (which is located on South Africa’s busiest highway, the N3) include logistics, ICT, automotive, pharmaceuticals, manufacturing and agri-processing. The 1 000ha site will have four zones: agri-processing, light industrial, heavy industrials and a container terminal. A chemicals factory opened in the zone in 2018. The idea of clustering developments is also behind the N8 Corridor concept which covers Bloemfontein, Botshabelo and Thaba Nchu. Within this are several projects including the ICC Precinct (hotel and convention centre in Bloemfontein), BioMedical Park, Airport Node (logistics and supply chain, warehouses, residential apartments, hospitals, schools, hotels and new shopping malls), and tourism infrastructure for the Naval Hill Development. Another important pillar of the economy of the Free State, the chemicals and fuels hub at Sasolburg, is modernising and expanding. International fuel, gas and chemicals company Sasol regularly invests

in new technologies and in expanding production of its various products. A new water pipeline from the Xhariep Dam is being built to serve the Xhariep District and the Mangaung Metro. A steady and reliable water source is an important component in attracting investment. Five major national highways intersect the centrally-located province which is also well served by rail and air links. The Bram Fischer International Airport in the provincial capital city of Bloemfontein is the site of a multi-phase industrial and commercial development. Two universities (the University of Free State and the Central University of Technology) have several campuses across the province. The Free State shares borders with six other provinces, in addition to the Mountain Kingdom of Lesotho. A summer-rainfall region with a mean annual rainfall of 532mm, the Free State’s climate, soil types and topography vary greatly within the province, with plains in the west and mountains in the east. The western and southern areas are semidesert, with some Karoo vegetation occurring in the south. The Free State produces significant proportions of South Africa’s wheat (30%), sunflowers (45%) and maize (45%). As such, it is ranked third in contribution to national GDP in agriculture.

Municipalities in the Free State The Free State has one metropolitan municipality (Mangaung), four district municipalities and 19 local municipalities. Mangaung Metropolitan Municipality Mangaung Metropolitan Municipality is a Category A municipality which governs Bloemfontein, Botshabelo and Thaba Nchu. The sixth-largest city in the country, the Mangaung municipal area covers more than 6 263km² and has a population of about 850 000 people. The languages spoken in the area are mainly Sesotho, Afrikaans, English and Setswana. Bloemfontein, which is responsible for about 25% of provincial GDP, is at the centre of a development node known as the N8 Corridor which is intended to boost development along the road from Lesotho to



SPECIAL FEATURE bridge over the Caledon River at Wepener is a national monument.

Kimberley and Upington in the Northern Cape province. Several projects are underway in and around the provincial capital, including an Airport Node (logistics, supply chain, flats, shopping malls), Naval Hill (projected new hotel in the nature reserve), and the expansion of Hamilton Business Park. The city’s Fresh Produce Market is an important cog in the distribution of agricultural produce in the region while it is connected to all other centres by good rail and road links. There is a marshalling yard, a petroleum depot and two airports (one military). The national Supreme Court of Appeal is located in Bloemfontein and the National Museum has superb rock art exhibits.

Lejweleputswa District Municipality Towns: Welkom, Virginia, Boshof, Christiana, Bultfontein, Bothaville Mining is the most important economic activity in this area, also known as the Free State Goldfields, but it is also the most important maize-growing area in South Africa. A large natural gas field has been discovered on what used to be gold turf. Bothaville is the selfproclaimed Mielie Capital of South Africa but it is a name that is apt. The town hosts the annual NAMPO maize festival and the headquarters of Grain SA. Mining town Welkom is the major urban centre in the district. The town of Virginia is the site of a jewellery school and it is intended that this will form the nucleus of a jewellery beneficiation hub and an IT hub. The area has tourist assets such as a holiday resort on the Allemanskraal Dam, the Goldfields Wine Cellar in Theunissen and the Willem Pretorius Game Reserve but there is potential for growth in the heritage sector.

Xhariep District Municipality Towns: Trompsberg, Koffiefontein, Zastron, Philipollis, Edenburg, Fauresmith, Smithfield, Wepener The southernmost region of the Free State is a largely dry area with open grasslands predominating, although it is also home to the Gariep Dam, South Africa’s largest dam. Crops are produced in the northern parts of the district whereas sheep farming predominates in the south. Trompsberg has the second-biggest sheep-shearing barn in the country. Diamonds, gravel and clay are mined at Koffiefontein. Jagersfontein is one of the first places where diamonds were found, and it has its own version of the Big Hole to prove it. The town of Bethulie is a good stopping-over place for tourists wanting to experience the water sports available on the Gariep Dam. The dam is also the site of small hydro-power and aquaculture projects which are intended to create employment and tackle food security. The nearby Tussen die Riviere Nature Reserve and the Mynhardt Game Reserve have a variety of wildlife in spectacular settings. Jacobsdal’s Landzicht winery has proved itself as a worthy producer of wine. San rock paintings and Anglo-Boer War sites are plentiful. Fauresmith hosts an annual horse endurance race and Smithfield is the venue for a “Chill” festival every winter, the “Bibber Fees”. The steel


Fezile Dabi District Municipality Towns: Sasolburg, Parys, Kroonstad, Frankfort, Heilbron, Viljoenskroon The chemical complex at Sasolburg is the economic driver in the district, which shares a border with Gauteng province along the Vaal River. The town of Heilbron is another important industrial centre and Frankfort does important agricultural processing work. Kroonstad is the district’s second-largest town and has a number of engineering works and a railway junction. A new kraft paper factory has been planned for Frankfort. A good proportion of South Africa’s grain crop is sourced from this district and when the vast fields of sunflowers and cosmos flowers are in bloom, a marvellous vista is created. The Vaal River presents opportunities for yachting, rafting and resort-based enterprises. Parys is a charming town and Vredefort is home to a World Heritage Site – the Vredefort Dome where a meteor crashed to earth.


SPECIAL FEATURE Potchefstroom Ottosdal Klerksdorp




North West


Vereeniging Lethabo Parys Sasolburg Vredefort Villiers Viljoenskroon N1 R30 Heilbron Bothaville



Wesselsbron Welkom Virginia




Northern Cape





Thaba Nchu

Fouriesburg Ficksburg

Dewetsdorp N6

Harrismith Van Reenen Phuthaditjhaba Ladysmith Golden Gate National Park R74

Bethlehem Clarens



Colenso Estcourt








Botshabelo R26 Hobhouse




Senekal Winburg











Vrede Reitz



Jacobsdal Petrusburg


Kroonstad Odendaalsrus

Hoopstad Christiana







Trompsburg Smithfield Bethulie Rouxville De Aar

Fezile Dabi District Municipality is the biggest contributor towards the provincial GDP, contributing approximately 35%. The Fezile Dabi area is mostly dominated by the industrial power of Sasol, with the manufacturing of refined petroleum, coke and chemical products adding largely to its GDP. The establishment of ChemCity, a wholly owned subsidiary of Sasol, has also added a business incubator that allows SMMEs to feed off and diversify from the opportunities that prevail due to the energy consortium operating in the area. Thabo Mofutsanyana District Municipality Towns: Phuthaditjhaba, Bethlehem, Tweespruit, Ladybrand, Clarens, Harrismith, Vrede, Ficksburg Tourism and fruit farming are the two principal economic activities of this area which is characterised by beautiful landscapes: the Maluti


Eastern Cape

Motorway Main Road Railway

and the Drakensberg mountain ranges, wetlands in the north, well-watered river valleys and the plains of the north and west. The most famous asset is the Golden Gate National Park. Industrial activity is under taken at Harrismith and Phuthaditjhaba, where the Free State Development Corporation is promoting investment. The Maluti-a-Phofung Special Economic Zone (SEZ) at Harrismith is a multi-modal transport and logistics hub. The commercial centre of the district is Bethlehem while Clarens and Ficksburg have become famous for their artists and cherries respectively. Marquard produces 90% of South Africa’s cherries. The north of the district has many sunflower seed farms. Tweespruit is a major sunflower seed production centre. The Basuto cultural village in Qwa Qwa offers beautifully made crafts, and rock paintings can be seen as illustrations of the artistic skills of much earlier inhabitants of the area.




Free State Development Corporation investment opportunities The Free State Development Corporation is driving a number of exciting investment opportunities in the Free State Province.

MABELE FUELS (PTY) LTD Mabele Fuels (Pty) Ltd is a company registered in the Republic of South Africa whose business is the manufacture of fuel-grade ethanol from grain sorghum for sale to the South African biofuels market. The company was founded and incorporated in 2005 and resolves to build a bio-ethanol-from-sorghum plant in Bothaville in the Free State Province, South Africa.


To discuss these opportunities, contact Marlan Mouton, Project Coordinator Email: Philip Bouwer, Project Manager Email: National Department of Energy: Tel: +27 57 391 1326 / 1300 Fax: +27 57 352 2673

Sector: Renewable energy Value: R2.5-billion Job creation: 5 000 jobs

PROJECT DESCRIPTION The establishment of a sorghum-based bioethanol refinery in Bothaville. The plant will have the capacity to produce 153-million litres of fuelgrade bio-ethanol per year.

Free State Development Corporation: Peterson Molukanelo (Acting) GM: Marketing, Trade and Investment Tel: + 27 51 4000 800 Email:

PROJECT STATUS The project will be funded by a combination of equity funding (shareholders) and financial institutions. The full suite of project and finance documents are available.






Quirinus (Pty) Ltd intends to establish a manufacturing plant in Harrismith, Free State province. The plant will make male and female latex condoms for both the private and public sector markets

Sector: Manufacturing Value: R220-million Job creation: 198 jobs

PROJECT DESCRIPTION The establishment of male and female latex condoms manufacturing plant for both private and public sector markets. To discuss these opportunities, contact Parma Naik, Project Promoter Email: Free State Development Corporation: Peterson Molukanelo (Acting) GM: Marketing, Trade and Investment Tel: + 27 51 4000 800 Email:

PROJECT STATUS This project is currently in the phase of business and contract negotiations. The project will be financed by shareholder and bank loans. Partnerships exist with V-Worldwide Group, HLL and Prometheum Investments (Pty) Ltd.




GAP HOLDINGS Gap Holdings’ vision is to be at the forefront of geyser innovation and new technologies in the industry. A manufacturing plant for

solar and electric geysers is envisaged for the town of Welkom in the Lejweleputswa District Municipality.



The establishment of a solar and electric geyser manufacturing plant.

Sector: Manufacturing Value: R20-million Job creation: 80 jobs

PROJECT STATUS The project is currently in the business plan phase.


To discuss these opportunities, contact Eric Van Dieman, Project Promoter Email: Free State Development Corporation: Peterson Molukanelo (Acting) GM: Marketing, Trade and Investment Tel: + 27 51 4000 800 Email:





The company intends to manufacture steel and iron with scrap metal sourced from all over South Africa. The plant will be located in the industrial area of Botshabelo, Bloemfontein, which is already a manufacturing hub with a skilled workforce.

The project will be financed by shareholder and bank loans. EIA approvals have been obtained and SMME Scrap Metal Suppliers has been established. Investigate an opportunity for a metal fabrication plant to supply construction, building and infrastructure sector.

PROJECT DESCRIPTION The company will source scrap metal across South Africa and process it into steel and iron.

To discuss these opportunities, contact Jacqui Gao, Project Promoter Email: Free State Development Corporation: Peterson Molukanelo (Acting) GM: Marketing, Trade and Investment Tel: + 27 51 4000 800 Email:

KEY FACTS Sector: Manufacturing Value: R300-million Job creation: 500 jobs






Tetra4 is a vertically integrated gas producer operating in South Africa. Tetra4 is a natural gas producer that provides sustainable, clean energy solutions to large-scale users in the Free State mining region around Welkom. The company has 13 operational wells producing methane-rich natural gas and uniquely occurring helium. The methane-rich natural gas is a clean substitute for transport fuel and thermal fuel.

The project is currently in the project packaging and development phase.

PROJECT DESCRIPTION Tetra4 will produce the country’s first liquefied natural gas (LNG) locally and sell it to transport companies for use in trucks to reduce reliance on imported diesel. The company will also export helium, which will make South Africa the eighth country in the world with proven helium reserves.

To discuss these opportunities, contact Stefano Marani,Project Promoter Email: Free State Development Corporation: Peterson Molukanelo (Acting) GM: Marketing, Trade and Investment Tel: + 27 51 4000 800 Email:

KEY FACTS Sector: Renewable energy Value: R450-million Job creation: 405 jobs




ROOFSHEET MANUFACTURING Concept The FDC is keen to facilitate the production of roofsheets made from corrugated iron, IRB and chromadek. Location Matjhabeng Local Municipality.

Investment Required R25-million in capital expenditure is needed.

APPLE PRODUCTION Concept Investment is required to add 2 000ha of apple orchards on agricultural land in the Eastern Free State. Location Maluti Fruit, a pack house in Bethlehem, Free State, has launched Remmoho, a BEE project that will focus on increasing apple production in the province.

One of the advantages of growing apples in the Free State is that the fruit from the region is the first to be harvested during the Southern Hemisphere growing season – a full two to three weeks before fruit from the more traditional growing areas in the Western Cape. A business plan has been completed and would be available to prospective investors.

To discuss these opportunities, contact Peterson Molukanelo (Acting) GM: Marketing, Trade and Investment Tel: + 27 51 4000 800 | Email:



Concept Convert an old, unused mining shaft into a tourist attraction that will enable people to experience life below the surface. Location Virginia (Matjhabeng). Investment Required R300-million.

Concept An opportunity exists to set up a jewellery design and manufacturing operation adjacent to an existing jewellery school. Location Virginia (Matjhabeng). Investment Required R20-million.

To discuss these opportunities, contact Mpolokeng Mokalobe, Tel: +27 51 400 9585 Email:






Concept There are plans to establish a Cut, Make and Trim (CMT) factory in order to manufacture clothing in the Free State. Location Maluti-A-Phofung Municipality (QwaQwa). Investment Required Finance is sought for purchase of machinery and working capital for 12 months.

Concept The establishment of a plant for waste recycling and conversion into usable products as well as the generation of energy from waste. Location Mangaung Metropolitan Municipality (Bloemfontein, Botshabelo and Thaba Nchu). Investment Required R65-million. A business plan has been completed and would be available to prospective investors.

LED LIGHT MANUFACTURE Concept The manufacture and retail of light-emitting diodes (LEDs). Location Anywhere within the Free State. Investment Required R15-million.

TOOLING AND MACHINERY MANUFACTURE Concept Manufacturing of metal, steel and plastic products for automotive, rail, aviation, mining and other similar industries. Location Botshabelo. Investment Required R15.1-million in capital expenditure is needed.

TEXTILE MANUFACTURING Concept To establish a textile manufacturing facility producing spun yarn and woven cloth for supply to Cut, Make and Trim (CMT) facilities in the Free State and the rest of South Africa. Location Maluti-A-Phofung Municipality (QwaQwa). Investment Required R76-million is required.

To discuss these opportunities, contact Peterson Molukanelo (Acting) GM: Marketing, Trade and Investment Tel: + 27 51 4000 800 | Email:




POULTRY PRODUCTION AND PROCESSING Concept The intention is to build 10 x 40 000 broiler houses, 10 x 220 000 broiler hatcheries and 8 x 20 000 layer houses. Location These facilities could be located in the following municipalities: Lejweleputswa, Fezile Dabi, Thabo Mofutsanyana. Investment Required R6.5-billion is required to increase the size of the poultry production market in the Free State.

PRODUCTION OF SUNFLOWER, SOYA, BEANS AND LUCERNE Concept The FDC is promoting an opportunity to increase the production of sunflower, soya beans, dry beans and lucerne. If investment is forthcoming 448 981ha could be put into production by 2030. Location Various agricultural areas in the Free State. Investment Required An estimated R585.8-million is needed. To discuss these opportunities, contact Dr Tankiso Masiteng Email:




Why invest in solar generation plants in South Africa • • • • • • •

South Africa’s solar irradiation levels are among the best in the world (>2 000kWh/m²). Transition to a cleaner energy mix (low carbon path). Strong local content from government (glass, mirrors). Strong, established local construction companies. Experience in building power stations and mines. Current steel and pipes production meeting CSP requirements. A target to generate 45% of all new electricity from renewable sources by 2030.

The ongoing success of the renewables procurement programme and the growing interest of international developers and funders are helping South Africa to improve its ranking from nowhere to top 10 investment destinations in the world (Renewable Energy Country Attractiveness Index 2014). South Africa is the region’s clear leader for clean energy development with record investments of over US$10-billion in 2012 and 2013.

Drivers for PV and CSP investments • • • •

Environmental issues such as pollution and exploitation of natural resources. Climate change due to CO2 emissions from fossil fuels. Energy security through diversification of supply. Sustainable development.





May 2014



Solar Reserve

3.8-billion, 1-billion cost of financing


Under construction

Enel Green Power










Bloemfontein, Tokologo LM


Jacobsdal, Letsemeng LM

Aug 2016



Tokologo LM

Nov 2014



Sun Edison Korean Solar Power Consortium




Kopanong, Bethulie LM


600MW Planned

Concept develop­ment and project design


Tokologo LM




New development




Matjhabeng LM


75MW Planned

New development

FRV Energy South Africa

Project occupies 180ha of the Farm Beyers 186 (393ha)



Matjhabeng LM


75MW Planned

New development

FRV Energy South Africa

Project will occupy 180ha of the Farm Beyers 186 (393ha)





SOLAR GENERATION PARKS Projects Location Xhariep District, Mangaung Metro as well as Lejwele­putswa. Conversion Technologies Both photovoltaic modules and concentrated solar power (CSP) plant conversion technologies can be implemented.

The project aim is to recruit a private investor to set up a solar park in the Xhariep, Lejweleputswa and Mangaung regions, as these offer some of the best direct solar radiation (kWh/m²). Process Investors may participate in both off-grid and on-grid supply solutions. Off-grid is where the solar generation plant is directly supplying an independent user or seller, for example a mine or an industrial estate. On-grid is where investors participate in South Africa’s successful Renewable Energy Independent Power Producer Procurement (REIPPP) Programme managed by the Department of Energy (DOE) and finally supply the grid.

SOLAR WATER HEATERS A private investor is required to set up a solar water heaters manufacturing plant in Botshabelo Industrial Area. The manufacturing process may involve the following: • Fabrication of panel storage tanks. • Assembly of tank, panel coil and other components. • Inspection and commissioning. • Required raw materials for the manufacturing of solar water heaters are copper aluminium MS sheet, pipe, glass fibre, GI sheets, thermostat and insulation material. Why Solar Water Heaters • Eskom electricity demand management programme.

Strong local content on SWH procurement by DOE and Eskom. • Financial and technology capabilities to manufacture and supply locally produced systems. • Construction Sector Education Training Authority (CETA) and Energy Sector Education Training Authority offers accredited Level 4 plumbing qualification. • Availability of plumbing skills currently serv­ing the mining, gas and petroleum industries. Location Botshabelo within the N8 Corridor. Investment Required To be determined at feasibility. •

To discuss these opportunities, contact Peterson Molukanelo (Acting) GM: Marketing, Trade and Investment Tel: + 27 51 4000 800 | Email:




Bringing services to the people The Free State Development Corporation is bringing services closer to the people through its strategic partnership programme.

CIPC Commissioner Adv Rory Voller (left) and FDC CEO Ikhraam Osman (right) at the SST official launch at Rent-A-Desk.


he strategic partnership between FDC (Free State Development Corporation) and CIPC (Companies & Intellectual Property Commission) brings relief to SMMEs (small, medium and micro-enterprises) by bringing services to their doorstep. The CEO of FDC, Ikhraam Osman, and CIPC Commissioner, advocate Rory Voller, launched an Electronic Self Service Terminal (SST) at Rent-A-Desk on 2 June 2017. This initiative assists aspirant Free State entrepreneurs and SMMEs as they are now able to register their companies with CIPC at a minimal cost of R175. In addition to cutting the transport cost of having to travel to Pretoria for registering their business, they receive their registration certificate within two days after registering. According to CIPC, the facility is a government response to meet the needs of emerging businesspeople by bringing services at low cost to their doorstep. FDC CEO Ikhraam Osman indicated that Rent-A-Desk is a co-working space of affordable shared services that provides SMMEs and other businesses an opportunity for collaboration and networking, secure parking facilities, boardroom, full reception services and high-speed Internet. Other advantages include housekeeping services, access to a fully equipped kitchen, printing and email facilities.

Botshabelo Industrial Area In November 2017, the Free State Premier, Ace Magashule, and his delegation conducted site visits to Botshabelo Industrial Area to FREE STATE BUSINESS 2019


assess the state of development of manufacturing entrepreneurs. Companies visited included CMT operators, tyre manufacturers, roofsheet manufacturing, LSF frames, trusses and hall panel manufacturers, PVC ceiling manufacturers and suppliers, household electric goods manufacturers and broiler producers. The purpose of the visit was to assess for himself the state of the development of manufacturing entrepreneurs and the conditions under which they operate. This was intended to ensure that government enterprise development support programmes respond to specific needs of manufacturers such as ensuring that provincial government and municipalities source from local manufacturers to help to sustain their business and generate much-needed jobs. The FDC and DESTEA (Department of Economics, Small Business, Tourism and Environmental Affairs) were directed by the Premier to implement targeted market access and product development interventions to enable the Botshabelo SMMEs to grow their business and facilitate access for them to the incentives that are available for their business expansion projects.


Free State trade opportunities The Free State province offers a wide range of trading opportunities The Free State’s main exports are: • Mineral products. • Plastics and articles thereof. • Chemical products. • Vehicle and transport equipment. • Agricultural equipment. • Semi-precious stones, metals, imitation jewellery. • Base metals and articles thereof. • Textile and textile articles. • Vegetable and fruit products. • Wood and articles of wood. • Raw hides and skins, leather and articles thereof. • Medical or surgical instruments and apparatus. • Live animals.

Additional breakdown of products: • Minerals (gold, coal, diamonds, clay, limestone, salt, gypsum, granite, sand stone aggregates). • Agriculture (maize, wheat, sorghum, potatoes, sunflower, red meat, vegetables, dry beans, fruit, peanuts, wool, poultry, dairy, cherries). • Floriculture (cut flowers). • Chemicals (fuels, waxes, synthetic fuel, liquid carbons). • Agricultural machinery and equipment. • Vehicles (trailers). • Arts and crafts.


HEAD OFFICE FDC House, 33 Kellner Street, cnr of Markgraaff Street, Westdene, Bloemfontein 9300 Tel: +27 51 4000 800 | Fax: +27 51 447 0929

357K Clubview, Phuthditjhaba Tel: +27 58 714 0060/64 Fax: +27 58 714 0071

MOTHEO DISTRICT OFFICES Botshabelo Office 35 Orange Str, Industrial, Botshabelo 9781 Tel: +27 51 534 1101/02/03 | Fax: +27 51 534 1104 Thabo-Nchu/Motheo Office 102 Manyane High Way, Selosesha, Thaba Nchu 7983 Tel: +27 51 873 3901 2476 | Fax: +27 51 873 3402

Industriqwa/Harrismith Office Ms M Setai Manager in the Office of the CEO Maluti-a-Phofung Special Economic Zone Tel: +27 51 4000 800 | Cell: +27 73 210 0935 Email: Website:

XHARIEP DISTRICT OFFICE Xhariep Office Cnr Van Riebeeck and Voortrekker, Khoisan Building, Trompsburg 9913 Tel: +27 51 713 0342/3 | Fax: +27 51 713 0342

FEZILE DABI DISTRICT OFFICES Fezile Dabi Office 31 NJ Van der Merwe Crescent, Sasolburg 1942 Tel: +27 51 400 0800

For additional information on trading opportunities please contact the Free State Development Corporation on +27 51 400 0800.




Maluti-A-Phofung SEZ investment opportunities


SEZ project pipeline There are various companies that have signed letters of intent to locate in the MAP SEZ. Some of the sectors targeted for establishment within the MAP SEZ are as follows: • Logistics and distribution. • Agro-processing. • Food processing. • Rail-based container terminal (Transnet Freight Rail). • Starch chemicals. • Biogas.

aluti-A-Phofung Special Economic Zone (MAP SEZ) has been established in terms of the Special Economic Zones Act No. 16 of 2014. The programme is intended to deepen industrial development and improve manufacturing competitiveness in the Maluti-A-Phofung region. Situated in Harrismith and Tshiame in the Eastern Free State, MAP SEZ is strategically located on the N3 national road, halfway between Johannesburg and Durban. MAP SEZ offers 1 038 hectares of land for industrial development. Since the Durban port is the busiest in the southern hemisphere, it therefore means that the N3 carries the majority of the traffic to different locations in South Africa and neighbouring countries such as Lesotho and Swaziland. Through its cross-docking precinct and its logistics and warehousing sectors the MAP SEZ presents itself as a solution to lighten the traffic pressure on the N3. This Special Economic Zone (SEZ) is part of the Free State leg of the massive Durban-Free State-Gauteng logistics and industrial corridor that is intended to strengthen the logistics and transport corridor between South Africa’s main industrial hubs to: • Improve access to export and import markets. • Integrate Free State industrial strategy activities into the corridor. • Create job opportunities and grow the economy within the region.

MAP SEZ milestones • MAP SEZ was launched by President Zuma on 25 April 2017 to operate as a Special Economic Zone. • Maluti-A-Phofung SEZ was granted an operator permit in 2017 by the Minister of Trade and Industry after cabinet approval. • Perimeter fencing and lighting have been completed. • Bulk infrastructure roll-out is in progress and is 80% complete. • The SEZ has developed a marketing and promotion pipeline which has attracted 24 potential investors with an estimated investment value of R 2.6-billion and will create approximately 22 130 permanent and temporary job opportunities in the next 5 to 10 years. • Construction of top structures to commence in June 2019.

Investor benefits Benefits that will be derived from locating within MAP SEZ include: • 15% corporate tax instead of 28% corporate tax. • Building allowance. • Employment incentive. • Customs controlled area (CCA). • 12i Tax allowance.


What the MAP SEZ offers • Lots of space – more than 1000ha available to prospective investors. • Long-term lease periods which provide investors an opportunity to recoup investment on infrastructure. • Affordability in the form of concessions offered on rentals. 24

FOCUS Economic development As part of its mandate, the MAP SEZ is intended to create decent work, transfer of skills and other social economic benefits. In line with this requirement, the MAP SEZ’s robust investment-promotion pipeline will allow the entity to create an estimated 22 130 permanent and temporary job opportunities in the Maluti-A-Phofung region over the next 5 to 10 years.

Key MAPSEZ Key MAP SEZ investment pipeline Beverage processing plant Investments One of the MAP SEZ’s flagship investors is a 100% black, independentlyMAPSEZ BEVERAGE PROCESSING owned business, which manufactures, imports, distributes and PLANT markets some of the world’s premuim beverage brands. One of the MAPSEZ’s flagship investors is a 100% This investor will be establishing a beverage processing and botblack, independently owned business, which imports, distributes and markets some of the world’s most tling plant at the MAP SEZ. The finished will be sold at retail premiumproducts brands. facilities domestically and internationally. This investor will be establishing a beverage

MAP SEZ priority sectors There are six priority sectors: • Automotive • Agro-processing • Logistics • General processing • ICT • Pharmaceuticals.

processing and bottling plant at the MAPSEZ, the finished products will be sold at the retail facilities domestically and internationally.

Agri-park This agri-park project involves MAP theSEZ building of PROJECT a world-class, AGRI-PARK integrated food processing park which will include foodtheprocessing, This Agri-Park project involves building of a world-class, integrated food processingThe park which warehousing, cold storage and manufacturing facilities. agriwill include food processing, warehousing, cold parks project scheme has been created to promote the upskilling storage and manufacturing facilities. The Agri-parks project to scheme been created to of local farmers and to expose local farmers thehascommercial promote the upskilling of local farmers and to expose market space. local farmers to the commercial market space. HUMAN HAIR MANUFACTURER

Human hair manufacturer A Chinese hair company has partnered with in South Africa with companies to African establish acompanies human hair A Chinese hair company has partnered South manufacturing plant. to establish a human hair manufacturing plant. The final product The final product will be sold to retail facilities in the and international market. will be sold to retail facilities in thelocal local and international market. INLAND AGRI-HUB FACILITY

Inland agri-hub facility This investor intends to develop an inland Agro facility and also to create facility silos for local This investor intends to develop anlogistics inland agro-logistics and farmers. also to create silos for local farmers. Another leg of this business Another leg of this business includes the shipment of includes the shipment of grain in and the State Province grain around in and around theFree Free State Provinceandthe SADC region. and the SADC region. MAPSEZ CHANGING THE COMMUNITY

As part of its mandate, the MAPSEZ is intended to create decent work and other economic social benefits in the region in which it is located. In line with this requirement, the MAPSEZ’s robust investment promotion pipeline will allow the entity to create an estimated 22 130 permanent and temporary job opportunities in the Maluti-A-Phofung Region over the next five years.


Ms M Setai Manager in the Office of the Chief Executive Officer Maluti-a-Phofung Special Economic Zone Tel: +27 51 4000 800 | Cell: +27 73 210 0935 | Email: Website:




Free State Gambling, Liquor and Tourism Authority Driving economic transformation in the Free State.

Free State Province Center yourself in the heart of South Africa

effective, well-regulated gambling and liquor industry and a vibrant tourism sector.

Mission To be a leading developmental institution that drives economic transformation, regulation and adaptation to the ever-changing industry dynamics to benefit the Free State.

CEO of Free State Gambling, Liquor and Tourism Authority Mr Kenny Dichabe


he Free State Gambling, Liquor and Tourism Authority (FSGLTA) is one of the two entities of the Department of Economic, Small Business Development, Tourism and Environmental Affairs (DESTEA). The FSGLTA was established by the FSGLTA Amendment Act 4 of 2017, which was amended to incorporate the former Free State Tourism Authority to Free State Gambling and Liquor to form the now know entity which is known as FSGLTA.

Vision A transformed economy and a prosperous society with an FREE STATE BUSINESS 2019

Mandate The mandate of the Free State Gambling, Liquor and Tourism Authority is to regulate the gambling and liquor industries within the province and to market and promote tourism in the province. The Authority’s purpose is to promote legally compliant, responsible, sustainable and transformed gaming and liquor industries through effective licensing, regulating and reporting on the activities of the industries, and to position the Free State Province as a tourist destination of choice. The gambling industry • Invite applications for licences (gambling) • Consider, grant or refuse applications • Cancel, suspend, vary, renew or revoke a licence or registration approved • Implementation of norms and standards in the gambling industry as determined by the National Gambling Act • Ensure that gambling activities are effectively regulated, licensed and controlled • Ensure compliance to the act, rules and regulations The liquor industry • Receive applications for registrations (liquor) • Reduce the socio-economic and other costs of alcohol • Promote the development of a responsible and sustainable liquor industry in relation to gambling • Generate revenue for the Free State Province.


[INSERT BULLET POINTS] Reduce the socio-economic and other costs of alcohol Promote the development of a responsible and sustainable liquor industry in relation to gambling Implementation of norms and standards in the gambling industry as determined by the National Gambling Act Ensure that gambling activities are effectively regulated, licensed, and controlled

The tourism industry It is important that the FSGLTA intensifies its efforts to ensure effective marketing of the province in order to attract domestic tourists as well as international tourists. The province continues to enhance tourism infrastructure, up-skill the sector, inculcate the culture of service excellence and enhance the provision of world-class visitor experiences. The Authority has partnered with event organisers and tour operators to market and promote the Free State as a tourist destination. These are achieved through the following: • Forging strategic partnership with the public and private sectors to leverage from each the capability and capacity to improve the industry • Streamlining the impact of events through partnerships and sponsorships • Improving on Meetings, Incentives, Conferencing and Events (MICE) as a focused growth area of the market • Continuous review of the marketing plans to stay on par with the industry trends.

Generate revenue for the Free State Province. Gambling and Liquor Contact Details

Gambling and Liquor Contact Details District

Contact Person

Contact Detail

Mangaung Metro

Abraham Classen 051 404 0320 079 506 0272

Thabo Mofutsanyana

Peter Moleko


Thabo Tlake


Bonakele Nzunga


Mpakiseng Moloi 078 309 4178 057 492 0001 072 533 6681 056 492 0001 082 256 5926 051 492 0167 083 664 9675

The tourism industry It is important that the FSGLTA intensifies its efforts to ensure effective Tourism Information Contact Details Tourism Information Contacts

marketing of the province in order to attract domestic tourists as well as international tourists. The province continues to enhance tourism Tourism Route Contact Person Contact Detailinfrastructure,

Cheetah Route Eagle Route Flamingo Route Lion Route Springbok Route


Nthabiseng Methola 073 125 1614 072 056 6090 Dineka Lephowane 073 796 8577 Keakabetse Ramokonopi 084 951 1564 Kefiloe Molefe 079 496 2999 Bonolo Molefe



Making it easier to do business with Nedbank Whole-view Business Banking™ Kevin de Beer, Nedbank Provincial General Manager for Retail and Business Banking for Free State and Northern Cape, explains how Nedbank can help business owners in these regions.

on what’s most important to you – running your business,’ says de Beer. In line with our new brand proposition encouraging clients to see money differently, our Free State and Northern Cape agriteams are committed to providing key support, as well as advisory and business services to all roleplayers involved in the agrispace in both provinces. We will share our financial expertise and play a role in advancing profitable, sustainable practices throughout the agricultural production and consumption value chain.

There is good news for Free State and Northern Cape business owners and entrepreneurs seeking a unique banking experience. Nedbank Business Banking has business managers, located across both provinces, specialising in commercial industries as well as the agricultural sector. De Beer says his team is ready to assist clients with professional advice, industry-specific solutions and a comprehensive range of financial products and services. ‘At Nedbank Business Banking we believe that you need a financial partner who not only understands your circumstances and aspirations, but also provides you with relevant solutions and a banking experience that is hassle-free. This allows you to concentrate

We recognise that farmers today face many challenges, and to remain competitive, they continually have to improve and adopt best practices and new technologies. ‘We encourage you to see money differently with Whole-view Business Banking™, says de Beer. ‘We are also involved in a number of initiatives with the public sector, ensuring that such partnerships support provincial government goals in respect of job creation and growing the economy,’ de Beer concludes. If you are interested in taking your business to the next level, please call Kevin de Beer on +27 (0)51 400 5813, send an email to or visit


Nedbank Business Bundle is a game changer with savings and personalised services for small enterprises The new Business Bundle from Nedbank is a game changer for small enterprises in the Free State and Northern Cape, offering the best value for money when compared to rival offerings.

With the country’s challenging economic environment, the Business Bundle not only offers you personalised banking services, but also critical tools to save – with up to 40% savings on monthly banking fees – contributing directly to the bottomline at a time when every cent counts. In line with Nedbank’s new brand proposition to see money differently, the Business Bundle resonates with the bank’s commitment to do good by promoting small enterprises. ‘As a bank for small businesses we are committed to partnering with entrepreneurs to help grow their businesses. As such, Nedbank is always looking at ways in which we can help unlock the value of our clients’ businesses. We support their business growth journeys by providing practical tools to help them run their businesses,’ says Kevin de Beer, Nedbank Provincial General Manager, Retail and Business Banking for Free State and Northern Cape. ‘Small businesses are the lifeblood of our economy. Nedbank has, over the years, instituted various interventions aimed at giving support to the smallbusiness sector.’ To see how Nedbank can help your small business reach its goals, call Kevin de Beer on +27 (0)51 400 5813, send an email to or visit

Trust us to protect your business against everyday risk Shareen Gobichund, Regional Manager of Broker Channels for Free State and Northern Cape, says Nedbank Insurance is not a onesize-fits-all business. Nedbank Insurance has evolved into a business that provides integrated insurance to individual and business clients. Our offering comprises comprehensive short-term and life insurance solutions, as well as investments. Nedbank Insurance provides a comprehensive offering of short-term products on behalf of blue-chip insurers. If you are interested in expert advice on the type of cover that is right for your business needs, look no further. Nedbank has a team of specialists ready to provide you with the information you need to make an informed decision. For more information call Shareen Gobichund on +27 (0)31 364 3308, send an email to or visit

Nedbank Ltd Reg No 1951/000009/06 Nedbank Ltd Reg No 1951/000009/06. Authorised financial Authorisedservices financial services and registered provider (NCRCP16). and registered creditcredit provider (NCRCP16).


Agriculture Investors in agri-processing are sought.


he Imbani Homsek Group (pictured) is an integrated dairyproducts producer with one of the biggest Ayrshire herds in the world. The farm north of Bloemfontein encompasses 6 000ha and its factories supply Woolworths. The long-life milk factory is a three-way partnership between Imbani Homsek, Woolworths and Nampak, the packaging company. The head office of Country Bird Holdings is in Bloemfontein: its brands are Supreme Chicken, Nutri Feeds and Ross (breeding). Country Bird Logistics controls 45 chilled and frozen vans. Clover has three factories in the Free State: Bethlehem (milk powder, whey mixtures and creamers); Frankfort (butter, the largest such factory in the country, where ghee and roller dried milk powder is also made) and in Heilbron (whey, buttermilk, condensed milk and packaging). Despite these large operations, the Free State Department of Agriculture and Rural Development (DARD) notes that only 11% of the province’s primary agricultural production is processed within the province’s boundaries. Business Times reported in 2018 that smaller Free State dairy farmers are struggling to deal with rising costs and lower prices. With the trend towards sourcing milk in coastal areas growing, the number of dairy farms in the province has dropped to 183, from a high of 929 in 2009. In 2017 DARD hosted a summit on “Repositioning the Free State Province for Agricultural Value Adding and Processing Towards 2030”. FREE STATE BUSINESS 2019


SECTOR INSIGHT New Special Economic Zone will suppor t commercial operations. Investors are being encouraged to look at baby vegetables, wholesale meat production (including poultry) and leather manufacturing. Key to commercialising these agricultural options is access to finance and the Industrial Development Corporation (IDC) has been active in the Free State in support of this goal. The official launch of the Maluti-A-Phofung Special Economic Zone should be a further boost to the agri-processing and agri-logistics sectors. A number of initiatives have taken place in terms of the land

OVERVIEW reform process in recent months. Some 6 000ha has been allocated to small-scale farmers and 500ha to farm dwellers. A land audit has been done of all land belonging to state, provincial or municipal authorities with the intention of providing land for black enterprises. The provincial government wants to see more black commercial farmers. One way of achieving this is to increase production volumes of small-scale farmers. Five agri-parks are planned in each of the Free State’s district municipalities. The concept brings together farmers, traders and agriprocessors (such as abattoirs) in convenient sites within each district municipality. Support for rural smallholders will be available in terms of equipment hire from a central source, storage facilities, packaging of produce and getting products to market. Training will also be offered.

Agricultural assets Agriculture makes up 4% of the Free State’s gross domestic product, but the province’s efficient farming operations contributed a total of 10% of South Africa’s agricultural output. The Free State has 32 000km² of cultivated land and a further 87 000km² of grazing land and natural veld. A summer-rainfall region with a mean annual rainfall of 532mm, the Free State’s climate, soil types and topography vary greatly within the province, with plains in the west and mountains in the east. The western and southern areas are semi-desert, with some Karoo vegetation occurring in the south. The province supplies significant proportions of the nation’s sorghum (53%), sunflowers (45%), potatoes (33%), groundnuts (32%), dry beans (26%), wool (24%) and almost all of its cherries (90%). Red meat and dairy are other important products. Game hunting is a growing sector, and several large Free State farms have been converted from stock to game farms. Crop production represents about two thirds of the province’s gross agricultural income. The main crops are maize and wheat. Sunflowers, sunflower seeds, sorghum and soy beans are other major crops. The Mangaung Fresh Produce Market plays a vital role in the sector, catering as it does to householders, bulk

ONLINE RESOURCES Agricultural Research Council: Bothaville: Free State Department of Agriculture and Rural Development: Grain SA: National Department of Agriculture, Forestry and Fisheries:


buyers, informal traders, agents and farmers. The NAMPO Harvest Day held in Bothaville every year is one of the biggest agricultural festivals and exhibitions of its kind in the world. The annual Farmer Patent Competition is sponsored by Grain SA and Omnia, the fertiliser company. Bothaville is located in the Lejweleputswa District Municipality on the western boundary of the Free State with North West. So far west is Bothaville that Senwes counts it as part of its North West region. The giant agricultural company, with its headquarters in the North West city of Klerksdorp, has three separate regions for the rest of the Free State. The company deals with no less than 20% of the country’s oilseeds and grain through its 68 silos. VKB Agriculture, another of the provinces large agricultural companies, has invested heavily in the Grain Field Chicken abattoir in Reitz (together with the broiler houses in Tweeling). The IDC, which has a 23% stake in the project, intends to help develop the Free State as the poultry hub of South Africa. VKB’s headquarters are in Reitz in the north-eastern part of the province and the group has nine brands in sectors such as fuel, grains, animal feed and foods. VKB has development programmes with 51 emerging commercial farmers in the province and data on 140 developing farmers.



Mining One diamond mine closes while another expands.


etra Diamonds’ Koffiefontein mine is on the western edge of the province, about 80km from Kimberley. The mine is regarded as a low-grade deposit, but the diamonds produced are of high value. White stones of excellent quality are produced, and fancy pink diamonds (pictured) are sometimes found. The company’s expansion plan led to increased production in the 2018 financial year of 52 537 carats, up from 51 173 carats in 2017. Expansion will increase, and the plan is to mine at Koffiefontein until 2031. Petra has seven mines in South Africa. The Star mine, in which Petra is in partnership with Sedibeng Mining, is the other Free State asset. The Voorspoed mine of De Beers Consolidated Mines will close at the end of 2018. The National Department of Mineral Resources is trying to find a buyer for the mine, but De Beers has already run a bidding process and found no suitable buyer. The company has started the complicated business of closing down the mine, which includes offering training programmes for employees for possible future employment in other industries. The Lace mine near Kroonstad went into business rescue in November 2016 after heavy rains affected operations. In May 2017 owner DiamondCorp put its listed holding company into administration. The primary lender was the Industrial Development Corporation (IDC). Diamonds, coal and gold are the three main minerals found in the Free State, but the decline of gold mining is a cause for concern. Several summits and a Mining Indaba have focussed on what kind FREE STATE BUSINESS 2019


SECTOR INSIGHT Harmony Gold has bought several Free State mines.

of economic activity can replace gold mining. The mining sector makes up 11% of provincial GDP. A minerals beneficiation strategy has been developed because this is a key area for potential growth. In 2016, De Beers, the South African government and the South African diamond cutting industry launched a project to encourage diamond beneficiators. Among the first companies involved are Thoko’s Diamonds, Af rican Diamonds, Nungu Diamonds and Kwame Diamonds. In 2017 some of the newly qualified cutters and polishers attended the Hong Kong Show.

OVERVIEW Gold AngloGold Ashanti has sold most of its Vaal River Complex mines to Harmony Gold Mining for $300-million. Most of the mines are in the North West Province, but Great Noligwa and Kopanang mines are in the Free State. The complex includes one uranium plant, four gold plants and one sulphuric acid plant. These assets will increase Harmony’s underground resource base in South Africa by nearly 40%. Most of Harmony’s operations, including a tailings treatment plant, are in the Free State. The other mines are Tshipong and Phakisa (near Odendaalsrus), Virginia, Target (near Allanridge), Masimong (Riebeeckstad), Joel (near Theunissen) and Bambanani at Welkom. Phakisa has mineral reserves of just over five-million ounces of gold and Harmony has invested heavily in the project. The other buyer from AngloGold Ashanti was Heaven-Sent. The Chinese company, which controls the Tau Lekoa mine through Village Main Reef, bought the Kopanang mine and associated assets for R100-million. Another Chinese company, Taung Gold, runs the Jeanette mine near Welkom. Sibanye Gold came into existence as a result of the unbundling of Gold Fields, but it has now been rebranded as Sibanye Stillwater because of the purchase of a platinum and palladium mine in the US of that name. The company is responsible for the Beatrix mine in the Free State but most of its gold assets are in Gauteng. Gold mines in the Free State also supply a substantial portion of the total silver produced in the country, and large concentrations of uranium occurring in the gold-bearing conglomerates of the goldfields are extracted as a by-product.

Coal Coal is mostly found in the northern part of the Free State and the gold fields, which form part of the Witwatersrand Basin, stretch from north of Welkom to south of Virginia.

ONLINE RESOURCES Geological Society of South Africa: Minerals Council of South Africa: Mining Qualifications Authority: National Department of Mineral Resources: South African Mining Development Association:


The Sigma-Mookraal mine is run by Sasol Mining and has the capacity to supply Sasol Infrachem in Sasolburg with two-million tons of coal per year. Seriti Resources has purchased the New Vaal Colliery from Anglo American. Together with two other mines in Mpumalanga Province, Seriti paid R2.3-billion. New Vaal is in the middle of a triangle of three towns that play an important part in industrial production: Vereeniging, Sasolburg and Vanderbijlpark. The mine employs more than 900 people and supplies about 15-million metric tons of coal to Eskom’s Lethabo power station annually.

Other minerals By-products of gold operations (uranium, silver, platinum group metals and sulphuric acid) and bentonite are also found in the province. Among the companies running large quarries in the Free State are Lafarge, Raumix and Corobrik. Sand, stone aggregate, gypsum and granite are found at various sites throughout the province. Limestone and calcrete occur in the western Free State where salt is also panned. Production is concentrated around the Florisbad salt pan, north-west of Bloemfontein. The Ocean Bentonite mine near Koppies in the north-west Free State is one of only two in the country.



Superfecta Trading Electro-mechanical specialists. and transparency; three prominent features that distinguish us in the marketplace and uphold our vision.

Our Mission To enable our clients to ensure reliable energy supply through costeffective and quality manufacturing, supply, installation and maintenance of infrastructure. Superfecta strives to deliver the best solutions which are achieved with strong partnerships and joint ventures with local and international entities that share our values and objectives. We have a full complement of highly uperfecta Trading is an electro-mechanical engineering skilled engineers, technical and company with a national footprint and a record of successful administrative staff. All efforts are delivery of projects in all nine provinces. The company was geared towards compliance with founded in 2002 and has extensive experience in medium- health and safety standards. and high-voltage products and related services. In 2018, after 16 years of trading as a close corporation with the Registration Number: 2002/024381/23, Superfecta Trading 209 (Pty) Ltd was founded with Superfecta works in a variety of its new Registration Number: 2018/231813/07. sectors, including but not limited to: Superfecta manufactures high-tension products under the TMA • mining Dynamics brand and related services. TMA Dynamics products • provincial and local government include transformers, mini-substations and switchgear. Superfecta also • utilities employs a team of mechanical experts. The company prides itself on • energy the supply, installation and maintenance of electrical and mechanical • oil and gas. work, and boasts over 14 years of experience in the mechanical field. Superfecta has strategically partnered with three internationally recognised companies: Thomas C. Wilson (New York), Schneider Electric Superfecta is a one-stop shop for (South Africa) and Jinshanmen Electrical Co. (China). The partnerships all transformer and transformerhave enhanced our performance and enabled us to be the providers related work and we pride ourselves of the latest technology. on delivering a comprehensive and complete service, including the supply of transformers for: 100% black-owned registered company, with 55% of the shares owned • The mining industry by women. • Dry-type mining • Distribution transformers • Power transformers. To be the leading electro-mechanical specialist in energy solutions All our transformers are SABS and across Southern Africa. Superfecta aspires to excellence, innovation IEC compliant and operate at



Professional Services

Ownership Status Our Vision



PROFILE higher efficiencies than any other on the market. Our turnaround time is less than 60 days, which is a market-beater. What gives Super fec ta a competitive edge in the industry is investment in the latest systems and technologies. The company invested millions of rands in an integrated maintenance software called Archibus. Our maintenance system goes above and beyond the management of the maintenance process and asset control by recognising that these processes are just a small part of a full life cycle. The intellectual capability of the system enables us to ensure that our customers are well taken care of by indicating when the following maintenance schedules should take place. We also provide our clients with 24/7/365 support. Transformer oils undergo electrical stresses while the transformer is in operation. This, combined with the contamination caused by the chemical interactions with windings and other solid insulations, gradually render it ineffective. Regular purification is paramount. We periodically test for electrical and chemical properties to make sure that the oil is suitable for further use and provide the purification services needed to extend the life of your transformer oil. This can be done online or offline. Superfecta has played a significant role in the economic development of South Africa, not only through employment, but also through infrastructure development both in rural and urban areas. We pride ourselves on having installed electricity in over 5 000 households in rural parts of South Africa. The company has not only done an outstanding job but raised the bar in successfully electrifying villages in the geographically challenging landscape of KwaZulu-Natal. With a professional team of mechanical technologists, Superfecta prides itself on the supply, installation and maintenance of mechanical work. Our services include, but are not limited to: • Supply and installation of heat exchangers tubes, boiler tubes, steam pipes and primary air heater

CONTACT INFO Physical address: 23 Catalunya Raceway Industrial Park, Gosforth Park, Germiston, Johannesburg 1419 Telephone: +27 11 869 3607 Fax: +27 11 825 0086 Email: Website:


• Supply and replacement of pipe works (ash, sluice lines, etc)

• Replacement and new installation of steel pipe works

• Supply and installation of pumps

• Supply and hire of tube-

testing machine, tube cleaners, vacuum leak dictator, tube cutters, expanding machine • Mechanical engineering (pipe fitting and rigging) • Steel pipe jacking and fitting, supply and install concrete jacks, jacks under roads and gas lines.

All industrial concerns require a complex system of electrical networks to function efficiently and successfully. Superfecta both installs and conducts repairs to high-tension electrical circuits. We also oversee electrical reticulation (urban and rural), electricity meters (prepaid and smart meters) and electricity works.

Clients Superfecta is an ISO 9001:2015 certified company that fully embraces a Total Qualit y Management philosophy in streamlining all its business processes. Clients include Rand Water, FNB, MTN, Airports Company South Africa, Total, Transnet, Passenger Rail Agency of South Africa and Eskom. Superfecta has done work for the public works departments of three provinces, the City of Johannesburg and several other municipalities. FREE STATE BUSINESS 2019


Manufacturing New chemicals plant opens in Special Economic Zone.

SECTOR INSIGHT Textiles and shoes are a Free State speciality.

Deputy Minister of Trade and Industry, Bulelani Magwanishe, at the launch of Kevali Chemicals’ new plant.


ttractive incentives are on offer to manufacturers at the Maluti-a-Phofung Special Economic Zone (MAP SEZ) which was officially launched in 2017. The 1 000ha facility at Harrismith is strategically located on the N3 highway, which runs between the ports of KwaZulu-Natal and the industrial heartland of Gauteng province. In 2018 Kevali Chemicals became the first beneficiary of the Black Industrialists Scheme (BIS) of the National Department of Trade and Industry (dti). A grant of R35-million allowed the company to acquire machinery and equipment to start a new line of production and manufacturing at a facility in the MAP SEZ. Kevali is the first company in the chemicals, pharmaceuticals and plastics sector to receive support in this programme. The plant, which will manufacture cleaning and disinfecting solutions and water-treatment chemicals, will create 57 direct and 12 indirect jobs. The Industrial Development Corporation (IDC), a development financier, is also supporting the scheme and it has helped workers at the plant become shareholders in the venture. Companies from China, Bulgaria and India have expressed interest in the SEZ proposition. Among the projects in the pipeline are a factory making transformers and one to make medical equipment. Between 2017 and 2019, investments valued at about R550-million will be made into the zone. FREE STATE BUSINESS 2019


Investments made into infrastructure at the SEZ will result in 250 direct permanent jobs and 420 indirect jobs in 2018/19. The revitalisation of industrial parks at Botshabelo and Phuthaditjhaba has contributed to manufacturing increasing its contribution to provincial gross value add (GVA). The Industrial Park in Botshabelo was relaunched in June 2016. The R60-million project, part of a scheme to revitalise industrial parks in the province, hosts 12 manufacturing companies. A Risk Sharing Funding and Black Industrialist Scheme aims to support five black industrialists in the manufacturing sector. Botshabelo has a manufacturing sector which employs more than 10 000 people in textiles, plastics and other sectors. However, the bulk of the employed population of Botshabelo commute to Bloemfontein. A number of factory buildings and parcels of publicly owned land in Botshabelo and along the N8, which are either not used or under-utilised, are being targeted for development. Phuthaditjhaba is home to several textile operations. Shoemakers like Tirisano Holdings make a varied range of products

OVERVIEW and provide employment opportunities. The IDC is supporting the clothing and textile industry with loans and investments. Manufacturing makes up 9% of Free State gross domestic product, and this comprises 4% of South Africa’s total. The Free State Regional Industrialisation Policy is being reviewed to ensure integration of infrastructure, bulk service provision, industrial sites and export and tax incentives to attract investment. Innovation in manufacturing is encouraged at the Product Development Technology Station (PDTS) at the Central University of Technology (CUT). The PDTS helps small businesses with the technology to design new products, to test them or to improve existing products. The PDTS is funded by the Technology Innovation Agency (TIA) and works in partnership with another CUT unit, the Centre for Rapid Prototyping and Manufacturing (CRPM). This innovative thinking

ONLINE RESOURCES Free State Development Corporation: Manufacturing Circle: National Department of Trade and Industry: Product Development Technology Station: South African Textile Federation:


is helping the Free State look for ways to develop new kinds of manufacturing. The existing manufacturing sector has capacity in many sectors including chemicals, agri-processing (covered in the overview on agriculture), textiles, carpets, engineering, packaging, furniture and jewellery. Harrismith is home to Nouwens C ar p et s and Boxmore Plastics. Boxmore Packaging’s new PET beer bottles are the first PET bottles specifically designed for beer on the SA market. Empire Gloves makes industrial gloves. Kroonstad-based Octa Engineering makes specialised rail carriages for the mining sector. In Bloemfontein, Transnet Engineering manufactures new wagons for the Transnet group, including iron ore and cement wagons and fuel tankers. About 20% of the Free State’s manufacturing sites are devoted to food and beverages, with soft drink giant Coca-Cola Fortune operating a large bottling plant in Mangaung. Landzicht Wine Cellar, an operation that distributes 2.4-million litres of wine ever y year from Jacobsdal, has a new bottling plant. Chemicals are a major sector within the Free State manufacturing basket. Sasol, Omnia and AECI are the major companies.



Oil and gas Natural gas and helium are attracting investment.


n announcing its new corporate strategy, integrated chemicals and energy company Sasol noted that it wanted to leverage its “core strengths”, one of which is in specialty chemicals. This is good news for the Free State, because Sasolburg in the northern part of the province is where most of Sasol’s chemicals work gets done. Sasol One and Sasol Midland comprise an integrated manufacturing facility which makes base and performance chemicals. It also produces electricity and other utilities and provide site support services for onsite manufacturers. What Sasol calls the “benefit of the scale and cost advantage” that derives from investments in commodity chemicals in South Africa and North America will allow it to scale up production. The intention is to expand the specialty chemicals portfolio. The chemical complex at Sasolburg is the economic driver of the oil and gas sector for the province. Sasol initially converted coal into liquid fuel, fuel components, wax and chemicals through Sasol’s proprietary technology processes. Since 2004, however, the Sasol One Site has been using natural gas from the gas fields in Mozambique as feedstock. Natural gas is reformed into synthesis gas to produce a variety of chemical products. During 2013, Sasol also started to produce electricity from natural gas to supplement its existing capacity and energy sourced from Eskom. Afrox operates a CO2 liquefier at Sasolburg which supplies the bottling and hospitality markets, where demand is strong. Renewable energy company Renergen owns the right to the natural gas and helium field around Virginia (which has proven reserves of 25-billion cubic feet). In 2016 an offtake agreement was signed with Linde to take helium. Afrox (a member of the Linde group) is spending R200-million on a plant to extract helium near Virginia. In the same year, another agreement was signed with Megabus (a subsidiary of Unitrans), to take “compressed natural gas”, which is cheaper than LNG. In 2018, South African Breweries trucks signed up to take LNG as well. Renergen’s natural gas subsidiary, Tetra4, has secured a R218-million loan from the Industrial Development Corporation to build a 107km pipeline network from Virginia.

ONLINE RESOURCES National Energy Regulator of South Africa: Petroleum Agency SA: South African Oil and Gas Alliance: South African Petroleum Industry Association:



SECTOR INSIGHT Afrox is extracting helium. The regulator and promoter of oil and gas exploration in South Africa, Petroleum Agency South Africa, has awarded coalbedmethane-gas exploration rights in KwaZulu-Natal and natural gas exploration permits in the Free State. Early surveys suggest that the Free State has 23-billion cubic feet of gas underground.

Oil The Natref fuel refinery is one of only four in South Africa, and the country’s only inland refinery. The refinery is a joint venture between Sasol Oil (63.6%) and Total SA (36.3%). It is a technologically advanced facility, which refines heavy crude oil into petrol, diesel, commercial propane, jet fuel and bitumen. The capacity is 92 000 barrels per day. One of the Sasol companies at Sasolburg, Sasol New Energy, is moving the group away from reliance on fossil fuels. An energy-from-methane power plant now running at the Beatrix Gold mine neatly encapsulates a shift from the old economy to the new. Although the Sibanyeowned gold mine still has significant reserves of the mineral, it is the shift to this new technology that is sparking interest and showing the way to creative energy solutions.


Tourism Bloemfontein has a new hotel.

SECTOR INSIGHT The Macufe is a 10-day cultural celebration.


remier Hotels & Resorts is a step closer to having a presence in every major South African city with the development of an 88-bedroom hotel in Bloemfontein. The Splendid Inn Bloemfontein by Premier, expected to cost R110-million, will also be able to accommodate 150 conference delegates. The first phase of the project will see the existing Stanville Hotel refurbished and expanded. Phase two will begin in 2019. South Africa’s largest hotel groups have several brands that cater to different markets. Protea Hotels has five properties in the Free State: Protea Hotel Bloemfontein by Marriott and Protea Hotel Willow Lake (both four-star), Protea Hotel Bloemfontein Central (three-star), Protea Hotel Montrose (Harrismith) and Protea Hotel Clarens. The four-star Southern Sun Bloemfontein, part of the Tsogo Sun group, has 147 rooms, and the Goldfields Casino in Welkom is another Tsogo Sun property. The City Lodge Bloemfontein has 151 rooms, and there is a Road Lodge at the airport. The Rantsoareng Group operates exclusively in the Free State and has three properties, the biggest of which is the President Hotel in Bloemfontein. FREE STATE BUSINESS 2019


Sun International runs the Lesotho Sun and the Maseru Sun in neighbouring Lesotho. In Bloemfontein, the Windmill Casino and Entertainment Centre offers slot machines and gaming tables, plus the ability to host conferences for up to 250 delegates. The fourstar Willow Lodge has 80 rooms. The Naledi Sun Hotel and Casino is about 65km from Bloemfontein. Forever Resorts has a popular facility with chalet accommodation and a caravan park on the banks of the Gariep Dam. Overlooking the dam is the 43-room de Stijl Gariep Hotel which has wedding and conference facilities. Afristay awarded the hotel its “Best value hotel” in 2018. The Mangaung African Cultural Festival (Macufe) has become a national and international event. Offerings range from music and craft stalls to poetry, film and theatre, a soccer tournament and boxing matches. The festival is probably best known for its varied musical performances, but the annual football tournament also gets good coverage and support. A Heroes’ Park is to be constructed at Thaba Nchu and Tumahole with statues of Oliver Tambo and Fidel Castro. The muchdelayed construction of a museum

OVERVIEW at Brandfort to commemorate Winnie Mandela living in that town has again been put on the agenda. Mandela endured a period of internal exile from 1977. The Golden Gate Highlands National Park (pictured) is one of South Africa’s great parks. It is administered by SANParks. Located in the Maluti Mountains, the park offers caving, hiking, horse riding, exploring caves and bird watching with a difference. The vulture restaurant gives a special perspective on birds of prey. The Basotho Cultural Village in the park offers an insight into African traditions and a taste of sorghum beer. There are ambitious plans to create a biodiversity corridor between the Golden Gate Highlands National Park, the Royal Natal National Park and the Sterkfontein Nature Reserve which will involve the Qwaqwa community living at the base of the Drakensberg mountains. Near Memel, the Sneeuwberg Protected Environment, a multi-owner private initiative, has added 17 500ha to the province’s protected asset base. When the Ingula Nature Reserve is declared in 2017, another 8 000ha will be added. Tourism is one of the Free State’s fastest-growing economic sectors, with leisure and business tourism enjoying the best growth within the industry. The Free State Department of Economic, Small Business Development, Tourism and Environmental Affairs believes that the R7.7-billion game industry sector could grow even further across three subsectors, namely: • auctions and translocations • game ranching and eco-tourism (including hiking trails, bird watching, photographic safaris, 4x4 trails, canoeing, abseiling, lodges and conferences) • a combination of lodges, game breeding, eco-tourism and hunting.

Routes Each of the province’s district municipality has its own tourism brand or route: Cheetah Route (Mangaung Metro and surrounds): Bloemfontein has a host of historical and cultural sites, including the Naval Hill

ONLINE RESOURCES Free State Department of Economic, Small Business Development, Tourism and Environmental Affairs: Free State Tourism: South African National Parks: South African Tourism:


Precinct (home to the Digital Planetarium), the Anglo-Boer War Museum, the National Museum, the Choet Visser Rugby Museum, the SA Armour Museum and the Fire Station Museum. Springbok Route (Xhariep District): Travellers can start their journey at a diamond mine, visit a wine farm and finish on the top of the Xhariep Dam. Several Anglo-Boer War battles sites and superb San rock engravings can be found dotted around the district. Flamingo Route (Lejweleputswa District): One of the biggest agricultural expos in the world takes place at Bothaville. Phakisa race track in Welkom attracts large crowds. The district has several game farms, game reserves and resorts. Lion Route (Fezile Dabi District): The banks of the Vaal River provide for boating, yachting and camping. Parys is a popular destination and the Vredefort Dome, site of a meteorite strike in the distant past, is a World Heritage Site. Eagle Ro ute ( T hab o Mofutsanyane District): This route encompasses the Golden Gate Highlands National Park. Ficksburg has claims to be the world’s Cherry Capital and nearby Clarens is popular with weekenders looking for art in a rustic village atmosphere. Bethlehem hosts an annual Bethlehem Air Show and the Maize Fair in October.



Education and training The University of the Free State is a research leader.


hat the University of the Free State (UFS) should have increased its research output since 2010 should not be a surprise, but the percentage by which it has upped its work-rate is an eye-opener – 221%. The UFS has 158 researchers rated by the National Research Foundation (NRF), two A-rated scientists and five tier-one SARChi research chairs. The university has 18 international research partnerships and produces an average of 240 postgraduate research degrees every year. Twelve new buildings have appeared on one of the university’s three campuses (or satellites) since 2012 and a further 157 have been renovated. The Faculty of Health Sciences building is pictured. Others include a high-performance gymnasium and new buildings for the Education and Health faculties. On the Qwaqwa campus, a new Physics and Geography complex has been constructed. A total of 40 000 students study under 2 521 permanent staff members in 114 departments in seven faculties. Central University of Technology (CUT) has a main campus in Bloemfontein and branches in Welkom and Kimberley. There are three faculties: Engineering and Information and Communication Technology, Health and Environmental Sciences, and Management Sciences. Researchers at units such as the Centre for Community, Environmental and Industrial Development tackle important regional issues. The Centre for Rapid Prototyping and Manufacturing (CRPM) does research into manufacturing processes. It specialises in Additive Manufacturing (AM), also known as 3D printing. CRPM works in the commercial field as well as doing research in Rapid Prototyping, Rapid Manufacturing, Rapid Tooling and Medical Product Development technologies. Manufacturers can make prototypes more easily (in sand, metal or plastic) with the support of the CRPM. Basic education and training statistics show that access to schooling and training has increased markedly in recent years. Enrolment in Grade R (reception year) is increasing rapidly. There are 663 public schools and 263 other community sites offering schooling in the Free State. The number of hostels has increased from 12 in 2009 to 33 in 2016. School transport is provided to more than 10 000 pupils. Mamello Secondary School in the Lejweleputswa Municipality received a maths laboratory in 2017 from Sibanye-Stillwater mining company. Education is central to many corporate social investment initiatives in the Free State. The school has more than 1 300 pupils. FREE STATE BUSINESS 2019


SECTOR INSIGHT Sasol needs 16 artisans for every engineer it employs.

The lab is fitted with an electronic board and laptops (for teachers) and tablets have also been supplied. The Free State Provincial Government is implementing South Africa’s largest global skills development programme in support of implementation of the National Development Plan (NDP). The free overseas training programme entails about 905 students studying in leading universities in China, India, Germany, Portugal, Russia, Turkey and Belarus. Fields of study range from all kinds of engineering, to computer science, medicine and pharmacy. India is hosting 32 students in the health sciences sector. Germany is hosting 68 students in sustainable mining and remediation, computer engineering, international trade economics, electrical chemicals engineering, molecular biology and genetics, and civil engineering. Belarus has 17 students in the field of informatics, applied chemistry and radio electronics. Turkey hosts 206 students. Russia is hosting 230 students in the fields of medicine, agriprocessing, veterinary medicine, agronomy and agriculture. Portugal is hosting 119 students in tourism


and hospitality management, civil engineering, medicine, veterinary science, agronomy and aeronautics, and 17 students are doing internships in information technology at Acin IT company in Portugal. Domestically, there are 8 232 students at tertiary institutions on provincial bursaries.

Skills More practical training is being encouraged by the National Department of Higher Education and Training. South Africa currently produces about 13 000 skilled artisans every year. The aim is to increase this to 30 000. Sasol runs an annual Science, Technology, Engineering and Mathematics (STEM) career guidance exhibition which attracts 20 000 visitors from all over South Africa. Sasol Techno X 2018 featured a dedicated section on artisan training for tertiary level. Sasol needs 16 artisans for every engineer that it employs. A STEM Academy at Qelo School in Botshabelo is a joint undertaking of the Free State Department of Education and Central University of Technology. This pilot project is testing the idea of specialist skills schools. UFS, CUT and the Free State Provincial Government have launched

ONLINE RESOURCES Central University of Technology: Council of Higher Education: Education Association of South Africa: Free State Department of Education: University of the Free State:


AHA Bokamoso: Joining Minds for Skills Development. The main thrust of this project is to foreground skills development in information technology (IT). Key points are the establishment of a Regional Innovation Centre on the main campus in Bloemfontein (with an IT Hub on the Welkom campus), together with Saturday School (focussing on mathematics and science) and training programmes for Department of Education officials. The Free State has just over 14 000 students at four Technical and Vocational Education and Training (TVET) colleges, taught by 400 lecturers. The colleges have multiple sites. Maluti TVET College in Phuthaditjhaba, for example, offers classes at seven sites. Flavius Mareka TVET College has Kroonstad and Sasolburg venues. Motheo TVET College operates in Bloemfontein and Thaba Nchu, while Goldfields TVET College is in Welkom. Technical schools are being upgraded by the provincial government with resources being allocated to the recapitalisation programme. A provincial internship programme gives graduates a chance to work in provincial government departments and municipalities.



Mangaung Chamber of Commerce and Industry The voice of business in the Free State. The Chamber seeks to be the voice of business in Mangaung and to assist in promoting economic development and investment in the province. The new Chamber of Commerce and Industry was constituted in 2003. In 2013 we reregistered as the Mangaung Chamber of Commerce and Industry in order to include the whole metropole. Although the MCCI is the oldest business chamber in the Free State, we strongly believe that we have the progressive outlook befitting a chamber complying with the modern-day requirements of the business world.

• To promote BBBEE by, among other initiatives,

linking big and small businesses through the Chamber’s network. • To do advocacy on behalf of our members so that we can influence and monitor relevant authorities and role-players. • To promote the development of the city and surrounds as a destination of choice for tourists. • To become a strategic vehicle for the participation of member businesses in social responsibility programmes. • To promote and support initiatives aimed at renewable and alternative energy sources. Benefits for members

In these endeavours the MCCI won the PMR Africa award for the organisation doing the most for business development as well as BBBEE in the province three years in a row.

• Innovative networking events and opportunities • SMME development and support centre • Import and export support centre • Seminars, training, workshops and business


• Advertising opportunities for our members • Lobbying municipalities, local and provincial

• Entrepreneurs are the engines of community-

wide economic development. The MCCI is creating a sufficient number of entrepreneurs to transform this region’s economy. • We serve our members and the community with innovative approaches to establish a vibrant business network that will promote all levels and stages of businesses. • Signing and implementing MOUs with stakeholders that can make a difference. • To give practical credibility to the term “Local Economic Development” not only in Mangaung, but in other areas in the Free State as well. • To promote and support local businesses through specific interventions like the “Member-supportMember” campaign. FREE STATE BUSINESS 2019



• A new innovative emerging farmers development

and financial support programme with the support of the United Nations

CONTACT INFO Mangaung Chamber of Commerce and Industry Tel: +27 51 522 1710 Email: Website:



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Free State Provincial Government A guide to Free State’s provincial government departments. Visit:

Office of the Premier Premier: Mrs Sefora Ntombela

Department of Health MEC: Ms Montseng Ts’lu

4th Floor, OR Tambo Building, Cnr St Andrews and Markgraaff Streets, Bloemfontein 9300 Tel: +27 51 405 5496 Fax: +27 51 405 4803 Website:

Cnr Harvey and Charlotte Maxeke Streets, Bloemfontein 9300 Tel: +27 51 408 1108 | Fax: +27 51 408 1950 Website:

Department of Agriculture and Rural Development MEC: Dr Benny Malakoane

7th Floor, Lebohang Building, Cnr Markgraaff and St Andrews Streets, Bloemfontein 9300 Tel: + 27 51 405 3883 | Fax: + 27 51 403 3699 Web:

Department of Human Settlements MEC: Ms Dora Kotzee

Main Building, Gielie Joubert Street, Glen, Bloemfontein 9360 Tel: +27 51 861 8509 Fax: +27 51 861 8452 Website:

Department of Police, Roads and Transport MEC: Mr Sam Mashinini

4th Floor, Perm Building, 45 Charlotte Maxeke Street, Bloemfontein 9301 Tel: +27 51 409 8849 | Fax: +27 51 409 8864 Website:

Department of Cooperative Governance and Traditional Affairs MEC: Mr Motete Daniel Khoabane

Department of Public Works and Infrastructure MEC: Ms Dora Kotzee

7th Floor, Lebohang Building, Cnr St Andrews and Markgraaff Streets, Bloemfontein 9301 Tel: +27 51 405 5719 Website:

Cnr Markgraaff and St Andrews Streets, Bloemfontein 9301 Tel: +27 51 405 3909 | Fax: +27 51 405 4490 Website:

Department of Economic, Small Business Development, Tourism and Environmental Affairs MEC: Ms Limakatso Mahasa

Department of Social Development MEC: Mr Butana Komphela

Civilia Building, 14 Elizabeth Street, Bloemfontein 9300 Tel: +27 51 409 0555 | Fax: +27 51 409 0618 Website:

Bojanala Building, 34 Markgraaff Street, Bloemfontein 9300 Tel: +27 51 404 9600 | Fax: +27 51 400 4732 Website:

Department of Sports, Arts, Culture and Recreation MEC: Mrs NS Leeto

Department of Education MEC: Mr Pule Makgoe

4th Floor, Business Partners Building, Cnr Henry and Eastburger Streets, Bloemfontein 9300 Tel: +27 51 407 3520 | Fax: +27 51 407 3541 Website:

Free State Provincial Government Building, 55 Elizabeth Street, Bloemfontein 9300 Tel: +27 51 404 8430 | Fax: +27 51 404 8269 Website: FREE STATE BUSINESS 2019


LISTING Provincial Treasury MEC: Ms Elzabe Rockman

55 Elizabeth Street, Fidel Castro Building, Bloemfontein 9300 Tel: +27 51 405 4229 Fax: +27 51 405 4152 Website:

Free State Local Government A guide to metropolitan, district and local municipalities in the Free State Province. LEJWELEPUTSWA DISTRICT MUNICIPALITY Physical address: cnr Jan Hofmeyer and Tempest Streets, Welkom 9460 Postal address: PO Box 2163, Welkom 9460 Tel: +27 57 353 3094 Fax: +27 57 353 3382 Website:

MANGAUNG METROPOLITAN MUNICIPALITY Physical address: Bram Fischer Building, cnr Nelson Mandela and Markgraaff Streets, Bloemfontein 9301 Postal address: PO Box 3704, Bloemfontein 9300 Tel: +27 51 405 8911 Fax: +27 51 405 8663 Website:

Masilonyana Local Municipality

Tel: +27 57 733 0105 Fax: +27 57 733 2217 Website:

FEZILE DABI DISTRICT MUNICIPALITY Physical address: John Vorster Road, Sasolburg 1947 Postal address: PO Box 10, Sasolburg 1947 Tel: +27 16 970 8600 Fax: +27 16 970 8747 Website:

Matjhabeng Local Municipality

Tel: +27 57 391 3359 Fax: +27 57 357 4393 Website:

Mafube Local Municipality

Nala Local Municipality

Tel: +27 58 813 1051 | Fax: +27 58 813 3072 Website: Metsimaholo Local Municipality

Tel: +27 56 514 9200 Fax: +27 56 515 3922 Website:

Tel: +27 16 973 8301 | Fax: +27 16 973 2191 Website:

Tokologo Local Municipality

Moqhaka Local Municipality

Tel: +27 53 541 0014 Fax: +27 53 541 0360 Website:

Tel: +27 56 216 9111 | Fax: +27 56 216 9122 Website:

Tswelopele Local Municipality

Ngwathe Local Municipality

Tel: +27 51 853 1111 Fax: +27 51 853 1332 Website:

Tel: +27 56 816 2700 | Fax: +27 56 817 6343 Website:



LISTING THABO MOFUTSANYANA DISTRICT MUNICIPALITY Physical address: Old Parliament Building, 1 Mamopi Street, Phuthaditjhaba 9870 Postal address: Private Bag X810, Witsieshoek 9870 Tel: +27 58 718 1000 Fax: +27 58 713 0940 Website:

Phumelela Local Municipality

Tel: +27 58 913 8300 | Fax: +27 58 913 2317 Website: Setsoto Local Municipality

Tel: +27 51 933 9300 | Fax: +27 51 933 9383 Website:

Tel: +27 58 303 5732 Fax: +27 58 303 4703 Website:

XHARIEP DISTRICT MUNICIPALITY Physical address: 20 Louw Street, Trompsburg 9913 Postal address: Private Bag X136, Trompsburg 9913 Tel: +27 51 713 9300 | Fax: +27 51 713 0461 Website:

Maluti-a-Phofung Local Municipality

Kopanong Local Municipality

Tel: +27 58 718 3700 | Fax: +27 58 718 3777 Website:

Tel: +27 51 713 9200 | Fax: +27 51 713 0292 Website:

Mantsopa Local Municipality

Letsemeng Local Municipality

Tel: +27 51 924 0654 | Fax: +27 51 924 0020 Website:

Tel: +27 53 330 0200 | Fax: +27 53 205 0144 Website:

Nketoana Local Municipality

Mohokare Local Municipality

Tel: +27 58 863 2811 | Fax: +27 58 863 2523 Website:

Tel: +27 51 673 9600 | Fax: +27 51 673 1550 Website:

Dihlabeng Local Municipality





North West

Fezile Dabi


Ngwathe Moqhaka


Nketoana Tswelopele

Northern Cape



Thabo Mofutsanyana





Setsoto Masilonyana

KwaZuluNatal Mantsopa







Metropolitan/District Municipality boundary


Local Municipality Boundary District Municipality Local Municipality

Eastern Cape



Xhariep Setsoto

During September 2018 alone, 27 054 shutdown activities were performed safely by contractors and Sasol employees at seven Sasol plants in Sasolburg.

our shareholders, employees and inaugurated on 6 February 2018. In stakeholders. Sasolburg Operations line with our aim of ensuring safe, therefore holds substantial longreliable environmentally compliant WITH SEEand MONEY DIFFERENTLY term value that requires continuous facilities, our operations focus on investment to enhance the efficiency optimising their processes, improving and reliability of our facilities,” said efficiency and promoting safety in the TM Sasolburg Operations Senior Vice workplace. This is achieved through President, Louis Fourie. activities such as regular inspections and maintenance work performed during shutdowns to ensure thefrom Nedbank, there’s one bank with one view across Withplant Whole-view Business Banking™ safety integrity of our us operations. yourand business, allowing to create unique business and financial solutions together.


You’ll get partnership advice from a dedicated local client service team, supported by a team of specialists. having the full picture we’ll have a deeper understanding of your During September 2018,By seven plants business,shutdowns which will take it further than ever before. conducted in Sasolburg, while a further 11 plants will perform Sometimes, a change in approach can change everything. Partner with Nedbank today. shutdowns during the first quarter Search Whole-view Business Banking or email of 2019 as part of our four-yearly shutdown cycle. “Our common goal is to make Sasol a great company that delivers long-term value to

see money differently Nedbank Ltd Reg No 1951/000009/06. Authorised financial services and registered credit provider (NCRCP16).

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Driving Economic Development in the Free State Province

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