|
Segmentation
• Mining machinery
• Agricultural machinery
• Construction machinery
• Industrial-related
• Utilities
Vision
To facilitate the establishment of a world class capital equipment industry by the year 2003.
Production Capacity
According to the Capital Equipment Cluster, the machinery industry currently has excess capacity available of 20-30%. The volume of production in this sector rose for the second consecutive semester in 1997, recording a 3,6% increase in the first semester of 1997 compared to the same period a year earlier. Output of the machinery and equipment sector (chapter 84) increased by 1,8%. The sector's share of total South African manufacturing employment is 5,4%. The sector employs approsimately 80 000 people.
Imports
The import of manufactured machinery and equipment into South Africa decreased by 4,9% during the first semester of 1997, compared to the first semester of 1997, compared to the first semester of 1996. The import of machinery is usually an indicator of replacement or investment in productive capacity. This represents 22,9% of total manufactured imports.
The top seven countries of origin of imported manufactured machinery and equipment for the first semester of 1997 were: (in order of descending volumes) 1) Germany 2) USA 3) United Kingdom 4) Japan 5) Italy 6)Taiwan 7) France.
Exports
Exports of South African manufactured machinery and equipment increased by 26,1% during the first semester of 1997, compared to the first semester of 1996. This represents 7,1% of total South African manufactured exports.
The top seven export destinations for South African manufactured machinery and equipment for the first semester of 1997 were: (in order of descending volumes) 1) Zimbabwe 2)Germany 3) United Kingdom 4) USA 5) Zambia 6) France 7) India.
Objectives
| • | To increase exports by 60% in US Dollars by 2003 |
| • | To capture 50% of available project work in Africa and 20% of South American projects |
| • | To achieve world dominance in niche markets |
| • | To ensure effective supply-side measures, with sunset clauses, are in place by 31 December 1998. |
| • | To reduce input costs to at least as kiw as those of international competitors |
| • | To obtain category 1 status in the Workplace Challenge Initiative. |
Export Promotional Assistance
| • | Finalise the establishment of a possible export council. |
| • | Outward trade and investment missions: One mission by the end of 1998. |
| • | Exhibitions: To attend one exhibitions by the end of 1998. |
| • | Market surveys: To be done by the DTI foreign offices |
| • | Primary market research undertaken by DTI foreign offices on specific markets and encourage individual companies to visit foreign markets with potential, with the help of the EMIA Scheme. | |