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Tax breaks in an ideal location: Exporters attracted to ELIDZ
Tue, 20 May 2008 08:04

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Region
Amathole District Municipality
Eastern Cape
South Africa

Sector
Manufacturing

Summary:
The East London IDZ is establishing itself as the investment destination for manufacturers and product developers looking to be competitive in international markets
Contact
Ms Ayanda Ramncwana

Email
ayanda@elidz.co.za

Tel
+27 82 7788 669
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An ideal location for your investment
The Industrial Development Zone (IDZ) programme is part of an initiative by the South African government to encourage export-oriented growth in South Africa. This initiative is driven by the Department of Trade and Industry (dti) with the objective of encouraging sub-regional economic growth and job creation.

The IDZ concept is rooted in the idea of clustering industries together to encourage logistics savings. Further features of an IDZ include the proximity of the industrial complex to the port, transport, and other major infrastructure that can generate benefits relating to more efficient supply chain management, better access to manufacturing inputs, and more efficient access to markets. 

The East London IDZ has a designated customs controlled area, which allows for duty suspension for the production of exports and VAT suspension for supplies procured in South Africa. It also offers manufacturers an ideal location for the operation of a competitive and efficient industrial plant. This recently-constructed zone boasts state-of-the-art infrastructure, allowing for the smooth operation of investor plants within the IDZ.

Positioned only six kilometres from East London’s river port, and two kilometres from the airport, the East London IDZ gives new meaning to transport networks proximity.  

Investment generation on track
As part of its park development strategy, the East London IDZ commenced with the development of the first cluster in the zone, the Automotive Supplier Park (ASP). The ASP is the third of its kind in South Africa and it offers investors centralised logistics services and shared amenities. The ASP was timed to take advantage of the upcoming manufacturing of the W204 model by Mercedes-Benz SA and to harness the proximity to the OEM, which manufactures for the export market.

This strategy has paid off for the East London IDZ; to date 10 component manufacturers have invested in the zone, bringing the total number of investors to 15, 13 of which are operational in the zone. This is a signal that the East London IDZ is moving beyond the attraction of investors, but is also assisting investors to be globally competitive through increased efficiency.

It’s clear from recent successes that the East London IDZ is moving quickly towards achieving its goal of being the 'solution for companies to be globally competitive through increased efficiency,' a valuable competitive edge for companies that compete globally. 

The success of the East London IDZ to date has been underpinned by the company’s ambition to provide infrastructure for investors, as well as design real benefits for each investor resulting in more efficient and cost effective operations. 

East London IDZ to provide a unique, tailored solution for investors
At the East London IDZ, no customer is treated the same because the organisation realises that each investor has a set of unique needs and requirements for settling in the zone. To ensure streamlined business solutions, the East London IDZ offers investors a government services facility for the necessary regulatory and documentation services.

In order to create a conducive and sustainable environment for its investors, the East London IDZ’s approach is cluster-driven to ensure compatibility of investors and to explore possibilities of shared logistics and services in an attempt to improve each investor’s bottom line. This approach has already started reaping rewards for the zone’s automotive cluster which boasts world-renowned manufacturers such as Feltex, Eurofit, TI Automotive and Molan Pino.

With over 236 hectares of fully serviced industrial estate, there is still ample opportunity to be part of this exciting development. The East London IDZ is ready to provide a solution for your company’s needs.

For an idea of who is investing at the ELIDZ, click here

For more information, please contact ELIDZ:

Contact: Ayanda Ramncwana, East London IDZ communication professional
Cell: +27 82 7788 669
Email: ayanda@elidz.co.za

For East London media relations:
Contact: Antoinette Panton. SMG Africa
Tel: +27 43 726 8833
Email antoinette@smgafrica.com

 

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