Comparative advantages
uThungulu is well-endowed with natural resources. Its comparative advantages include:
• A good climate that opens up avenues for productive agricultural and tourism development
• Agriculture and irrigation infrastructure in place
• A scenic environment and coastal terrain which create opportunities for tourism infrastructure development

Richards Bay Port
uThungulu’s gateway to the world is the Port of Richards Bay, which is the largest deep-water port on the African continent. It imports the highest volume of bulk cargo of all African ports and has double the capacity of the Port of Durban, handling in excess of 75-million tons of cargo annually.

The bulk-handling facilities of the harbour are world-class and the trade links with international economies through the port have been the prime impetus for large-scale industrialisation in the area. The manufacturing sector is the largest economic contributor to gross geographic product in the district, contributing over 50%.

The N2 highway links the district to other significant economic centres in the country such as Durban and Johannesburg. It also offers a direct route to Maputo in Mozambique. In addition, the development of the Richards Bay Industrial Development Zone within the vicinity of the harbour is serving to boost economic activity and attract international investors wishing to take advantage of the investment incentives on offer, the competitive electricity price and the availability of affordable labour.

Richards Bay, as a harbour and industrial town, offers a unique combination of a laid-back coastal lifestyle combined with an abundance of career opportunities and economic activity within a variety of sectors, from large-scale global industries such as BHP Billiton’s two aluminium smelters to the burgeoning small and medium business sector.

Important sectors in uThungulu
The local economic development strategy of the district focuses on its comparative advantages in the agriculture, tourism and manufacturing sectors.

Forestry
The commercial forestry sector is well-developed with large plantations owned by private companies such as Mondi and Sappi. Small-grower timber production occurs mostly in the tribal areas.

Agriculture
The major land uses in the district are:

    * Commercial agriculture: the main crop is sugar cane, grown largely in the lower-lying coastal belt. The production of horticultural crops includes citrus, sub-tropical fruits and vegetables.
    * Subsistence agriculture: this is associated with the majority of the tribal areas, which are characterised by under-development and high levels of poverty.

Service centres
Richards Bay and Empangeni serve as industrial and service centres to many other parts of the district. Nkandla, Melmouth, Ntambanana, Bucanana, KwaMbonambi and Eshowe are other administrative nodes of economic significance in the district. Even though the towns of Mtubatuba, Ulundi and Mandeni fall outside the district’s area of jurisdiction, they service portions of the district.

Tourism
uThungulu is also well developed with an abundance of natural resources. It forms a gateway to some of the country’s finest game reserves and is rich in cultural heritage, offering a unique Zulu Kingdom experience. uThungulu shares the branding, ‘Heart and Pulse of the Zulu Kingdom’ with its neighbouring district municipality, Zululand. The uThungulu District also has a number of wetlands, the most notable being Lake Cubhu and the Greater uMhlathuze Wetlands to the south of Richards Bay at Esikhawini. Tourism is a major income-earner with potential for further development. There is a growing demand for Zulu crafts and cultural items both domestically and internationally.

Challenges
The need to address poverty, crime and the HIV/Aids pandemic are major challenges facing local government in the district. Over 80% of the population is rural, with a high number of people in the 19-year age group. Women make up about 55% of the population.

The accessibility of transport infrastructure to rural communities throughout the district remains a pressing concern, as the transport network remains concentrated in the urban areas.

Local Economic Development (LED)
The LED strategy of the district focuses on its comparative advantages in the agriculture, tourism and manufacturing sectors.

For more information
Contact: Anushka Makka
Tel.: +27 35 79 2500
Email: anushka@uthungulu.co.za