Current Edition >> Archives Section >> Business Pointers >> May 2002

Business pointers :: Sakeflitse

• IDC obtains record international finance backing: The IDC has announced that five of the world's top investment banks have agreed to lend $125 million to it. The loan, in which 16 banks from 13 nations have participated, represents a 25% increase on the initial $100 million requested. The three-year term of the loan has an interest rate of about 12% if converted to rands and would be paid in a once-off payment at the end of the term. The principal lenders are Citi-group, ING Group, BNP Paribas, HVB Group and Mizuho Holdings. Other banks include the Arab Investment Bank and the United Taiwan bank. The capital will be used to meet funding requirements on large capital projects and for small and medium enterprises (SME's). In the last six months of 2001, the IDC financed deals worth R3,6 billion. “With 76% of new approvals going to SME's, the IDC now commands and controls the central stage for development in South Africa, “ the CEO of the IDC, Mr. Khaya Ngqula, commented. He said the IDC helped to create more than 11 000 new jobs and generated R2,5 million in new export earnings in the last six months of 2001 alone.

• Benede-Oranje lewer rekordproduksie: Die Benede-Oranje-besproeiingstreek, met Upington as sentrum, het 'n uitstekende seisoen beleef met 'n rekord uitvoerdruiwe-oes van 14,4 miljoen kartonne. In terme van huidige wisselkoerse is die verdienste in buitelandse valuta enorm, terwyl dit 'n geweldige ekonomiese inspuiting vir die streek meebring. Die grootste bydrae van 'n enkele produsent in die streek was Karsten Boerdery met 2 miljoen kartonne. Verlede jaar, 16 jaar nadat met groot erns met die produksie van uitvoertafeldruiwe begin is, is in totaal 7,8 miljoen kartonne gepak. Vir die Benede-Oranje-streek in geheel word vir oor twee jaar 21 miljoen uitvoerkartonne voorspel.

• SA Business Week 2002: The South African Business Week exhibition has been awarded official accreditation as a side event of the World Summit on Sustainable Development (WSSD) in Sandton. The Business Week will run from August 30 to September 2, concurrent with the WSSD. The venue is the Northgate Dome, Johannesburg, and as an accredited event, it will be served but he official shuttle service from the Sandton Convention Centre, the main summit venue. Black business and small, medium and micro enterprises will receive particular attention during the event, with a special pavilion focussing on new opportunities for this sector. Enquiries Maria Hook at maria@rai.co.za, tel: (011) 549 8300 or fax: (011) 549 8500.

• Pick 'n Pay behaal rekordsyfers: Dit is die beste resultate wat Pick 'n Pay nog die afgelope 35 jaar gelewer het, het mnr. Raymond Ackerman, voorsitter van Pick 'n Pay, gesê met die bekendmaking van die kleinhandelgroep se resultate vir die boekjaar tot einde Februarie. Die maatskappy het in die oorsigjaar sy bedryfwins met 32,4% en die wesensverdienste per aandeel met 20,4% opgestoot ondanks uitgawes met die koop en herstruktuering van 70 Franklins-winkels in Australië. Mnr. Sean Summers, uitvoerende hoof, het gesê: “Die groei in sowel bestaande sake as die verkryging van Franklins het die verfyning van maatskappystrukture vereis asook die skep van drie aparte bedryfsafdelings, nl. kleinhandel, groepondernemings en Franklins Australië. In 1998 het ons die eerste keer 'n omset van R10 miljard behaal - nou het dit gegroei tot R18,8 miljard. Stewige groeiplanne vir die nuwe boekjaar in Suid-Afrika en Australië beteken dat dit volgende jaar tot meer as R26 miljard kan styg.”

• Solar plant for Northern Cape? Eskom is reportedly investigating a solar plant in the Northern Cape able to generate 100 MW of electricity, utilizing a collector area of more than a million square metres. If the project materializes, it could be up and running by 2005 as the world's largest concentrating solar power (CSP) plant. Concentrated solar power technologies use large sun-tracking mirrors to concentrate solar radiation and streams of hot gas is produced by this concentrated radiation. The proposed 100 MW Northern Cape plant will have about 4 000 to 5 000 heliostats, each measuring about 140 m². A snag is, however, that the capital cost of a CSP represents R24 000 a kilowatt whereas coal-fired power stations on which South Africa relies for the bulk of its electrical power, are less than half of that at R10 000 a kilowatt. CSP has, however, other advantages that needed to be weighed up. The exact site of the CSP in the Northern Cape has also still to be pinpointed.

• Konferensie oor entrepreneurskap in Vrystaat: 'n Konferensie met innovasie en die ontwikkeling van entrepreneurskap in Suid-Afrika as tema word beplan vir 11-13 Junie 2002 by die Technikon Vrystaat in Bloemfontein. Die konferensie het voorts ten doel die uitstalling van innoverende produkte, die stimulering van innovasie, die bemarking van gemeenskapsdeelname in innovasie, die identifisering van sleutelspelers en die formulering van gesamentlike doelwitte en strategieë. Veral die ontwikkeling van klein-, mikro- en mediumgrootte ondernemings (KMMO's) en hul rol in die ekonomie gaan onder die vergrootglas kom. Die beraad word gesamentlik deur die Technikon Vrystaat, die Vrystaatse Provinsiale Regering (VPR) en die Europese Unie (EU) aangebied. Navrae (051) 436 1885.

• No next phase for Highlands water? Signs are that the Lesotho Highlands Water Project (LHWP) will not continue beyond phase one in the foreseeable future. This is because indications are that Gauteng, as the biggest user of the development, is likely to manage with its current water resources for at least the next 20 to 25 years. However, Lesotho water is also being used in five other South African provinces Mpumalanga, the Free State, the North West, the Northern Cape and the Limpopo Province - although in smaller quantities. Phase two of the Lesotho project proposes the construction of the Mashai Dam and a second transfer and delivery tunnel from the Katse reservoir, in Lesotho to the Ash River outfall, near Bethlehem, at an as yet unknown cost. This will be in addition to the estimated R20 million that would have been spent on completion of the entire first phase of the Lesotho project in 2004. The third and fourth phases envisage the construction of two new dams and pumping stations in Lesotho. Construction for the LHWP began in 1998.

• Miga opens office in SA: In a move designed to back up its objective of facilitating increased foreign direct investment (FDI) in Africa, the Multilateral Investment Guarantee Agency (Miga) has opened a regional office in Johannesburg, dealing with project proposals from across the continent. As part of the World Bank group, Miga promotes investment in developing countries through providing political risk coverage to private investors who are attracted by business opportunities but are concerned about the risks involved. The agency offers four types of political - or non-commercial - risk cover, associated with FDI, namely currency inconvertibility and transfer restriction, covert and overt expropriation, war and civil disturbance and breach of contract. Miga's gross exposure in Africa is around 12%, but the agency - which has designated Africa as a priority region - expects this figure to increase to between 15% and 20% within the next few years. Miga's involvement in Africa has included the provision of two guarantees totalling $69 million to utility Eskom to cover loans for investments in a project entailing the installation and operation of two 300 km 400 kV overhead transmission lines and sub-stations interconnecting South Africa, Swaziland and Mozambique.

• VS-landbou op kruin van golf: Algemene beriggewing dui daarop dat landbou in die Vrystaat 'n bloeitydperk beleef, met pryse vir landbouprodukte soos sonneblom, mielies en koring wat in sekere gevalle selfs verdubbel het van verlede jaar. Landbou kry ook toenemend erkenning van die nasionale en provinsiale regering vir die belangrike rol wat dit in die land gespeel het. So bv. is landbou in die nuutsaamgestelde ekonomiese adviesraad van die Vrystaatse Premier spesifiek uitgewys as 'n sleutelsektor. 'n Sektorplan vir landbou, wat deur Agri SA en sy affiliasies in samewerking met die Dept. van Landbou opgestel is, spel 'n visie uit vir kommersiële sowel as opkomende boere vir die pad vorentoe.

• Competition Commission processed more mergers: According to it's annual report, the Competition Commission of SA processed in the 2000/1 year 407 mergers, which included 16 large mergers, 375 intermediate and 16 small mergers. Almost two-thirds of the cases involved horizontal mergers between firms competing in identical markets. Nearly a fifth of the cases involved acquisitions by foreign firms. Only three mergers were prohibited.

• R222,6 billion project at Sasolburg: Acrylates are a fast-growing market worldwide in the chemical industry, with the South African market approaching 20 000 t/y. Poised to produce 115 000 t/y of acrylates, Sasol Solvents will be exporting the bulk of its production, about 95 000 t/y, to international markets. Following an agreement with Mitsubishi Chemical Corporation (MCC) of Tokyo, Japan, Sasol has the licence to use the Japanese company's oxidation process technology in these plants.

• Misdaad wurg Noord-Kaap boere: Luidens verskeie berigte word boere in die Noord-Kaap, veral in die besproeiingsgebiede, erg gewurg deur skynbaar 'n georganiseerde misdaadgolf. Hektaars mielies, druiwe en perskes word helder oordag gesteel en is aartappels selfs al uitgegrawe. Boere vra nou dringende optrede voordat hulle eie reg gebruik. Hulle sê sindikate is hierby betrokke en bestellings word selfs vooraf gekry om die gesteelde vrugte en groente te verkoop. Tot 40 bale lusern is al in een nag deur 'n rivier gedra. As die polisie, boere of spesiale wagte die oortreders vastrek, word met vandalisme teruggeslaan. Spuite word afgebreek, kabels van spilpunte word gesteel en die veld aan die brand gesteek. Pale en draad word op so 'n groot skaal gesteel dat “winkels” geopen word om dit te verkoop. Boere sê die polisie trek die oortreders vas, maar hulle word by die hof vrygelaat om weer later te verskyn omdat die bedrag van die gesteelde artikels nie hoog is nie. Die Noord-Kaaplandse Landbou-unie sê drastiese maatreëls is dringend nodig, o.a. samesprekings deurlopend met die provinsiale regering.

• Opportunities beckoning in Mozambique: General indications are that current business opportunities in Mozambique are amongst the best in the SADC region. The political climate is stable and the government is reported to be very receptive for private sector proposals. Although infrastructure is poor, it does not cause insurmountable obstacles and might even pose developmental challenges in itself. Reasonable investment funding is available, such as the $305 billion Emerging Africa Infrastructure Fund which was launched in January 2002 by a group of private sector institutions from the US, Europe and South Africa. Seemingly the best sectoral opportunities are in construction, energy generation and tourism. A number of South African construction firms are already active in Mozambique, including WBHO, Grinaker and Murray & Roberts.