Nelson Mandela Metropole
NELSON MANDELA METROPOLE
Main urban centres are: Port Elizabeth, Uitenhage and Despatch.
The Nelson Mandela Metropole (NMM) covers an area of 1,952 square kilometres. Port Elizabeth, the largest city in the province, is well known as the first port to be established in the province and as a popular holiday destination. The Nelson Mandela Metropolitan University is based in the city. The Coega Industrial Development Zone (IDZ) and the associated deepwater port of Ngqura is just 15km east of Port Elizabeth.
The population is more than 1-million people, with a population density of 516 people to a square kilometre. The metropole has a majority African population (about 59%) with higher coloured (24%) and white (17%) proportions of the population than most of the rest of the province.
The NMM is the largest economy in the province, providing 40% of provincial value added. Manufacturing is the principal economic sector in NMM, providing a third of all value added and 34% of formal employment. The automotive industry plays a major role in the economy, providing at least half of manufacturing value added. NMM hosts two of the six vehicle assemblers in South Africa, the Delta Corporation and Volkswagen. Automotive components production is also important, with internationally known firms manufacturing engines, tyres, glass, body panels, interior fittings and plastic components. Catalytic converter production has grown rapidly and has 8% of world production. A growing metals industry has strong links to the automotive sector, providing aluminium and ferrous castings and forgings. Food processing, furniture, textiles and clothing, and light engineering are the other main manufacturing industries in NMM.
Port Elizabeth is a regional centre for many companies and the strength of manufacturing ensures a strong financial and business services sector, which contributes 13% of value added and 8% of formal employment. Port Elizabeth, a major tourism destination, is known for its beaches and entertainment and as a starting point for the Garden Route along the southern Cape coast. The planned Madiba Bay will create a game reserve integrated with cultural and craft attractions – a major development for tourists. Many tourists use NMM as a centre for starting on tourism routes to the rest of the province, a role that can increase. Government services play a smaller role in the economy than in the districts, providing 22% of value added and 24% of formal employment.
OPPORTUNITIES
Main urban centres are: Port Elizabeth, Uitenhage and Despatch.
The Nelson Mandela Metropole (NMM) covers an area of 1,952 square kilometres. Port Elizabeth, the largest city in the province, is well known as the first port to be established in the province and as a popular holiday destination. The Nelson Mandela Metropolitan University is based in the city. The Coega Industrial Development Zone (IDZ) and the associated deepwater port of Ngqura is just 15km east of Port Elizabeth.
The population is more than 1-million people, with a population density of 516 people to a square kilometre. The metropole has a majority African population (about 59%) with higher coloured (24%) and white (17%) proportions of the population than most of the rest of the province.
The NMM is the largest economy in the province, providing 40% of provincial value added. Manufacturing is the principal economic sector in NMM, providing a third of all value added and 34% of formal employment. The automotive industry plays a major role in the economy, providing at least half of manufacturing value added. NMM hosts two of the six vehicle assemblers in South Africa, the Delta Corporation and Volkswagen. Automotive components production is also important, with internationally known firms manufacturing engines, tyres, glass, body panels, interior fittings and plastic components. Catalytic converter production has grown rapidly and has 8% of world production. A growing metals industry has strong links to the automotive sector, providing aluminium and ferrous castings and forgings. Food processing, furniture, textiles and clothing, and light engineering are the other main manufacturing industries in NMM.
Port Elizabeth is a regional centre for many companies and the strength of manufacturing ensures a strong financial and business services sector, which contributes 13% of value added and 8% of formal employment. Port Elizabeth, a major tourism destination, is known for its beaches and entertainment and as a starting point for the Garden Route along the southern Cape coast. The planned Madiba Bay will create a game reserve integrated with cultural and craft attractions – a major development for tourists. Many tourists use NMM as a centre for starting on tourism routes to the rest of the province, a role that can increase. Government services play a smaller role in the economy than in the districts, providing 22% of value added and 24% of formal employment.
OPPORTUNITIES
- Automotive: The automotive industry forms the core of the NMM economy and continues to grow rapidly through exports. There are signs that continued growth is now starting to produce new employment.
- Textiles and Clothing has been a strong sector in the metropole economy but has faced restructuring as foreign competition has increased. New opportunities are presented through higher value production and exports.
- The Coega IDZ is a major development that is bringing new industries and renew growth in the existing manufacturing sector.
- Metals and Engineering: The Coega IDZ will develop as a strong centre of metal production and processing, initially for the automotive trade and export, but providing a base for machinery and machine tool production.
- Electronics / Information and Communication Technologies: Auto-electronics provides an opportunity to develop a new electronics industry that can diversify into new areas. Electronics and computing graduates from higher education provide a base for new business and access to vital skills.
- Plastics: The rapidly growing auto-plastics industry will continue to expand. Plastics also can diversify into new areas, including construction, consumer goods, packaging and agriculture.
- Pharmaceuticals: Port Elizabeth is one of the province’s two centres for pharmaceuticals. Further growth is likely in generic drug production.
- Leather and Leather Goods: The existing industry, focused on finished leather and auto seats, can expand through a leather cluster in the Coega IDZ that will concentrate on tanning and high-value goods and clothing.
- Fishing in the province is based in Port Elizabeth, with opportunities for expansion based on allocation of new quotas.
- Tourism is already strong in Port Elizabeth. NMM can become an international gateway to tourism for the rest of the province.
