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News Article - Automotive
ELIDZ first to market
Posted on: Friday, 03 October 2003. Article source: Eastern Cape Business News
PRODUCTION LINES in the East London IDZs first plants could start running in August 2004, says East London Development Zone Corporation (ELDZ) CEO, Peter Miles. This will make it the first working IDZ in the country. Construction of the infrastructure within the zone is running ahead of schedule, according to Miles. The infrastructure includes a four-lane highway linking the first customs secure area in the IDZ to the main highway between East London and Port Elizabeth, as well as utilities for the duty-free sector. The 1 500 hectare East London IDZ is being developed and serviced in phases, according to Miles. Phase one includes 20 hectares of land (Zone1D), which is already fully serviced, while. Zone 1A is a designated Customs Secure Area (250 ha) with its own customs facilities and personnel. Zone 1 B (110 ha) adjacent to Zone 1A, is a private Industrial Park and Services area. According to Miles, there are three companies – two in the textiles sector and one in the automotive sector – which are due to start manufacturing in the IDZ in August 2004. They are among 42 projects which have been identified for the IDZ. Of these, 12 pre-feasibility studies have been completed. Projects identified include, motor component manufacturing, optical fibre manufacturing, metal press stamping mill, aluminium and magnesium high pressure moulding, pharmaceuticals, ceramics, wood products and textiles. Infrastructure within the zone will be tailor-made to the needs of the investors wherever possible. An example, says Mr Miles, is the possibility of building a centralised boiler system to provide steam for a textile cluster, together with a common effluent treatment plant. These would reduce the costs to the individual investors. The zone also caters for primary manufacturers. Australian mining company Mineral Commodities has signed a memorandum of understanding (MoU) with the ELDZC whereby the company has an option to buy a 30-ha site in the zone should the project get the green light following an environmental-impact assessment and a detailed business plan. Mineral Commodities, through its subsidiary Transworld Energy and Minerals Resources (SA), is examining the viability of mining and processing the Xolobeni mineral sands deposits in the former Transkei region in the eastern half of the Eastern Cape.
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