Nestle said the factory expansion was part of a R2.9bn investment over the past five years. Nestle said the factory expansion was part of a R2.9bn investment over the past five years.
Durban - In a tight economy, KwaZulu-Natal continues to draw foreign investment, with two giants ploughing billions of rand into the province this week.
Heavy minerals mining company Tronox officially opened its new R3.3-billion Fairbreeze mine in Empangeni, while Nestle South Africa inaugurated its instant coffee plant in Estcourt with a R1.2bn investment in factory expansion.
The main product of the mine is titanium dioxide, most of which will be supplied to Tronox’s US, Dutch and Australian plants that produce pigment used in paint and plastics. Almost 2 000 jobs have been created.
Nestle said the factory expansion was part of a R2.9bn investment over the past five years.
“The project takes in the construction of a waste water treatment plant, a new coffee processing plant, the upgrading of coffee processing and a state-of-the-art coffee drying plant. Since the start of construction work, at least 20 jobs have been created directly and 470 indirectly,” said Nestle’s corporate affairs director, Ravi Pillay.
Trade and Industry Minister Rob Davies said the coffee plant was a significant boost for the provincial and national economy.
Economic Development, Tourism and Environmental Affairs MEC Mike Mabuyakhulu welcomed the investments as a vote of confidence in KwaZulu-Natal.
“This is proof that our province remains an investment destination of choice.
“We have really upped our game and, as a province, we have shown that we are a critical pillar of South Africa’s economy. It will only get better from here. We expect these two investments to encourage more in the months to come,” said his spokesperson, Bheko Madlala.
Madlala said Mabuyakhulu had just returned from London on Friday where he had gone to meet investors.
“He conveyed the message there that KwaZulu-Natal was open for business. He welcomed investors. We are the best in the country and we are known to have recorded a growth rate above the national average,” said Madlala.
KZN Premier Senzo Mchunu described the investments as a fresh breeze of prosperity.
“Fairbreeze mining operations will add enormous value to our minerals and make a significant contribution to our foreign exchange earnings.
“These are vital contributions to the provincial economy. Last year, we were all concerned following losses of about 23 000 jobs in the mining industry.
“We feared the loss of household income for many families, especially those living in rural areas whose breadwinners were in the mining sector,” said Mchunu.
He said the total mineral endowment in South Africa was estimated at $4.71-trillion, while the country had been identified as the world’s richest in terms of its non-energy mineral reserves, which were worth an estimated $2.5-trillion.
South African Chamber of Commerce and Industry chief executive officer Alan Mukoki said KwaZulu-Natal was a strong economic hub and such investments could only improve the local economy.
“These investments are fantastic. KZN has a bit of everything - ports, tourism, market trade and much more.
“The Durban Chamber of Commerce is one of our strongest members. The province shows a great sense of unity and that’s what makes it an attractive investment destination. The new investments are exciting and will boost the province’s economic standing,” said Mukoki.
Sunday Tribune