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<p>From innovative SMEs to global corporations, Dubai is ideally located to be the centre for global trade. Dubai Chambers President and CEO, Mohammed Ali Rashed Lootah highlights the government&#8217;s D33 Agenda and where Africa lies.</p>


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Eye on Dubai EP8: Africa’s position in Dubai’s D33 expansion plan

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<p>His Highness Sheikh Mohammed Bin Rashid Al Maktoum highlighted the importance of implemented plans and policies aimed at facilitating sustainable food production through the utilisation of technology and innovative approaches. Look into Dubai&#8217;s food sector and how companies are implementing greener supply chains.</p>


Eye on Dubai EP7: Innovative green food solutions founded in Dubai

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<p>The United Arab Emirates has been the fourth-largest investor in Africa over the past 10 years. Investment from the UAE to Africa hit nearly $60 billion over the decade. Explore the growing intrigue around African investment firms and how Dubai is the ideal headquarters to set base.</p>


Eye on Dubai EP6: The rise of African investments

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<p>Rwanda horticulture industry presents numerous opportunities for niche companies to create start-ups and partner with the local farming community. The trend of local supports for locally produced spirits places distillers in a unique position to thrive under this growing market.</p>


Unlocking Rwanda’s spirits production potential

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<p>Women-focused initiatives in Africa is seeing a growing demand especially with the post-recovery period of the pandemic. This conversation looks at the creation and management of a women driven Dubai social enterprise, and how they are enabling skills development as well as full-time job opportunities for women in developing countries.</p>


Eye on Dubai EP5: Evolvin’ Women on uplifting women in rural & developing areas

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<p>The United Arab Emirates is the second-largest market for iron and steel in the Gulf Cooperation Council region, accounting for approximately 25 per cent of the total market. Their iron and steel market is expected to grow at a compound and annual growth rate of 5.7 per cent during the forecast period of 2021-2026. On this episode of Eye on Dubai, CNBC Africa’s Zanele Morrison speaks with Bharat Bhatia, Founder and CEO of Conares, on how Conares has solidified itself as a main contender in this rising market.</p>


Eye on Dubai EP4: UAE Iron and Steel Industry

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<p>Peace and security are essential for the development of any economy. For many years, the Central African Republic knew no peace and had to deal with a humanitarian crisis and a stagnating economy. The tide is however changing for CAR. In this special edition of Doing Business in Rwanda, we bring you Rwandan businesses operating in Bangui as well as the significant role played by Rwandan forces in maintaining security in Central African Republic.</p>


Eye on Rwandan businesses in the Central African Republic

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<p>Dubai saw 12.40 million international visitors in 2023 alone. In 2022, the contribution of the travel and tourism sector to the UAE&#8217;s GDP was nearly AED167 billion which is equivalent to 9 per cent of the total GDP. Explore Dubai&#8217;s tourism economy and why this Emirate continues to grow in yearly visitors.</p>


Eye on Dubai EP3: Opportunities and trends for African tourism in Dubai

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<p>One of the largest revenue-generating food sectors in the UAE is the dairy sector, and they are now concerned about introducing quality, local products to the Gulf market. To achieve this, government is expanding production capacities to reduce its import dependency of dairy products. Sankha Biswas, CEO of Nutridor, talks to Zanele Morrison on what Nutridor is doing to contribute to the localization of this sector.</p>


Eye on Dubai EP2: Dubai’s Local Manufacturing Mission

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<p>Electric vehicles, autonomous driving and sustainability. These are some of the trends moving the automotive industry worldwide. Joining CNBC Africa to map out how these trends navigating Africa’s car market are Ndia Magadagela, CEO, MAXUS Electric Vehicles; Amith Singh, National Manager: Manufacturing, Nedbank and Adrian Hammond, Mining Equities Analyst, Standard Bank.</p>


The Power Table: The future of EVs


<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="815" height="800" src="https://cms.cnbcafrica.com/wp-content/uploads/2023/10/GM-for-ICT-MTN-Business-Sudipto-Moitra-1-1-815x800.jpg" alt="" class="wp-image-428263" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2023/10/GM-for-ICT-MTN-Business-Sudipto-Moitra-1-1-815x800.jpg 815w, https://cms.cnbcafrica.com/wp-content/uploads/2023/10/GM-for-ICT-MTN-Business-Sudipto-Moitra-1-1-300x295.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2023/10/GM-for-ICT-MTN-Business-Sudipto-Moitra-1-1-92x90.jpg 92w, https://cms.cnbcafrica.com/wp-content/uploads/2023/10/GM-for-ICT-MTN-Business-Sudipto-Moitra-1-1-768x754.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2023/10/GM-for-ICT-MTN-Business-Sudipto-Moitra-1-1.jpg 1280w" sizes="(max-width: 815px) 100vw, 815px" /><figcaption class="wp-element-caption">Sudipto Moitra, General Manager &#8211; MTN SA Enterprise Business</figcaption></figure>



<p>Mining in Africa presents numerous challenges, and quite simply, the chances of prospering are limited without the ability to communicate and use cutting-edge technology effectively.</p>



<p>To some extent, the growth of digital communications has filled the gap, but operating over a public network has imposed some limitations. However, these constraints are receding as more mines opt for 5G private networks, which are rapidly changing the face of a demanding sector by offering access to data transfer speeds up to 10x faster than previous standards.</p>



<p>Private networks empower users to utilise dedicated equipment and configurations in their networks as they run separately from public networks and can be deployed within a customer’s premises or in specified geographical areas, offering a dedicated and isolated network environment.</p>



<p>Amongst the benefits of private networks is exclusive capacity, as there is no competition for space from other network users. The high data speeds translate into quicker downloads and uploads of large files and data sets, real-time site monitoring by video and large-scale data transfers. Notably, the problems associated with working in rural areas and having spotty or weak indoor coverage are eliminated.</p>



<p>5G private networks are helping miners maintain high levels of safety, coordinate activities across vast working areas, and respond to emergencies. Reliable, low latency 5G private networks reach across mines, bringing real-time voice and data transmission to the fore.</p>



<p>Additionally, miners can control autonomous vehicles, drills, and other machinery from a central location. Marrying communication and tech results in optimised production, reduced downtime, and lower operational costs.</p>



<p>Presently, intelligent mining tech is reducing the need for people to enter hazardous areas. Remote-controlled equipment with cameras survey areas before miners enter, while computer vision, artificial intelligence, drones, and robots perform site inspections to reduce hazards for mining personnel. On the personal safety front, wearable devices connected to 5G private networks are tracking the health and locations of miners in real-time.</p>



<p>With the help of 5G private networks, more mining operations are becoming automated. Automated vehicles and robots are used for drilling, transportation, and handling materials. Other automated equipment is resulting in predefined, repetitive tasks becoming autonomous as well as achieving more complex tasks through remote controlled machinery.&nbsp;</p>



<p>High-speed data transfer allows for more efficient geological surveying of mining sites, with drones and sensors collecting geological data which can be quickly analysed to identify valuable resources and plan the extraction of ores. A by-product of these developments is better energy management and lower environmental footprints.</p>



<p>5G private network users are effectively managing supply chains by utilising ‘just in time’ (JIT) techniques to ensure that the correct materials and equipment are available when needed. The benefits are reduced production delays and improved efficiency. Savings, through reducing the cost of holding excess stock in storage facilities are also achieved.</p>



<p>There is no doubt that growing awareness about environmental, social and governance (ESG) issues is making mines more concerned about ‘greening’ their operations, reducing waste, and limiting their water and energy use. Technology is, therefore, being harnessed to help improve the use of natural resources, promote sustainability, and reduce the production of harmful gases.</p>



<p>At MTN, we believe that 5G private networks will play a pivotal role in transforming industry, mining, and commerce because of its capabilities. As the use of Internet of Things (IOT) devices and sensors increases, predictions are that data transmission will grow exponentially.</p>



<p>We are living in a brave, new technological world, and at its core are the networks that enable our communications.</p>



<p></p>


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Transforming mining in Africa: 5G Private Networks and cutting-edge tech revolutionise the industry’s future


<p><em>Despite a string of supply-side shocks to the manufacturing sector, Justin Schmidt, Head of Manufacturing Sector at Absa Retail and Business Bank, found a positive mood and encouraging interactions at the 2022 Manufacturing Indaba.</em></p>



<p>The mood from delegates and exhibitors at the 2022 Manufacturing Indaba was more positive than what the data is indicating. “Overall, the conference had surprisingly strong attendance, with some great engagements across the manufacturing sub-sectors,” says Schmidt.</p>



<p>According to Absa’s Q2 Manufacturing Survey – published just a day before the Manufacturing Indaba opened at the Sandton Convention Centre – confidence levels in the sector dropped by 14 points from the first quarter of the year to 29 in the second, following a string of bad-news events.</p>



<p>“After surviving the past two years, manufacturers continued their recovery despite the headwinds,” says Schmidt. “However, the additional shocks caused by the floods in KwaZulu-Natal (Africa’s second-biggest manufacturing hub), the increased intensity of load shedding and the knock-on effects of the Russia-Ukraine war have weighed heavily on manufacturers. Unsurprisingly, that resulted in this knock to confidence.”&nbsp;</p>



<h2 class="wp-block-heading" id="h-spillover-effects"><strong>Spillover effects</strong></h2>



<p>The quarterly survey covers approximately 700 businesspeople in the manufacturing sector and was conducted by Stellenbosch University’s Bureau for Economic Research in May. The confidence index ranges between zero and 100, with zero reflecting an extreme lack of confidence and 100 extreme confidence, where all participants are satisfied with current business conditions.&nbsp;</p>



<p>The manufacturing sector’s seasonally adjusted output for April 2022, as published by Statistics South Africa, also fell by 5.4% month-on-month. At the same time, Absa’s survey indicated a drop in both domestic and export sales, with manufacturers noting insufficient demand as a more serious constraint to current activities than at the start of the year.&nbsp;</p>



<p>“As consumers feel the pinch of rising food and fuel prices, along with increasing interest rates, the manufacturing sector may experience the spillover effect of reduced disposable income resulting in lower demand,” Schmidt notes.</p>



<p>Load shedding has also taken its toll. For manufacturers, Stage 2 load shedding – while difficult – is manageable because it allows for planning and scheduling, and it tends to happen at night. However, when South Africa moves into Stage 4 (as it did in Q2) or higher, it is a lot more difficult and costly for manufacturers to operate.</p>



<p>“Power is both the biggest enabler of, and the biggest constraint on, South Africa’s manufacturing growth going forward,” says Schmidt. “We must solve the power crisis – and while we are seeing some positive moves there, it needs to happen much quicker.”</p>



<h2 class="wp-block-heading"><strong>Reigniting economic growth through manufacturing</strong></h2>



<p>Manufacturers are fully aware of the constraints on and hindrances to production with shortages of raw material ranked as their second largest constraint to activity. “There remain overarching concerns around supply chain uncertainty and rising prices,” says Schmidt.</p>



<p>The Manufacturing Indaba included breakaway sessions focused on precisely those issues: energy, transport and logistics, localisation – and, of course, value chain integration in the age of the African Continental Free Trade Area. It’s a busy sector, and one that – as the event’s theme underlined – has the potential to “reignite economic growth”.</p>



<p>With that big picture in mind, Schmidt says the short-term sentiment for South Africa’s manufacturing sector remains generally positive. “Looking further ahead, we need to see structural reforms taking place to see long-term growth and recovery,” he says. “But overall, it’s a positive sector. Manufacturing has survived the shocks of the past two years, and the sector was showing an unexpectedly strong recovery into Q1 2022. It’s reasonable to expect that it will survive those Q2 shocks and bounce back in time.”</p>



<p></p>



<p>Justin Schmidt<br>Head of Manufacturing Sector at Absa Retail and Business Bank</p>



<p><em>“Power is both the biggest enabler of, and the biggest constraint on, South Africa’s manufacturing growth.” – Justin Schmidt | Head of Manufacturing Sector at Absa Retail and Business Bank</em></p>



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Mixed mood sets the tone at Manufacturing Indaba

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<p>The largest contributors to the 6.3 per cent jump in South Africa’s GDP in the last quarter of 2020 were the manufacturing, trade and transport industries. However, annual GDP is now on the same level as it was in 2012. Joining CNBC Africa to discuss this data and how it translates to the business environment is Cas Coovadia, CEO at Business Unity South Africa.</p>


BUSA CEO: Here’s what needs to be done to revive SA’s economy

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<p>South Africa&#8217;s GDP decreased by a record 51.0 per cent in the second quarter, due to the impact of COVID-19 lock-down restrictions. The largest negative contributors to growth in GDP were the manufacturing, trade and transport industries which saw muted economic activity amid lockdown. Old Mutual Chief Economist, Johann Els joins CNBC Africa for more.</p>


South Africa’s economy contracts by record 51% in Q2


<p>JOHANNESBURG (Reuters) &#8211; South Africa’s manufacturing output fell 16.3% year on year in June after contracting by 32.4% in May, the statistics agency said on Tuesday.</p>



<p>Factory production however was up 16.8% in June month on month, but declined 30.2% in the three months to the end of June, Statistics South Africa said.</p>


Local SA manufacturer turns to face masks amid COVID-19 crisis

South Africa’s manufacturing output falls 16.3% year on year in June


<p>JOHANNESBURG (Reuters) &#8211; South Africa’s manufacturing output fell 49.4% year on year in April during a nationwide lockdown, after contracting by a revised 5.5% in March, the statistics agency said on Thursday.</p>



<p>Factory production was down 44.3% in April month on month and declined 16.9% in the three months to the end of April, Statistics South Africa said.</p>


South Africa’s manufacturing output falls 49.4% year on year in April


<p>The world has been reeling from the financial crisis and Covid19 crisis with reverberations being felt throughout the real economy on production, consumption, jobs and well-being. At times like these, we are all reminded of just how intertwined our future prospects have become and forced to reflect on how history has led us to our current circumstances. The economic progress of past decades has improved the material well-being of emerging economies while South Africa experienced deep looting of state owned companies, established with a centred vision to solve socioeconomic conditions.</p>



<p>The energy sector played a role in creating an enabling manufacturing processes, rapid standardization, industrialization and also make life more comfortable and enjoyable. Energy is the “oxygen” of the economy and the life-blood of growth in a developmental state such as South Africa. Acknowledging that the core problems in Eskom spring from broken generation and the solution is to lose the unproductive and attract the skills, investment and expertise to sort out the existing fleet, is crucial to turning Eskom around.</p>



<p>The challenge is, solutions focused on restructuring debt or finding new capital allocations doesn’t redress the critical deal with the broken vertebrae at the power utility, but cancelling Eskom contracts can assist and have cost effective electricity to help the industrial development and transitioning the economy to sophistication or innovation driven. Eskom’s expensive electricity generation inefficiencies, which are the cause of the growing debt, the collapse of South African manufacturing industry and expensive mining sector, needs be changed and that’s possible through prioritizing new service providers that are affordable.</p>



<p>The government can fix the Eskom problems and they don’t need to sell any division of Eskom to operate well, the president needs to restructure the energy facility as his main priority moving forward, to position South Africa as a manufacturing hub for the continent, that wìll prepare for upstream industrial production and reduce unnecessary imports to the continent.</p>



<p>The PIC propositions to Eskom bailout are steps leading us to the envisioned capable state. The PIC&#8217;s . Reuel Khoza highlighted that the impact of the bailout to Eskom and reduce financial crisis the power utility faces for about R400-billion in debt. Tatana Khoza further indicated that, Jointly the GEPF and the PIC have bonds with Eskom and those would amoun, while their proposed feasible solution of using R250-billion in PIC funds to pay some of the utility&#8217;s burgeoning debt are strategically placed to rebuilding the power utility as the core oxygen for the South African economy.</p>



<p>The PIC manages more than R2-trillion on behalf of the Government Employees Pension Fund (GEPF); Unemployment Insurance Fund (UIF); Compensation Commissioner Fund (CC); Compensation Commissioner Pension Fund (CP) and Associated Institutions Pension Fund (AIPF). The PIC’s role is to invest funds on behalf of its clients, based on the investment mandates set by each client and approved by the FSCA.</p>



<p>For PIC to be a catalyst of continental economic integration and a global investor and realise their vision to be a global leader in impactful investing, they need to prioritize re-establishing Eskom as a centre for continental solutions in energy, for Industrial development to peak the Africa continental free trade agreement and prepare for a great pie of the targeted or projected materials boom in the next 40 years.</p>



<p>It is a huge risk for the economy to neglect Eskom as diversified portfolio investments will yield lower Interest Rates of Return than expected and the economy will not recover from recession and COVID-19 crisis, as energy is a key driver for an economy.</p>



<p>Today’s global energy and materials industries are characterized by significant shifts, which are creating new opportunities. New trends and technologies are changing the way energy is produced, delivered and consumed, Eskom must adapt quicker. In parallel, and under the current production-consumption model, world demand for raw materials could double by 2060. South Africa must benefit and be a key player in every global economic boom.</p>



<p>Investment, innovation and public-private collaboration are needed to accelerate the transition to a more sustainable, secure and affordable energy system, while optimizing the net social and economic value delivered by materials. Strong partnerships and commitments within the energy and materials industries and across their value chains are essential.</p>



<p>South African focused economic development and Industrial production is needed to be used in pushing the boundaries of the energy and materials future through high-level, multistakeholder taskforces, bringing together leaders from the electricity industry, the oil and gas sector, the mining and metals industry, and chemical and advanced materials companies across the value chain.</p>



<p>Miyelani Mkhabela is the Executive Director for Antswisa Transaction Advisory Services</p>


manufacturing

Eye on Dubai EP8: Africa’s position in Dubai’s D33 expansion plan

Eye on Dubai EP7: Innovative green food solutions founded in Dubai

Eye on Dubai EP6: The rise of African investments

Unlocking Rwanda’s spirits production potential

Eye on Dubai EP5: Evolvin’ Women on uplifting women in rural & developing areas

Eye on Dubai EP4: UAE Iron and Steel Industry

Eye on Rwandan businesses in the Central African Republic

Eye on Dubai EP3: Opportunities and trends for African tourism in Dubai

Eye on Dubai EP2: Dubai’s Local Manufacturing Mission

The Power Table: The future of EVs

Transforming mining in Africa: 5G Private Networks and cutting-edge tech revolutionise the industry’s future

Mixed mood sets the tone at Manufacturing Indaba

BUSA CEO: Here’s what needs to be done to revive SA’s economy

South Africa’s economy contracts by record 51% in Q2

South Africa’s manufacturing output falls 16.3% year on year in June

South Africa’s manufacturing output falls 49.4% year on year in April

OPINION: If Eskom is oxygen let us breathe.

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Advertise With Us

manufacturing

Eye on Dubai EP8: Africa’s position in Dubai’s D33 expansion plan

Eye on Dubai EP7: Innovative green food solutions founded in Dubai

Eye on Dubai EP6: The rise of African investments

Unlocking Rwanda’s spirits production potential

Eye on Dubai EP5: Evolvin’ Women on uplifting women in rural & developing areas

Eye on Dubai EP4: UAE Iron and Steel Industry

Eye on Rwandan businesses in the Central African Republic

Eye on Dubai EP3: Opportunities and trends for African tourism in Dubai

Eye on Dubai EP2: Dubai’s Local Manufacturing Mission

The Power Table: The future of EVs

Transforming mining in Africa: 5G Private Networks and cutting-edge tech revolutionise the industry’s future

Mixed mood sets the tone at Manufacturing Indaba

BUSA CEO: Here’s what needs to be done to revive SA’s economy

South Africa’s economy contracts by record 51% in Q2

South Africa’s manufacturing output falls 16.3% year on year in June

South Africa’s manufacturing output falls 49.4% year on year in April

OPINION: If Eskom is oxygen let us breathe.

News Tips

Advertise With Us

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