East London IDZ gets green light

Ed Richardson A PROVISIONAL operator's licence for the East London Industrial Development Zone has been awarded to The East London Development Zone Corporation (ELDZC). The licence means that the ELDZC is the official operator of the zone and can now move from the planning stages to the full development of what should be South Africa's first fully operational IDZ. The East London IDZ is already served by both a port and an airport, and has bulk infrastructure in place for the first phase. Two investors Ð a condom factory and a brewery Ð have begun construction in the zone. According to ELDZC ceo Peter Miles, the zone will be ready for operation in the custom secure area and associated industrial park by July 2004. The ELDZC has also appointed further staff to assist during the implementation stages. Miles expects that by the IDZ's tenth year more than 38 000 jobs will have been created, both directly and indirectly, and income in excess of R1834-billion will have been generated. Miles says the municipality will also gain through service charges, together with rates and taxes. The second phase of the project has already started, with the Ninham Shand Engineering Consortium being granted a tender to oversee bulk infrastructure design worth R150-million. Executive director of the Border Kei Chamber of Business Les Holbrook says the big advantage of the IDZ was that it was located close to the harbour and airport. "Logistics and time are key to where people will place their investment and the IDZ is perfectly suited for this." South African Port Operations acting general manager Nosipho Damasane said the port welcomed the licensing and that it was ready to deal with any increased cargo resulting from the operations.