IDZ chief targets automotive industry

Component manufacturers are next priority SIMPHIWE KONDLO has thrown his efforts into developing East London’s Industrial Development Zone (IDZ) by prioritising the attraction of automotive industries as a significant first-phase focus sector. Kondlo moved into the chief executive seat in March and in quick time has turned around the entire marketing strategy of the IDZ operation. Instead of aiming in various directions to get investors, it makes sense to go all out to attract suppliers to the automotive manufacturing industry, he says. “We have linked our planning to DaimlerChrysler’s production of the new C-Class Mercedes vehicles. Our priority is now to go to component manufacturers who supply the local plant, and offer them the good rentals and services we have right here adjacent to the DaimlerChrysler plant. “With an anchor tenant like the huge motor manufacturer, which will start production of the new series in mid-2006, we have the opportunity to define a positive target market.” Has his six months in office shown any results emerging from this type of strategy? “Most positively. There are potential customers with whom we are dealing right now, and I expect to finalise a commitment with the first of these before the close of the current financial year in March 2005. Get one in hand and the others, I am certain, will follow.” Kondlo’s planning goes further, in that he sees the need for closer co-operation between his organisation and the Department of Customs and Excise. ‘We are talking to SARS on customs procedures with specific reference to clauses governing an IDZ in the Customs Act. We have been engaged in workshops with them. Right now we face lack of clarity in dealing with certain customs matters and this must be addressed, because unless you have a clear interpretation of the regulations you cannot advise the investing customer appropriately. “We don’t want that, especially when dealing with potential overseas investors. “We see a very positive opportunity now arising to participate alongside SARS in the development of a proper framework for IDZ import/export industries. We need to do this to become a competitive international investment destination. Investors look at stability and clarity. That is what we have to give them.”