Richards Bay allocates funds for detailed feasibility study

AN INDEPENDENT consultancy appointed by the Richards Bay/Empangeni Spatial Development Initiative (SDI) believes that good potential exists for the establishment of an IDZ in Richards Bay and has suggested that funds by allocated for a detailed feasibility study.
SDI chief executive Syd Kelly has applied to the Manufacturing Development Board of the Department of Trade and Industry for the designation of certain areas in Richards Bay for IDZ status.
The Richards Bay local council has approved the sites identified by SDI consultants, Gibb Africa, for the development of the IDZ subject to appropriate zoning which is already being processed, according to Kelly.
The study estimates total set-up costs at R2,5 billion, with R644m to be invested in the first phase. It believes that a phased development will allow the IDZ to commence quickly and easily and further point out that the Richards Bay/Empangeni area has a well developed framework of existing bulk infrastructure and services including South Africa's largest deep water port.
"The high level of existing infrastructure makes the area attractive to new industry and the development of the IDZ a practical and realistic proposition."
"The intention is to provide services tailored to the needs of export-orientated industries, thus positioning Richards Bay and Empangeni as a manufacturing platform into Africa and further afield," said Kelly.
The SDI will assist the local council with the selection of developers of the IDZ.