PRESENTED BY: Henk Langenhoven ECONOMIC LANDSCAPE FOR ENGINEERING IN SA 27 JUNE 2014

Transcription

1 PRESENTED BY: NAME: DESIGNATION: address: Henk Langenhoven Chief Economist ECONOMIC LANDSCAPE FOR ENGINEERING IN SA 27 JUNE 2014

2 THE STEEL AND ENGINEERING INDUSTRIES FEDERATION OF SOUTHERN AFRICA SEIFSA is a National Federation representing 27 independent employer Associations in the metal and engineering industries, with a combined membership of over companies employing over employees. The Federation was formed in 1943 and companies in Associations federated to it range from giant steel-making corporations to micro-enterprises employing fewer than 50 people.

3 CORE BUSINESS SEIFSA s Core Business is to represent and promote the interests of business in Southern Africa, in particular the metals and engineering industries, through lobbying and capacity building, provision of related services and building of good relations with key stakeholders

4 SEIFSA SERVICES Industrial Relations Services Skills Development and Human Capital Services Health, Safety, Environment and Quality Services Economic and Commercial Services, including the Price and Index Pages Legal Services Marketing and Communications Services Administration and Accounting for Associations SEIFSA Training Centre

5 SEIFSA TRAINING CENTRE Situated in Benoni, East Gauteng, the SEIFSA Training Centre is accredited by merseta, CHIETA and EWSETA It provides quality, competency-based training in: Apprenticeships Learnerships (NQF 2-4) Instrumentation Courses Basic Safety Courses Multi-skilling of Artisans Other services include: Trade testing Assessments

6 SEIFSA TRAINING CENTRE CONTINUED Apprenticeships are offered for the following trades: Boilermaker Electrician Fitter Fitter and Turner Instrument Mechanic Millwright Pipe Fitter Toolmaker Turner Welder For more information, please contact: Mustak Ally on

7 DISCLAIMER The views expressed in this presentation do not necessarily represent those of SEIFSA Associations and/or their membercompanies

8 CONTENTS THE ECONOMY THE INTERRELATIONSHIPS WITH THE ECONOMY THE PEOPLE/HUMAN CAPITAL LINK THE NATIONAL DEVELOPMENT PLAN THE COUNTRY INFRASTRUCTURE & INVESTMENT OPPORTUNITY THE FUTURE = INSTABILITY

9 ECONOMIC GROWTH PERFORMANCE SARB; June 2014

10 SARB; June 2014 BALANCE OF PAYMENTS GAP

11 NATIONAL GOVERNMENT FINANCES SARB; June 2014

12 CONTENTS THE ECONOMY THE INTER RELATIONSHIPS WITH THE ECONOMY THE PEOPLE/HUMAN CAPITAL LINK THE NATIONAL DEVELOPMENT PLAN THE COUNTRY INFRASTRUCTURE & INVESTMENT OPPORTUNITY THE FUTURE = INSTABILITY

13 INTER RELATIONSHIPS: MINING/AUTO/CONSTR/METALS & ENG Quantec, 2014

14 INTER RELATIONSHIPS: M&E INTERNATIONAL EXPOSURE Quantec, 2014

15 INTER RELATIONSHIPS: METALS & ENG/MANUFACT/ECONOMY Quantec, 2014

16 CONTENTS THE ECONOMY THE INTERRELATIONSHIPS WITH THE ECONOMY THE PEOPLE/HUMAN CAPITAL LINK THE NATIONAL DEVELOPMENT PLAN THE COUNTRY INFRASTRUCTURE & INVESTMENT OPPORTUNITY THE FUTURE = INSTABILITY

17 EMPLOYMENT & PRODUCTION: LONG TERM Quantec, 2014

18 EMPLOYMENT & PRODUCTION: MEDIUM TERM Quantec, 2014

19 EMPLOYMENT & PRODUCTION: SHORT TERM Quantec, 2014

20 SKILLS INTENSIFICATION IN METALS & ENG Quantec, 2014, SEIFSA, 2014

21 CONTENTS THE ECONOMY THE INTERRELATIONSHIPS WITH THE ECONOMY THE PEOPLE/HUMAN CAPITAL LINK THE NATIONAL DEVELOPMENT PLAN THE COUNTRY INFRASTRUCTURE & INVESTMENT OPPORTUNITY THE FUTURE = INSTABILITY

22 Key Targets of the Plan 1. Employment: 13 million in 2010 to 24 million in Raise income from R a person to R Increase the quality of education so that all children have at least two years of preschool education and all children in grade 6 can read, write and count. 4. Establish a competitive base of infrastructure, human resources and regulatory frameworks. 5. Reduce poverty and inequality by raising employment, bolstering productivity and incomes, and broadening the social wage. 6. Ensure that professional and managerial posts better reflect the country s demography 7. Broaden ownership to historically disadvantaged groups. 8. Provide quality health care while promoting health and well-being. 9. Establish effective, affordable public transport. NPC Presentation to SEIFSA Conference th May

23 ILLUSTRATIVE GOALS OF THE NDP Average growth of 5.4% by 2030 Small Business Global Competitiveness Increase employment from 13 million to 24 million State capacity Reduce corruption Reduce carbon emissions per unit of power by one-third Gross Fixed Investment from 17% to 30% Gini-Coefficient falls from 0.69 to 0.6 Raise per capita income from R50,000 to R120,000 Increase share of national income of bottom 40% from 6% to 10% HOW DO WE MAKE A SUCCESS OF THE NDP? 23

24 GFCF contribution to GDP SARB; June 2014

25 CONTENTS THE ECONOMY THE INTERRELATIONSHIPS WITH THE ECONOMY THE PEOPLE/HUMAN CAPITAL LINK THE NATIONAL DEVELOPMENT PLAN THE COUNTRY INFRASTRUCTURE & INVESTMENT OPPORTUNITY THE FUTURE = INSTABILITY

26 THE INFRASTRUCTURE CHALLENGE Quantec, 2014, SEIFSA, 2014

27 NAT DEV PLAN: PRES INFRASTRUCTURE C C SEIFSA, 2014

28 CONTENTS THE ECONOMY THE INTERRELATIONSHIPS WITH THE ECONOMY THE PEOPLE/HUMAN CAPITAL LINK THE NATIONAL DEVELOPMENT PLAN THE COUNTRY INFRASTRUCTURE & INVESTMENT OPPORTUNITY THE FUTURE = INSTABILITY

29 SEIFSA, 2014 INSTABLITY: CONFIDENCE FRAGILE

30 Quantec, 2014 INSTABILITY: PRODUCTION VOLATILE

31 INSTABILITY: BUILDING MARKET SLOW

32 INSTABILITY: CONSTRUCTION WORKS

33 GFCF COMPONENTS Quantec, 2014

34 CONSTRUCTION OUTLOOK SARB, Quantec, 2014

35 MACHINERY, TRANSPORT, IT & OTHER: OUTLOOK SARB, Quantec, 2014

36 INTERNATIONAL GROWTH OUTLOOK SARB; June 2014

37 CONCLUSIONS THE ECONOMY THE INTERRELATIONSHIPS WITH THE ECONOMY THE PEOPLE/HUMAN CAPITAL LINK THE NATIONAL DEVELOPMENT PLAN THE COUNTRY INFRASTRUCTURE & INVESTMENT OPPORTUNITY THE FUTURE = INSTABILITY