DUBE TRADEPORT INDUSTRIAL DEVELOPMENT ZONE INVESTOR GUIDE 2014

Transcription

1 DUBE TRADEPORT INDUSTRIAL DEVELOPMENT ZONE INVESTOR GUIDE 2014

2 DUBE TRADEPORT INDUSTRIAL DEVELOPMENT ZONE AN OVERVIEW AN OVERVIEW Dube TradePort is Southern Africa s Premier Air Logistics Platform. Conceptualised more than a decade ago, Dube TradePort Corporation, a business entity of the KwaZulu-Natal Provincial Government, has been charged with the responsibility for developing this, the Province s biggest infrastructural project, which has already been named by the Department of Trade and Industry as constituting one of South Africa s top 10 investment opportunities. Occupying a hectare (7 017 acre) Greenfi eld site some 30 km (18.6 miles) north of Durban, Dube TradePort is a 60-year master-planned, world-class airfreight and passenger hub comprising four business zones. It was designed to create a highly competitive business operating environment for South Africa and forms the foundation of a purpose-planned industrial estate. Dube TradePort Corporation is further geared to drive the development of additional parcels of land close to the airport, ideal for the establishment of manufacturing, warehousing, assembly and value-adding facilities. The precinct s recently declared Industrial Development Zone (IDZ) status is regarded as a key driver for the attraction of investment capable of spurring economic growth, the creation of employment opportunities and the development of skills throughout KwaZulu-Natal. At the heart of the precinct is the new state-of-the-art King Shaka International Airport, owned and operated by the Airports Company South Africa. The airport has a 3.7 km runway, capable of accommodating the world s largest wide-bodied aircraft and currently has the capacity to handle 7.2 million passengers per annum, increasing to 45 million by the fi nal phase of its long-term development in Strategically located between Southern Africa s two primary seaports Durban, Africa s busiest cargo port, and Richards Bay and bordering major road and rail links, Dube TradePort is on the cusp of transforming KwaZulu-Natal into both a key business gateway and a sizeable and noteworthy player in the global supply chain.

3 DUBE TRADEPORT INDUSTRIAL DEVELOPMENT ZONE AN OVERVIEW DUBE TRADEPORT INDUSTRIAL DEVELOPMENT ZONE AN OVERVIEW Dube TradePort Corporation, a Schedule 3C Provincial Public Entity, is regarded as an enabler of strategic investment and, as such, is mandated to guide and direct the growth of a number of development zones within the IDZ, namely: A 77 hectare (190 acre) area, growing to 300 hectares (741 acres), comprising a specialised, prime and fullyserviced industrial estate within the Dube TradePort IDZ. It is ideally positioned for new-generation warehousing, logistics and distribution, manufacturing, assembling, air-related cargo distribution, high-tech aerospace services, electronic manufacturing, automotive industries, clothing, textiles and cold-storage activities. This area also houses freight forwarders and shippers in a single building, with airside access by way of a direct elevated cargo conveyor, or air bridge, connection to the adjacent Dube Cargo Terminal. This state-of-the-art facility is one of the most secure of its kind in Africa and prides itself on 0% cargo loss, a record it has held since inception in It is one of the most technologically advanced facilities of its kind in the world, boasting South Africa s first four flexible cargo stands and employing stringent access controls, TRADEZONE 77HECTARES OF LAND FOR INDUSTRIAL USE DUBE CITY 300 SEATER CONFERENCE CENTRE & RESTAURANT computerised track-and-trace systems, as well as in-line scanning. The cargo terminal, directly linked to freight forwarders located in Dube TradeHouse via an elevated conveyor system, is capable of rapidly and safely handling tonnes of cargo annually, masterplanned to increase to 2 million tonnes by This is fast becoming a cosmopolitan centre adjacent to King Shaka International Airport. This world-class business and leisure centre lends itself to mixed landuse, including office, hotel, conference, entertainment, retail and knowledge-intensive activities. Its overall layout and design encompasses pedestrian-friendly zones, a tree-lined boulevard and open spaces. The business community has shown great interest in and appetite for available A-grade office space and site up-take in Dube City. Africa s first integrated perishables supply chain hosts the continent s largest climate-controlled growing area under glass. Featuring a varied mix of tenants and infrastructure, this forward-thinking agricultural business model is positioned as an end-to-end facility, comprising a specialised tissue culture laboratory, Dube AgriLab, greenhouses, packhouses, a high-care value-adding distribution centre and a nursery, through to refrigerated air and road transport. The facility also employs rainwater harvesting, solar energy, on-site waste management and indigenous plant production for site rehabilitation purposes, ensuring this sustainable agricultural development is an attractive source for export markets. CARGO TERMINAL 0% CARGO The entire precinct is serviced by Dube TradePort s own Information Technology and telecommunications provider, Dube iconnect, which is KwaZulu-Natal s premier Local Cloud service provider and which also offers disaster recovery and rack space. With data stored at Dube TradePort, response times are swift and risks related to connectivity problems are greatly reduced by the fully-redundant fibre network available on-site and because there are four independent Tier 3 service providers operating from the data centres. Cloud operations provide business with continuity services structured to offset capital and operational expenditure. In addition, Dube iconnect s data centres provide resellers with a platform to offer market-hosted solutions using a pay-as-you-use model to run their operations. With global economic growth strengthening powered, primarily, by robust emerging markets aviation s role as a catalyst for economic growth has never been clearer. With an aggressive Route Development Strategy, a key objective for Dube TradePort Corporation is the active drive of the critical expansion of international connectivity, through the targeting of strategic routes which demonstrate sustainability and by engaging with the airlines operating such routes. In essence, then, Dube TradePort Corporation is geared for the development of KwaZulu-Natal s passenger and airfreight hub, the purpose being to significantly enhance international trade through the provision of supply chains that accelerate efficiencies and offer businesses the agility to meet the needs of rapidly changing markets around the globe. DUBE AGRILAB The crucial deliverables behind this huge infrastructural undertaking include improved global competitiveness and growing international connectivity; benefits which provide the Province s business community with a distinct competitive edge. This is the only location in Africa offering business and supply chains a regulated and sustainable environment, where the combination of speed, agility and connectivity deliver global competitiveness. Dube TradePort is opening the door to a world of opportunities and the business way of the future. South Africa s National Minister of the Department of Trade and Industry designated Dube TradePort an IDZ on 1 July IDZ status is considered prestigious, as it carries with it a range of benefits for enterprises located within such a zone. Importantly, it is also linked to one of the South African Government s key priorities, being the promotion of foreign and local direct investment into South Africa. The Dube TradePort IDZ announcement thus contributes significantly to Dube TradePort Corporation s ability to realise its singular goal:. In practice, IDZ benefits which include both fiscal and customs incentives are specifically geared, at this stage, for agricultural and manufacturing enterprises located within Dube AgriZone and Dube TradeZone. This represents the first phase of Dube TradePort Corporation s roll-out and will cover some 300 hectares of agricultural and industrial activities, growing to more than 700 hectares into the future. THE ONLY COMMERCIAL 40 TISSUE CULTURE GIG PIPE LOSS CONNECTING 2 01LAB IN KZN DATA CENTRES iconnect

4 DUBE TRADEPORT INDUSTRIAL DEVELOPMENT ZONE AN OVERVIEW DUBE TRADEPORT INDUSTRIAL DEVELOPMENT ZONE A PRIME INVESTMENT LOCATION DUBE TRADEPORT IDZ: A PRIME INVESTMENT LOCATION The intention behind the Dube TradePort IDZ is to promote and enhance the competitiveness of the Province s manufacturing sector and to encourage the beneficiation of available resources. The underlying purpose of the IDZ is to stimulate economic development, grow exports and improve the global competitiveness of South African-produced products. In line with this, its key objectives include attracting increased levels of both foreign direct and local investment, the active promotion of integration with existing local industry and the considerable increase in value-added production. Additional objectives include the provision of an environment which will expand the advantages of existing industrial and technological capacity, while also facilitating the growing creation of industrial complexes. In effect, Dube TradePort IDZ sets itself apart by offering continuous support through research and development, training and regulatory support, thus offering added value and greatly enhanced efficiencies for operators within targeted sectors. Critically, the Dube TradePort IDZ aims to promote regional development, stimulate the creation of new employment opportunities and enhance current skills and technology transfer levels. Targeted priority Dube TradePort IDZ industry sectors include: and related services; and distribution; and Such targeting is not limited exclusively to the identified priority sectors and supplementary sectors include: Dube TradePort IDZ is a key and strategically important business location in South Africa generally and KwaZulu-Natal specifically. Dube TradePort IDZ s strength as a leading South African investment destination is based on four founding pillars, namely its key location, infrastructure, service offering and Government backing. logistics hub: - It includes major manufacturing and services sectors, as well as being home to national Head Office structures; - It is strategically positioned between two of the largest and busiest seaports in Africa: Durban and Richards Bay; infrastructure and property: - It enjoys international airport co-location and both industrial and mixed-use real estate; of life factors. It boasts: - A wonderful sub-tropical climate; - An outstanding natural environment; - An incomparable coastal setting; - A top-class educational infrastructure; and - The highly desirable and well-known Durban lifestyle; ( acres); and business community the ideal platform for the expansion of global business and trade opportunities, primarily focused on Sub-Saharan Africa, together with the stimulation of economic growth. master-planned business environment, Dube TradePort s infrastructure is state-of-the art, ensuring the emergence of a globally competitive, multi-modal trade gateway to South and Southern Africa... and the world; the precinct s freight-orientation and world-class cargo facilities; airport and surrounding business operation zones, being Dube Cargo Terminal, Dube TradeZone, Dube AgriZone and Dube City, has been consciously developed as a highly secure environment; support functions. These include: - Dube iconnect The four business operation zones are supported by Dube iconnect, KwaZulu- Natal s premier Local Cloud and dedicated IT and telecommunications service provider; - Dube AgriLab This is a top research and development facility and the only commercial tissue culture laboratory in KwaZulu-Natal. Launched in 2013, the facility has the ability to propagate under sterile conditions and supply plants through tissue culture;

5 DUBE TRADEPORT INDUSTRIAL DEVELOPMENT ZONE A PRIME INVESTMENT LOCATION DUBE TRADEPORT INDUSTRIAL DEVELOPMENT ZONE BENEFITS OF INVESTING BENEFITS OF INVESTING IN DUBE TRADEPORT IDZ - complements the purpose-designed King Shaka International Airport, opened in 2010; Regional Airport in Africa in the 2013 Skytrax World Airports Awards, has a 3.7 km (1.8-mile) runway and the capacity to accommodate the world s largest new-generation aircraft. In addition, the airport boasts two rapid exit taxi-ways and the current capacity to handle 23 air-traffi c movements every hour; development strategy, Dube TradePort Corporation, as an enabler of tactical investment, is geared to effectively drive the development of a highly competitive business operating environment; group of highly skilled experts in a range of fi elds and most capable in providing investors with professional assistance and support from conceptualisation through to operation and beyond. The organisation prides itself on having developed a reputation as the developer who never walks away a reputation which provides prospective investors with considerable comfort and peace-of-mind; and linking both investors and developers to the various necessary regulatory bodies as a means of assisting and facilitating the development process. 3.7 KM THE LONGEST SEA-LEVEL RUNWAY IN THE COUNTRY Infrastructure Plan, as outlined in the Presidential Infrastructure Co-ordinating Commission under Strategic Infrastructure Programme 2. The precinct is also aligned to the National Development Plan; TradePort Corporation is fully-owned and funded by the Provincial Government of KwaZulu-Natal; business, Dube TradePort enjoys the status of a key priority Infrastructural Development Project for the Province of KwaZulu-Natal. Such status carries with it responsibility for: The development of an Integrated Aerotropolis Strategy, which identifi es strategic pillars relevant to the advancement of a highly competitive aerotropolis; The development of a Provincially-driven airlift strategy initiative, geared to assist with facilitating environmental approval processes; and The implementation of one of the key pillars within the KwaZulu-Natal Provincial Growth and Development Strategy. STRATEGICALLY LOCATED BETWEEN 2OF THE BUSIEST PORTS IN AFRICA A range of benefi ts are offered to business enterprises operating within an IDZ, such as the Dube TradePort IDZ. These benefi ts are designed to promote business growth, revenue generation, employment creation and the attraction of both foreign and local investment. Source: South African Revenue Service ( South Africa s broad economic policy includes schemes designed to encourage and promote international competitiveness in the country s manufacturing sector. This is set out in the Government s Economic Programme of Action, where IDZs are created so as to encourage the attraction of signifi cantly increased levels of foreign direct investment into the South African economy. This is achieved, primarily, through the provision of incentives to draw foreign and local investment to an IDZ, such as Dube TradePort, thus boosting an area s economic attractiveness. The South African IDZ concept recognises that an IDZ is a purpose-built industrial estate linked to an international airport or seaport, which might contain one or multiple Customs Controlled Areas (CCA), tailored for the manufacturing and storage of goods to boost benefi ciation, investment, economic growth and, most importantly, the development of skills and employment in these regions. The following SARS offerings are available to CCA enterprises: into a CCA: Any goods for storage; Raw material for manufacture; and Machinery used in the manufacturing process. Clearance of goods importation, exportation and transit; Application for designation, licensing and registration; Release of cargo; Consideration of stage consignments, Consideration of release under embargo; Lesser amounts for security licensing, registration and movement of bonded goods. Goods are imported for storage; Raw material is imported for manufacture; Machinery is imported for use in the manufacturing process; Any material is imported for use in the construction of the CCA infrastructure: Goods are exported from the CCA to a foreign country; and Any services are rendered to a CCA-area enterprise.

6 DUBE TRADEPORT INDUSTRIAL DEVELOPMENT ZONE BENEFITS OF INVESTING DUBE TRADEPORT INDUSTRIAL DEVELOPMENT ZONE BENEFITS OF INVESTING No import duties are payable on goods imported for use in the construction and maintenance of the infrastructure of a CCA in an IDZ (rebate item ); No Value Added Tax shall be payable when: maintenance of the infrastructure of a CCA area; sale, letting or any other agreement; and or CCA enterprise located in the CCA. The authorised movement of goods is important. In addition to a Customs Client Number, a CCA number one per CCA is allocated. This number is of paramount importance when goods are moved between warehouses/rebate users in the same or other CCAs. Source: Department of Trade and Industry Website (www. thedti.gov.za) South Africa participates in a number of preferential trade relationships, both regional and bilateral. notably on the basis of SDI methodology; strengthening and consolidation of the Southern African Customs Union (SACU) and the Southern African Development Community (SADC) free trade agreement; and economic co-operation. - The Department of Trade and Industry pursues bilateral and regional negotiations and has concluded a free trade agreement with the European Union and the European Free Trade Association, comprising Switzerland, Norway, Lichtenstein and Iceland. A preferential trade agreement with MERCOSUR, comprising Brazil, Argentina, Paraguay and Uruguay, was concluded and signed in While the scope of the market opening is more limited, once ratified, the preferential trade agreement will create a legal and institutional framework for managing South Africa s trade relations with these important countries of the South and offer further opportunities to improve South Africa s export growth in coming years. diversify South Africa s trade and investment relations to benefit from the rapid and dynamic economic growth in the South. The Department of Trade and Industry, together with other Government Departments, has made an ongoing contribution to the India-Brazil-South Africa initiative, particularly in negotiating preferential trade agreements with MERCOSUR and India. With regard to the People s Republic of China, the Department leads an engagement to implement a Partnership for Growth and Development that aims to promote value added South African exports to China and increase inward investment in projects for beneficiation. The objective is to ensure the sustainability and mutual benefit of the relationship with this important trading partner. The Department of Trade and Industry also continues to contribute to strengthening South Africa s trade and investment relations with key countries in the North. The Trade Development and Co-operation Agreement with the European Union is 12 years into implementation and has contributed positively to bilateral economic relations supported by the 2007 deal on autos. As South Africa s largest trade and investment partner, relations with the European Union remain important and greater attention will be devoted to expanding trade and investment with recently acceded members. Although SACU was unable to conclude a free trade agreement with the USA, a co-operative trade arrangement has been concluded, namely the Trade, Investment and Development Co-operation Agreement, which will build on the trade benefits offered under the Africa Growth and Opportunity Act. In this context, the Department will seek to extend and deepen the benefits of the Africa Growth and Opportunity Act and work to ensure that engagement with the USA supports regional integration in Southern Africa. South Africa has signed many agreements with its trading partners in the past several years. The country is also a beneficiary of a number of non-reciprocal trade arrangements, among them the Generalised System of Preferences and the aforementioned African Growth and Opportunity Act. This country was a founding member of the General Agreement on Tariffs and Trade (1947) and is an active member of the World Trade Organisation. Africa South Africa, via the Department of Trade and Industry, utilises strong Government-to-Government relations and mechanisms as a means to advance a developmental agenda in Africa, whose focus is to: partner countries; and assistance to support policy and institutional development in partner countries; In September 2007, a similar negotiating process was initiated with India. All these negotiations have been pursued alongside South Africa s partners in the SACU, comprising Botswana, Lesotho, Namibia and Swaziland, following the entry into force of the new SACU Agreement all trade agreements as a bloc. During the past five years, the importance of building trade and investment relations with the new poles of economic growth in the world, such as countries of the South, has become ever more compelling. This inexorable change in the economic geography of OVER R900 MILLION PRIVATE SECTOR INVESTMENT SECURED SUPPORTED BY FISCAL AND CUSTOMS INCENTIVES FOR CCA ENTERPRISES

7 DUBE TRADEPORT INDUSTRIAL DEVELOPMENT ZONE INVESTORS SAPS: Border Police DUBE TRADEPORT INVESTORS SAPS: Dog Unit The Dube TradePort precinct has, since inception, attracted encouragingly high levels of investor interest and activity. Investors who have located at, or partnered with, Dube TradePort include: Calypso Group

8 DUBE TRADEPORT MASTER PLAN DUBE TRADEPORT INDUSTRIAL DEVELOPMENT ZONE DUBE TRADEPORT MASTER PLAN VERULAM 45 MIN TO DURBAN HARBOUR 30 MIN TO DURBAN CENTRAL 15 MIN TO UMHLANGA DUBE TRADEZONE 4 DUBE TRADEZONE 5 SUPPORT ZONE 3 SUPPORT ZONE 1B DUBE CITY (SUPPORT ZONE 1A) SUPPORT ZONE 2 DUBE AGRIZONE 1 DUBE AGRIZONE 2 KING SHAKA INTERNATIONAL AIRPORT DUBE TRADEZONE 2 DUBE TRADEZONE 1 DTP AIRSIDE DUBE TRADEZONE 3 TONGAAT WATSON HIGHWAY LINK ROAD 95 MIN TO RICHARDS BAY 20 MIN TO BALLITO DUBE TRADEZONE 1 CURRENT IDZ DESIGNATION DUBE TRADEZONE 2 (AND DUBE TRADEPORT AIRSIDE) CURRENT IDZ DESIGNATION - Aerospace and aviation linked manufacturing and services - Agro-processing - Electronics manufacturing - Medical and pharmaceutical production and distribution - Clothing and textiles DUBE TRADEZONE 3 - Aerospace and aviation linked manufacturing and services - Agro-processing - Electronics manufacturing - Medical and pharmaceutical production and distribution - Clothing and textiles DUBE TRADEZONE 4 - Aerospace and aviation linked manufacturing and services - Electronics manufacturing - Medical and pharmaceutical production and distribution - Clothing and textiles DUBE AGRIZONE 1 CURRENT IDZ DESIGNATION and fl owers (Dube AgriLab) DUBE AGRIZONE 2 DUBE CITY (SUPPORT ZONE 1A) SUPPORT ZONE 1B SUPPORT ZONE 2 UMDLOTI LA MERCY

9 ENGAGE WITH US Dube TradePort is the business way of the future. So, to invest in and derive the full incentive benefits of South Africa s latest Industrial Development Zone, while profiting from a business world of opportunity, please contact: TIM HUDSON Tel: tim.hudson@dubetradeport.co.za invest@dubetradeport.co.za