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AMAJUBA ECONOMIC FRAMEWORK DISCUSSION DOCUMENT

AMAJUBA ECONOMIC FRAMEWORK DISCUSSION DOCUMENT

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AMAJUBA ECONOMIC FRAMEWORK DISCUSSION DOCUMENT

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  1. AMAJUBA ECONOMIC FRAMEWORK DISCUSSION DOCUMENT

  2. PRESENTATION OVERVIEW • Key LED Challenges • IDP Priority Areas • Economic Vision • Development Opportunities • Key Performance Areas • Status of and Re-distribution • Proposed Interventions • Institutional Arrangement and Transformation • Agricultural Sector Development • Tourism Development • Infrastructure Development • Mining Development • SMME Development • Critical Success Factors

  3. PURPOSE OF THE PRESENTATION • To appraise Political leadership and Council management about district LED Plans • To share Amajuba Economic /Business Case • To invite input towards the formulation of Economic framework • Allow political leadership to influence the Economic Direction and Strategy of the District • To solicit buy-in on the strategic focus areas and associated initiatives • To build a case for improved budget allocation towards planning and implementation of LED initiatives

  4. KEY LED CHALLENGES IN THE DISTRICT • Lack of meaningful participation of stakeholders in LED process • Lack of sufficient financial resources to support LED initiatives • Limited human capacity to manage LED programme • Minimal participation of political leadership in LED remains a challenge • Poor participation and co-operation of sector departments • Land Reform Projects have a high potential but lack leadership • Private sector has no faith and confidence in the municipal programmes • Failure in exploitation of opportunities • Mismatches of Interventions where projects which relate better to rural contexts are often implemented in semi rural contexts

  5. IDP PRIORITY AREAS • Economic Development • Integrated Service Delivery • Social Facilitation and Development • Institutional and Governance Development • Municipal Planning • Environmental Management

  6. ECONOMIC DEVELOPMENT FRAMEWORK

  7. ECONOMIC VISION • Amajuba will be a fully developed district, with a vibrant and sustainable economy, a better quality of life, preserved within its own cultural and traditional values. • Vibrant • Sustainable • Provision of opportunities

  8. DEVELOPMENT OPPORTUNITIES • Battlefield development and Amajuba Tourism Route. • The Amajuba Birding Meander. • The development of tourism opportunities around the proposed dam sites (Ncandu, Tom Worthington as well as Zaaihoek), the Drakensberg and the Noddle projects • The development of dams along the Buffalo River Catchment which will open up large portions of the tribal areas for irrigation. • The development of the old Casino complex into a Office Park and Sport Complex. • The further development of the Balele Nature Reserve at Utrecht.

  9. DEVELOPMENT OPPORTUNITIES • The development of a Fly-fishing Meander. • The development of Housing Estates and associated facilities in the Berg Foothills. • The roll out of ICT Broadband • Upgrading of the N11 free way to a dual carriage • Development of the Dannhauser, Dundee, Nqutu, Babanango, Melmoth Road Corridor • Poultry incubation • Implement an irrigation projects in Buffalo Flats as per Irrigation plan

  10. DEVELOPMENT OPPORTUNITIES • The Development of a Regional Market and Agric Hub which will be linked to the Dube Trade Port and other markets. • The development of opportunities along the MR483 Corridor linking the CBD to Madadeni and Osizweni. • The implementation of the Urban Renewal Programme in the Newcastle CBD. • The development of a new Mall adjacent to the new Casino. • The development of housing projects as part of the implementation of the Housing Plans for the three LM’s. • The development of the Amajuba Hydroponic Techno Park. • The identification of Newcastle as an Industrial Development Zone (IDZ).

  11. DEVELOPMENT OPPORTUNITIES • Development Nodes have been identified in 4 areas namely, Utrecht, Botha’s Pass, Normandien Pass and Dumblane/ Muller’s Pass. (The main aim of the Development Nodes is to provide opportunities for the concentration of appropriate tourism development as opposed to disperse, ad hoc development patterns). • Rehabilitation of mine sites which have closed • Consider setting up the Olive tree project • Develop Ntshingwayo Resort Game Park; • Develop Ncandu Nature Reserve / Incandu Forest Reserve; and • Determine and establish National Monuments.

  12. KEY PERFORMANCE AREAS

  13. KEY PERFORMANCE AREAS

  14. KEY PERFORMANCE AREAS

  15. KEY PERFORMANCE AREAS

  16. KEY PERFORMANCE AREAS

  17. KEY PERFORMANCE AREAS

  18. KEY PERFORMANCE AREAS

  19. STATUS OF LAND REDISTRIBUTION

  20. STATUS OF LAND REDISTRIBUTION

  21. STATUS OF LAND REDISTRIBUTION

  22. STATUS OF LAND REDISTRIBUTION -SUMMARY

  23. INSTITUTIONAL ARRANGEMENTS

  24. AMAJUBA BOARD OF BUSINESS LEADERS • The gathering of great local business minds • Developing or finding a common economic vision • Serve as an economic advisory body to both public and private sector investments • Assist in leveraging of resources • Keep government informed on levels of existing business confidence • Create business opportunities • Mentorship of the emerging or SMME sector within the district

  25. AMAJUBA BOARD OF BUSINESS LEADERS Amajuba Sector Specific Committees

  26. AMAJUBA FORUM FOR LED Amajuba DM Newcastle LM Utrecht LM Dannhauser LM Private Sector (Inclusive of professionals) AFLED Stakeholders Public Sector (inclusive of professionals) ALEDPMU Commerce and Industry Members Organised Business Manufacturing Trade Mining Construction Officials & Councilors Gov. Dept. Agricultural Members WSAs Nat and Prov Govt DACs Agric Unions Co-ops Officials and Councilors Tourism Members Councilor's Officials Operators Product Owners Prov Gov.

  27. AMAJUBA DEVELOPMENT TOOLKIT IGR Forum / ExCo’s IMPLEMENTATION IMPLEMENTATION ADM EXCO Business +Co-ops + … MFMA + SCM + PPP + …. Municipal Manager & Directorates Infrastructure Workgroups Economic Development AFLED Sub-Committees Water / Agri Workgroup Agriculture Sub-Committee Coordination Workgroup Investment Workgroup Trade / Industry Sub-Committee Industry Workgroup Dev Corridor Workgroup Tourism Sub-Committee

  28. PROPOSED PROGRAM MANAGEMENT UNIT • Sets up, runs, and supports an endogenous network able to catalyze development. The essential mission of LED PMU is to: • Facilitate development to enable sustainable job creation • promote and support small and medium-sized businesses in the various branches of production • improve the economic context and opportunity of the territory • Provides tools for economic development which accounts for the vulnerable • Facilitates and Co-ordinates businesses to play an active role in addressing poverty • Develops relationships of collaboration and cooperation across sectors • Allows the local government to be the direct actor

  29. Programme Management Unit

  30. PROGRAMME MANAGEMENT UNIT OBJECTIVES • Foster the economic development of the territory where it works • Capitalize on endogenous resources and concentrate on support for those groups with the most difficult access to regular economic and financial circuits • Foster integration and coordination of local institutions and associations around a shared vision of local economic development • Promote local small and medium sized business; create entrepreneurial culture • Plan and bring into being a system of services to public and private organizations that can support local economic development • Pay special attention to identifying the most vulnerable social groups and identifying poverty traps

  31. CONCEPT DOCUMENT • Concept Document serves a formal application • Details the socio-economic condition of the area • Develop a clear business case for Amajuba • Highlights sector based economic opportunities • Identifies possible catalytic projects for the district • Organisational structure • Action plan • Application submitted to IDC

  32. AGRICULTURAL DEVELOPMENT AND DIVERSIFICATION

  33. PROGRAMME 1: AGRICULTURE SUPPORT UNIT • Focus on resuscitating economic activity within Land Reform Farms • Involve and encourage communities to resuscitate crop fields – in order to ensure food security • Investigate modern technologies that could be employed in the region to expedite the growth of agricultural sector (agri-processing) • In partnership with the Marketing incumbent source markets for agric products (Agronomists to drive the program)

  34. PROGRAMME 2: LAND REFORM PROGRAMME • Prioritizing this programme for implementation • Support land reform forums • Profiling of farms • Available hectares for grazing and crop farming • Feasibility Assessments • Business planning • Funding mobilisation for a group of projects (e.g Soya beans, goat and cattle farming) • Capacity and capability

  35. PROGRAMME 3: COMMUNITY BASED SUPPORT • Identification of existing agricultural co-operatives in partnership with DEDT • Restructuring of programmes and initiatives to take advantage of existing and potential opportunities • Engage traditional leadership and introduce community based support schemes that will focus on tilling of idle land and provision of seedlings thereby create a sustainable food security base. • Make available ADM Mechanisation unit to the communities

  36. PROGRAMME 4: MECHANIZATION UNIT • Sustain and expand on the functional Mechanisation Unit • Solicit support from the province to supply more tractors and implements and to engage in the mechanised unit to ensure co-ordination of activities • Manage and maintain the scheme • Avail services to community members at the recommended nominal fee for the sustainability of the Unit

  37. PROGRAMME 5: AGRI-PROCESSING UNIT • Identify agri-processing initiatives or projects • (LED study has identified few projects) • Prepare terms of reference for feasibility studies • Undertake detailed and thorough feasibility assessments • Compile Business Plans for feasible projects • Marketing of feasible projects • Undertake or partake in trade missions to market the district • Mobilise local investor to invest in feasible initiatives

  38. PROGRAMME 6: SKILLS DEVELOPMENT UNIT • Identify required Agri-technical skills through the agronomist engaged by the District • Partner with service providers • Sign MOU with Department of Agriculture to provide skills through CEDARA training centre • Targeted training for communities and organised groupings • Maintain the incubation concept within Agri-support unit • Engage mentors or employ specialists on contractual basis to support initiatives across the sector board ( crop farming, dairy, livestock farming, timber processing, etc) • Organize internship placement from bodies such as CEDARA for skills development

  39. TOURISM DEVELOPMENT

  40. TOURISM DEVELOPMENT • Re-select stakeholder partnerships in tourism • Review of Tourism strategy • Identify clear cut opportunities within the sector • Branding of local products • Establish community based Tourism Organisations • Develop distinct tourism concepts and implement (Spatial development nodes) • Marketing of the district

  41. INFRASTRUCTURE DEVELOPMENT

  42. INFRASTRUCTURE DEVELOPMENT SUPPORTING LED • Water for commercial use (dams, accessibility of existing water schemes for agricultural use) • Increase agricultural areas under irrigation • Access roads to the farms • Main corridor roads (N11 as a dual carriage, D96, etc) • Trading space for informal traders within the small towns with necessary facilities • Partnership with Ithala to invest in Industrial Park development initiative • Roads improvement for mining (transportation of coal)

  43. MINING DEVELOPMENT

  44. MINING DEVELOPMENT • Increase in mining interest • New jobs are created • New business opportunities Consider: • Support services to the mining sector • Participation in the implementation of Social Labour Plans • Enquire about availability of mining or prospecting rights in Amajuba

  45. SMME DEVELOPMENT

  46. SMME DEVELOPMENT • Establish SMME support unit • Integration of current incubation units • Introduce business development component SMME Unit Agri Support Construction Business development Support and facilitate the establishment of Amajuba Business Support Centre with satellite offices in LMs. Forge partnership with DEDT and Seda provincial level.

  47. CRITICAL SUCCESS FACTORS • Exco resolution / Council Resolution from all LM’s • LMs Buy in • Financial Commitment to the Initiative (improved- budget allocation to LED) • Technical Support to LMs • Identification of additional projects

  48. THANK YOU