Volume II - The Northern Cape Provincial Spatial Development ...

Northern Cape PSDF
Volume 2
Office of the Premier &
Department of Rural Development & Land Reform
December 2011
c) The wholesale, and retail trade, restaurant and general government which contribute
approximately 11%.
Table F.3: Key Economic Industries in the Northern Cape (Source: PGDS).
INDUSTRY
120
CURRENT PRICES – PERCENTAGE CONTRIBUTION
2002 2003 2004 2005 2006 2007 2008 2009
Primary Industries 34.6 33.3 32.1 30.4 31.6 33.4 35.5 33.5
Agriculture 5.6 8.5 8.3 6.5 6.9 8.1 7.9 7.4
Mining and Quarrying 28.9 24.8 23.9 23.8 24.7 25.3 27.6 26.1
Secondary Industries 6.5 6.6 6.8 6.4 6.4 6 5.9 6.9
Manufacturing 3.4 3.5 3.3 3.3 2.9 2.5 2.4 2.2
Electricity and Water 1.9 2 2.2 1.9 2.1 2 1.9 2.8
Construction 1.2 1.1 1.3 1.2 1.4 1.6 1.7 1.9
Tertiary Industries 49.9 50.8 50.8 52.4 50.4 49.4 49.1 50.4
Wholesale and retail trade, hotels and restaurant 9.1 10.5 10.7 10.6 11 10.8 11.2 9.9
Transport and Communications 8.6 8.6 8.3 8.6 8.3 7.3 7.3 7.4
Finance, real estate and business services 11.9 10.9 12.2 12.2 12.8 13.2 12.5 12.6
Personal services 8 8.3 8.4 8.5 8 7.7 7 8.1
General government services 12.2 12.5 11.1 12.6 10.3 10.4 11.2 12.3
The PGDS states that from local production, 66% is consumed locally, 10% exported to other
provinces while the remaining 2% gets consumed by other countries. In terms of imports as a
percentage of total demand, 16.4% of Northern Cape total demand is imported.
According to LED Strategy, the province has comparative advantages in the following four
economic sectors in relation to the South African economy (in descending order):
a) Mining.
b) Agriculture.
c) Community services.
d) Transport and communication.
Key aspects of the the primary economic sectors of the Northern Cape are summarised in the
chapters below.
F.1.1 MINING SECTOR
The LED Strategy states that mining and quarrying is the most important economic sector in the
Northern Cape, contributing 21.5% to the GGP in 2008, and the industry revolves mostly around
the production of ores, minerals and semi‐precious stones (refer to Table F.4). The exceptional
mineral wealth of the Northern Cape Province has ensured the importance, both nationally and
internationally, of the province’s mining industry. All five district municipalities are affected by the
mining industry and mining plays an important role in their economic development.
The minerals economy of the Northern Cape is a hundred and fifty years old and the Northern
Cape produced in 2008 approximately 37% of South Africa’s diamond output, 44% of its zinc, 70%
of its silver, 84% of its iron‐ore, 93% of its lead and 99% if its manganese (PGDS). Prior to 1994,
the economy of the Northern Cape was confined mainly to primary mining activities, in which
diamond mining predominated.
Dennis Moss Partnership