Dube trade port corporate report electronic version

SIZE AND COMPLEXITY IN PIONEERING REHABILITATION

MESSAGE FROM MECMR MICHAEL MABUYAKHULU (MPP)02

ON A FASTER TRACKCHAIRPERSON’S REPORT04

A NEW FOCUS FOR SUCCESS: CEO’S MESSAGE06

CLAWING BACK A SHARE OF AFRICA’S AIR CARGO MARKET08

ACHIEVING TOP MARKS FOR SERVICE10

INDUSTRIAL LAND SALES FLY AT DUBE TRADEPORT11

LOOKING AT RAPID OFFICE GROWTH

CORPORATE REPORT RESEARCHED AND COMPILED BY LESLEY VAN DUFFELEN

12

16

STRATEGIC ENVIRONMENTAL PLANNING17

DUBE AGRIZONE PHASE TWO... LOOKING AT OPTIONS14

DUBE AGRILAB IN COMMERCIAL AGRICULTURAL R & D15

CLOUD OFFERING GIVES SMALL BUSINESSES AN EDGE18

A BASE FOR KWAZULU-NATAL’S IT RESELLERS TO GROW19

LEARNING AND ENVIRONMENT USED TO HELP COMMUNITIES 20

CONTENTS

Dube TradePort Report Card 2013/14 www.dubetradeport.co.za

Dube TradePort, the largest Greenfield Airport development in Africa

A modern airbridge connects Dube TradeZone to the Dube Cargo Terminal

An aerial view of the new King Shaka International Airport with a 3,7km runway, able to accommodate the world’s largest aircrafts

2840HECTARES THE LARGEST GREENFIELD AIRPORT DEVELOPMENT IN AFRICA

To stay competitive, businesses need accelerated capacity and efficiency. Dube TradePort was purpose-built to move more cargo, more efficiently – around the country and around the world… and to move your business forward.

www.dubetradeport.co.za

2 000 000EXPECTED ANNUAL CARGO

51

303.7

16

MINUTE

HECTARES

TONNES

AVAILABLE IN 2015TRAD

EZON

E

OF INDUSTRIAL LAND

120 000

03 MINOF BULK AVAILABLE FOR DEVELOPMENT IN

FROM DUBE CITY TO KING SHAKA INTERNATIONAL

DUBE CITY

GOAL BUSINESS FORWARDTO MOVE YOUR1

16 527EMPLOYMENT

SINCE 2007

01PURPOSE-

AIRPORT CITYIN AFRICA

FIRSTBUILT

PHASE 2:

SQUARE METRES

DRIVE FROM DURBAN CBD

THE LONGEST SEA-LEVEL

GLASSHOUSE GROWING AREA

KMRUNWAY IN THE COUNTRY

@ DUBE AGRIZONEHECTARES

DIRECTOPPORTUNITIES

DTP

CAPACITY BY 2060

MESSAGE FROM MEC FOR ECONOMIC DEVELOPMENT AND TOURISM, MR MICHAEL MABUYAKHULU (MPP)

02

In our Province we have a destination ideally suited to investment and business development.

In line with the National Development Plan, KwaZulu-Natal has initiated a Provincial Growth and Development Plan with a bold vision; to position our Province as the gateway to Africa by 2030.

Our Growth and Development Plan inspires economic growth, encourages local and foreign investment and improves market access. In essence, we are intent on creating an operating environment geared to sustainable economic development and the creation of new employment opportunities. Our strategic coastal location and world-class infrastructure have resulted in our Province being widely regarded as an idyllic tourism location and a leading conferencing,

business and investment destination, mirrored in the fact that KwaZulu-Natal is the country’s leading domestic tourist attraction and home to South Africa’s second largest economy.

Infrastructural development is key to KwaZulu-Natal’s significant - and growing - status as a strategically important region. We enjoy considerable comparative advantages; advantages we are developing in realising our vision and providing the stage for effective trade within South Africa and around the world.

We have two of Africa’s major seaports - Durban and Richards Bay - and manufacture a high proportion of South Africa’s exports here. Durban is Africa’s busiest port, while Richards Bay handles the biggest volumes of cargo in the country. The Strategic Infrastructure Programme 2: Durban-Free State-Gauteng Logistics and Industrial Corridor provides a fast-track link to South Africa’s primary economic hub, while the proposed Durban Dig-Out Port, south of Durban, will become a critical infrastructural asset, seriously expanding our import and export capacity.

KwaZulu-Natal is emerging as an economic powerhouse for 21st century business in South Africa.

MEC for Economic Development and Tourism, Mr Michael Mabuyakhulu at the breaking ground ceremony of Dube TradePort’s first private sector investor, Shree Property Holdings

The MEC at the official launch of Dube TradePort on 8 March 2012

Dube TradePort Report Card 2013/14

Construction of Watson Highway link road

Central to all our infrastructural expansion efforts is Dube TradePort - home to our new and ultra-modern King Shaka International Airport. Our biggest Provincial infrastructure development project to date is creating the platform for an expansion of trade, economic development, employment creation, export diversification and increased levels of investment. This airport city development is key to accelerated economic growth and, given its proximity to our seaports, is a catalyst for global trade and the gateway to improved connectivity between the Province and the world.

Dube TradePort is a purpose-planned airport city lying at the very heart of an emerging aerotropolis in KwaZulu-Natal and is a development poised to cement our position as a major player in the global supply chain.

Our world-class infrastructure and new developments serve to improve market connectivity, grow the business environment and position the region for an increased share of the global market, transforming KwaZulu-Natal into a crucial business gateway.

Unquestionably, the advent of Dube TradePort - coupled with our international airport, expanding seaports, leading

manufacturing hub and key logistics corridor to the hinterland - is successfully positioning KwaZulu-Natal as Southern Africa’s premier logistics hub; a hub with an enviable future for our business community.

In line with the National Development Plan, KwaZulu-Natal has initiated a Provincial Growth and Development Plan with a bold vision; to position our Province as the gateway to Africa by 2030.

03

The MEC officially opens the new AgriLab and Farmwise facilities at Dube AgriZone, August 2013

The MEC being interviewed at the Shree Property Holdings launch - a private sector investment of R460 million


MEC Mabuyakhulu, Minister Gigaba, National Minister of Public Enterprises, and Cllr Nxumalo, eThekwini Mayor, launch the Durban-Harare route in June 2013

The MEC, together with lab staff at the Dube AgriLab launch

Dube TradePort, conceptualised some 13 years ago as the KwaZulu-Natal Provincial Government’s contribution to enabling trade expansion, economic development, increased private and Foreign Direct Investment and job creation, was implemented in 2009/10, with the operationalisation of the new airport, during one of the world’s worst economic recessions. In spite of such challenges at inception, Dube TradePort’s appeal is clearly evidenced by keen private sector interest and a high level of investment in the four short years since.

“Dube TradePort has made enormous strides in this short period, demonstrating most welcome and rapid progress as there exists a number of projects with very long lead times,” says Dr Bridgette Gasa, Dube TradePort Corporation’s Chairperson of the Board.

A keen new focus and ambitious drive, initiated during 2013 across Dube TradePort’s five business areas has produced truly excellent results and generated renewed impetus as a positive consequence of heightened interest shown by the province’s business and industrial sectors.

The exciting game-changer on the horizon, is the eagerly anticipated declaration of Dube TradePort as a Special Economic Zone (SEZ).

The Special Economic Zones Bill has successfully passed through the National Council of Provinces and is proceeding to Parliament, with endorsement by Cabinet imminent. Thereafter, the final decision about Dube TradePort’s SEZ status vests in our President to gazette into law.

“The KwaZulu-Natal Provincial Government delivered a number of submissions related to the establishment of industrial economic hubs within the Province. Work on this front is ongoing and we, of Dube TradePort Corporation, look forward with anticipation to forming synergistic relationships with the identified Industrial Economic Hubs,” Gasa says.

Being an SEZ would significantly heighten Dube TradePort’s status because the programme, already an integral part of the National Government’s Strategic Infrastructure Project 2, would immediately elevate it to national status. In essence, this would mean that Dube TradePort would benefit from a variety of income streams, in addition to its own income earnings.

Dube TradePort Corporation’s 60-year Masterplan for the development of Dube TradePort, home to King Shaka International Airport, is poised to be realised sooner than originally anticipated.

ON A FASTER TRACKCHAIRPERSON’S REPORT

04

Chairperson of Dube TradePort Corporation’s Board, Dr Gasa, delivering her welcome message at the AgriLab/Farmwise launch in August 2013


Mr Ntshanga, Dr Gasa, MEC Mabuyakhulu, Minister Gigaba and Cllr Nxumalo launch the SA Express Durban-Harare route

Dr Gasa with staff at the Dube AgriLab and Farmwise Packhouse launch

Dube TradePort Corporation Board members, standing: Mr V Mtshali, Ms S van Coller, Mr G Muller and seated: Mr M Ramgobin, Dr B Gasa, Ms C Sibiya

Dr Gasa, Ms Mendes, MEC Mabuyakhulu and Cllr Mdabe at the official opening of Dube AgriLab

The KwaZulu-Natal Provincial Government would continue to own Dube TradePort Corporation and retain oversight of its operations.

“Tax rebates are among the many benefits for companies establishing themselves within an SEZ. There will be rebates for creating employment within specific age groups, as well as for various industrial sectors. Tax rebates are much sought-after by global investors seeking to maximise returns for every Rand invested,” she says.

Gasa believes that the pace of development at Dube TradePort would be much quicker if it were not for the ‘frustratingly slow pace’ of mission-critical Environmental Impact Assessment approvals, which are essential before progress can be made.

“This had affected the development progress of Dube City, which is yet to show signs of construction activity, although this is ‘not for the want of trying.’ On a more positive note and in spite of the challenges faced, Dube TradePort Corporation is indefatigable in its immediate quest; that is to sign-up a hotel operator,” said Gasa.

“Although environmental approval delays had also affected progress within Dube TradeZone, the organisation was exceptionally pleased with the phenomenal speed in the uptake of land here. Looking to fast-track matters, Dube TradePort Corporation has engaged with Government to assist in the need for environmental approvals. The National Department of Water and Environmental Affairs and the eThekwini Municipality are working with Dube TradePort Corporation to get these processes resolved,” said Gasa.

The organisation is understandably upbeat about the seven new industrial developments which are currently taking shape in the TradeZone, with manufacturing in the electronics sector, packaging and logistics forming the core of the latest investments. This has prompted the introduction of a specialised clustering approach.

Dube Cargo Terminal has recently progressed by ‘leaps and bounds’ and was ahead of its planned milestones. With a lot more expected, the facility is now likely to achieve its intended outcomes far sooner than anticipated in the Masterplan.

Further assisting in this regard was the recent announcement of a new airfreight carrier which is forging additional cargo links into Africa.

“This prospect adds impetus to existing cargo tonnage and already-forged inter-regional links, which is fantastic,” said Gasa.

Turning to Dube AgriZone which has also progressed exceptionally well, Gasa’s keen interest lies in ensuring that the local farming community in the Ilembe District benefits from the existence of Dube TradePort. Partnerships with neighbouring farmers are being forged in the creation of an agricultural logistical chain to the advantage of the community.

“This is important because we cannot have this beautiful airport city centre of excellence in a relatively poor geographical area without uplifting the entire Ilembe nodal point. The focus is on agriculture and the ICT capacity of Dube TradePort to influence and position the neighbouring areas and environment,” she said.

Dube TradePort has invested heavily in the development of internet and telecommunications connectivity through Dube iConnect. There is now a need to realise a Return on Investment from the provision of this strategic and world-class infrastructure. iConnect’s cloud offering is the only one of its kind in KwaZulu-Natal and holds immense potential for local business.

“As Government shapes up for an election, there is reassurance for business: Dube TradePort will remain true to the letter of the Masterplan and the plan will not change whether or not there is a change in the political field or governing boards,” says Gasa.

Another benefit for Dube TradePort, as a national priority, would be its ability to access the provisions of the new Infrastructure Development Bill, also currently before Parliament.

05


This is the mantra of Saxen van Coller, Dube TradePort Corporation’s Chief Executive Officer (CEO), and the daily focus for staff.Van Coller was appointed CEO in March 2013. The Dube TradePort Corporation Board says van Coller’s strength lies in her ability to turn around battling businesses and to take thriving businesses to new levels of success. Her secret lies in her talent of bringing operations, strategy and people together.

In terms of Dube TradePort Corporation, van Coller stresses that her appointment was more about taking a great existing business model and 10 years of planning and turning Dube TradePort into a serious player and key stakeholder in KwaZulu-Natal’s business environment.

Since taking up the reins, van Coller has focused on the precinct’s 60-year Masterplan and positioning Dube TradePort as KwaZulu-Natal Provincial Government’s flagship project, illustrating that private-public partnerships do work.

Theoretically the Government-owned Dube TradePort is playing in a private sector business space. The challenge for van Coller has been to instil in all members of staff a private sector business approach to their every action and activity.

“Vital for a successful and sustainable public-private partnership venture are sound business principles, good corporate governance, water-tight procurement processes and clean audits,” says van Coller.

From a business point of view, Dube TradePort offers a number of competitive advantages. A major differentiating factor is that this is a purpose-planned ‘Greenfield’ project. It enjoys excellent positioning surrounding King Shaka International Airport, is a 10-minute drive to two burgeoning areas - Ballito and Umhlanga - and has excellent infrastructure. This, coupled with an organisation’s intent on fulfilling its mandate and focused on facilitating development, has to be an ideal business proposition for any investor.

“It is precisely this competitive advantage that Dube TradePort is selling and that businesses and investors are buying into,” says van Coller.

Dube TradePort’s five business focus areas, Dube City, Dube TradeZone, Dube Cargo Terminal, Dube AgriZone and Dube iConnect have, in varying degrees, all enjoyed a successful 2013/14 financial year.

“We will be successful in this endeavour. We are a vehicle to bring the private and public sectors together.”

A NEW FOCUS FOR SUCCESS: CEO’S MESSAGE

06

Top: Saxen van Coller at the Shree Property Holdings launchBottom: The CEO, together with part of the Dube TradePort Corporation team

CEO of Dube TradePort Corporation, Ms Saxen van Coller


It is, therefore, not surprising that AgriZone Phase one is almost sold-out and Phase two, set to be an energy-efficient zone, is already at an advanced planning stage.

The local business community is showing tremendous appetite for the A-grade office space on offer in Dube City. About 60% of the available development sites have been taken up and, as soon as the Environmental Impact Assessment (EIA) process is complete, earthworks will start.

Business take-off at the Cargo Terminal, a singular cargo hub housing all the state entities required to process and protect import and export cargo, has until the 2013/14 financial year, been somewhat slow. However, a new focus, combined with competitive and cost-effective pricing and an aggressive search for freight partners is now paying dividends. Cargo revenue has grown 8% and, during the next three years, new African cargo routes will open, while efforts to encourage international carriers continue apace.

A three to five-year window exists for Dube TradePort to see real results that will enhance its position as a major force in the economy. Its success is about service delivery and the execution of world-class infrastructure.

In the longer five to 10-year time-frame, the goal is to ensure that Dube TradePort is at the heart of a successful aerotropolis and that the facilities that have been built are an excellent match for the environment. To achieve this, van Coller is categorical that the facilities need to be sustainable, synergistic and supportive of business, while being environmentally sensitive and capable of enhancing the local communities within the Province’s northern development belt.

This period, in particular, has realised significant private sector business uptake in both Dube TradeZone and Dube AgriZone, effectively beginning the overall precinct’s transformation from an infrastructural development to a highly competitive business operating environment.

“The TradeZone has been an absolute catalyst and a win for Dube TradePort,” says van Coller. Phase one of the TradeZone is expected to yield as much as R1 billion in private sector investment. All this has been achieved within the space of just 24 months.

Its success and the demand for industrial land have resulted in Phase two of Dube TradeZone being brought forward by as much as a year. Although not yet launched, Dube TradePort is already in talks with potential developers, which has resulted in 40% of the zone being reserved.

Dube AgriZone, described as a forward- thinking agricultural business model by van Coller, includes a mix of tenants and infrastructure that positions it as an end-to-end facility from laboratory plant propagation and greenhouses, to on-site produce packaging and refrigerated air and road transport.

Dube iConnect, Dube TradePort’s infrastructure data centre providing cloud storage, is unique to KwaZulu-Natal and keen private sector use of the facility has placed it in an improved financial position in 2013/14.

07

Top: View of Dube TradeHouseBottom: Dube TradePort’s CEO with some of their key stakeholders who have contributed to the Corporation’s vision

Dube TradePort Corporation’s Head Office, 29 o South


CLAWING BACK A SHARE OF AFRICA’S AIR CARGO MARKET

08

The organisation’s persistence, during the past three years to open African skies to KwaZulu-Natal’s air cargo, is paying dividends.

First there was Emirates, a daily passenger and cargo flight to Dubai, then an agreement with South African Express and Air Mauritius and now newcomer, Khuphuka Kings Airways has announced its introduction of cargo flights to Zambia and the Democratic Republic of Congo. And more routes are on the cards.

Khuphuka Kings Airways will fly two ILyushin 76 aircraft, capable of carrying 46 tonnes of cargo and one Antanov – AN12 aircraft, capable of carrying 20 tonnes of cargo.

These aircraft provide sufficient carrying capacity to transport any cargo into Africa. Kenya Airways, in its global planning, has scheduled a route to Durban for the 2016/17 financial year.

These achievements are challenging South Africa’s air cargo status-quo. “We are starting to see increasing interest in the direct routes to Africa from Dube TradePort, especially from cargo owners and exporters. Business is asking questions about why cargo needs to be transported to Gauteng when it can be freighted from KwaZulu-Natal.”

Africa is acknowledged as the world’s second-fastest-growing region and, according to McKinsey and Company, poverty in Africa is falling, while around 90 million of its households have joined the world’s consuming classes - an increase of 31 million in a little more than a decade.

In the past year this was the only region in the world, other than the Far East, where air cargo has shown substantial growth. According to the International Air Transport Association’s (IATA) 2012/13 Annual Report, airfreight flows within Africa saw one of the strongest expansions, followed by trade lanes between Africa and the Middle East and Asia.

Annually 47 million tonnes of goods are transported globally as air cargo, and Dube TradePort Corporation is determined to capture a greater share of the African air cargo growth.

Emirates increases its capacity by 50%, with the introduction of the Boeing 777 aircraft


According to the report, robust economic growth and investment in these regions and the recent development of new trade lanes on an extended version of the central Asia market assisted in boosting regional airfreight flows in 2012.

“We will focus on this growth on our doorstep in terms of growing cargo and passengers to and from KwaZulu-Natal,” says Petko Atanassov, Dube TradePort Corporation’s Senior Manager: Cargo Development, Operations and Security.

This is far easier said than done. During the 2012/13 financial year, air cargo volumes at Dube Cargo Terminal shot up 36%. Volumes on the main Durban-Dubai route were 8% below budget during the 2013/14 year and are expected to remain at this level until 2015. Nevertheless revenue for the year ending 2014 is up 23%.

Key to success is breaking existing perceptions within the industry and finding alternatives to the formation of tight alliances between major carriers.

Dube TradePort Corporation’s clearly defined cargo strategy focuses on attracting non-alliance airlines to fly dedicated air-freighters from King Shaka International Airport, creating specific cargo routes and providing local business with efficient time and price-sensitive air cargo opportunities, thus bringing the rightful air cargo share to the Province.

Currently Dube TradePort Corporation has 21% of the perceived KwaZulu-Natal air cargo market. Close to 80% of the Province’s air cargo is freighted through OR Tambo International Airport because of KwaZulu-Natal’s lack of air connectivity, especially to sub-Saharan Africa.

This puts businesses in KwaZulu-Natal at a disadvantage in terms of both time efficiency and higher logistics costs for import and export cargo, which must be trucked, flown or railed to OR Tambo International Airport. Local products become less competitive, creating a case for business to relocate to Gauteng which, ultimately creates a disadvantage for economic growth and job creation in KwaZulu-Natal.

The enormous growth in passengers from KwaZulu-Natal on Emirates is also an example of people voting not to pay the cost of the additional travel leg to Johannesburg to connect to international flights.

The focus on air cargo is not being undertaken at the expense of increasing passenger numbers.

Rather, the thinking, says Atanassov, is to seek routes which could, in future, be converted to mixed-use operations, including passengers, which would be an added advantage for the Province in terms of business travel and tourism.

09

Building air connectivity

Creating business

development opportunities

Providing investment

opportunities for local

business

Job creation

PerformanCe

SCore

Modern equipment results in the efficient handling of cargo and fast turn-around times at Dube Cargo Terminal

In a scenario where global economic growth is strengthening, powered primarily by robust emerging markets, aviation’s role as a catalyst for economic growth has never been clearer.

Developed economies desperately need economic growth. It is the only way out of the fiscal crises they face and aviation is a critical link to facilitate trade with economies that are expanding, says the IATA.

In KwaZulu-Natal, Dube TradePort Corporation is driving this critical air connectivity.

A 54 tonne acid cooler loaded on an AN-124 Antonov at Dube Cargo Terminal


ACHIEVING TOP MARKS FOR SERVICE

10

Job creation

Creating world-class

infrastructure

ensuring service delivery

Driving business growth

PerformanCe

SCore

With the African aviation industry’s less than satisfactory record, this may seem like quite a statement to make, but the records speak for themselves.

Measured on a variety of parameters, including safety and security of cargo, import and export processes and cargo turn-around time, Dube Cargo Terminal continues to achieve 100% satisfaction on its Service Level Agreements with airline operators. To date it is the only station in Africa with this achievement and it has maintained a proud record of zero pilferage and theft since opening in 2010, says Petko Atanassov, Dube TradePort’s Senior Manager: Cargo Development, Operations and Security.

Atanassov says the intention is to make Dube Cargo Terminal the preferred facility for importers and exporters in the Southern African region. The Cargo Terminal is one of the most technologically advanced facilities of its kind in Africa. It is the only cargo facility in Africa specifically designed and operated with air cargo security in mind, provides a seamless operation which meets global operational standards and which is directly linked to major commercial centres by a dedicated trucking service, Dube AiRoad.

Further enhancing Dube TradePort Corporation’s reputation as a centre of aviation excellence is the planned development of a Dube TradePort airside platform.

This will comprise an aircraft Maintenance and Repair Operations (MRO), which will enable operators to maintain aircraft in Durban rather than flying to OR Tambo International Airport; a corporate/business aviation hub managed by a soon-to-be-appointed fixed-based operator, hangars and a helicopter pad. Every effort is being made to fast-track this airside facility, which forms part of the development of Dube TradeZone Phase two.

An extension to the Cargo Terminal, enabling the processing of 20ft air containers and larger consignments - which is an important part of the freight operation - is complete and ready to handle these air containers.

Another major project presently underway is the construction of a taxiway, which will connect Dube TradePort’s airside platform with King Shaka International Airport’s taxiway network and runway.

KwaZulu-Natal-based exporters, who use Dube Cargo Terminal enjoy a competitive advantage, created through a well-located, planned and dedicated freight-handling facility. These include planned increased access to markets through an air cargo strategy, lower land transport costs through Dube AiRoad, quicker delivery times and shorter dwell times which lower inventory costs, as well as increased security of consignments as a consequence of the design and operation of the Cargo Terminal.

In addition to excellent security, Dube Cargo Terminal provides for a one-stop, on-site regulatory services environment, comprising Port Health, Customs, Border Police, the Department of Agriculture, South African Police Services and Perishables Products Export Control Board.Since its inception four

years ago, Dube TradePort Corporation’s 14 000 square metre Dube Cargo Terminal, located close to the airport’s passenger terminal, has continued to exceed customer expectation.

Keeping to its stated intention to pay greater attention to the needs of shippers, with a view to re-pricing their lift out of Dube Cargo Terminal, Dube TradePort Corporation’s cargo handling charges are still 30% lower than its competitors, in spite of an 8% increase during 2012, says Atanassov.

Petko Atanassov, Senior Manager: Cargo Development, Operations and Security, together with some of the Dube Cargo Terminal team


INDUSTRIAL LAND SALES FLY AT DUBE TRADEPORT

11

This was all achieved within the space of 24 months. The greater than expected take-up of land and the extent of Foreign Direct Investment has encouraged the organisation to fast-track its future land releases. Moreover, six months ago there was one crane working at TradeZone Phase one. Now 24 sites are under construction.

As an interim measure, an already zoned smaller four-hectare site is being serviced and will be brought to the market towards the end of 2014, while the zoning process for the 183-hectare Dube TradeZone Phase two and Ushukela Precinct (Phase three) has been brought forward by a year.

Although the launch of TradeZone Phase two is still a year away, 20 hectares of it has already been reserved for the planned second phase expansion of an international manufacturing facility.

“Seven new developments in major industries are setting-up in the TradeZone. We are very pleased that we were able to secure the investment we did. It is a strong indicator of the value of Dube TradePort Corporation’s investment proposition,” says Hamish Erskine, Dube TradePort Corporation’s Property Sales Executive.

Manufacturing in the electronics sector, packaging and logistics have been the focus of the latest investments, causing a swing in the approach being taken to the development of Dube TradeZone.

A sector clustering approach is underway. This concentrates on encouraging and supporting inter-firm collaboration, institutional development and support in targeted industrial sectors that offer the most local economic development potential.

“We are currently investigating the development of an electronics cluster. A number of key electronic investments are coming into the zone and, with the potential of Special Economic Zone status, we are exploring the supplier linkages in this sector across a wide range of businesses, with an emphasis on export and air freight usage,” says Erskine.

Within the electronics sector two, 12 000 square metre facilities under roof - with room to expand - have been leased to international companies. One of these is involved in a Joint Venture with a South African company for the manufacture and assembly of components.

Adjacent to this, a 25 000 square metre site, with 15 000 square metres under roof, has been taken up by a major European freight forwarding and logistics company on a long lease to a South African developer constructing the warehousing.

Two packaging companies have established themselves in Dube TradeZone, providing the possibility for the creation of a packaging and repackaging cluster around this major value-adding sector.

Consumer product manufacturing is another opportunity being explored.

In 2012 Durban-based, Shree Property Holdings, a property development and logistics business, leased 23 sites, totalling 125 000 square metres in Dube TradeZone Phase one and invested more than R475 million in facilities. It also intends to invest extensively in the second phase.

To date Shree Property Holdings has completed a 12 000 square metre logistics warehouse, which will be occupied by the Imperial Group, as well as a 2 500 square metre facility for Rossi. It is also currently in the process of completing a 12 000 square metre manufacturing facility which willbe followed shortly by a second similar development.

Erskine believes Dube TradeZone’s position close to King Shaka International Airport and Dube Cargo Terminal, combined with potential Special Economic Zone status, makes Dube TradePort the ideal location for companies importing materials for manufacturing and exporting finished products.

In spite of the intention to create sector clusters, this does not preclude other suitable businesses from finding a home in Dube TradeZone, as sufficient land is coming on-stream to cater for all-comers in the future.

With sold out signs on Dube TradeZone Phase one, Dube TradePort Corporation has turned to bedding-down the zone. “It is important to get a well-functioning precinct going. We are nurturing relationships between existing clients and creating synergies where possible,” says Erskine.

“We want to establish Dube TradeZone as a zone of choice by providing excellent long-term support for our investors,” he says, making it clear that Dube TradePort Corporation should not be regarded as a generalised property developer, but rather an enabler of development.

Interest from local and international listed manufacturing enterprises has driven demand for industrial land at Dube TradePort, with investment topping R1 billion already earmarked for Dube TradeZone Phase one.

Warehouse facility at Dube TradeZone

Dube TradeZone provides prime real estate for manufacture and warehouse facilities

attracting foreign Direct

Investment

opening business

opportunities

Job creation

Providing opportunities for

local business

PerformanCe

SCore


LOOKING AT RAPID OFFICE GROWTH

12

The 12-hectare Dube City is a vibrant, cosmopolitan work, play and stay destination just 1km from King Shaka International Airport’s international passenger terminal, 3,3 km from the N2 and 1,8 km from the R102. Offering fully serviced sites with development rights, Dube City is zoned Special Zone 10 (airport).

Special Economic Zones around the world always include a central node with offices, commercial outlets and hotels and this is how Dube City is being positioned. It is a priority for this zone to service the industrial node, providing head office or regional office space, for which there is a natural market demand from a convenience point of view.

A clear example of this is Dube TradePort Corporation’s head office, 29° South, which is fully tenanted with three of the developers from Dube TradeZone taking up office space. It makes sense for developers and investors in the TradeZone to establish their head offices in Dube City, says Hudson.

Also in the tenant mix is the Calypso Group’s 300-seater conference centre, along with a restaurant, coffee and wine bar. The conference centre, which took six months to bring to fruition, is a big improvement at Dube City over the past 12 months. As a destination venue, it is bringing in outside people who not only use the facilities, but are also discovering Dube City for the first time.

Pointing out that Dube City is halfway between Durban’s two fastest growing areas - Ballito and Umhlanga - has burgeoning urbanisation behind it in Tongaat and Verulam, through to Cornubia and Phoenix, as well as some quality residential developments on the eastern side of the M4,

Hudson says the positioning ‘right in the centre of all of this is incredible.’

There is a lot on the cards and anticipation is that 2014 will be a momentum shifter. Hudson also believes that there will be some relocation from Umhlanga Ridge by those who are looking for a smaller node closer to home and with less traffic.

But, the primary objective is to accommodate growth from Dube TradePort-linked investments. With Dube City consisting of just 10 blocks, there is really not very much to develop. Three of the sites are to be developed as parkades, which enable developers to supplement the bulk on their sites and removes the need for developers to build expensive underground parking. For Dube City it is important to get one parkade in place initially to provide public parking.

Dube TradePort is looking to invest some of its own capital in lead infrastructure. To this end, it has built its own head office block and intends to build another as they attend to people looking for space on a daily basis.

Of the remaining six blocks, a hotel is earmarked for the site directly opposite 29° South. Late last year Dube TradePort Corporation awarded a tender to a design team to work on the drawings for the double basement.

Dube TradePort Corporation is under no illusion about the difficulty that its Dube City faces in competing with the popular office estates of Umhlanga Ridge. “However, when people realise the excellent facilities and great position we have here, they will be interested,” says Tim Hudson, Dube TradePort Corporation’s Senior Manager: Sales and Product Development.

Hamish Erskine, Dube TradePort Corporation’s Property Executive, together with Tim Hudson, Dube TradePort Corporation’s Senior Manager: Sales and Product Development

View of 29 o South, Dube TradePort Corporation’s Head Office


13


infrastructure


Investment


business growth

Creating space for new

developments


Smmes

PerformanCe

SCore

The organisation’s R100 million investment in this underground parking will provide it with long-term annuity income, as well as land lease income, whilst also kick-starting the next major development in Dube City.

Assisting the hotel development process still further, Dube TradePort Corporation, in January, combined a design team, together with the hotel development team, to work on integrating the underground and top structures. In terms of the hotel’s time-lines, the plans for the double basement are to be submitted to the Municipality in April 2014. The approval process is expected to take around four months and the start of construction is expected in August 2014. Another three planned office developments are progressing well with different developers under a Memorandum of Understanding or Reservation Agreement. The developers have submitted proposals to Dube TradePort Corporation and are looking for tenants. Final agreements with the developers are being negotiated so that they can ‘push the button’ with Dube TradePort as soon as anchor tenants are signed-up.

In addition to the underground hotel parking, Dube TradePort Corporation is planning to invest in another office block which could include a call

centre, for which there have been a lot of requests. This would provide the organisation with long-term annuity income. “If we have the capital now to invest, we can create an income stream to ensure long-term self-sufficiency and if the market is right, it makes sense for us to do it,” says Hudson.Dube TradePort Corporation’s new office development has started as an internal design process. A tender is soon to be issued for a professional team to put life into its vision and provide the ground work to take the concept to the drawing and pricing stage. “Dube TradePort is not just investing because it has the money,” says Hudson. This will be a commercially viable development as they have completed a market study and business plan to ensure that they know what the returns will be.

He believes that the hotel and Dube TradePort Corporation’s own office development will be the catalyst for the precinct. When people see the cranes for the hotel construction and one of the other blocks going up, it will create a lot of momentum.

Dube TradePort Corporation’s Property Operations team, who work diligently to ensure that Dube TradePort’s facilities and equipment are in prime condition

Aerial view of Dube City: incredible potential for new business, leisure and retail developments

The Dr JL Dube statue, in Dube Square, is an embodiment of the legacy of the hero who worked audaciously at developing a future for the people of KwaZulu-Natal


Dube City is the next generation retail, hospitality and business precinct – a purpose-planned airport city close to King Shaka International. And a city built to connect you to the world… and move your business forward.



03MINUTES FROM AN OFFICE AT DUBE CITY TO

KING SHAKA INTERNATIONAL AIRPORT

30MINUTESFROM DURBAN

CBD

10BLOCKSTO DEVELOP

& RESTAURANT60YEAR

MASTERPLAN

300

3 COMING SOONHOTEL

120 000SQMOF BULK TO DEVELOP

SEATERFULLY EQUIPPEDCONFERENCE CENTRE

ZONED FOR

RETAIL AND HOSPITALITYBUSINESS

DUBE AGRIZONE PHASE TWO... LOOKING AT OPTIONS

14


Investment

Job creation

Providing world-class

infrastructure

Creating opportunities for

local businesses

PerformanCe

SCore

Mlibo Bantwini, Dube TradePort Corporation’s Executive: Dube AgriZone, together with the Dube AgriZone nursery and rehabilitation teams

“Dube AgriZone has had some interesting responses to its open call for proposals for Phase two projects, but few have met the stringent criteria,” says Mlibo Bantwini, Dube TradePort Corporation’s Executive: Dube AgriZone.

These criteria include concepts that differ from those already developed in AgriZone Phase one, require local economic development of the surrounding local small-scale farming community, are export-focused and create employment.

One of the proposals being considered is a four-hectare aquaculture production

enterprise which, when fully operational, is expected to produce 300 tonnes of fish per annum for export. The fully grown fish would be harvested and packaged on site.

Bantwini says the potential operator has raised some of the investment and has a purchase agreement with a buyer from the Far East. The project is a zero-waste concept based on aquaponics, which is producing crops and fish in a self-contained system. Other proposals will be evaluated by the end of the financial year.

“Design engineers for Dube AgriZone Phase two were appointed last year and the projects, once decided upon, will inform the design of the zone and feed into the EIA process,” says Bantwini.Also planned for AgriZone Phase two are production facilities, plastic greenhouses and tunnels that are not as high-tech as those in Phase one, and will be leased on a 30-year basis. The reason, according to Bantwini, is they are temporary in nature as they will be constructed on the site, ultimately intended for the airport’s second runway. Distribution and packaging facilities similar to that being used in AgriZone Phase one are also on the cards.

On the greening front, AgriZone Phase two, in conjunction with an international private sector company and the University of KwaZulu-Natal, is investigating waste-to-energy options. One of these options involves the installation of an anaerobic digester to compost green waste. On average, five to eight tonnes a day of organic waste material is produced in the 16-hectare greenhouse operation.

“Green waste is by far the largest by-product and costs our operation as we are paying to have it transported to a composting site daily. Savings could be had if this was processed on site and produced energy,” says Bantwini.

The digester is a capital-intensive investment and Dube AgriZone will need to partner with other institutions should the project prove feasible.

The challenges being faced by agriculture, from higher labour and transport costs to high input costs, such as that of fertiliser, which has been affected by the Rand, have impacted Dube AgriZone’s fresh produce growers, which have seen crop prices plummet.

However, the impact on Dube AgriZone Phase one farmers could have been worse had it not been for the solar energy system powering the greenhouses, as well as the rainwater harvesting and recycled irrigation water system. In January alone one of the operators saved R140 000 on electricity by using solar energy, and the green initiatives being considered for AgriZone Phase two will further assist farmers.

Dube AgriZone Phase one constitutes an end-to-end facility, inclusive of the Dube AgriLab for plant tissue culture, greenhouse production and a packaging station. The highlight of its 2013 year was Farmwise, a fresh produce and salad packaging company, becoming fully operational.

Dube TradePort Corporation’s 90-hectare AgriZone Phase two is readying for take-off as soon as its Environmental Impact Assessment (EIA) process is complete, although only a third will be developed to start with.


DUBE AGRILAB IN COMMERCIAL AGRICULTURAL R & D

15

NovaCane®, one of the plant varieties produced at Dube AgriLab

Mlibo Bantwini, Dube TradePort Corporation’s Executive: Dube AgriZone and Marieke Mendes, Senior Manager: Dube AgriLab, with the Dube AgriLab team

Dube AgriLab, launched in 2013, is fully operational and expecting an exciting year, with a number of research and development projects that have enormous potential for the agricultural industry. Topping Dube AgriLab’s highlight list is the bio-reactor unit it is installing to enhance its plant culture capacity. This temporary emersion system, on trial for the sugar industry, is pioneering technology for South Africa. “Although the technology has been available world-wide for the past five years, its use is scattered,” says Marieke Mendes, Dube TradePort Corporation’s Senior Manager: Dube AgriLab.

It should provide a faster and less labour- and medium-intensive method of producing plants, thus speeding up plant delivery while reducing labour and input costs. If it proves successful, it could be used on other plant varieties.

“We are undertaking in-house research and development for a new technology to grow Macadamia nut trees from tissue culture. The Macadamia has become very popular and is currently the commodity showing the biggest growth, especially in KwaZulu-Natal,” says Mendes.

The concept is to take micro cuttings and inoculate them in a special growth medium. It is the recipe for this growth medium and the sterilising of the plant that the AgriLab is developing. For the commercial forestry industry, the lab is also researching a ‘recipe’ for Eucalyptus and Pine tree culture. “Breeders have selected new varieties of these trees and we are useful for bulking-up the young plants of these new varieties, after which they will continue with the normal practice of taking cuttings,” she says.

There is a lot of demand from high-value clients, such as those in the forestry industry. “A major project and one of the most exciting in the pipeline that will provide huge volumes for Dube AgriLab is that of producing bamboo shoots for a biomass-to-energy project,” says Mlibo Bantwini, Dube TradePort Corporation’s Executive: Dube AgriZone.

The project is being undertaken by a South African company that intends to replace its imports of the Indian-bred Beema Bamboo cultivar, which is digested for the production of power.

The bamboo is interesting in that it is a high carbon sequestrator, meaning it uses up carbon, thus contributing to the carbon neutral status of those companies that grow it. Dube AgriLab is expecting to grow 2,5 million bamboo shoots a year.

Growing young plants from tissue culture for the banana industry is also on this year’s project list. Bananas are one of those crops that are very susceptible to disease and for this reason most farmers have moved to tissue culture to ensure they only use disease-free plants. A limited number of seasons can be had from a single crop of plants before clean, disease-free material is required and the AgriLab aims to supply this.

Dube AgriLab expects to produce a million plants during the 2014/15 financial year, doubling this capacity in 2015/16. When at full capacity, the lab has the capability of producing five million plants a year.

Investing in skills

development


infrastructure

Stimulating the agricultural

sector

Introducing cutting-edge

technology to South africa

PerformanCe

SCore


SIZE AND COMPLEXITY IN PIONEERING REHABILITATION

16

environmental

preservation and

rehabilitation

The protection of

endangered wildlife

fostering public-

private participation

PerformanCe

SCore

In all, there are at least 23 different species of frogs in the Dube TradePort area, including the critically endangered Pickersgill’s Reed Frog, as well as the vulnerable Spotted Shovel-nosed Frog.

According to environmental specialists assisting the Dube TradePort Corporation, the restoration and rehabilitation of 500 hectares of its land probably rates as the largest, most complex undertaking of its kind in KwaZulu-Natal. Further, it has set the ecological bar high with its proactive commitment to land restoration, precinct-wide alien removal and land rehabilitation.

“This programme is very complex in terms of its size and range of habitats being rehabilitated or restored. Many of the things being done here have never been done before, so pioneering work is being undertaken,” says David Styles, Specialist Botanist contracted to the project. The programme encompasses three main vegetation-types, including forest and wooded areas, grassland and wetlands. A major focus is restoring grassland.

Under Styles’ supervision, alien vegetation is being cleared out, more than 180 different indigenous plant species on the property have been recorded and, with special permission, seed collected and grown in both AgriZone and Tongaat Hulett nurseries is now ready for planting.

Indigenous tree planting has been ongoing for 18 months and shortly the major part of the organisation’s Rehabilitation and Restoration Programme - the grassland planting - will start.

Dube TradePort Corporation is waiting for a specialised University of KwaZulu-Natal-designed planter, which is being made for the job, to be delivered. There is only one other planter of its kind available in the country, but it is being used in the mining industry.

While rehabilitation is an ongoing aspect of environmental compliance, the organisation’s environmental team is being proactive in driving the project and ensuring that extensively more than the bare minimum is achieved.

For Jeanne Tarrant, the rehabilitation programme is a blessing for the approximately 2 000 Pickersgill’s Reed Frogs that inhabit the Mt Moreland wetland as invasive alien species threaten the frogs’ natural habitat.

“Prior to the Dube TradePort development, the vegetation was poor and degraded as a result of previous farming. While it might be argued that the infrastructure development had detracted from the previous open space, the natural habitat being re-developed is of significantly better quality than that which existed before construction,” says Styles.

“This project is so important. Not only will it recreate habitat that once occurred, but will add to the amount of better quality grassland on the KwaZulu-Natal coast, where it has been mostly destroyed and is now endangered.

This project is, therefore, important not only for Dube TradePort, but in a Province-wide context. Dube TradePort Corporation has made a considerable investment in this programme and is following through with these commitments,” maintains Styles.“Birds, in particular the Barn Swallows that use the Mt Moreland wetlands as something of a ‘motel’ for roosting only, are also benefitting from the rehabilitation. Numbers at the roost depend largely on the availability of food. If there is no food the birds will move on to richer areas,” says Angie Wilken, Chairperson of the Mt Moreland Conservancy Committee.

Wilken, who has raised the profile of the barn swallows at Mt Moreland and is working with Dube TradePort Corporation on its rehabilitation programme says the clearing of invasive aliens is having a brilliant effect. An increased number of other birds - including several rare birds in isolated numbers - and butterflies have also been appearing on the overall site.

All this may be attributed to the development of the airport and surrounding Dube TradePort development providing open spaces/grasses and protection (security fencing around the site).

Ultimately, the conservationists would like to see more and may see some of their wishes come true. Dube TradePort has identified areas to rehabilitate off-site, as all Dube TradePort land leads up to the wetlands. A proposal and budget have been submitted for extending the Rehabilitation and Restoration Programme into the Mt Moreland wetland area, home of the endangered frogs, and additional land around Lake Victoria has been purchased for restoration purposes.

For thousands of frogs at Dube TradePort, Friday,28 February, a national frog awareness day - Leap Day - passed unnoticed. But that’s not to say that nobody is looking out for them.

The Dube Rehab team working on-site. Over 600ha of land will be rehabilitated by 2015

Re-introducing indigenous vegetation to preserve the precious ecosystems that support our wildlife


To account for its environmental impacts, in addition to mandatory environmental compliance monitoring, the organisation undertakes an Annual State of the Environment Report to gain insight into the state of its natural resources.

“In addition to all applicable South African environmental legislation, Dube TradePort Corporation, as an organisation, applies international best practice for all development applications,” says Owen Mungwe, Dube TradePort Corporation’s Executive: Development Planning and Infrastructure.

Working with key strategic partners and relevant authorities, such as Ezemvelo KZN Wildlife and the Endangered Wildlife Trust, DubeTradePort Corporation has been able to identify key environmental issues and potential mitigation measures. These include environmental stewardship, mitigation off-sets and indigenous landscaping.

“Responding to water supply issues and climate change phenomena, Dube TradePort Corporation has developed a Water Demand and Consumption Plan, as well as a Carbon Management Strategy, in addition to its Rehabilitation and Restoration Programme.”

“In addition to key strategic partners and relevant authorities, the organisation recognises the importance of innovation and research as pillars of sustainable development. For this, we are working with the University of KwaZulu-Natal’s Department of Environmental Engineering to develop design tools for a Green Industrial Park within the Dube TradeZone precinct,” says Mungwe.

“While this is a new business concept, climate change and the shift towards a ‘green’ economy in South Africa requires a systems approach to development design. We are excited with the potential collective benefits for ourselves, investors, the University and the community,” he says. With a combined 520 hectares of commercial and industrial land to bring to the market in the next five years, Dube TradePort Corporation’s environmental performance is going to be a standard by which the organisational business performance is measured in terms of sustainability indicators.This will also depend largely on the regulatory and statutory approvals for the current Environmental Impact Assessment applications.

STRATEGIC ENVIRONMENTAL PLANNING

17

The organisation has developed a long-term Environmental Strategy that includes its tenants and suppliers in terms of integrated waste, water and energy management and conservation.

environmental preservation

and rehabilitation

Job creation and poverty

alleviation

Creating sustainable

developments

Building critical

infrastructure

Local community

engagement

PerformanCe

SCore

Owen Mungwe, Dube TradePort Corporation’s Executive: Development Planning and Infrastructure, breaks ground on new infrastructural projects

“From the very outset, Dube TradePort Corporation has upheld the need for environmental sustainability. In balancing corporate gain and environmental preservation, the organisation is committed socially and environmentally to responsible development,” says Saxen van Coller, Dube TradePort Corporation’s Chief Executive Officer.


CLOUD OFFERING GIVES SMALL BUSINESSES AN EDGE

18

ensuring service

delivery

Providing critical

resources to grow

business

King III-

compliant

PerformanCe

SCore

The data centre, or cloud infrastructure service as it is also known, is available for all companies and provides full visibility, a 99,99% uptime Service Level Agreement, data security, highly trained staff and enables companies to meet King III requirements for data recovery and business continuity in the event of a disaster.

Dube iConnect’s cloud meets the mandate for local data storage in terms of the King III Report and other legislation that

makes company CEOs and Boards liable and accountable for their data. Storing it locally gives them that control.

“The question always arises as to why Dube TradePort Corporation provides a Data Centre? The answer is simple... ICT, in terms of infrastructure is the same as electricity, water or road infrastructure,” says Hamish Erskine, Dube TradePort Corporation’s Executive: ICT.

“Nowadays, to have a property zone that is competitive, able to attract the best businesses and able to provide the best operating environment, a developer needs to ensure that it has invested in connectivity. We chose the route of not outsourcing as we believe this is a basic long-term offering in the same way as we would roll-out any other infrastructure,” he says.

For business, there is an enormous requirement for secure data storage, processing, back-up and disaster recovery of data because so much of companies’ critical information is digitally secured today. The rapid roll-out of broadband globally has meant that there is less requirement for data to exist on a device in the office, as it can be managed from a centralised location.

During 2013, Dube iConnect, primarily a telecoms, voice and broadband internet provider operating under licence from ICASA and aimed at Dube TradePort tenants, launched its Data Centre infrastructure services.

A company can now choose to invest heavily in its own data storage system or it can choose to buy space on an operating expenditure model, from a third party, such as Dube iConnect with its sophisticated infrastructure.

“The general trend of backing-up information on the cloud is driving its use. For example, Amazon Web Services is currently the biggest cloud provider and they estimate that as much as US$750 million uptake of cloud data storage is expected in the US market in 2015,” says Erskine.

Dube iConnect recognises that many companies have invested heavily in in-house data storage and so aim to offer businesses the opportunity to migrate over a period of time. Dube iConnect provides rack space for the client’s equipment in its Data Centre and when the client decommissions the equipment, Dube TradePort Corporation is able to offer a virtualised environment and one in which the customer may enjoy a substantial cost saving. Dube iConnect’s aim is to achieve full tier 3 accreditation so as to offer the business community world-class data storage services.

SERVICE PROVIDERGATEWAYS

FIBRE-BASED


A BASE FOR KWAZULU-NATAL’S IT RESELLERS TO GROW

19

The Dube iConnect team members who work tirelessly to ensure that they deliver their promise of 99.99% uptime to their clients

Dube iConnect’s on-site equipment

“It is in this reseller market that Dube iConnect is realising its growth which, for the year ending March 2014, is 82,7%,” says Steve Johnson, Dube TradePort Corporation’s Key Accounts Manager: Dube iConnect.

The unique model enables resellers to sell Dube iConnect data storage as a base and enhance the offering with their own specialised services.

“As an example, one reseller will, in March, launch a product it has developed that achieves a desktop in the cloud, so you can

run your entire office, including Pastel, from your phone, Windows machine, iPad and so on,” says Johnson.

“We were building this ICT infrastructure for our own purposes. Dube iConnect was providing voice and data and we predicted where the market was going. Therefore, the next logical choice was a data centre equipped to meet the economic development objective across the board in KwaZulu-Natal,” says Hamish Erskine, Dube TradePort Corporation’s Executive: ICT.

“Dube iConnect is now in a position to empower small to medium enterprises to deliver cloud-based services, while Dube iConnect provides the infrastructure, so we are not competing in the same space,” says Erskine.

Two years ago, when Dube iConnect was starting on its Data Centre journey, it met a company planning to set up the same thing. That company had R250 000 for hardware, from which it planned to sell basic cloud storage.

“We asked if they would like to see our Data Centre and if they would like to become a reseller. They did and they now have a successful business without having to spend that money. With the infrastructure that we have, our resellers are able to see a return immediately.”

“Our job is to stimulate the KwaZulu-Natal economy and this data centre has given us the opportunity to encourage businesses to flourish, creating jobs and getting ahead of the market,” says Erskine.

In the space of a year, Dube TradePort Corporation’s Dube iConnect operation has assisted nine small- to medium-sized reseller enterprises to break into a competitive environment, offering services equal to those of big data centres, at a cost-effective rate.


Small, medium and

micro-sized enterprises

Development of critical

ICT infrastructure

Job creation

PerformanCe

SCore


LEARNING AND ENVIRONMENT USED TO HELP COMMUNITIES

20

Community upliftment

Public-private

participation

Skills transfer

Poverty alleviation

PerformanCe

SCore

Bonginkosi Mthembu, Dube TradePort Corporation’s Executive: Human Resources and Support Services, together with Solomon Nkosi, CSI Project Leader

The main focus areas of the multi-faceted programme are education and skills development, environmental sustainability and socio-economic development, which is aligned to the National and Provincial Government’s strategic goals, says Bonginkosi Mthembu, Dube TradePort Corporation’s Executive: Human Resources and Support Services.

On a tertiary level, a bursary programme for engineers, piloted with the University of KwaZulu-Natal, is being extended to other tertiary institutions in the Province, such as Mangosuthu University of Technology and the Durban University of Technology. When graduates selected for the organisation’s bursary programme complete their studies, they will complete in-service training with

Dube TradePort Corporation. A one-year internship programme which affords unemployed graduates the opportunity to gain work experience within the organisation started last year. To date 16 unemployed graduates have been employed as interns across various business units in the organisation, making them more marketable and increasing their opportunities for employment.

“Another major initiative is the R1,2 million provision of solar power installations in six schools with plans to extend this to two or three more schools before the end of 2014. This initiative seeks to ensure the continuous supply of electricity, a hurdle with which schools always battle,” says Mthembu.

At primary school level, a food-for-recyclables project – paper, plastic and cans – has been successfully implemented at five schools in significantly disadvantaged areas, where food security is a concern. Currently fresh vegetables from the Dube AgriZone greenhouses, as well as from a major fresh produce retailer within the AgriZone, are distributed every Friday by Dube TradePort Corporation employees in exchange for recyclable pollutants.

This project helps the children learn to care about looking after their environment and keeping it clean. The plan is to increase the number of learners that are benefitting from

the project. In 2013, food worth more than R350 000 was distributed to four schools.

As part of its CSI success, the CSI team lists a primary school in Tongaat which it assisted with rainwater harvesting, solar power installation and the food-for-recyclables programme. These programmes have raised environmental awareness amongst learners and assisted the school to save on its water and electricity bills.

In 2013, a total of 100 of the most vulnerable learners at five schools received assistance with school uniforms to the value of R450 per learner. Dube TradePort Corporation intends doubling the number of learners in 2014.

As many as 3 300 disadvantaged school children in the area surrounding the Dube TradePort precinct have benefitted from the Corporate Social Investment (CSI) initiatives of Dube TradePort Corporation, in the past year.

Two upcoming programmes include the provision of more rainwater harvesting units, and science laboratory kits for disadvantaged schools. While some schools have laboratories they are barely able to conduct experiments because of a shortage of appropriate laboratory equipment, a situation Dube TradePort Corporation plans to rectify at some 10 local high schools in 2014.

Dube TradePort Report Card 2013/14 www.dubetradeport.co.za

01

For your business to stay competitive in a fast-moving, green, connected and virtual business world, it needs a premier logistics platform. Dube TradePort was built with one purpose in mind: to move your business forward.

3.7KMSOUTH AFRICA

THE LONGEST SEA-LEVEL RUNWAY IN

77HECTARESDUBE CARGO TERMINAL

DISTANCE FROM CBD: 30 MINSTO UMHLANGA: 20 MINSTO BALLITO: 15 MINS

TRAD

EZON

E 120GLOBAL

MORE THAN

DESTINATIONS ON DAILY DBN-DUBAI


701 KWPCAPACITY TO GENERATE

AT DUBE AGRIZONEENERGY BY SOLAR PANELS

OF INDUSTRIAL LAND WITHIN 1 MIN OF

TONNESOF FRESH PRODUCE GROWN

16 527OPPORTUNITIES SINCE 2007DIRECT EMPLOYMENT

120 000 SQMOF BULK AVAILABLE FORDEVELOPMENT IN DUBE CITY


IN AFRICA THE FIRST PURPOSE-BUILT AIRPORT CITY

60DUBE TRADEPORTDEVELOPMENT

THE MASTERPLAN FOR

YEARS

WEEKLY AT DUBE AGRIZONE40

KZN

Dube trade port corporate report electronic version

Business

Transcript of Dube trade port corporate report electronic version