The RBIDZ Company
The Richards Bay Industrial Development Zone (RBIDZ) is a state-owned, legally registered, industrial development company situated in KwaZulu-Natal. It has the responsibility of encouraging international export competitiveness. It achieves this in several ways including tax and duty free incentives, providing world-class infrastructure and competitive input costs. The KwaZulu-Natal government is the sole owner of the RBIDZ, reporting to the Department of Economic Development, Tourism and Environmental Affairs (DEDTEA) through an accounting authority (Board) that is appointed by the MEC.
The RBIDZ strategy is to cluster smaller, downstream manufacturing businesses around existing major industries in the City, as well as attract small-medium industrial operations that will create employment and economic growth whilst broadening South Africa’s export products.
The RBIDZ has been successful in creating 1 346 jobs in the financial year 2013 / 2014 and another 646 jobs in the second quarter of 2014 / 2015. The construction companies are encouraged to create job opportunities, with particular focus on the youth and women.
The IDZ Programme
An IDZ can be defined as “a purpose-built industrial estate, linked to an international air or sea port, which might contain one or more multiple Customs Controlled Areas (CCAs) tailored for the manufacturing and storage of goods to boost beneficiation, investment, economic growth and, most importantly, the development of skills and employment” (SARS: Industrial Development Zone).
Accordingly, IDZs are intended to provide investors with a competitive advantage by:
· offering tax incentives,
· providing the necessary infrastructure and utilities,
· simplifying administrative requirements, and
· customs support services.
Whilst IDZs are funded jointly by all three tiers of government – i.e. National, Provincial and local; that from National is channelled through DTI by way of grant funding and is exclusively intended for infrastructural purposes. In contrast, funding from within the province caters for both capital and operational expenditure in respect of the entity.
The RBIDZ comprises 240 hectares of land, with a future potential of more than 1 000 hectares. All completely developed IDZ sites are demarcated, fenced and receive access control and security systems and the RBIDZ will establish a Main Customs Control Centre.