Automotive and consumer products sector provide for demand

The demand for machine-tools and plastic machines as well as machines for the food and packaging sector will increase in the coming years due to a higher demand of the automotive and consumer goods sector.

Upcoming infrastructure projects

South Africa invests now and will continue to do so in the coming years in urgently needed infrastructure projects in the field of transport, energy, water and stadium projects linked to the Football World Cup in 2010. In order to satisfy the demand, the local building industry has to invest in its machinery. The sector is already facing capacity constraints. Therefore the import of construction machines is expected to rise in a double digit range within the next few years. Also production sites for construction materials such as cement works have to be build or expanded.

Wealth in natural resources

Being in place for more than hundred years, South Africa’s mining industry is another sector which did not utilise its full potential. The country, a major world producer, is globally known as one of the richest countries when it comes to mineral resources. The sales for mining machinery will therefore remain to be a stable component in the future planning. Besides the mining for platinum, new projects in the sector of iron ore, coal and chromium are reason for an expected increase in the demand of mining machinery. There are further business opportunities for the engineering sector due to the plans regarding new investments for building new power plants, investments in the petroleum sector, the construction of new facilities for the automotive industry as well as projects dealing with the processing of raw materials.