Business: SA Automotive Week Boost for Regional Economy
Recent Gauteng Business News
He says companies such as “Chana, Tata, Mahindra, Goodrich Tyres and others,” are looking at investing in South Africa to take advantage of the emerging African market and to gain access to the European and US markets as well.
Held every second year, on alternate years to the Johannesburg International Motor Show, South African Automotive Week takes place in Port Elizabeth from October 7-10 this year.
Hosted by NAACAM and the National Association of Automobile Manufacturers of South Africa (NAAMSA), the South African Automotive Week (SAAW) is the only dedicated trade show for the automotive components industry.
The importance of the auto industry to the local economies of Durban, East London and Nelson Mandela Bay (Port Elizabeth) was highlighted in the latest Absa property revue, which found that the three auto hubs had suffered the biggest decline in property values.
At a local level, SAAW is expected to inject over R35-million into the Nelson Mandela Bay economy.
SAAW director Andrew Binning says local industry – from car hire companies and accommodation establishments to printers would benefit significantly from the spend on infrastructural costs for the Initiative and from over 3000 trade delegates expected to converge on Port Elizabeth.
“Add to these revenues the value of deals negotiated at the event – surveyed at the inaugural Week in 2007 to be conservatively at R30-million,” says Binning.
An important theme of the Week is the economic crisis and opportunities created by government for the industry to sustain itself and refocus on its vision of producing 1 million vehicles by 2020.
“South African Automotive Week will provide the platform and networking opportunities for the auto industry to fully exploit the opportunities which exist for component manufactures, distributors and exporters.”
According to Binning, 20 per cent of exhibitors at the 2007 event concluded deals above R100 000, while the top nine per cent completed agreements above R500 000. Nearly 70 per cent of exhibitors said they had had a “very positive” or “overwhelmingly positive” interaction with visiting buyers.
This year’s event will host delegations from the United Kingdom, France, Netherlands, Germany, Spain, Italy, India and China.
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