Northern Cape Economic Overview

Northern Cape Provincial Growth and Development Strategy
The Northern Cape Provincial Growth and Development Strategy (NCPGDS) was launched in 2005 and is a guide on the Developmental planning in the province.

The following primary development objectives are identified by the NCPGDS:
• Promoting the growth, diversification and transformation of the provincial economy; and
• Poverty reduction through social development.
• Developing requisite levels of human and social capital;
• Improving the efficiency and effectiveness of governance and other development institutions; and enhancing infrastructure for economic growth and social development.
Major strategic interventions for promoting the growth, diversification and transformation of the provincial economy include:
• Mineral beneficiation has the potential to unlock manufacturing opportunities that will contribute significantly to the provincial economy through value added manufactured products.
• The manufacturing centre to support the above initiative is underway.
• Agro processing is another sector in which manufacturing can originate to create greater impetus to diversification and consequently higher economic growth.
• Fishing and Mariculture has the potential to mitigating the future negative socio economic impact associated with diamond mining downscaling.
• Tourism Industry has blossomed largely as a result of the opening up of SA as a long haul tourist destination for the world travelers.
• Space Technology brings a lot of opportunities to the NC.
• Social Accounting Matrix will be used to identify opportunities to diversify and develop sub sectors of manufacturing and agro processing.
Economic advantages which create a positive environment for the province:
• Abundant mineral and natural resources
• Infrastructure
• Unique climatic conditions
• Unique tourism destination
• Abundant land for economic growth planning
• Manageable demographic proportions for economic growth planning
Economic Sectors
The biggest component of the Northern Cape’s regional GDP (GDPR) is the tertiary sector (52%), followed by the primary sector (31.8%). The agricultural sector is traditionally strong, but is sensitive to price changes and droughts. The manufacturing sector in the last few years has generated strong growth nationally mainly because of significant growth in consumer demand for semi-durable and durable goods. Manufacturing is a definite growth area for the province. Finance, real estate and business services are other areas of growth mainly driven by the housing/property boom in the province, and the growing demand for business services fuelled by demand for primary products and services. Construction was the best-performing sector in the province in 2004 and continues to show good growth and exciting prospects for future economic and social development.

Government Priorities
In her State of the Province address, the former Premier of the Northern Cape, Ms Dipuo Peters, highlighted certain development and governance priorities for the provincial government:
• The finalisation work on the provincial freight logistics strategy
• The construction of a tertiary hospital facility and establishment of a school of nursing in the province
• The process of expediting the initiative of delegating housing delivery to the sphere of local government, so as to speed up delivery of housing to the people
• The increase in infrastructure expenditure by government
• The continued effort to diversify the provincial economy, support cooperatives and create an enabling environment for new entrants
• A tourism master plan that will guide the development and promotion of the tourism and hospitality industries as key economic growth sectors
• Government to procure a minimum of 50% of goods and services from within the province
For more information contact the department:
Contact: Derek Martin
Tel: +27 53 830 4804
Fax: +27 53 830 4838
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.

Contact Details

Postal: Private Bag X6108, Kimberley, 8300
Physical: Metlife Towers, 13th Floor, Cnr Stead & Knight Streets, Kimberley, 8301
Tel: 053 839 4000
Fax: 053 831 3668

Republic of South Africa