Phokwane Local Economic Development Plan PHOKWANE LOCAL ECONOMIC DEVELOPMENT PLAN PHOKWANE LOCAL ECONOMIC DEVELOPMENT PLAN PRESENTER Werner van Zyl Municipal Counterpart Morgan Motswana

2 Phokwane Local Economic Development Plan Phokwane Local Economic Development Plan CONTENTS 1. Study process 2. LED methodology 3. Local economic profile 4. Elements of LED strategy 5. Development potential criteria 6. Strategic thrusts (7 thrusts) 7. LED programmes 8. Prioritisation of LED projects (51 projects) 9. Business development model 10. Bio-Technology business plan 11. The Way Forward

3 Phokwane Local Economic Development Plan Phokwane Local Economic Development Plan STUDY PROCESS

4 Phokwane Local Economic Development Plan Phokwane Local Economic Development Plan MUNICIPAL ECONOMIC PROFILE

Phokwane Local Economic Development Plan LED STRATEGY 1.Determine Development Potential 2.Identification of Strategic Thrusts 3.Delineation of Projects 4.Project Identification & Prioritisation 5.Implementation

6 Phokwane Local Economic Development Plan Phokwane Local Economic Development Plan CRITERIA FOR DETERMINING DEVELOPMENT POTENTIAL 1. Availability of raw materials and resources 2. Economic linkages 3. Market trends 4. Gap analysis / agglomeration advantages 5. Nodal point function 6. Availability of labour 7. Technology change 8. Policy environment

7 Phokwane Local Economic Development Plan Phokwane Local Economic Development Plan STRATEGIC THRUSTS 1.Rural community econ. development & empowerment. 2.Industrial and beneficiation development. 3.Urban-Rural integration 4.Tourism & cultural development 5.Economic base development 6.Human Resource Development 7.Institutional Reform and Capacitation. Programmes & Projects

8 Phokwane Local Economic Development Plan Phokwane Local Economic Development Plan LED THRUSTS (1) THRUST 1: Rural Community econ dev and empowerment Functional rural service centre Infrastructure & basic service provision Entrepreneurial (SMME) development & capacitation Environmental control & rehabilitation THRUST 2: Industrial & Beneficiation development Industrial support structures Agro-processing Agriculture related industries Investment development and promotion

9 Phokwane Local Economic Development Plan Phokwane Local Economic Development Plan LED THTUSTS (2) THRUST 3: Tourism & Cultural development Marketing of Phokwane New catalyst development Eco-tourism development Arts and crafts development Tourism incubator / training Product and service development Ethnic and cultural activity development

10 Phokwane Local Economic Development Plan Phokwane Local Economic Development Plan LED THRUSTS (3) THRUST 4: Urban and Rural Integration One-stop service centres Hard infrastructure development Institutional cooperation and integration Communication and transport development THRUST 5: Economic Base Development Cross boundary trade relations Local processing of resources Diversify professional and other services Increase local production capacity

11 Phokwane Local Economic Development Plan Phokwane Local Economic Development Plan LED THRUSTS (4) THRUST 6: Human Resource Development Incubator development Linking LED with tertiary institutions Vocational training Skills development, training & information services Baby, toddler and pre-primary education development Educational programmes for the handicapped THRUST 7: Institutional Reform & Capacitation Regional rural service LED centre Roles and responsibilities Focused marketing strategy

12 Phokwane Local Economic Development Plan Phokwane Local Economic Development Plan PRIORITISATION OF LED PROJECTS PRIORITISATION CRITERIA: 1. Strategic importance 2. Economic Impact (multiplier effects) 3. Job creation 4. BEE and/or capacity building 5. SMME development and support 6. Local Economic Development 7. Anchor project

13 Phokwane Local Economic Development Plan Phokwane Local Economic Development Plan PRIORITISED LED PROJECTS 1. Agriculture (9) Beneficiation Beneficiation Agri Incubator Agri Incubator 2. Manufacturing (12) Beneficiation Beneficiation Manufacturing incubator Manufacturing incubator Marketing Marketing 3. Trade (5) Informal Trade Strategy Informal Trade Strategy Business support centre Business support centre 4. Transport / Communication / Services (10) Promote local use of SA trade opportunities (NEPAD / AGOA) Promote local use of SA trade opportunities (NEPAD / AGOA) Phokwane marketing campaign Phokwane marketing campaign 5. Tourism (10) Tourism Identity Tourism Identity Tourism Incubator (training of guides / provide information centre) Tourism Incubator (training of guides / provide information centre) Tourism events project (e.g. fun-run, harvest festival, local artists etc.) Tourism events project (e.g. fun-run, harvest festival, local artists etc.) Provide tourism packages & products Provide tourism packages & products 6. Other (5) Commercialise unused Government-owned land Commercialise unused Government-owned land

14 Phokwane Local Economic Development Plan Phokwane Local Economic Development Plan Identifying Projects 1 Scope Project 2 Prioritise Project 3 Perform Feasibility Study 4 Provide Post Implementation Support 8 Implement Project 7 Obtain Funding 6 Compile Business Plan 5 Possible Projects Prioritised Projects Qualified Projects Business Plans Financed Ventures Implement Project Generic core business development model

15 Phokwane Local Economic Development Plan Phokwane Local Economic Development Plan BUSINESS PLAN: BIO-TECHNOLOGY 1. Purpose: Enhance production and new job creation 2. Phokwane = Agricultural Hub of South Africa 3. High potential to become SA leader in bio-tech 4. Examples of approved bio-tech applications in SA: Insect-resistant cotton Insect-resistant cotton Herbicide-resistant cotton Herbicide-resistant cotton Insect-resistant maize Insect-resistant maize 5. Phokwane bio-tech business plan Implementation – experts – timeframes – role players etc. Implementation – experts – timeframes – role players etc. Cost implications & Sustainability Cost implications & Sustainability Export and marketing (Local, USA, Europe, other) Export and marketing (Local, USA, Europe, other) Demand side analysis Demand side analysis Impact on local econ (Est. new jobs / Production increase / Impact on other sectors) Impact on local econ (Est. new jobs / Production increase / Impact on other sectors)

16 Phokwane Local Economic Development Plan Phokwane Local Economic Development Plan THE WAY FORWARD 1. Business Plans (UE) 2. Networking (Government & Potential Investors) 3. Funding Sources for specific projects (UE) Funding sources has been listed in the Implementation Plan of the document Funding sources has been listed in the Implementation Plan of the document 4. Marketing 5. Incentives (UE) 6. Alignment with IDP cycle

17 Phokwane Local Economic Development Plan Phokwane Local Economic Development Plan THANK YOU