President Cyril Ramaphosa opened South Africa's first smartphone factory at the Dube TradePort in Durban on Thursday. The launch of the Mara Phones plant comes 12 months after Mara Group company chief executive Ashish Thakkar announced at the inaugural Africa Investment Forum in November last year that the company would invest R1.5 billion in a South African business venture over the next five years.
Chief executive of Mara Phones Ashish Thakkar and President Cyril Ramaphosa at the launch of Mara Phones at the Dube Tradeport. Credit: Supplied by Dube Tradeport
The Rwanda-based Mara Group took the President on a tour of the modern factory on Thursday, which is anticipated to have an annual production capacity of over 1.2 million handsets of the Mara X and Mara Z cellphones.
A total of 200 people have been employed at the plant with 94% of them being youth, while 67% are women.
Speaking at the event, President Ramaphosa said the Mara Phone’s venture was giving practical effects to government’s investment drive.
“It was described as a pipe dream. Today we are reaping the fruits of what was promised. We are delighted about this great launch because it is going to instill a lot of confidence in other manufacturers that South Africa indeed is a place where they should all come and invest. We are delighted because Mara is a proudly African venture that is producing a South African product.”
He said the company’s effort represents a great advance in the technological and electronical sector. “We are delighted that you are increasing our technological capabilities by bringing your company here and emboldening the skills talent that we have,” he said.
Manufacturing can (and should) be a catalyst for South Africa's future GDP growth. With a GDP that fell by 0.7% in the second quarter of 2018, it is imperative to look towards this industry as a key contributor...
In his State of the Nation Address, President Ramaphosa said special economic zones, such as the Dube Trade Port, are important instruments and mediums of attracting foreign investment as well as domestic investment. The SEZs, he said, are also important in building targeted industrial capabilities and establishing new industrial hubs.
“Studies reveal that sea port cities grow faster than inland port cities due to their strategic locations. Durban is especially well-positioned but we actually add to that positioning by having that special SEZ. This in itself is a very good foundation to catapult our country to higher levels of growth,” he said.
He praised Thakkar for being a patriotic African. “He is clear, he’s articulate, he’s a visionary and knows exactly what he wants to achieve,” he said.
Thakkar thanked President Ramaphosa and the South African government for pushing the company to deliver on its undertaking. “We have come to South Africa much, much sooner than we have initially planned. We did this because of your vision of making South Africa shine again as a true investment destination and creating real jobs for our youth. It is truly working and we are proof of that,” he said.
As an African investor with investment in 25 African countries, he said venturing into South Africa has been a phenomenal experience. “It really does show that South Africa is ready and open for investment and for business. More boldness and vision encouraged us to do this and will hopefully contribute to your fourth industrial revolution ambition as well.
“We Africans really do walk that talk. Today is history in the making. [It is] a dream for South Africa, a dream for Africa, a dream for Mara, come true,” said Thakkar.
KwaZulu-Natal Premier Sihle Zikalala thanked Mara Phone for showing confidence in KwaZulu-Natal and South Africa. “The people of [KZN] are profoundly grateful and honoured to make history and open the first South African cellphone production plant,” he said.
Zikalala praised President Ramaphosa for what he described as tireless efforts and strides in promoting investment in South Africa.
“We are all aware of the efforts of the President to ensure that we attract investment and address the plight of South Africans who are unemployed and go to bed on empty stomachs. We hope this launch will go far in strengthening your resolve to continue championing our government’s cause of reducing unemployment, inequality and poverty,” he said.
Trade and Industry Minister Ebrahim Patel said it is good to see Africa changing the narrative of being a consumer of goods it does not produce. “We are changing that storyline with cars, with fibre optic cables, with television monitors, with food and now with smartphones … It is good to see this,” he said.
He said the Mara Phones launch was critical in cementing KZN as a centre of advanced manufacturing. “The KZN manufacturing sector employs 350,000 people and it’s the sixth-largest manufacturing sector in the African economy. The implementation of the SEZ programme at the Dube Trade Port supported this growth in manufacturing.
“If you walk around you will see fibre optic cables being made, television monitors being assembled … you see examples of manufacturing in South Africa. From this example and what we’ve done here and other examples in the country. We are moving forward,” said Patel.
LEGAL DISCLAIMER: This Message Board accepts no liability of legal consequences that arise from the Message Boards (e.g. defamation, slander, or other such crimes). All posted messages are the sole property of their respective authors. The maintainer does retain the right to remove any message posts for whatever reasons. People that post messages to this forum are not to libel/slander nor in any other way depict a company, entity, individual(s), or service in a false light; should they do so, the legal consequences are theirs alone. Bizcommunity.com will disclose authors' IP addresses to authorities if compelled to do so by a court of law.
YEKANI - a 100 percent Black owned ICT electronics company officially opened its one billion rand, world-class Smart Factory in the East London Industrial Development Zone in June 2018. Where is government support of these local investors?
i would like to thank you Mr president for creating jobs for us young south African jobs..i also have a business idea that will create more jobs as you believe in technology and as you say fiber optic is been installed as a young information technology business person i was asking for your support and funds to build my business for applying jobs and apply at high institutions for people of SA using whatsapp as a communication media ..