Cape Town a competitive hub for food and beverage manufacturingCape Town's food and beverage manufacturing sector is an important earner of foreign exchange for the city. This is according to the City of Cape Town's Economic Performance Indicators (EPIC) Report for the fourth quarter of 2016, which shows that this sector is one of the few manufacturing industries in the city that has a positive trade balance. ©06photo via 123RF The city’s proximity to a vast and productive agricultural hinterland, an international port, a growing consumer population and a relatively strong skills base, makes it a competitive location in which to base food and beverage manufacturing operations. "The City has set itself the goal of establishing Cape Town as a forward-looking, globally competitive business city, which is one of our strategic priorities in the Organisational Development and Transformation Plan. We will continue to build an enabling environment for economic growth and job creation and foster a climate that is conducive to doing business in the city," said the City’s executive deputy mayor, Alderman Ian Neilson. He added, "Exports by the food and beverage manufacturing industry have grown strongly over the past five years. This industry is also well placed to exploit the export opportunities that can be gained by a weak exchange rate. Additionally, the sector boasts the fastest growing employment rate out of all of the manufacturing industries." Food and beverage manufacturing sector snapshot:• It is the largest manufacturing sector by output, recording the highest growth rates in gross value add (3,0 %) and employment (4,9 %) over a 10-year period The industry can be considered as a comparative advantage industry for the city. There is a lot of scope for our food and beverage manufacturers to tap into the increasing demand for diversified, value-added food and beverage products, says the City. View the complete EPIC Q4 2016 *report. *The food and beverage manufacturing specified in the report only includes products that can be ingested and excludes other manufacturing activities. |