South Illovo Auto Supplier Park

  • Catalytic Project: Category B (projects in preparation)

Project description

  • The Supplier Park is a strategic imperative to reduce logistical costs and create an enabling environment.
  • It is going to centralize production, assembly, sequencing and warehousing facilities that are within close proximity to the Original Equipment Manufacturers (OEM’s), such as Toyota and any new entrants.
  • Through the KZN ASP, companies will benefit from economies of scale (land development, construction, shared services concept and logistics hub, and infrastructure).
  • Dube Trade Port has been appointed as a developer by the provincial government.

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Socio-economic benefits

  • Investment Value: R6.5-billion
  • Annual Rates: R1.2-million
  • Construction Jobs: 2 600
  • Permanent Jobs: 6 000
  • Other Benefits: Mixed-use development, upgraded bulk infrastructure for the Southern areas

Project status*

  • Illovo LAP associated environmental studies finalised in June 2016
  • Market study was finalised in June 2016
  • 100 ha site identified for Phase 1 was transferred to DTP as development agency in July 2016
  • DTP is currently preparing a Rezoning and Sub-division application
  • ASP Working Group established to unlock major infrastructure
  • The preliminary desktop assessment undertaken, which include a review of the topographical map and geological map

Key issues / challenges

  • The limited time to deliver a world class international services standards ASP site with platforms by 2017, and an expectation of a world class manufacturing sector by 2018
  • Funding mechanism required for major infrastructure: access onto N2, Bulk Water, Waste Water & Solid Waste
  • Reserve determination study requires mitigating measures as a pre-condition
  • Monitoring implementation of LAP land use, environmental mitigation majors and progress thereof to facilitate rezoning EIA approval
  • Act 70 of 70 and facilitate Town Planning application

Response and way forward

  • A year calendar with monthly ASP Steering Committee meetings are scheduled
  • Stakeholder forum are scheduled with DOT, DTP and SANRAL
  • Town planning application is being finalised
  • Budget for bulk infrastructure upgrade is being mobilised: Access via N2, Bulk Water Waste Water & Solid Waste

*As at March 2017

Contact / enquire

For the most current update on opportunities, project progress, outstanding actions and investment requirements, please contact Invest Durban.