Well-maintained infrastructure is a key element in attracting investment. The Eastern Cape is the site of several projects that seek either to improve what already exists or to establish new infrastructure.
President Cyril Ramaphosa has pledged national government to the expenditure of R940-billion on infrastructure development. Infrastructure South Africa (ISA), a national body that reports to the Presidential Coordinating Commission, has identified 12 priority projects across the nation.
Five of these projects are located in the Eastern Cape:
- Ngqura Port Liquified Natural Gas facility, R1.2-billion
- Project Ukuvuselela (high-capacity rail corridor for the automotive sector), R7-billion
- Amatola Bulk Water Augmentation, R6.8-billion
- Education Infrastructure Programme, R9.1-billion in Northern Cape and Eastern Cape
- Healthcare Infrastructure Programme, national programme, no detailed budget available
In addition, ISA and the World Bank Group are engaged in projects to develop 10 irrigation schemes covering 10 000ha in the Amathole, Chris Hani and OR Tambo Districts.
For its part, the Eastern Cape Provincial Government has identified six “mega” infrastructure projects on which to focus:
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- N2 Wild Coast Highway,
- Mzimvubu Water Project,
- Transnet initiatives within the province,
- N2 Nodal Development,
- undersea cables, and the
- Wild Coast SEZ.
Special Economic Zones (SEZs)
Major planks in the province’s drive to attract investors are the province’s two Special Economic Zones (SEZs). Dedicated sections of the SEZs provide for a cluster approach, something which automotive suppliers and logistics firms have taken advantage of, and both SEZs are alive to opportunities in the renewable energy field.
The East London Industrial Development Zone hosts an ICT Hub and a Science and Technology Park.
Both Coega SEZ and the East London Industrial Zone (ELIDZ) have been attracting a mix of investors. The Coega Business Process Outsourcing Park has created more than 1 500 jobs while ELIDZ’s ICT Hub caters to call centres (such as recent investor Callzilla), an ICT training facility and two data centres. A Science and Technology Park serves as an incubator and resource (with laboratories) for startups in the knowledge and technology sectors.
In the five years to the start of 2025, the ELIDZ attracted about R9-billion in investments from 23 investors. A satellite facility is to be set up at Ntabozuko (Berlin) to where infrastructure will be provided to allow for activities in agro-processing, manufacturing and the automotive sector.
The Coega SEZ has 14 zones, which include Metals/Metallurgical, Automotive, Chemicals, Agro-processing, Logistics, Trade Solutions, Energy and Maritime. In 2024 Coega SEZ welcomed a R490-million investment from San Miguel, a lemon processing and extraction plant that exports to 50 countries which has created 120 permanent jobs.
At the end of 2024, Coega Development Corporation (CDC), which runs the SEZ, reported that over its lifetime, “60 operational investors have to date contributed a combined investment value of R12.3-billion”. Notable 2023/24 investments included the Stellantis Group, an automotive company which invested R3-billion, the completion of the Orion Engineered Carbons Tank Farm and the expansion of the Discovery Health facility in the BPO Park.
With three ports and two large airports, the Eastern Cape is well suited to logistics activity.
A third SEZ, the Wild Coast SEZ, is in the early stages of development adjacent to Mthatha Airport. Promoted and administered by the Coega Development Corporation (CDC), the intention is to provide infrastructure to stimulate growth in manufacturing and industry. Fencing of the 226ha site has commenced and the zone is well located with regard to major transport routes and three district municipalities. Investors in agro-processing, poultry processing and the manufacturing of beverages and starches have been signed up.
Industrial Parks
The province’s industrial parks are the focus of support programmes by the Provincial Government. Since 2019, some R495-million has been invested in infrastructure upgrades at the industrial park complexes at Dimbaza, Fort Jackon, Vulindlela, Butterworth and Komani.
Also see: Refurbishment of Industrial Parks in Eastern Cape Province
More than 2 000 people are employed across the parks and investors such as the Chemin Chemical Technology Incubator, based in Fort Jackson, further support the development of entrepreneurs. The Butterworth park is focussed on after-market automotive initiatives and both King Hintsa and Lovedale TVET Colleges will use the industrial parks for training and development of practical skills for students.
Vodacom and MTN are continuing to invest in telecommunications infrastructure. A project to connect 23 rural villages was completed by Vodacom at a cost of R34-million; a further R71-million will be spent on connecting another 86 villages. MTN allocated R600-million to protect its network and has rolled out an extensive programme of battery and generator support.
With three ports and two large airports, the Eastern Cape is well suited to logistics activity.
Oceans Economy
Infrastructure to support the Oceans Economy includes the process to gazette Hamburg and Mbizana as official small harbours. Port St Johns Small Harbour has been proclaimed as a fishing harbour.
The provinces three large ports have all recently received upgrades or have extensions planned:
- Port of East London
- Port of Gqeberha
- Port of Ngqura (part of Coega SEZ)
Planned projects include the Ngqura Manganese Export Terminal, a Liquified Natural Gas Import Terminal and the deepening of the Port of East London.
The Port of Ngqura is located within the Coega SEZ, just north of the city of Gqeberha. It was primarily designed as a container terminal but additional capabilities are being added. The CDC has been tasked with finding a developer for a new Liquid Bulk Terminal and for a new manganese terminal.
Transnet has agreed that the tank farm and manganese storage facility at the Port of Gqeberha is to be moved to the Port of Ngqura. If and when that happens, opportunities for the creation of a tourist-friendly waterfront within the Port of Gqeberha will open up.
Developments and investments by Airports Company South Africa (ACSA) at the province’s main airports include Chief Dawid Stuurman International (Gqeberha, R6.4-billion) and King Phalo (East London, R213-million). The provincial government intends making Bhisho Airport a cargo hub.
Regarding road infrastructure, SANRAL will spend R50-billion in the province over five years including major projects such as bridges at Msikaba Bridge, Mtentu and the Ndabakazi Interchange.
Construction of the massive and technically complex Msikaba Bridge under construction in the OR Tambo District is on track. This will transform travel in what used to be the Transkei and open up the Wild Coast for tourism. Work on the Mtentu Bridge in the Alfred Nzo District resumed in December 2023 and is scheduled for completion in 2027. Seven of the roads that lead to these bridges will be upgraded from gravel to tar as part of the broader project.
Also see: A guide to business and investment in the Eastern Cape
The national Welisizwe Bridges Programme has the less grand but very noble goal of connecting rural communities via strong but simple bridges that can be quickly constructed. The SA Army Engineers, through 1 Construction Regiment, are responsible for the modular steel bridges and the programme is supported by the national Public Works and Infrastructure, provincial Transport Departments and some work is allocated to participants in the Expanded Public Works Programme (EPWP),
Within the Eastern Cape 12 of 19 planned bridges had been completed as of February 2025 and in the 2025/26 financial year, a further 17 bridges will be constructed across the province.
