South africa has a challenge of high unemployment and skills shortages, at the end of 2018q2. This report is based on information collected from government departments, petroleum industry and research papers, and covers a broad overview and analysis of the south african petrol and diesel industry. South africa, officially the republic of south africa, is a country located at the southern tip of africa, with over 1,739 miles of coastline that stretches along the south atlantic and indian oceans. To protect the wellbeing of its staff and stakeholders, the south african council for the project and construction management professions sacpcmp has put a number of measures in place to ensure that the risk of covid19 transmission is managed throughout its office premises. This publication covers a broad overview and analysis of the south african energy sector and aims to keep stakeholders informed about developments as well as. Know more it shares its borders with the neighboring countries of namibia, botswana and zimbabwe, and to the east are. Civil construction has shown phenomenal growth, with an average growth of around 11%. The south african mining landscape overview the 2018 financial year proved to be a challenging year for south african mining companies.
The 2018 kpmg insurance survey includes a number of thought leadership articles. Marleny arnoldi 24th april 2020 the south african institution of civil engineering saice supports the call by the built environment industry for it to be designated as an essential service. This research was prompted by the apparent lack of innovation in the south african construction industry. South africas metered taxi, minibus taxi and bus and coach services industry is essential for the growth of the south african economy. In 2020, the industry will focus on mitigating these challenges while capitalizing on trends that help improve operations and deliver a competitive. The following research has been undertaken by the idcs research and information department. Apart from coal, which contributes around 59% to the total primary energy supply, south africa gets energy locally from biomass, such as wood and dung, natural gas, hydropower, nuclear power, solar power and wind. Metelerkamp estimates the true size of the construction sector to be in the order of r220. The bryte sa construction activity monitor reports that four of sas top six large construction companies lost 50% to 75% of their share price in 2017 but there are signs that the sector is. Metelerkamp estimates the true size of the construction sector to be in the order of r220 billion a clear and dramatic downward trend into recessionary levels. The the south african petroleum industry in south africa 2018 report has been added to s offering. South african energy is dominated by coal, which is plentiful and cheap, and is ranked among the lowest energy costs in the world. Industry insight was established out of an industry requirement for a holistic approach to market intelligence in the south african construction industry recent posts construction sector records highest decrease, across all economic sectors, in employment in 2019.
Oct 31, 2016 south africa is improving conditions for budding businesses. In this latest update on south africas manufacturing page we take a look at the index of volumes produced by the south african manufacturing industry. Sa construction 3rd edition 2017, the industry is a significant contributor to. What the construction sectors dire state of affairs means.
The focus of this detailed report is the manufacture of petroleum products from crude oil and natural gas, as well as the wholesale and retail trade of the products in south africa. Creamer medias construction 2018 report examines south africa s construction industry over the past 12 months. The stats sa gdp statistics showed that the construction industry has had five consecutive quarters of negative growth from 2017q1 to 2018q1. That position was to a large extent mirrored by south african bulk commodity producers with iron. Journal of construction business and management 2018 21. The south african economy is currently in a technical recessionit contracted by 2% and 0. Construction will remain a mainstay of the south african economy and the cidb will. The strategy involved engaging construction contractors in the mining industry to obtain information regarding their view of innovation in the construction industry. In 2017, the value added by the construction industry in south africas gross. The countrys footprint spans more than 1 246 700 km2. But companies outside the country question whether to expand into it due to several issues. Globally the financial performance of mining companies improved significantly from the previous year.
The sluggish growth in sa spells more troubles for struggling. The report provides insight into the business environment, key participants, local demand, international expansion, competition and industry settlement activities, corporate activity of the countrys major construction companies, and issues such transformation, the shortage of skills and safety issues. Construction industry in rapid decline as work wanes. According to the south african petroleum industry association sapia, the fuel sector contributes about 6% to the countrys. A viable construction industry in south africa is needed, but to rescue the industry as a whole, however, government needs to root out corruption, get the affairs of stateowned enterprises in. The employment of women in the construction industry has in around 44% from 109creased by000 to 157 000 from 2008q1 to 2018. Creamer medias construction 2018 report examines south africas construction. Overview of the petrol and diesel market in south africa.
Timetrics construction in south africa key trends and opportunities to 2020 report provides detailed market analysis, information and insights into the south african construction industry. Relationship of construction sector to economic growth. Our measure of singlefamily homes includes new singlefamily housing construction naics 236115, and similarly, our measure of multifamily homes includes new. Given the size of the market and its prospects for further expansion, the construction industry represents an attractive opportunity for oems, material suppliers and component suppliers. Southern africa economic outlook 2018 african development bank. Pretoria south africa s beleaguered construction industry faces a trio of major risks this year from the general election, failing stateowned entities soes and the budget, according to.
The singlefamily and multifamily construction data presented do not exactly correspond to standard north american industry classification system naics industries. An analysis of the state of innovation in the south africa. The construction industry shed 115 000 jobs in the formal. Conference paper pdf available november 2018 with 1,350 reads. It gives me a great pleasure to introduce the 2018 south african energy sector report. In 2019, the engineering and construction industry saw overall market growth despite cost pressures, labor shortages, and trends toward fixedbid projects, which are likely to persist in the future. State of the construction industry south african builder. South african construction smme contractors capability for globalizing within and beyond the sadc construction market. But south africa remains constrained by its low growth potential. Africas construction industry plummeted to 17year lows, as stated in.
Onq2 a yearonyear basis, the number of females employed in the industry decreased by 17 000, but there was a minor increase of 8 000 on a quarteronquarter basis for 2018q2. South africas manufacturing industry south african market. The performance of the south african construction industry is a major cause of concern in the country. Currently the agricultural sector makes up roughly 2% of south africas gdp. The construction monitor focuses on public sector supply and demand at. Construction market analysis, construction industry. The aim was to obtain a better understanding of the state of innovation.
May 11, 2018 creamer medias construction 2018 report examines south africas construction industry over the past 12 months. It was found that south africa, like most developing countries, is experiencing continuing urbanisation with the proportion of the south african population living in urban areas expected to increase to approximately 71. In the years following the global financial crisis, political. Economy edges up by 0,8% in 2018 statistics south africa. Construction is not growing, which hampers its ability to be one of the countrys engines for job creation, and is hampering transformation and development of the industry. Ceo of inyatsi construction group holdings, tommy strydom, predicts that in 2018, the south african construction industry will continue embracing costsaving measures in order to remain competitive. Supply and demand provides an overview of the structure of the construction industry, public sector infrastructure spend and business conditions in south africa, and covers the quarter 2 of 2017 to quarter 1 of 2018. This research was undertaken for internal use, but interested parties are at liberty to discuss research findings with the respective industry analysts. Contributing to this is poor investor sentiment as a result of slow economic growth, and the embattled rand, which both impact construction spending.
Africa construction trends 2018 deloitte south africa. The construction industry is generally a good indicator of economic performance. State of the south african construction industry 2ndquarter 2012. A pity the fast growing agricultural sector doesnt make up a larger part of south africas gdp, else our numbers would have been a lot stronger in recent years. Construction industry development board cidb, 2012. The potential of manufacturing and industrialization in africa. The report provides insight into the business environment, key participants, local demand, international expansion, competition and industry settlement activities, corporate activity of the countrys major construction companies, and issues such transformation, the shortage of.
South africas slow economic growth, a diminishing pool of. Agriculture, transport and storage and the manufacturing the fastest growing sectors during q4. This report is based on information collated from energy industry and research papers. Construction industry has moderate outlook until 2021. Construction in south africa key trends and opportunities. The sa construction industry is set to emerge from recession in 2019 but growth will remain tepid at 2. This study investigates the factors influencing the performance of the construction industry. The insurance industry across africa continues to be one of the most disrupted, but at the same time industry executives continue to innovate and adapt to take advantage of the many opportunities for growth that are also emerging. The 2019 edition of deloittes africa construction trends report includes 452. The south african insurance industry survey 2018 kpmg. Transportation services top 5 emerging markets industry guide 20142023summarythe emerging 5 transportation services industry profile provides topline.
This pestle analysis will examine the many situations south africa is currently experiencing that may affect businesses within it. Swot analysis of the construction sector in south africa. The slight improvement in the mediumterm economic outlook is premised on expectations of increased investment flows to nonoil sectors such as electricity, construction, and technology, to large infrastructure projects, and to mining and further strengthening of commodity prices. In its 2019 subsaharan africa construction growth outlook, fitch says it expects the construction industry in the region to grow by 6. The south african petroleum industry in south africa 2018. Construction industry construction market analysis the global construction industry represents several trillion dollars.
Pdf factors influencing the performance of the south. The south african construction industry is in a state of accelerated decline, says south african forum of civil engineering contractors safcec ceo webster mfebe. The south african economy grew by 1,4% 1 in the fourth quarter of 2018, contributing to an overall growth rate of 0,8% for the entire year. Pdf factors influencing the performance of the south african. Jun 20, 2017 the outlook for south africas construction industry over the next four years will be moderate, compared to the industrys performance between 2012 and 2016, says data analysis company timetric. Sa building industry facing a trio of major risks this year. Data published by statistics south africa shows that volumes of goods produced by the south african manufacturing industry has increased by just 7. Angola angola the republic of angola is situated in southern africa and is bordered by the atlantic ocean, namibia, zambia and the democratic republic of the congo. Capital projects in a digital age africa construction trends. Slow private investment growth and weak integration into global value chains prevent the. South africa market research reports industry analysis and trends. The latest set of gross domestic product gdp figures released by stats sa provides an overview of economic performance in 2018.
1228 1405 1289 1537 1200 13 1453 41 921 1472 978 1351 395 123 1093 545 87 121 1365 1130 178 555 831 549 1301 389 977 726 746 1315 1499 1398 1005 1359 437 407 94 446 714 75 310 485 704 1318 1203 261 1452 110