GOVERNMENT’s JOB-CREATION EFFORTS RECEIVED A BOOST

GOVERNMENT’s JOB-CREATION EFFORTS RECEIVED A BOOST

MUSHAKABVU KAJENGO

 South Africa’s efforts of job-creation received a boost with Rayal Porcelain Roof and Floor Tile Manufacturing Company in Bronkhorstspruit, announcement of increasing tripling its workforce between 2015 and 2016.  

The company’s Executive Director, Mr Yi John Zhu, made this announcement during the visit by the Deputy Minister of Trade and Industry, Ms Elizabeth Thabethe.

Deputy Minister Elizabeth Thabethe says that the l company’s investment of more than R300 million in South Africa is a sign that government’s strategy to attract foreign direct investment is having a positive effect.   

According to Thabethe the relationship with Rayal began in 2009 when the company expressed a keen interest to setup operations in South Africa.

“We assisted them to meet all the strategic requirements and the purpose of the visit was to determine how far they have advanced since the beginning. Judging by the advanced state of their operations, it is safe to say that our attractive incentive programmes and aggressive marketing of our country through trade fairs and investment missions is having a desired effect,” she said.

Thabethe added that if South Africa can attract more foreign direct investors like Rayal Porcelain Roof and Floor Tile Manufacturing, then the country will be able to see increased investment that will lead to the realisation of the goal to create more jobs.

The Executive Director of Rayal, Mr Yi John Zhu said Rayal Tile Manufacturers started production in June 2013 and currently employs over 300 people, including 230 local and 80 Chinese nationals.

“Our total investment up to now is 320 million rand, combining workshop space and production line. In the near future we intend to setup more production lines according to the market needs which can expand to 3-4 production lines, to cover different types of tile products. We produce both roof tiles and floor tiles with the current production line and are the first and only factory making 600 x 600mm Grey hardbody ceramic and porcelain floor and roof tiles in South Africa. We are currently manufacturing 11000 square meters per day and full implementation of our business model will see us increase our total workforce to between eight hundred and a thousand,” he added.

Zhu said it is with the help of all leaders that they hope to make a great success in South Africa.

Rayal implemented full production on 16th October 2013 after a series of test productions.

Thabethe said the Department of Trade and Industry (the dti) will assist the company to reach full capacity by accessing some of the incentives that are on offer at department.

“We have had fruitful discussions and have established a few areas where we can assist the company to fast track its expansion goals. We will assist them to acquire our MCEP incentive to allow them to build their own sub-station to tackle their electricity supply challenge,” she said.

The visit is a follow up to a bilateral meeting that took place last year between Deputy Minister Thabethe and Mr Yi John Zhu in Shanghai during the South African Expos in China.