Faculty of Economic and Management Sciences (former Departments)

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Browsing Faculty of Economic and Management Sciences (former Departments) by Author "Brand, Daleen"

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    An evaluative analysis of industrial development zones and export processing zones with reference to the Coega Industrial Development Zone
    (Stellenbosch : Stellenbosch University, 2002-12) Brand, Daleen; Claassen, P. E.; Stellenbosch University. Faculty of Economic & Management Sciences. School of Public Management and Planning.
    ENGLISH ABSTRACT: South Africa is experiencing similar problems as those occurring in other developing countries. Such problems include: large scale poverty; unequal regional development; inefficient policies; fragmented transport systems. The list goes on. This is largely due to apartheid policiesthat were implemented. After 1994 a series of new policies and programmes was implemented. Their aim was to eradicate apartheid planning; to provide equal and fair development for everyone and to stimulate and boost the economy. The Reconstruction and Development Programme (RDP) was the first policy of its kind, followed by the Growth, Employment and Redistribution programme (GEAR). The aim of these two policies was to stimulate the economy, especially in areas where there is a need for an economic boost. This ultimately led to programmes such as the Spatial Development Initiative (SDI); Local Economic Development and Export Processing Zones or as they are better known in South Africa, Industrial Development Zones. Programmes or initiative such as these were aimed at boosting the economy, providing employment and utilising resources in a region. This is the shift that has taken place in development planning, from traditional regional policies towards incentive driven policiesthat try to attract investment into under-developed regions. Programmessuch as Industrial Development Zones however have a long history, not all of it positive. These zones have been known as sweatshops and that they use child labour. The largest problem of these zones is that labour legislation is almost non-existent. In 2001 South Africa declared Coega the first Industrial Development Zone in the country. The zone will link to the Spatial Development Initiative programme that was implemented in 1996. An uproar followed when labour organisations such as COSATUlearned that the government is going to use Industrial Development Zones, which are similar to Export ProcessingZones, to stimulate the economy and to solve the problem of unemployment in specific areas of the country. However the labour legislation of South Africa will be applied in the Industrial Development Zones. That just leaves the problem of efficiency and effectiveness. Will these zones really address and solve the employment problems in South Africa? Zones such as those in Mauritius have been a success, but there are cases where the zones did not create employment and more money was spend on putting in the infrastructure and services in the zones, than was made in the zone. Time will be the judge in the case of Coega Industrial Development Zone.