Switched on with Cape Chamber CEO, John Lawson: The projected growth of the Blue Economy
History has no terminal velocity in South Africa, or so it seems when we consider the pace of change.
This isn’t necessarily a bad thing, however.
We seem to live in a state of perpetual acceleration. Depending upon your vantage point, things are either speedily getting better, or worse. Sometimes it seems we’re doing both at the same time.
The key to good business, of course, is to use change to your advantage, and this has particular relevance to Cape Town.
Less than 150 years ago, Cape Town was South Africa’s biggest City, and had been the most influential centre for two centuries. The discovery of diamonds and gold shifted attention up north, but the gale force south-easter of change is mixing things up again.
Such is the pace of change that Cape Town is shaping up to be South Africa’s 21st-century engine room.
I say this not just because of the massive tide of semigration of both skilled and unskilled people voting with their feet, cars and aeroplanes to make Cape Town their home.
Neither am I referring to Cape Town’s now entrenched place near the top lifestyle cities, a title that draws many top professionals and digital nomads to our shores.
It’s clear the business tides are turning in Cape Town’s favour, with push and pull factors aplenty, some more obvious than others.
An often overlooked factor is the projected growth of the Blue Economy. Our Comprehensive Maritime Transport Policy recognises the huge potential of existing logistics corridors linking our Ports with inland cities, and with our sub-Saharan neighbours.
Cape Town is a vital Port hub for agricultural product, and Saldanha, while still a work in progress, has enormous potential as an export terminal.
There are also plans for further harbour developments along our nearly 4000 km of coastline.
Though seldom in the national spotlight, our maritime aspirations were evident last year in Durban where we played host to International Maritime Organisation’s World Maritime Day Parallel Event.
Geographically and historically we need to realise our potential of becoming a major maritime power, a goal within our reach if only we can stay afloat long enough to get there.
It is another reason why Cape Town, the Tavern of the Seas, is primed for success. Cape Town Port is a gateway to the regional economy, moving a large proportion of export goods.
It is also a springboard to our 1 552 300 km2 exclusive economic zone that promises significant offshore oil and gas yields. As Colleen Jacka notes
in Maritime Review Africa, “we have to dull the notion that the maritime industry is equal to just a mode of transport”.
In fact the maritime economy could be just the tonic South Africa so desperately needs to promote growth and development, with Cape Town at the helm.
There are other synergies pointing towards a Blue Renaissance. The V&A Waterfront and City of Cape Town have succeeded in making the Port Precinct a world-class tourism destination, while marine manufacturing continues to boom. There is talk of Cape Town becoming a global superyacht hub on the back of its existing ship repair infrastructure.
Historically Johannesburg decamps to the coast during summer holidays, or at least those who can still afford to do so; now people are coming to Cape Town to work, and it is no longer fanciful to imagine the City taking over the mantle of the nation’s business capital.
Those who can foresee the change before it happens are more likely to adapt, and more likely to spot an advantage. And more likely to make history rather than just follow it around.