Star 2021-07-13

Siphelele Dludla siphelele.dludla@inl.co.za THE growth in South Africa’s industrial production has slowed as the restrictions associated with the latest wave of Covid-19 remain a risk to its third quarter performance. Data from Statistics South Africa (StatsSA) showed that manufacturing production advanced 35.3 percent year-on-year in May following an upwardly revised 88.1 percent record jump in April. This was partly due to low base effects from last year when production plunged amid the initial effects of the Covid-19 pandemic. StatsSA said the main positive contributions came from the manufacture of motor vehicles, parts and accessories, and other transport equipment . Basic iron and steel, non-ferrous metal products, metal products and machinery; food and beverages; and wood and wood products, paper, publishing and printing also went up. Investec’s economist Lara Hodes…

Dineo Faku dineo.faku@inl.co.za THE South African business community is concerned about the economic losses amid the mayhem and unrest in KwaZulu-Natal and Gauteng triggered when former president Jacob Zuma began serving his 15-month jail sentence. Business Unity South Africa (Busa) chief executive Cas Coovadia warned yesterday that the loss of jobs as a result of businesses not having the confidence to continue operating would exacerbate an already high unemployment rate. Coovadia said the protests would have a negative impact on efforts to put South Africa onto a sustainable inclusive growth path and hamper efforts to address the severe social and economic challenges faced by the country. “The impact on society of these acts of anarchy is also severe,” Coovadia said. Zuma’s supporters set trucks alight on Saturday in KwaZulu-Natal, severely…

Siphelele Dludla siphelele.dludla@inl.co.za The RAND retreated significantly yesterday, falling to a two-month low as violent protests and industrial-scale looting in KwaZulu-Natal and Gauteng dealt a severe blow to investor confidence. Industrial activity ground to a halt yesterday as stores closed, with many businesses fearing falling prey to criminal elements. The rand plunged more than 2 percent during intraday trade, touching R14.51 to the dollar, before closing 0.17 percent weaker at R14.41 by 5pm yesterday. Market analysts said the domestic currency was heavily affected by the outbreak of violence after former president Jacob Zuma was imprisoned for 15 months. Citadel Global’s Bianca Botes said Zuma’s arrest would not affect the rand, but the violence and looting that has followed would hit the economy. Botes said it might come as a…

Siphelele Dludla siphelele.dludla@inl.co.za President Cyril Ramaphosa has taken a hard line against the ongoing unrest and rampant looting in South Africa, saying that the government will do everything in its power to restore law and order on the streets. Business activity ground to a halt yesterday as factories and stores closed for fear of falling victim to criminal elements after sporadic events of industrial-scale looting in Gauteng and KwaZulu-Natal. South Africa has witnessed untold unrest that started with the torching of trucks after the jailing of former President Jacob Zuma at the Estcourt Correctional Centre for 15 months. He was found guilty of contempt of court. Addressing the nation last night, Ramaphosa said the government had mobilised all available resources and capabilities to restore order, protect property and safeguard social…

Sandile Mchunu sandile.mchunu@inl.co.za Renergen, the natural gas and helium producer, said yesterday that it had made another discovery of helium as high as 1.9 percent in the P12 well at its Virginia Gas Project in the Free State. The group said it was pleased to announce that the P12 well, which it previously advised would be plugged and abandoned on June 30, was observed to commence flowing gas, at low rates, in the days following rig release. “The flow rate has subsequently continued to increase with a current flow rate in excess of 30 000 standard cubic feet per day. Most significantly, the measured helium concentration in the gas stream is high at 1.9 percent,” the group said. Chief executive Stefano Marani said: “The significance of this discovery cannot be…

EDWARD WEST edward.west@inl.co.za MORE THAN 55 percent of commercial property owner-occupiers are believed to be selling or relocating because of financial constraints, according to the second-quarter Property Broker Survey by First National Bank (FNB), which was released yesterday. The 55.37 percent of respondents who held this view was noticeably down from the 65.2 percent in the first quarter, but was still 12.3 percentage points higher than the 43.1 percent recorded in the second quarter of last year. The survey was taken from a sample of commercial property brokers in the six major metros: Joburg, Ekurhuleni, Tshwane, eThekwini, Cape Town and Nelson Mandela Bay. FNB Commercial Property Finance property strategist John Loos said the survey showed that financial pressure was still the single-biggest driver of movement…