EAST London's economy is set for a big boost after the completion of a reinforcing steel factory in the city's Industrial Development Zone (IDZ).
The R18million rand factory - which started operations on March 15 - was built by JSE-listed construction group Murray & Roberts, the IDZ said in a statement yesterday.
The reinforcing steel construction plant was expected to create several employment opportunities.
According to plant manager Nick Lotter the East London IDZ was the ideal place for the factory.
"The East London IDZ has a good piece of level ground that made practical sense. It's also a closed, secure environment."
Lotter said East London was a strategic growth point.
"We are also close to the former Transkei, where infrastructure development is needed."
He said that the plant was already functional and only needed "finishing touches".
East London IDZ sector manager Zwelethu Mhlophe said the factory was critical for the region as it would develop steel for reinforced concrete columns to be used in construction projects in Eastern Cape.
"This is another investment by the East London IDZ and means new jobs will be created," Mhlophe said.
Border Kei Chamber of Business managing director Les Holbrook said of all the development nodes and zones in South Africa, the East London IDZ was proving to be "the best, most efficient and cost effective location for new investment". - Sapa