Factory Southern Africa: SACU in Global Value Chains

The document outlines a study on the participation of South Africa and the SACU region in global value chains (GVCs), identifying them as a mechanism for expanding non-commodity exports and increasing manufacturing value addition. It proposes policy interventions focused on improving trade and transport infrastructure, reducing cross-border barriers, closing technical skills gaps, and enhancing regional institutional coordination to create a 'factory Southern Africa'.

• Global value chains (GVCs) represent a significant opportunity for the SACU region to expand non-commodity exports, foster economic diversification, and create jobs. For South Africa specifically, GVCs are viewed as a pathway to increasing manufacturing exports and achieving greater value addition, while other SACU members can use them for global integration and to attract investment from South Africa.
• To develop a competitive 'factory Southern Africa', the study recommends facilitating regional economic densification by improving trade, transport, and urban infrastructure, reducing cross-border trade barriers, and liberalising the movement of persons and work permits.
• Competitiveness in the region requires addressing gaps in technical and management skills, improving the reliability of electricity and ICT infrastructure, and establishing policy and institutional coordination across regional, provincial, and municipal levels.

APA

South African Institute of International Affairs (2016). Factory Southern Africa: SACU in Global Value Chains. https://saiia.org.za/saiia-toolkit/factory-southern-africa-sacu-in-global-value-chains/

Chicago

South African Institute of International Affairs. Factory Southern Africa: SACU in Global Value Chains. 2016. https://saiia.org.za/saiia-toolkit/factory-southern-africa-sacu-in-global-value-chains/.

Wikipedia

{{cite report |author=South African Institute of International Affairs |title=Factory Southern Africa: SACU in Global Value Chains |date=2 June 2016 |url=https://saiia.org.za/saiia-toolkit/factory-southern-africa-sacu-in-global-value-chains/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{southafricaninstituteofinternationalaffairs2016factory, author = {{South African Institute of International Affairs}}, title = {{Factory Southern Africa: SACU in Global Value Chains}}, institution = {South African Institute of International Affairs}, year = {2016}, month = jun, url = {https://saiia.org.za/saiia-toolkit/factory-southern-africa-sacu-in-global-value-chains/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }