Cape Town’s manufacturing sector is set for renewed momentum after City Council approved a new Manufacturing Support Policy aimed at stimulating investment across 33 industrial hubs.
The policy builds on the City’s 2018 Investment Incentives Policy but significantly expands its reach, offering a broader range of financial and non-financial support measures to attract both local and international investors.
According to Alderman James Vos, Mayoral Committee Member for Economic Growth, the updated policy arrives at a crucial time as Cape Town seeks to strengthen trade relationships across Africa and global markets while supporting local economic resilience.
“The new Manufacturing Support Policy not only expands its focus to 33 areas around Cape Town, but is also simpler to administer and implement. It is also arriving at an especially critical time for our manufacturing industry as we’re aiming to grow trade and investments with source markets across Africa and elsewhere in the world,” said Vos.
Manufacturing plays a critical role in Cape Town’s economy due to its wide-ranging impact on job creation across both low and high-skilled labour markets, as well as its linkages to sectors such as logistics, transport and warehousing. The sector also contributes to technological innovation and increased competitiveness.
Key elements of the policy include extending support packages to all 33 industrial areas, maintaining financial incentives that enable faster development application processing, and introducing broader non-financial support mechanisms aimed at reducing barriers to investment.
Importantly, the policy also encourages investment in green technologies, aligning industrial development with sustainability priorities and helping position Cape Town as a forward-looking investment destination.
The approval of the policy coincides with new investment commitments announced at the South African Investment Conference, where President Cyril Ramaphosa highlighted projects secured for development in Cape Town. These investments, according to the City, reflect ongoing engagement efforts and supportive economic policies that contribute to long-term growth.
Over the current local government term, Cape Town has recorded approximately 470 000 jobs added, with investment attraction forming a key component of this economic expansion strategy.
Implementation of the Manufacturing Support Policy will begin following Council approval, with the City engaging stakeholders to operationalise the support measures across the identified industrial areas.
Businesses seeking further information or support can contact the City’s Investment Facilitation team via investment.facilitation@capetown.gov.za.
