To drive economic recovery and job creation in South Africa’s steel sector, industry organisation Steel and Engineering Industries Federation of Southern Africa (Seifsa) emphasises the prioritisation of infrastructure and industrial projects to create demand for key metals that drive industrialisation.

Seifsa advocates for the local steel industry through lobbying and stakeholder engagement, as well as collaborative efforts with government, unions and industry partners to create a conducive business environment.

The organisation specifically pushes for policies that ensure economic growth and a consistent and affordable energy supply, improved service delivery, and the promotion of local procurement and localisation in infrastructure development.

“The metals and engineering sector, which includes the stainless steel sector, reflects the broader manufacturing story. There has been prolonged decline, but also untapped potential, and Seifsa’s message is that renewal will not come from one player. It requires government to create an enabling environment, and businesses will follow this lead and create the much-needed employment,” highlights Seifsa marketing sales and communication executive Nuraan Alli.

“The future is uncertain, but if these elements come together, the metals and engineering sector will continue to be a backbone of South Africa’s industrial development.”

Seifsa, through its collaboration with industry body Southern Africa Stainless Steel Development Association, also focuses on increasing the local use of stainless steel in large-scale infrastructure projects such as electrical transmission, renewable-energy applications, water supply systems and rural bridges.

Jobs, Public Procurement

Seifsa’s efforts are directly tied to job creation in that its initiatives and aligned with the broader national localisation strategy, which aims to increase import replacement and raw manufacturing employment, as well as shift the metals and engineering sector towards higher-technology manufacturing.

The organisation’s advocacy now focuses on ensuring that future infrastructure and industrial projects include clear, enforceable localisation and local content rules. In this regard, Seifsa believes that public procurement has a critical role to play in being a stabilising source of demand for local companies.

Public procurement presents high returns and low risks, owing to the size of the proposed spend, in addition to attaching targeted obligations to this spend, Alli says.

The federation engages government directly on systemic barriers, including the lack of reliable electricity, rail and port inefficiency, as well as poor municipal service delivery affecting the metals and engineering sector. It has also consistently highlighted how policy uncertainty regarding localisation and infrastructure procurement undermines confidence and investment.

“Our position is clear in that without stable energy, logistics and stability in municipal service delivery, South African manufacturers will remain uncompetitive . . . Seifsa continues to push for policy alignment that protects jobs and incentivises local value addition,” Alli concludes.