Source: President of South Africa –
Founders of Project Blue, Mr Jack Bedder, Mr Nils Backerberg and Mr Steve Segete,
Captains of the mining, manufacturing and finance industries,
Government officials
Distinguished guests
Ladies and Gentlemen
It is my honour to join you this evening at the Ferroalloys 2025 Conference Gala Dinner. We would have loved to honour your invitation at your inaugural conference in 2024 but equally happy that we meet a year later, with your platform having grown bigger and better.
We gather here not only as government, industry, and labour, but as custodians of South Africa’s future. A future that is being shaped by the choices we make today in mining, manufacturing, and industrial development.
For more than a century, South Africa’s mining industry has been the backbone of our economy. From the discovery of gold and diamonds to the development of platinum group metals, manganese, and chrome – mining has fuelled industrialisation, built cities, and created millions of jobs. It has generated the revenues that funded infrastructure, schools, and hospitals, while positioning South Africa as a global player in mineral production.
In fact, just today Statistics South Africa released the Gross Domestic Product (GDP) figures for the 2nd Quarter of 2025 which indicates that the economy grew by 0,8% with mining being amongst the most significant positive contributor adding 0,2 percentage point to GDP growth.
Mining output grew by 3,7%, the fastest pace since the first quarter of 2021 (4,4%). Platinum group metals, gold and chromium ore were the main positive contributors. This is testament to the fact that this sector continues to play a crucial role in the growth and development of our economy.
Colleagues, we find ourselves in a new era. An era defined by green industrialisation, the global push towards decarbonisation, and rapid digital transformation. At the heart of these shifts lies an increasing demand for critical minerals. These are the building blocks of the technologies that will drive the Fourth Industrial Revolution.
It is within this context that South Africa undertook a comprehensive study on the state of our mining industry, culminating in the development of a Critical Minerals and Metals Strategy. This strategy provides a clear roadmap to leverage our mineral endowments for inclusive growth, industrialisation, job creation, and economic transformation.
Manganese and chrome, which are essential inputs into ferroalloy production, have been identified as high-criticality minerals. The manganese sector alone employs over 14 000 South Africans, contributes billions in tax revenue and foreign exchange, and in 2023 recorded production of 21 million tonnes, with more than 90% destined for export markets.
Chrome too, continues to be a strategic asset, positioning South Africa as a significant exporter and reinforcing our leadership in ferroalloys.
In 2023, our country produced an estimated 4.34 million tonnes of ferroalloys, consolidating our status as one of major producers. In the same year, export revenues from ferroalloys reached R8.3 billion, driven by strong demand from the global steel industry, infrastructure projects, and industrialisation in emerging markets.
However, these successes are not without challenges. The ferroalloys industry continues to face:
• Declining global market share in the face of stiff competition;
• High input costs, particularly electricity and labour;
• Infrastructure bottlenecks in rail and ports;
• And limited domestic demand due to subdued local steel production.
These challenges are compounded by global market dynamics, especially the evolution of steel production in China, and the rising demand in emerging economies such as India and Vietnam.
As government, we are not passive observers of these dynamics. Guided by our Critical Minerals Strategy and the Economic Reconstruction and Recovery Plan, government is implementing catalytic interventions to unlock growth in ferroalloys and allied industries.
Through Operation Vulindlela, we are:
• Addressing electricity supply constraints, including reforms to enable greater private sector participation in generation;
• Modernising our rail and port infrastructure to reduce congestion, improve efficiency, and lower export costs;
• Reviewing administered prices to enhance the competitiveness of energy-intensive industries such as ferroalloys; and
• Designing sector-wide incentives that support investment, localisation, and beneficiation.
At the same time, we are working closely with industry players to strengthen value chains, encourage innovation, and build skills for the future. The ferroalloys industry has the potential to be a springboard for downstream manufacturing, from stainless steel to specialised alloys, creating new industries and decent jobs for our people.
The future is not only about exporting raw materials. It is about capturing more value here at home. South Africa must position itself not just as a supplier of minerals, but as a global leader in sustainable mineral beneficiation and advanced manufacturing. We must stop being a point of extraction but a point of production.
Ferroalloys will play a decisive role in this transformation. They are indispensable in steelmaking, which in turn is the backbone of infrastructure, smart cities, and modern construction. In this sense, ferroalloys are not just a commodity, they are a strategic enabler of the transition to a low carbon economy.
To achieve this vision, we must deepen partnerships:
• Between government and industry,
• Between investors and workers,
• And between South Africa and our regional and global partners, including SADC, BRICS, and the African Continental Free Trade Area.
By working together, we can unlock markets, mobilise investment, and build the skills base that will empower the next generation.
Ladies and gentlemen, the ferroalloys industry is at a crossroads. The choices we make today will determine whether South Africa remains a global leader or falls behind in a rapidly changing world.
Let us work together and place the needs of our people at the centre of our mineral wealth.
We also recognise that trust is not built on words alone but on concrete action. Government is committed to listening to the concerns of industry, acting on them, and demonstrating that this is a partnership for growth.
Our approach is rooted in transparency, accountability, and continuous dialogue. We want to create more spaces like this conference where government, business, and global partners can meet openly, exchange ideas honestly, and commit to solving problems together.
By working together, we will build the foundations for a more competitive, resilient, and inclusive ferroalloys industry.
Ladies and gentlemen, I am conscious that this is a gala dinner and I do not wish to stand too long between you and your meal, or indeed between you and the excellent South African wine that has been carefully chosen for this occasion.
Allow me then to close by saying that South Africa has the resources, the talent, and the vision to be a global leader in the ferroalloys industry. What we need is to act with purpose and in partnership.
I thank the organisers of Ferroalloys 2025 for convening this significant gathering, and I acknowledge the founders of Project Blue and all the industry leaders present tonight for their continued leadership and commitment.
May this evening mark not only a celebration of what has been achieved but also a renewal of our collective resolve to build an industry that is globally competitive, environmentally sustainable, and beneficial to all South Africans as we build A Nation That Works For All.
I thank you.
