The Minister of Commerce, Industry and Trade, Manqoba Khumalo, has commissioned a new E700 million metal foundry project in Sidvokodvo that is expected to create at least 500 jobs and strengthen Eswatini’s industrialisation drive.
The project by Eswatini Metal Foundries compliments Government’s broader strategy to position the country as a competitive regional manufacturing hub through industrial expansion, local beneficiation and value addition.
Strategically located along the railway line in Sidvokodvo, the facility will process scrap metal locally instead of exporting raw materials to neighbouring countries. The development will also include a tyre pyrolysis plant that will recycle used tyres into industrial fuel to power foundry operations.
Speaking during the commissioning of the facility, Khumalo described the investment as a landmark development for Eswatini’s industrial sector and a major step towards economic transformation. Khumalo said Government was pleased to see one of the investment pledges made during last year’s inaugural Eswatini Investment Conference materialising into a tangible industrial project.
“You will recall that last year we had the inaugural Eswatini Investment Conference where companies pledged to invest in the country and Eswatini Metal Foundries was one of those companies that pledged,” he said.
He described the foundry as a first-of-its-kind investment in Eswatini, noting that the country has historically exported scrap metal without benefiting from local processing and value addition.
“We have always been exporting scrap metal. This company is saying they want to end that. They want to do the scrap metal melting in the country and then export to the rest of the world,” said Khumalo.
The minister further highlighted the strategic location of the project, noting that the nearby railway line would improve logistics and transportation efficiency for exports and imports.
Khumalo said the investment is expected to bring significant socio-economic benefits to communities surrounding Sidvokodvo, including Gundvwini and nearby areas, through employment creation and business opportunities.
“This will help the communities of Sidvokodvo, Gundvwini and surrounding areas as people will get jobs,” he said.
Chief Executive Officer of Eswatini Metal Foundries, Matthew Sprague, gave an overview of the project.
“For the first initial phases we are looking at building on 15 hectares of land. We are building a scrap metal foundry where we will be taking scrap metal and melting it into secondary products,” said Sprague.
He explained that the company also intends to establish a tyre recycling facility that converts rubber into oil, which will then be used as an energy source for the foundry operations.
“We are also looking at recycling tyres through what is called a tyre pyrolysis plant. It takes tyres, shreds them up and converts the rubber into oil which burns in the foundries as an energy source,” he said.
According to Sprague, phase one of the project is expected to be completed by May next year, while the full development will be rolled out over five phases within a five-year period. He said the company’s long-term vision includes expanding into steel manufacturing and construction materials production.
“Once the initial phase is complete, we will look at other lines of production and manufacturing something in the long term. For example, we could put a rolling mill in to take steel billets and manufacture rebar for construction,” he said.