New Delhi, April 18 (NationPress) Indian businesses are actively seeking investment avenues within South Africa's Dube TradePort Special Economic Zone (SEZ) as New Delhi aims to enhance its economic connections with a vital logistics and manufacturing center in Africa, as per a recent report.

The report from South Africa's IOL highlights that the Dube TradePort SEZ is unique as it is the only SEZ in South Africa that is integrated with an international airport, King Shaka International Airport, providing a significant edge for industries focused on exports.

This development is strategically crucial for India as its companies aim to expand their presence in Africa, the report elaborates.

Key sectors like pharmaceuticals, automotive parts, agro-processing, and electronics, where India excels in exports, are likely to gain from the SEZ’s well-integrated infrastructure and its closeness to global markets.

Furthermore, Indian enterprises already have a significant footprint in the zone.

For example, the Mahindra Group operates a vehicle assembly facility within the SEZ through its South African subsidiary.

In a similar vein, Cipla Limited has set up manufacturing operations through its subsidiary Cipla Medpro.

These investments have not only strengthened bilateral trade relations but have also contributed to local job creation and skill enhancement, aligning with India's broader economic diplomacy in Africa, according to the report.

Nevertheless, Indian industries are closely observing the ramifications of the recently signed China-Africa Economic Partnership Agreement (CAEPA).

This agreement, which allows duty-free access for South African exports to China, may shift trade dynamics in sectors such as minerals and agro-products, possibly affecting India's competitive stance.

For India, the Dube TradePort serves as a platform to deepen commercial relations with South Africa amid an increasingly competitive global trade landscape, the report states.

Complemented by incentives such as a reduced corporate tax rate of 15 percent, the SEZ’s logistics-centric ecosystem, customs-controlled areas, and ready-to-use industrial land are progressively drawing global investors, including Indian firms, it further stated.

Since its establishment in 2017, the Dube TradePort SEZ has become one of the most successful industrial zones in the country, leveraging its airport-linked infrastructure to boost exports.

The approved expansion will add approximately 752 hectares to the SEZ, significantly increasing capacity for export-oriented manufacturing.