Supporting job creation at new plant in South Africa
In September 2016, AVK officially launched a R200-million valve manufacturing facility at Alrode in Gauteng, South Africa. An opening of a new plant that supports job creation and skills transfer in South Africa 30-09-2016
AVK strives for Global leadership with local commitment. AVK’s local commitment with the new plant at Alrode boosts local business and the economy as a whole. As Malebo Mabitje Thompson (Deputy Director General of Department of Trade and Industry) puts it:
“This investment, through its forward linkages, will deepen localisation by supporting the growth of downstream industries, including small and medium enterprises. Through the additional procurement of related goods and services, the investment is also strategic and important in terms of our Industrial Policy Action Plan (IPAP); building productive capacity towards full-scale industrialisation. The opening of this facility also marks an important milestone for the government and industry in our quest to convert the country’s comparative advantage into a competitive advantage.”
Furthermore, the new plant with its 4,500m² of office space, 1,200m² of training centre and 2,000m² of warehouse space has contributed to the creation of 114 permanent jobs and 150 indirect jobs. Within the next 12 months, AVK hopes to train and transfer skills to a further 1,500 non-AVK employees in the training facility.
AVK Valves Southern Africa emerged from Premier Valves Group in 2014, when AVK acquired a majority stake in Premier. The investment in the new plant takes advantage of the Department of Trade and Industry’s (DTI's) local content requirements for State-owned entities which stipulates the procurement of locally manufactured products.
The opening of the plant is in line with the AVK strategy to grow business in South Africa and the southern African region. AVK finds that being a local manufacturer, supported by a worldwide organisation, is of benefit to their customers, partners, employees as well as to the group as a whole. AVK focuses on setting up and managing their regional facilities according to local values and regulations as well as to the social conditions prevailing in the regions in question. AVK believes that giving the local people and entities the freedom to operate the daily business in due consideration of local standards and legislation provides the best conditions for a successful business.