The South African Valve and Actuator Manufacturers’ Association (SAVAMA) reports that the local valve industry is holding its own despite the strength of the rand, which is having a negative effect on its competitiveness. “The local industry is under continuous pressure to compete against imported products that are, in many instances, less expensive than their local equivalents, as a result of the economies of scale achieved by manufacturers abroad.” Stated Mr Wilson. “However, local valve manufacturers’ ability to excel in supplying products to niche markets, such as the mining industry, has enabled the local valve industry to maintain its position.” According to SAVAMA vice-chairperson Heinrich Hedtrich, the strength of the rand has pushed up the foreign currency price of locally manufactured valves in export countries by about 30%, excluding any price increases by individual producers. The total turnover of the valves market in South Africa is estimated to be about R 1.8 billion. This amount includes locally manufactured valves, as well as the sale of imported products. Hedtrich estimates that up to 35% of all valves manufactured locally are used in the South African mining industry in a variety of applications, including the pumping of slurries and chemicals, as well as the provision of air and water services underground.
