EDEN DISTRICT NEWS - The contraction of the Eden economy after 2010, in addition to an above average population growth and urbanisation rate experienced during the past 12 years, poses special challenges.
However, the region has lots of economic development potential, according to Estelle Cloete, a representative from the Western Cape Economic Development Partnership (EDP) who spoke at a workshop that it hosted in George last week in collaboration with the Eden District Municipality.
During the discussion sessions, it was suggested that there should be a change from Eden's branding as offering only beaches and natural beauty to an economic brand that can enhance the region's image as favourable for economic investment.
There are however, some obstacles. Representatives from local economic development departments said they struggle with a shortage of resources as they are not really regarded as a priority in local government.
There are also "contradictions" among Eden residents, with many locals not being hungry for growth like in the big cities and not wanting the ambience of the region to change through development. This was according to Sharon Lewis, of the Southern Cape Economic Partnership, a regional leg of the Western Cape EDP.
Niel Els, chairman of the Southern Cape Economic Partnership, said the ambience is the reason tourists visit the area and tourism is one of the major economic drivers in the region, therefore economic development should be responsible. "Tourism is an industry that can be increased with the least amount of money too," he said.
"Our audience is global, but our jam and butter, our main focus, is South African tourists. The area is flooded with them during holiday seasons. We also have a huge sports tourism sector with regional and national events being hosted here. The international market is very finicky. We should market the region carefully and not place all our eggs in one basket. We are seeing now with the new regulations on unabridged birth certificates that it is already affecting overseas tourist numbers."
Guy Spargo, of G Spargo & Associates, who specialises in commercial and industrial property, said most people investing in property in the region are retirees and this keeps the development of retirement villages alive. "The retirement market has money. They are the ones who keep us going, since the salaries in George are shocking."
Spargo also said many clients from Johannesburg, generally known as "mini swallows", commute while their families remain based here. "Many are trying to set up businesses here, but are not always successful."
He said industry can be attracted to George if "prohibitive" municipal fees are reduced.
"Our fees are of the highest in South Africa and that is also why rental is more expensive. Only big investors like those behind the mall have the money to run at a loss for a while. Most residential development has in the meanwhile come to a halt and rentals are getting more and more expensive."
The Southern Cape Economic Initiative, which collaborates with the Western Cape EDP and public sector to promote economic development in the region, meet on a regular basis. For more information, contact Sharon Lewis via e-mail at sharon@wcedp.co.za.
Panelists at the workshop. from left are: Guy Spargo (G Spargo & Associates), Carli Bunding-Venter (George Local Economic Development manager), Niel Els (Southern Cape Economic Partnership chairman and owner of Turnberry Boutique Hotel in Oudtshoorn) and Libby Ferrandi (Western Cape Economic Development Partnership). Photo: Alida de Beer
'We bring you the latest Garden Route, Klein-Karoo, Hessequa news'
