SA manufacturing production grows for 4th consecutive month

South Africa's manufacturing sector has continued to show positive growth, with data from Statistics SA revealing a 2.5% increase year-on-year in May, surpassing market expectations. This marks the fourth consecutive month of growth for the industry, following a 3.6% surge in April. To delve deeper into the implications of these statistics, Lesley Ncube, CEO and Founder of Thatha Manufacturing, sat down with CNBC Africa to discuss how these figures translate to real-world opportunities and challenges. Ncube highlighted the importance of understanding the nuances of the industry, particularly in the realm of telecoms and electronics where Thatha Manufacturing operates. While the broader manufacturing statistics show promise, Ncube emphasized the unique position of his company within the market, which is relatively untapped in South Africa. Thatha Manufacturing is pioneering the production of South African smartphones, capitalizing on the country's resources and market potential to drive export of finished products. The emphasis on localization and value addition aligns with the government's initiatives, presenting a significant opportunity for innovative ventures like Thatha Manufacturing to thrive. Despite the promising prospects, Ncube shed light on the hurdles faced in accessing funding within the electronics manufacturing space. He underscored the critical role of strong relationships with partners in China and support from government innovation hubs in sustaining their operations and fostering growth. Navigating the intricate landscape of funding and creditworthiness remains a challenge, prompting a call for increased government involvement and confidence in emerging industries. The conversation shifted towards the crucial aspect of talent acquisition and skill development in the electronic and electrical systems manufacturing sector. Ncube acknowledged the ongoing evolution in Africa's technological landscape and the demand for localized products. With a focus on attracting the right talent, Thatha Manufacturing aims to position itself competitively in the global market, leveraging international partnerships as a strategic growth driver. Collaborations with industry giants like MTN and Telkom underscore the company's commitment to expanding its footprint and establishing a global brand presence. Ncube's insights illuminate the dynamic opportunities and complexities within South Africa's manufacturing industry, offering a glimpse into the innovative strategies driving growth and sustainability.