DTI and Caterpillar sign R1.3 billion investment agreement | Infrastructure news

Minister Davies, Barloworld CEO Emmy Leeka and Caterpillar Managing Director Zakieya Parker

Minister Davies, Barloworld CEO: Emmy Leeka and Caterpillar Managing Director: Zakieya Parker at the launch of the approximately 1.3 billion Rand Equity Equivalent Investment Program

Caterpillar has committed to sourcing components and related services in South Africa worth a total estimated value of approximately R1.3 billion.

The agreement between the renowned mining and construction equipment manufacturer and Department of Trade and Industry (DTI) is the largest ever Equity Equivalent Investment Program (EEIP) in the country, according to the DTI.

The investment will take place over the next 10 years in support of local enterprise and supplier development.

South African Minister of Trade and Industry, Dr Rob Davies, commended Caterpillar for their investment at the launch event at Barlow Park near Johannesburg. “I want to commend Caterpillar for embarking on this journey with us as partners to stimulate and grow the South African economy. I look forward to see these commitments being executed.”

Investing in Africa

This commitment is one of Caterpillar’s largest engagements in Africa to date, and is part of the previously announced plan of Caterpillar, its independent dealers and the Caterpillar Foundation to invest more than $1 billion in countries throughout Africa over five years.

“Our multi-year commitment will help develop South Africa’s industrial local supplier base, generate more inclusive economic growth, and support our goal to be a leading B-BBEE (Broad-Based Black Economic Empowerment) organisation in the industries we serve,” said Chris Monge, Caterpillar Director for Southern Africa.

“We look forward to working with the South African government towards transformation and industrialisation.”

“Our participation in the EEIP supports the development of local suppliers and enterprises, local content, skills transfer and development and job creation,” added Zakieya Parker, Managing Director, Caterpillar Industries (Pty) Ltd. “

The localisation opportunities we are looking at include sourcing components locally to support the mining, construction, energy, and transportation industries.”

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