Load-shedding knocks mining and manufacturing in the first quarter
Despite a better performance in March, both sectors recorded contractions in the first quarter of the year – with production severely constrained by load-shedding
Power cuts in the first quarter of the year delivered a blow to the mining and manufacturing sectors, which does not bode well for economic growth. Both sectors recorded contractions in the first quarter of the year — with production severely constrained by load-shedding. SA saw its return in November, with the most severe power cuts the country has seen. There were 26 days of power cuts up to the end of March. Mining production was also hit hard in recent months by strikes at gold mines led by the Association of Mineworkers and Construction Union (Amcu), where about 15,000 workers were on strike for almost five months at the Driefontein, Kloof and Beatrix mines. Workers returned to work at the end of April, which could see a recovery in gold production levels. Mining production decreased 1.1% year-on-year in March and was down 3.4% in the first quarter. Manufacturing production grew 1.2% in March but decreased 2.4% in the first quarter. Mining contributes about 8% to SA’s GDP wh...
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