Situated in the scenic eastern region of the province, OR Tambo district constitutes most of the former Transkei , incorporating the tourist-friendly Wild Coast from Coffee Bay to Port St Johns and beyond, all the way to the province’s coastal boundary with KwaZulu-Natal.
The Pondoland region of the district is widely regarded as one of the most fertile in the country, benefiting from a temperate climate, fertile soil, predominantly frost-free conditions and, crucially, higher-than-average annual rainfall of around 700mm per year.
East of Port St Johns, the district is predominantly sub-tropical, consisting of large sheathes of indigenous forest, including Mount Thesiger, Mount Sullivan, Ntlopeni, Lotana, Mbotyi, Egosa and Ntsubane, while the hinterland rises steadily through undulating hills to a 1 500m-above-sea-level interior plateau.
The second most populous district in the province, OR Tambo is home to an estimated 1.5 million people scattered across an area of roughly 15 500km². The region is largely rural, with urban settlements concentrated around the administrative and commercial centre of Mthatha. Other major towns include Mqanduli, Port St Johns, Qumbu, Lusikisiki, Flagstaff and Bizana.
While the district has a relatively small formal economy, the informal sector is vibrant and growing, boosted by extensive subsistence farming and informal trading. There are several dedicated conservation areas in the district, including Silaka Nature Reserve near Port St Johns, Hluleka Nature Reserve near Presley Bay, Luchaba Nature Reserve next to Mthatha Dam and Mkambati Nature Reserve on the northern Pondoland Coast. There is currently an ongoing investigation by the national Department of Environmental Affairs and Tourism, in collaboration with provincial environmental officials, into the possibility of combining the provincial and forestry reserves under a unified Pondoland Conservation Area that would stretch from Port St Johns to the Umtamvuna River.
Developmentally, OR Tambo is focusing on five key sectors for growth and economic expansion: agriculture, tourism, forestry, mariculture and infrastructure. In addition, the district has been identified as one of 13 Presidential Nodes for targeted development. It is one of four ISRDP nodes in the Eastern Cape and has been included in the PGDP-related Mthatha-East London and Wild Coast Agro-Tourism Corridor.
Tourism
Tourism activity is concentrated in the breathtaking Wild Coast region, which boasts a large number of public and privately managed reserves and resorts.
The district is also aggressively positioning itself to take advantage of the global rise in backpacking tourism, and is set to benefit significantly from the Department of Trade and Industry’s (DTI) new niche publication, Backpacking and Youth Travel Trends. International research has shown that youth travel is a major contributor to the global tourism economy, with the 16-to-24-year age group the industry’s fastest-growing segment. According to DTI, South Africa receives about 90 000 backpacker and youth travellers each year, who contribute over R900 million in direct spend to the economy. The Wild Coast, along with major centres such as Cape Town and Durban, counts among South Africa’s most popular backpacking destinations.
Culturally, the Nelson Mandela Museum, at its main Mthatha location as well as at the satellite site in Qunu, pays impressive tribute to the legendary former South African president, who is aptly claimed as the district’s most famous son. The museum enjoys a high profile nationally and internationally, and has drawn large numbers of visitors during its first few years of operation.
Don’t miss
•The Nelson Mandela Museum, situated in the Bhunga Building in Owen Street, is considered one of South Africa's most significant heritage institutions.
•The quintessential Eastern Cape hiking experience, the famous Wild Coast Hiking Trail is a massive, multi-optional 280km trek along one of South Africa’s most spectacular coastlines.
•If you’re a golfer, the Robert Trent Jones-designed Wild Coast Golf Course poses one of the most exhilarating coastal challenges in South Africa.
•The waterfalls of Butterworth – apart from the visual excitement of Gquca Falls and the impressive Bowa Falls, both sites have significant historic and cultural appeal, with Bowa said to have been a site of traditional executions.
•At roughly 80km², Mkambati is the largest Wild Coast reserve, and arguably one of the most scenic. Apart from 10km of rugged beaches, the reserve boasts forested ravines, a swamp forest and several waterfalls.
•Jonopo Village at Qunu, about 34km outside Mthatha, offers visitors an authentic Xhosa village experience, complete with important Xhosa customs such as the Ibhoma and the Intonjane, which are the traditional boys’ and girls’ initiation ceremonies.
•Hluleka Nature Reserve comprises a range of diverse eco systems from rocky seashores and lagoons to evergreen forests of quinine, coral and Natal Fig Trees. It is an excellent site for dolphin and whale viewing.
Economic activity
OR Tambo contributes about nine percent to the overall provincial GDP. Agriculture is the district’s predominant economic activity outside of government services, accounting for 8% of formal employment and a substantial – though difficult to gauge – percentage of informal employment. Food processing, furniture and wood products constitute the largest manufacturing sectors, the vast majority of which are based in Mthatha.
Some of the major LED projects underway include a R20-million-plus primary agriculture resuscitation programme part-funded by the Kellogg Foundation, which is aimed at assisting maize farmers in the district; a livestock resources improvement scheme; the Lambasi Community Production Centre; and the proposed Nelson Mandela Cultural Precinct and Cultural Heritage Preservation.
In the medium term, the district will also benefit significantly from the Eastern Cape’s efforts towards agrarian transformation and food security, as embodied by its ambitious Massive Food Programme. This programme, centred largely on the former Transkei region, sets out not only to increase the production of food crops but also to encourage access to new markets through infrastructure, credit and training support.
A crucial component of this strategy is a new initiative to revitalise the storage and milling capacity in the district. This initiative looks at establishing several medium-sized milling operations at specific locations in the district with a view to decreasing the province’s dependency on imported milled maize products.
To date, three business plans for medium-sized mills have already been finalised, the necessary legal structures have been put in place and BEE shareholders have been identified.
The first of these mills has been earmarked for Flagstaff, to be followed by two more at Butterworth and in Mthatha, traditionally the best maize-growing areas in the province.
Investment opportunities
OR Tambo district is ideally positioned for the development and expansion of tourism and tourism-related industry due to its unique geo-physical attractions.
Higher than average annual rainfall, superior soil quality and an abundance of un- or under-utilised arable land means the district has vast agricultural potential and substantial scope for a wide range of forestry production and related value-added processing.
The district’s many rivers and its coastline offer substantial potential for various marine resources including fish and marine produce such as shellfish. Forested areas also offer potential for future enterprises in timber, manufacturing and export.
Overall, the cost of doing business compares favourably with the provincial average, despite being at least two hours’ travelling time from the nearest major economic centre.
Area: 15 535km²
Population: approx. 1.5 million
Municipalities:
King Sabata Dalindyebo – Mthatha, Mqanduli
Nyandeni – Libode
Port St Johns – Port St Johns
Qaukeni
Ntabankulu
Mhlontlo
Mbizana
Tel: +27 (0) 47 501 6400
Fax: +27 (0) 47 532 4166
Executive mayor: Zoleka Capa
Municipal manager: Bruce Kannemeyer