- Perspective – March 2022
- Advert : Columbus Stainless
- Industry Insight – STAINLESS STEEL SECTOR GEARS UP FOR GROWTHEach year we ask Sassda Acting Executive Director Michel Basson to give us an overview of the sector’s performance in the last 12-months as well as some key information and insights. Here is his outlook on a year like no other and the bright spots of potential on the horizon… How would you categorise the performance of the South African stainless steel sector in the last two years with specific reference to the current performance where primary consumption levels have returned to 2018 levels? What has allowed that to occur? The performance of the local stainless steel industry has been confirmation of what we have seen during similar times of global economic crisis. It has once again shown adaptivity, innovation and resilience. Our sector was one of the first to be able to start up after the initial lockdown at 50% capacity compared to the 30% of most others. This was due to the sector’s ability to cooperate and organise quickly and intelligently. The industry certainly didn’t come through the past two years unscathed but it is showing pre-pandemic consumption levels. Please can you give some other meaningful stats in terms of how the…
- Advert – Unique Welding –
- Market Intelligence – THE BEST OF THE GPS E-NEWSLETTEREach month Sassda rounds up a selection of global and local market intelligence articles that are sent to our members in an easy to read package of content. They’re designed to highlight pockets of potential growth in demand for stainless steel. Here are some of the best articles from the last few issues… COAL FEET: LIMPOPO INDUSTRIAL PARK BACKED BY CHINA DITCHES PLANS TO BUILD POWER STATION The company overseeing the development of a proposed Chinese backed industrial park in Limpopo says it has ditched plans to build a coal power station and will instead use solar power. At a business briefing in Polokwane MMSEZ CEO Lehlogonolo Masoga said plans to build a coal-fired power plant to provide electricity for the hub’s proposed steel, coking and pig iron plants had been ditched. “Environmentalists said no. World leaders said no – [saying instead] let’s reduce our carbon footprint and stop producing energy through coal,” said Masoga. “We have abandoned that part of the project. We are now focusing on solar.” READ MORE
- Advertorial – Innov-X-Africa
- Advert – Innov-X-Africa
- What to Expect of Business in Africa in 2022
- Doing Business in Namibia – Namibia is strategically poised for stellar growth thanks to a substantial natural gas and oil discoveries off its coast. However, with a small opulation of approximately 2.6 million people, and a large land mass of 825 square kilometres and an immense distance to cover in terms of service and connectivity infrastructures, the country has its fair share of challenges… The Namibian government has a strong focus on the pursuit of free market economic principles to promote commercial development and job creation. Although a large portion of the population engages in more traditional subsistence farming and herding activities, the country also has a more modern market sector that is the largest contributor to its economy. The Namibian dollar was introduced in 1993 and is closely linked to the South African Rand at an exchange rate of 1:1. This makes its economic trajectory very similar to that of South Africa. AN EXTRACTION ECONOMY The mining, agriculture and tourism sectors have always been the traditional backbones of the economy with the success of the country being largely dependent on the extraction and processing of minerals for export. Almost 50% of the country’s foreign exchange earnings are derived from mining which makes up approximately…
- A picture of Tanzania looking Forward – The Tanzanian economy is experiencing rapid expansion with its GDP expected to grow from US$50-Billion in 2016 to $100-Billion in 2026, and his forecast may well be a conservative one as it excludes the recent oil and gas finds in Tanzania. It is projected that the Tanzanian GDP will grow from US$50 billion in 2016 to reach $100-Billion in 2026, but this excludes the recent oil and gas discoveries in Tanzania. Tanzania’s economy is reliant on agriculture, a sector that employs at least 65% of the workforce and accounts for just under a quarter of the GDP. As with most other countries, the COVID-19 pandemic stunted economic growth, resulting in a drop of 3% between 2020 and 2021. However, renewed focus on and reform in sectors such as agriculture, mining, manufacturing and construction will see the GDP bounce back to at least 6% in 2026. A stronger GDP is certainly needed in a population that is projected to grow from 58-million to at least 79-million by 2030. PROJECT PROFILE The East African Crude Oil Pipeline, at an estimated capital investment of $3.5-Billion, is a critical project between Tanzania and Uganda that is currently under construction. This project will unlock the…
- Professional Profile
- Case Study – 3CR12 IN ACTION IN THE SUGAR INDUSTRYThe global sugar sector is an increasingly competitive industry where cost reduction and increased productivity is of the essence. The ISSF reports that an assessment of the performance of basic stainless steel grades in the European sugar industry has shown that the use of these grades has led to a 50% drop in plant maintenance costs. Corrosion and rapid wear of factory equipment are widely recognised as the major contributors to production costs and quality problems in the sugar industry. The root cause of this is the fact that the processing of sugar cane is highly corrosive and/or abrasive. In the early years, producers of sugar almost exclusively used carbon steel in the plants. This design was based on the perceived low costs of the material. This was ultimately the incorrect decision since carbon steel does not have high resistance to either mechanism. The processing environment is created by a mixture of abrasive particles, moisture,heat, and acidity creating a very hostile environment for regular materials. However, to the utility ferritic this is home. BACKGROUND TO 3CR12 For historical reasons, users and potential users of stainless steel believed only austenitic grades with higher levels of…
- Membership – It is important for any organisation to be in tune with the market or, in Sassda’s case, its members. We have regular interaction with our members whether it be at sports days, training events or the meetings of our various structures. In 2021, we endeavoured to try and understand in more detail what members think of our products and their delivery. This information gathering process ultimately led to a strategic event during November 2021 where together with members, we reviewed our offering to date and considered what we can do to enhance the current offering. As background, it is important to appreciate that we have changed our funding model during 2019 and with this, a new range of product mixes was designed for the individual tiers. We were able to give members a 30% discount during 2020 when most of our members were heavily impacted by the hard lockdown. Most of our products are now delivered live and online and we wanted to get an idea of whether this new concept is working for members and adding value. The results of the members feedback were extremely positive and encouraging. Our “stone” membership tiers with mostly fabricating members, responded…
- Networking – SASSDA’S EASTERN CAPE GOLF DAY A SPARKLING SUCCESSSassda held its first Golf Day of 2022 in sparkling blue sunshine of a surprisingly wind-free Qheberha. 52 players relished the chance to get back to business in the real world and connect with industry colleagues in a productive and meaningful manner and in addition to some super shots, a number of key networking opportunities arose. Sassda would like to thank our sponsors Macsteel VRN, NDE, Columbus Stainless, SJM Flex and TÜV Rheinland without whom this stellar sporting event would not have been possible.
TAKING THE INDUSTRY BY STORM
The South African energy, manufacturing, fabrication and steel industries are more interdependent than we know. This smooth oiled wheel is driven by an ‘engine’ of passionate professionals who accomplish extraordinary things on an almost daily basis. To highlight just such an individual, in this issue, we speak to Air Liquide Commercial and Development Manager Bridget Zuma…
Why did you decide to study engineering and what is it about the discipline that attracted you to this field?
I have always been determined to succeed and to be impactful in whatever I do while making a difference, inspiring and motivating others. At school I knew that I didn’t just want a career, I wanted to incorporate my love for science and make a contribution. I researched a variety of industries to find which of those would in future contribute to the GDP in South Africa.
I knew that I needed to use my capabilities positively, and my research led me to the University of Pretoria. I studied Metallurgy and acquired my Bachelor in Engineering (BEng). One of my first achievements was winning a SAIM award for Young Presenters, having placed first in Southern Africa. I followed my BEng up with my Masters of Science qualification through the University of the Witwatersrand where I won the Regional IOM3 Young Persons Lecture award in 2017.
I was also honoured with the Sassda Best Stainless Steel Student award in 2018 and the Golden Key Chapter award in 2019. My head was constantly in the game, and once in a corporate environment, I went on to complete a new Managers Development Programme in Business Management at Wits, followed by a Women in Leadership programme at Stellenbosch University in 2020.
How did the first years of your career build on what you had studied at university but in a more practical setting? What were the key lessons you learned during this time?
The first years of my career were focused on positioning myself as a contender in the industry by being a voice that needed to be heard. My academic achievements had prepared me for the transformation that I believe needed to take place in the manufacturing and mining sector, but the top-down style of management that was so common at that time, tended to overshadow growth and success. I realised that I needed to challenge the bias and that to make my mark, I would need to challenge the status quo so to speak and do things differently.
What motivated you to become a part of the industry and what is it that you love most about it? How long have you been in the field?
My deep love for science and my passion for the manufacturing and mining sectors were key players in my decision to study Metallurgy. My strong intellectual acumen and excellent leadership abilities were also great indicators that, as a previously disadvantaged woman, I can make a difference for women in general. I am extremely focused and I feel that I am auto-programmed to be an overachiever. Although I have been in the industry collectively for more than ten years, I continue to further my education and leadership abilities. I love this industry primarily because it allows me to play my part in contributing to both the industry and transformation. I mean, it has always traditionally been a male dominated field, and it’s rare to find women that are both passionate about this sector and able to progress and make transformation possible in this uncharted territory.
As a woman in a previously male dominated field, did you find it difficult to break into the industry ?
It was extremely difficult to break into the industry. Academic qualifications are one thing but there does come a point where actions need to speak louder than words. There are obvious challenges that are indicative of this sector, and one of those is simply that “it’s a man’s job”. It became my aim to represent two different demographics; women and the previously disadvantaged. I also realised that the mining and industrial sector has not boomed like the technical industry, and yet, the tools used by the technical industry are freely available to us all. This incredibly diverse and transformative thinking needs to be applied across the board in the mining, metallurgy, energy, manufacturing and fabrication industries, and the value of women in these sectors needs to be pronounced a little louder to encourage women across the country to take this leap. I started at Hulamin an engineer in training and moved on to become a blending specialist on key projects to business sustainability in the Metals Division. I then joined Air Liquide as a Metals and Energy Market Manager, and currently occupy the role of Commercial and Business Development Manager for Southern Africa.
How would you describe a typical day in your current position?
A typical day for me begins with taking care of family. I have two children under the age of four who are themselves, a full-time job. I manage a team of five business developers and sales representatives across Southern Africa. As you can imagine, this has its fair share of cultural and diverse challenges, but I work and operate from a point of integrity and respect. My Zulu culture teaches respect for all persons, regardless of liberality or position. My daily interactions which include reviewing performance, reporting to relevant boards, dealing with key customer needs and managing my team, are all driven by collaboration and respect. With my team so dispersed; collaboration and constant interaction removes the feeling of isolation and they rightfully feel like part of the bigger picture.
Why do you feel that gas production and stainless steel have such a significant role to play in getting South Africa’s economy back on track following
the COVID-19 pandemic?
Industrial gas supply plays a crucial role in stainless steel production in South Africa. Constant availability will facilitate stainless steel plant restart and recovery. Air Liquide has a strong commitment in and to Southern Africa. The business has been successful in procuring all the air separation units (ASU) from Sasol Secunda train 1 to 15. These ASUs produce industrial and speciality gasses that are used by Sasol. The staff from the Sasol trains were incorporated into the Air Liquide Business. This ensured stability during the pandemic, as well as assuring clients in the stainless steel industry of constant supply and support from experts in the industry.
Qlixbi has won a Red Dot Award in the innovative product Category in 2020 - why do you feel that this particular gas was so significant in the evolution and awareness of gas and stainless steel in the market and why is it so important to the growth of certain sectors now i.e. key applications where it’s the ideal choice?
We have developed a packaged gas solution that turns the art of welding into a user-friendly experience by making it easier, faster and safer to weld, thanks to a mix of mechanical and digital innovations. This product offers the welding and fabrication industry insight to help optimise the operation and increase efficiency. Traditional stainless steel production houses and fabrication will be incredibly enhanced with a product that delivers a digital interface combined with an upgrade on control systems and amazing precision of mixtures. Qlixbi has been rolled out in Europe and we can expect it to hit local shores soon.
What do you consider the most exciting innovations/product developments happening in the industry right now and what sectors hold the greatest potential for the use of gas and steel in the future e.g,. aerospace etc.?
I can’t say too much about this, but I will let you in on a major development in the gas sector that will have a strong impact on the future of stainless steel and fabrication. The buzz words on everyone’s lips are CO2 emissions, and this has indeed become a sore topic with levies that are increasingly problematic. Air Liquid’s new technology Cryocap, is a game changer. Cryocap focuses on reducing CO2 emissions for hard to abate sectors like stainless steel. CO2 has always been a key ingredient in traditional welding mixtures, but we have found that increasing the use of gasses like pure argon is beneficial not only to provide a better welding finish but also for the climate. Sectors that will benefit from this include the automotive and fabrication industries, but the manufacturing sector is also positioned to show great growth potential for stainless steel and industrial gas.