Beneficiation and Industrial Policy

The draft Medium Term Development Plan for 2024 to 2029 sets increased beneficiation as an outcome. Specifically, it argues that government policy on the mining value chain should “Focus on processing our minerals so that we export finished products rather than raw commodities.” This policy brief analyses progress to date in promoting beneficiation and indicates key issues in evaluating specific proposals going forward. Critical elements include whether it is possible to build on South Africa’s comparative advantage in mining; consideration of the opportunity costs in terms of job creation opportunities and electricity use; and the scope for minimising carbon emissions.