General Outlook for the Casting Industry
With the commencement of the dti initiative to designate products for local procurement by state agencies, the outlook for the jobbing foundry sector looks very encouraging for the year 2012. The joint statement by the Ministers of Economic Development, Finance and Trade and Industry on the 7th December 2011, announced that the following would be designated with a stipulated local content percentage: Power Pylons, Rolling Stock, Buses, Canned Vegetables, Clothing, Textiles, Footwear and Leather Products and Set Top boxes. The SAIF is engaging with the valve manufacturers to facilitate the designation of these products.
Foundries supplying castings to the automotive industry may have challenges in achieving growth given the continued slow growth in the European and North American economies.