The Nature of Mining Input Technology in South Africa

"The aim of this paper is to enhance the understanding of the nature of mining input technologies in the South African mining industry. In the context of this research, mining inputs refer to input technology into the activities in mining engineering fields, which include mining-related production activities, rock engineering, mine ventilation, and mine transportation (handling of personnel, material, broken rock, and pumping). Input technologies in supporting fields such as geology, other engineering disciplines, human resource, procurement, finance, as well as downstream fields that include metallurgy, and marketing of minerals, were disregarded.The mining input technologies were divided into 12 nodes, and data from a sample of 150 first-tier mining suppliers was analysed. It was found that, in general, there is a high local content in mining input technologies, particularly as regards technical support services, artefacts, and machine technologies. This points to the presence of mining-induced backward linkages in the South African mining industry. The majority (83%) of companies that provide input technologies into mining are located in Gauteng Province, and relatively few are found in provinces where mining is concentrated such as North-West, Limpopo, Mpumalanga, and Free State. IntroductionSouth Africa is well endowed with minerals, with more than fifty different minerals being mined throughout the country. For this and other reasons, mining is one of the crucial pillars in the South African economy and its importance is well documented (Robinson and von Below, 1990; Creamer, 2010; Department of Mineral Resources, 2015). In 2013, South Africa was the largest global producer of chromium, ferrochrome, platinum group metals (PGMs), and vermiculite and the second largest global producer of antimony, manganese, titanium, and vanadium (Chamber of Mines of South Africa, 2014). In 2013, the mining industry contributed 6.7% to South Africa’s GDP and was the fifth largest sector in the economy, as shown in Figure 1."