The Western Cape’s manufacturing sector is emerging as an increasingly important driver of the province’s ambitions for economic growth, exports, investment and job creation, creating significant opportunities for manufacturers, investors and suppliers.

Manufacturing already accounts for approximately 15% of the Western Cape economy and is the province’s third-largest economic sector, with established capabilities across food and beverage processing, clothing and textiles, marine manufacturing and boatbuilding, cosmetics and electronics, alongside a growing green technology manufacturing industry. 

The opportunity, however, extends well beyond the sector’s current contribution.

The Western Cape Government has set an ambitious target of building a R1 trillion inclusive provincial economy by 2035, supported by stronger investment, increased exports and private-sector-led job creation. 

Its recently launched Western Cape Export Strategy 2035 aims to increase goods exports from R136 billion in 2020 to R408 billion by 2035, add 1,000 new active exporters and, if successfully implemented, support more than 263,000 jobs. 

Manufacturing Means Jobs

The importance of manufacturing extends beyond its contribution to GDP. It is a sector capable of creating employment across a wide range of skill levels while supporting extensive supply chains of smaller businesses, service providers, logistics companies and suppliers.

Recent figures reinforce that potential. In his 2026 State of the Province Address, Western Cape Premier Alan Winde reported that the province had added 13,000 manufacturing jobs over the preceding year. 

The broader provincial economy is also demonstrating resilience. The Western Cape recorded 1.4% economic growth in 2025 – double the national rate – while its official unemployment rate declined to 18.1% in the fourth quarter of 2025, significantly below the national figure of 31.4%.  

These figures highlight the opportunity to use manufacturing as a catalyst for the next phase of economic expansion.

From Making Products to Building an Industrial Economy

Growing manufacturing in the Western Cape has the potential to deliver benefits far beyond the factory floor.

Greater local production can strengthen domestic supply chains, reduce dependence on imported products, create opportunities for SMEs, stimulate investment in new technologies and skills, increase exports and create sustainable employment.

The province also has established strengths that provide a foundation for further industrial development particularly in agri-processing, food and beverages, clothing and textiles, boatbuilding and marine manufacturing, electronics, cosmetics and green technologies.  

But realising this opportunity will require manufacturers, government, investors and other stakeholders to address the practical issues affecting industrial competitiveness.

These include energy security and cost, infrastructure and logistics, access to finance, skills development, technology adoption and automation, export competitiveness, investment incentives, localisation and access to new African and international markets.

Cape Town Manufacturing Summit to Bring Industry and Government Together

These opportunities and challenges will be at the centre of the Cape Town Manufacturing Summit, bringing together manufacturers, business leaders, investors, policymakers and industry stakeholders to consider what is required to accelerate manufacturing growth across Cape Town and the Western Cape.

The Summit will provide an important platform for industry and government to engage directly on the conditions required to encourage investment, expand production and improve the competitiveness of Western Cape manufacturers.

The timing is particularly significant as the province seeks to dramatically expand its international trade footprint. The Western Cape Export Strategy recognises that the domestic market alone will not provide the scale of growth required and consequently places greater market access and export-led growth at the heart of the province’s economic ambitions.  

A Manufacturing Opportunity That Extends Beyond the Western Cape

Cape Town’s position as a gateway to African and international markets also gives manufacturers the opportunity to look beyond provincial demand.

For businesses able to manufacture competitively in the Western Cape, opportunities exist to supply South African markets while building export channels into the rest of Africa and further afield.

The opportunity is therefore bigger than simply growing manufacturing output. It is about building a stronger industrial base that can produce more locally, export more globally and create more jobs.

The Cape Town Manufacturing Summit will place that opportunity firmly on the agenda – and bring together the people who can help turn it into reality.

The Western Cape is positioning itself for growth. The question for manufacturers is: how will your business participate?