MSQ Health, through its wholly owned subsidiary Akacia Medical, will collaborate with Coega SEZ to build a fit for purpose 5 900m² manufacturing plant that is set to create more than 100 new jobs locally
Durban, 27 August 2018 – MSQ Health, through its private-public partnership with Coega Industrial Development Zone, is seeking to invest over R100 million in the local economy through construction of a new 5 900m² Akacia Medical manufacturing plant that will produce cost-effective quality medical products for both the local and international markets. Construction of the manufacturing plant is underway and Akacia Medical and the Coega Development Corporation are discussing further ways to increase and support manufacturing jobs in the Eastern Cape.
Akacia Medical is a subsidiary of MSQ Health and one of the largest medical manufacturers in South Africa, producing more than 2 600 different product lines of medical devices and medical consumables. Boasting two ISO accredited manufacturing plants in Cape Town and Port Elizabeth whilst employing more than 400 employees that manufacture, market and distribute medical and surgical health products.
“When the decision came to expand our manufacturing facilities, we were clear that South Africa still offers the best option for locating our manufacturing plant. Local production achieves our vision of “Innovation that Cares” by creating sustainable manufacturing jobs, deepening our manufacturing capabilities and ensuring the supply of high quality medical products. We are happy that the Coega Development Corporation has come on board to build a larger custom-built manufacturing plant at the Coega SEZ which will allow us to service the growing demand for high quality, cost-effective medical products. The investment in new technology and machines will deliver increased production capacity whilst increasing efficiencies and lowering the cost of production. Akacia Medical will be ideally positioned to support the implementation of the NHI and delivery of cost-effective healthcare to South Africans”, said Mr Moss Ngoasheng Group Chairman of MSQ Health.
It has been reported that the ‘local medical device industry remains underdeveloped’ with ‘imports catering to 90% of market by value’.1 The South African medical device industry is ranked in the top 30 largest in the world yet it is serviced by imports mainly from the US and Asian countries.2 MSQ Health, through Akacia Medical, is positioned to change this dynamic by adding more manufacturing capacity through this Coega investment.
It gives us great pleasure to be welcoming yet another investor at the world class Coega Special Economic Zone (SEZ). Our 9003ha zone is positioned and ready to support this investment together with our existing 43 operational investors valued at over R7 billion worth of private investment,” says Christopher Mashigo, CDC Executive Manager Business Development.
“As the leading SEZ in the southern hemisphere, the CDC has built capabilities over the years in support for growth and expansion within the first phase of development.” concluded Mashigo.
Ms Tanyani Daku
Corporate Communications Coordinator
Tel: 010 003 7927
Ms Mbali Bhengu
Group Strategic Marketing, Branding & Corporate Communications Manager
Tel: 031 003 0639
1 (SAMED, THE SOUTH AFRICAN MEDICAL DEVICE INDUSTRY - FACTS, 2014)
2 (Buyer, 2018)