Minerals cluster policy study in Africa : pilot studies of South African and Mozambique

Abstract

This paper explores the mineral resource-based experience of South Africa and Mozambique in the context of economic clustering. It commences with a synopsis of the theoretical underpinnings of the “cluster” concept and its potential use as a strategic tool for guiding industrial policymaking and development strategies throughout the continent. This is followed by a general review of the minerals industry in both countries, and includes an analysis of the extent of the clustering process, the type of spin-offs that have arisen, constraints and interventions, which are boosting or limiting expansion of the minerals sector, and opportunities for future growth in both Mozambique and South Africa. The discussion concludes with a synthesis of the main points raised and suggested policy recommendations.