South Africa’s decision to ease mining regulations and fast-track the privatisation of infrastructure is drawing growing interest from Indian companies, with the reforms expected to reshape the nation’s mining sector and strengthen Africa’s global competitiveness.
These changes are part of a broader shift initiated under Operation Vulindlela, launched in 2020, to reduce bureaucracy, unlock investment, and expand private-sector participation across key industries.
Since 2023, Pretoria has intensified efforts, particularly in transport and logistics, long considered bottlenecks due to inefficiencies in rail and port systems that hindered mineral exports.
Speaking at a business event in Johannesburg, held on the sidelines of the G20 Young Entrepreneurs Alliance, Nitin Agrawal, Group Chairman of Oza Holdings, which operates in mining and manufacturing, said the country’s reforms present unique opportunities for foreign partners.
Addressing 36 Indian entrepreneurs from the Confederation of Indian Industry’s Young Indians network, who visited South Africa last week, Agrawal highlighted the advantages: “South Africa is a large and developed economy within Africa. It has very well-established mineral reserves and resources, along with very well-developed infrastructure, be it road, rail, or ports that can handle large volumes of commodities. It has a very good way of conducting mining operations with very good regulatory frameworks.”
Agrawal also noted the country’s licensing system is favourable for investors.
“Anyone can obtain a licence to prospect and search for minerals or to mine these minerals, which is a unique proposition when compared to other economies,” he said.
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According to The Economic Times, the Indian Consul General in Johannesburg, Mahesh Kumar, hosted the delegation for discussions with South African government officials, local business leaders, and academics.
Agrawal pointed to tangible progress in infrastructure, particularly in logistics.
“We have seen a significant improvement in South Africa within rail and port operations in 2025. We see 2026 to be a very improved environment for port and rail capacity, which will provide additional leverage to mining companies and improve their overall competitiveness in the global market,” he explained.
On privatisation, he added: “We believe a large portion of the rail services and rail capital equipment will be sourced from India. Indian companies have railway manufacturing facilities and some of these will be leveraged by South African businesses as this privatisation programme is rolled out.”
He also emphasized the country’s growing push for beneficiation. “With this impetus of local beneficiation several commodities have opportunities in respect of value-added products being produced,” Agrawal said.
Beyond infrastructure and beneficiation, Agrawal stressed that Indian businesses could carve out a strong position.
“This provides Indian businesses a unique ability to survive when the times are tough in challenging environments and flourish when the going is good,” he said.
Despite persistent issues such as energy shortages and water scarcity, he underlined the potential for cooperation through skills transfer.
“Indian businesses have skills while South Africa is a skills-short nation. It has a large young workforce and skills transfer from India will enable South African businesses to have a good partnership,” he added.
With 67 curated investment projects worth $40 billion across multiple sectors, South Africa’s reform programme demonstrates the scale of its ambition.
While designed to address domestic challenges, the measures also reflect a broader vision for Africa, positioning South Africa as an example of how resource-rich economies can modernise logistics, liberalise mining, and strengthen global market integration.
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Image Credit: Copperbelt Katanga Mining
