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Automechanika JHB 2017 Launched at Festival of Motoring

Sep 05, 2016 FestivalOfMotoring, MesseFrankfurt, Events, Aftermarket, Automechanika

Automechanika JHB 2017 Launched at Festival of Motoring

Kyalami racetrack hosted the inaugural Festival of Motoring last week and I hope that this is the first of many in years to come. The show, put on by SA Shows Messe Frankfurt, shook up the tired format that motor shows have become. In my opinion it moves back to what enthusiasts want to experience at a show, where not only can you see the cars on display but actually experience them. Visitors could witness the raw spectacle that comes from roaring engines starting up in the pits and screaming past down the main straight. The venue enabled a smooth flow of visitors around the various sections of the show, and had ample space for enjoying the variety of offerings, from the excitement of the pit lanes and demonstrations to the manufacturer static displays and central concessions and grandstand entertainment.

The festival also provided an opportunity for the organisers to officially launch the 2017 edition of Automechanika Johannesburg to the trade. At a press conference in the newly renovated central building, Konstantin von Vieregge, the CEO of Johannes-based SA Shows Messe Frankfurt and Michael Johannes, Vice President for the Business Field of Mobility and Logistics, Messe Frankfurt GmbH, presented the facts and figures of the Automechanika brand, which now boasts a total business-to-business figure of 600 000 visitors per annum.

The 2017 JHB show, from 27-30 September 2017,  will have two co-located b2b fairs. The first being Futureroad, which gives focus on the links into the aftermarket for the truck, bus and commercial vehicle body sectors. In addition the Scalex show will cater to the logistics solutions, transport solutions and infrastructure aspects. "Joining the shows is based on our strategy of increasing the show’s value proposition, to appeal to trade visitors from around the region who get maximum value for in a single visit” explained Michael Johannes.

Economist Azar Jammine was the guest speaker at the event – he opened the address with apology for any out of date aspects in his pre-loaded presentation. This in lighthearted reference to the enormous instability that out local economy is having to deal with of late, with all the political shenanigans that our government insists on inflicting on the business community.

As with other economist representations that we have attended recently, the message however is not all doom and gloom. Our auto sector provides 7.5% of our Gross Domestic Product, 33% of our total manufacturing output - and all this on only 0.6% of the total workforce. We contribute only 0.68% of total world car market - but the important thing to take note of is that this represents no less than double our national contribution across all GDP. According to Jammine’s figures our overall growth may seem dire but the corruption and waste of our treasury’s resources is our easiest place to change that. By his calculation if only 25% of the corrupt activities are stemmed, a total of R40 Billion will be saved annually. In the bigger scheme of things that sounds small when compared to our GDP but it in fact translates to a full 1% of the total - that means that it would effect our growth rate by the same figure. That has serious impact on how we as a country, as business and a society need to view our problems of corruption.

While we are by no means out of the woods, it is important to maintain perspective and examine how aligned our growth is to the worldwide economy. “The automotive sector is strong and resilient and Africa needs to remain a focus. From the infrastructure to the vehicles that need to travel throughout the region Africa remains the worlds largest “untapped” market, and the next decades should show continual growth” says Jammine who remains optimistic that there is only a 15% chance that the ratings downgrade will happen at year end of 2016. He maintains that fiscal consolidation, an improvement in the management of State Owned Enterprises to limit government’s liabilities, and structural reforms to increase growth figures and theoretically keep deficits under the growth rate are key aspects to prevent that downgrade.


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