SAnews.gov.za (Tshwane)

17 June 2014

South Africa: Denel Munitions Unit Targets Local Market

Munitions manufacturer, Denel Pretoria Metal Pressings (PMP), is set to double its turnover to more than R1-billion rand within the next five years, in response to strategic requirements in the local market.

In support of this set target, the Chief Executive Officer of the Pretoria West-based manufacturer, Phaladi Petje, says the company will be embarking on a plant-renewal programme to modernise its machinery and production processes.

"We will also increase our research and development capacity. PMP is set to become the ammunition solution partner of choice both in South Africa, across the continent and in any of the markets we are targeting," said Petje on Tuesday.

The Defence Review, presented to Parliament, earlier this year, has highlighted the need for self-sufficiency in the provision of ammunition not only to the South African Defence Force (SANDF), but the security cluster as a whole.

Petje says the PMP is in an excellent position to meet all the SANDF's current and future needs for small and medium calibre ammunition.

"We have been in this business for more than 75 years and the experience gained over this period will enable us to meet the challenges emanating from the local defence community," he said.

The company has a very productive relationship with the SANDF and Armscor in a partnership that covers the entire technology assessment phases.

This ranges from product development through to product specifications, design, testing and qualification to the ultimate production and delivery as well as after sales service, proofing and destruction.

"We offer our clients a complete life cycle management approach," said Petje.

The company intends to build a similar relationship with the SA Police Service, metro police forces and the private security industry.

"We can meet almost the entire local demand for small calibre ammunition in the defence and security sectors," he said.

Petje also foresees significant opportunities for business growth on the rest of the African continent.

The company now manufactures 7.62mm calibre ammunition for the well-known AK-47 assault rifle, as well as 23mm range of ammunition widely used by African defence forces.

Denel PMP has formed strategic relationships with companies in Europe, while similar mutually beneficial relationships are being pursued in Africa and within the Brics partnership.

More than 40% of PMP current production of ammunition is destined for the export market.

He said "innovation is at the core of the company's future" and Denel is working together with Armscor, the Council for Scientific and Industrial Research and local universities on various research and new product developments.

- SAnews.gov.za

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