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Backward linkage development in the South African PGM industry: A case study


  • Lydall, Marian


Backward linkages refer to the various inter-firm relationships connecting an industry with its supply chain. Demand-supply interactions between producer firms and suppliers of original equipment, strategic inputs, components and specialised services have played an important role in the evolution of the South African mining sector, contributing indirectly to employment creation, new business growth and expansion, improved efficiency of mining operations, and new knowledge generation. This paper presents a case study of backward linkage development in the South African platinum group metals (PGM) industry and draws on the findings from a quantitative and qualitative analysis of the sector undertaken in 2007. A profile of the supply chain is provided and an assessment made of the strength and sustainability of existing linkages.

Suggested Citation

  • Lydall, Marian, 2009. "Backward linkage development in the South African PGM industry: A case study," Resources Policy, Elsevier, vol. 34(3), pages 112-120, September.
  • Handle: RePEc:eee:jrpoli:v:34:y:2009:i:3:p:112-120

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    References listed on IDEAS

    1. Blomström, Magnus & Kokko, Ari, 2002. "From Natural Resources to High-Tech Production: The Evolution of Industrial Competitiveness in Sweden and Finland," EIJS Working Paper Series 139, Stockholm School of Economics, The European Institute of Japanese Studies.
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    Cited by:

    1. Judith Fessehaie & Zavareh Rustomjee & Lauralyn Kaziboni, 2016. "Mining-related national systems of innovation in southern Africa National trajectories and regional integration," WIDER Working Paper Series 084, World Institute for Development Economic Research (UNU-WIDER).
    2. Kaplan, David, 2012. "South African mining equipment and specialist services: Technological capacity, export performance and policy," Resources Policy, Elsevier, vol. 37(4), pages 425-433.
    3. Figueiredo, Paulo N. & Piana, Janaina, 2016. "When “one thing (almost) leads to another”: A micro-level exploration of learning linkages in Brazil's mining industry," Resources Policy, Elsevier, vol. 49(C), pages 405-414.


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