By: Zandile Majavu
Despite electricity and freight logistic challenges that fraught the country’s economy, President Cyril Ramaphosa remains positive on the outlook of the progress made by black industrialists in export operations.
Speaking at the 2nd Black Industrialists and Exporters Conference in Sandton on Wednesday, which coincided with the 20th anniversary of the enactment of the Broad- Based Black Economic Empowerment Act, Ramaphosa asserted: “Black industrialists are not just job creators and wealth generators; they are agents of change, driving social and economic transformation in our communities.”
The conference comes two months before the elections. The ANC election manifesto gives some details on how small businesses and cooperatives will be revamped through a radical shift to broad-based industrialization.
“Through an intense focus on implementing the Energy Action Plan, there has been a steady decline in the severity of load shedding over the last half year. Through regulatory changes and other measures, we are seeing massive new investment in energy generation and in the installation of rooftop solar,” Ramaphosa said.
He added that the government, Transnet, industry and other social partners were working closely at reducing the congestion at the country’s ports and increase the volumes of freight being carried via key rail corridors.
At the start of programme in 2016, 100 black industrialists were targeted. However, during the last five years of this administration, more than 1000 black industrialists had been supported through the range of government activities, with approximately R24 billion being committed for black industrialists in the same period.
“In addition to what we have done through partnerships and the work within the trade, industry and competition portfolio, there are several other measures that we have undertaken to promote economic inclusion. Through state procurement, many additional billions of rands of support has been provided to black-owned businesses to supply the state,” he said.
In the next five years, Ramaphosa said there would be a scaling up the number of black industrialists who were supported directly by the government through various forms of support, including finance, regulatory measures and partnership arrangements through master plans.
“These businesses will be drawn from manufacturing, green technologies, the digital economy, mining, agriculture, construction and tourism. Second, we need to scale up the level of financial support we make available through the public sector and partner funding. A particular focus will also be on support for small businesses and those owned by women and youth,” he said.
He conceded that the govermnet needed to open the economy and make it more inclusive. This meant addressing features of the market structure that inhibited the participation of black industrialists in the economy.
