Department of Trade, Industry and Competition
The inaugural Black Industrialist Report has been launched.
In a statement, the trade, industry and competition department described the Report as highlighting the direct funding provided by the National Empowerment Fund, Industrial Development Corporation and the department to support black industrialists and entrepreneurs since the programme was launched.
Cabinet approved the Black Industrialists Policy in 2015.
According to the cabinet statement, the policy “calls for bolder policy interventions on the part of the State to expand the industrial base of the country and grow the economy through dedicated support to black industrialists as highlighted in the IPAP”.
At the Report’s launch, the trade, industry and competition minister, Ebrahim Patel, pointed out that R32 billion has been invested over the last five years “through funding initiatives within the dtic in nearly 800 black industrialist businesses and black entrepreneurs. This funding has supported the creation of new and dynamic enterprises in a number of critical value chains across all nine provinces, crowding in additional investment from the private sector as well as creating and saving nearly 120 000 jobs”.
The department indicated that the plan, over the next five years, is for the social partners to invest in new industries that can build local industrial capacity by up to R200 billion annually by the end of the period.
“The target of R200 billion, if fully achieved, can add an additional 4% to annual GDP and will further create opportunities for South African manufacturers, including small and medium businesses and industrial firms owned and controlled by black South Africans, to grow their businesses and create jobs.”
A practice note in terms of the Broad-Based Black Economic Empowerment Act on broad-based ownership is also in the pipeline.