Local procurement accord to reverse deindustrialisation

| 0 Comments
Industrialise.jpgThe local procurement accord would go a long way in building the capacity to reindustrialise the economy, said speakers at the South African Supplier Diversity Council (SASDC) conference in late June.

South Africa’s heavy reliance on imports has over the last ten years led to de-industrialisation and the weakening of the manufacturing sector, said policy adviser to the Minister of Public Enterprises Phelisa Nkomo.

Under the local procurement accord, signed last year by business, government and the private sector, the main economic groupings in the country have committed to work together to increase the levels of goods and services bought from local producers.

The accord sets a target of 75% local procurement.

“The idea is to create immediate opportunities and leverage public procurement, but we must also look at downstream opportunities. Also, we would need to move away from a one-size-fits-all concept to grow businesses in the country. Each sector has its own challenges and we need to look at ways to support local manufacturing. This demands a paradigm shift,” said Nkomo.

Furthermore, it is important to work collectively and the government’s social partners should mobilise supply. “You are the critical economic agents and we need to take a handholding approach... it is important for concerted efforts to also create black industrialists,” she noted.

Congress of South African Trade Unions president Sidumo Dlamini said the union believed that local procurement was one of the country’s main job drivers, which would contribute to reindustrialisation. “We expect to see about 75% accumulative local procurement in the country, and each year we will check up on [councils such as] SASDC... we will be monitoring you.

“It is critical that local procurement is seen as a main driver of our economic growth. For the New Growth Path to have a meaning, we need to implement this,” he said.

Business Unity South Africa CEO Nomaxabiso Majokweni shared the same sentiment. “When we signed the local procurement accord, we never intended to go for a tick-box exercise. This is one economic transformation intervention that business can contribute to... we are not just talking about [local procurement], but are really getting closer to operationalising the local procurement accord,” she concluded.

Engineering News

Leave a comment


SmartProcurement Newsletter
X

Please enter your details below to receive the SmartProcurement Newsletter for FREE on a regular basis.

As part of the SmartProcurement Newsletter you will be receiving World Class Procurement News, Tools, Tips, Tactics, Procurement Training updates, Upcoming Events, and the latest Procurement Career Openings.

* Email Address:
* Title:
* First Name:
* Surname:
* Company:
  Position:
* Country:
* Public / Private:

 

Career opportunites

Trade Compliance Senior Analyst

  • <500 000 >500 000 Analyst Buyer Gauteng Permanent
Trade Compliance Senior AnalystLocation – Rosslyn, South AfricaThe ...More

Logistics Controller

  • >500 000 Gauteng Logistics & Warehousing Operations, Planning & Inventory Permanent
Based in Stellenbosch, South Africa’s leading fruit exporter ...More

SUSTAINABILTY MANAGER - FARMING

  • >500 000 Gauteng Permanent Procurement Management Strategic Sourcing
(Total Cost to Company R900k – R1.2mil) includes ...More

Category Manager Logistics

  • >500 000 Gauteng Logistics & Warehousing Permanent Projects / Category Management
(Total Cost to Company R900k – R1mil) includes ...More

Group Procurement Manager

  • >500 000 Gauteng Permanent Procurement Management
Location: Johannesburg .Cost to Company R1.2mil – R1.4mil excluding ...More

Procurement Analyst

  • <500 000 Analyst Gauteng Permanent Procurement Officer / Specialist
(Total Cost to Company R200K – R400K)We are ...More

Industrial Engineers

  • <500 000 >500 000 Gauteng Industrial Engineer Permanent Strategic Sourcing
(Total Cost to Company R400K – R550K)We are ...More

Category Manager Packaging

  • >500 000 Gauteng Permanent
Location: Johannesburg Cost to Company R1mil – R1.4mil ...More

Category Manager Packaging

  • >500 000 Gauteng Permanent
Location: Johannesburg Cost to Company R1mil – R1.4mil ...More

Category Manager Packaging

  • >500 000 Gauteng Permanent
Location: Johannesburg Cost to Company R1mil – R1.4mil ...More

Category Manager Packaging

  • >500 000 Gauteng Permanent
Role: The Category Manager will be responsible for ...More
Location: Johannesburg Description: To develop and manage relationships ...More
Location: Johannesburg Description: To develop and manage relationships ...More

Global Commodity Manager: Mining Commodities

  • Commodities Gauteng Permanent
Location: Johannesburg Description: Ensuring continuity of supply ...More

Global Commodity Manager: Mining Equipment

  • Commodities Gauteng Permanent
Location: JohannesburgDescription: The commodity manager is accountable for ...More

Mining Project Manager

  • Gauteng Permanent Projects / Category Management
Location: Johannesburg.Description : Responsible for successful implementation and ...More

Mining Project Manager

  • Gauteng Permanent Projects / Category Management
Examples of high impact initiatives are Equipment Automation, ...More

Supply Chain Manager

  • <500 000 Gauteng Permanent Projects / Category Management Supply Chain
R 650 000 –R 800 000 CTC pa GautengA ...More

Operations Manager

  • <500 000 Gauteng Operations, Planning & Inventory Permanent Procurement Management
R 600 000 – R 700 000 CTC ...More

Procurement Specialist

  • <500 000 Gauteng Permanent Procurement Consultant Procurement Officer / Specialist
R 500 000 – R 550 000 CTC ...More