Manufacturing economy should be prioritised ahead of knowledge economy – Merseta

31st May 2013 By: Idéle Esterhuizen

Manufacturing, Engineer- ing and Related Services Sector Education and Training Authority (Merseta) CEO Ray-mond Patel has challenged government’s National Develop-ment Plan (NDP) vision of shifting South Africa’s economy to be more knowledge-based by suggesting the move should rather be to a more manufacturing-based economy, which he views as the best way to achieve growth in the country.

“We need to start looking at the manufacturing sector and getting [young] people [interested in following a career] in that sector,” he argued at the recent Steel and Engineering Industries Federation of South Africa (Seifsa) yearly conference in Midrand.

He also indicated that South Africa would have to invest more funds in improving its education system if it was to achieve the targeted economic growth rate of 5% by 2030, as set out in the NDP.

Patel put forward that government would have to consider whether its R820-billion infrastructure development plan truly contributed toward achieving economic growth.

“Economic growth requires skilled people. Is government adequately addressing this?” he asked, while referring to President Jacob Zuma’s statement at the launch of the NDP last year that the country’s massive infrastructure investments should not only lead to new infrastructure but also to job creation and skills development.

Patel said the rating of South Africa’s mathematics and science education as the second-worst in the world, only ahead of Yemen, as listed in the World Economic Forum’s Global Information Technology Report 2013, was problematic given the country’s large economy.

“The South African education system needs to collaborate with internationally accredited institutions such as the Massachusetts Institute of Technology to increase innovation,” he urged.

Patel further indicated that collaboration between the public and private sectors was central to tackling the skills development challenges facing South Africa.

“Collaboration means we need to respond to scarce skills challenges effectively,” he noted, adding that large companies would have to participate in making the National Skills Development Strategy, which is a subsection of the NDP, work properly.