The Mpumalanga Stainless Initiative's (MSI's) stainless-steel incubator, which opened its doors in December last year, is showing good progress, says MSI marketing manager Richard Chetty.

The incubator was established to train and develop emerging previously-disadvantaged individuals in establishing independent sustainable businesses that will grow into successful and credible employers.

The incubator is situated at the Highveld Entrepreneur Development Centre in Middelburg.

MSI is a non-profit company that has been established to manage the incubator.

The eight board members are appointed from the Middelburg Town Council, the Highveld Entrepeneur Development Centre, Columbus Stainless, the Chamber of Commerce, the Mpumalanga Provincial Government, the Middelburg stainless-steel fabricators, and the Department of Trade and Industry.

"The investment in the facilities and world-class computer numerical control equipment already amounts to more than R4-million," says Chetty.

The capital was sponsored by provincial and local government, the Japanese government, the Southern African Stainless Steel Development Association and Middelburg business, which includes Columbus Stainless, Thos Begbie, BHP-Billiton, Afrox, TRAC, Nashua, Comrite and Aluex.

The venture is also funded by the Department of Trade and Industry to the tune of R12,5-million over the next five years, notes Chetty.

The incubator concept was born out of a need to involve people in the formal stainless-steel fabrication sector, thereby maintaining and expanding the growth of the local downstream stainless-steel processing industry.

The first group of nine prospective entrepreneurs will manufacture products such as food trolleys, furniture, hinges, cutlery, office accessories, catering equipment, braai stands, gas smokers, methanol smokers, serving trays, baking pans, tables, cutlery, hospital equipment, medical tools and wall art.

Each entrepeneur is allocated a 75 m2 space within the incubator, which includes access to high-tech modern equipment, says Chetty.

The incubator, because of government and donor funding and the shared use of resources, is able to offer costs of production similar to those of the highly-mechanised high-volume competitors.

"The specialist factory manager at the incubator is also able to assist the entrepeneur," states Chetty.

The objective and long-term goal for the incubator is to create an environment where new and emerging business are able to establish themselves and, with professional support and development, become sustainable.

"The incubator manages an entirely new concept in that mentoring and parenting roles are taken on by father figures to guide the entrepreneur, who already has the vocational skills, into his or her own business – thereby equipping him or her to be employers rather than employees," concludes Chetty.