Master plans are paying off, says DTIC

24th February 2021 By: Marleny Arnoldi - Creamer Media Online Writer

The implementation of master plans has already started bearing fruit in four sectors of the South African economy – sugar, automotive, poultry and retail (clothing), textile, footwear and leather (R-CTFL).

Close to R70-billion has been invested toward reigniting key sectors that drive economic growth and job creation.

During a briefing to the Portfolio Committee on Trade and Industry, Department of Trade, Industry and Competition (DTIC) deputy director-general Thandi Phele reported that, in the poultry industry, production had already increased by 5% during the first eight months of 2020, compared with the same period in 2019, with an additional one-million birds per week produced.

“The South African Poultry Association made a R735-million new investment, out of R1.5-billion commitment, and through these developments, 428 jobs have been created,” said Phele.

The main objective of the Poultry Master Plan has been to re-focus the industry on export, reclaim the domestic market and change the economic value extraction premium for meat (breasts) and discounted meats (bone in/thighs).

Additionally, efforts have been geared towards saving 54 000 jobs and creating an initial 3 600 new jobs, with employment growing beyond this rate as exports grow further.

In the R-CTFL sector, 40 jobs have been saved in the new flip flop factory at Pep Clothing, as a result of a R25-million investment.

An additional R564-million from key players, namely Pepkor with R30-million, Foschini Group with R350-million and Glodina with R184-million, has helped to save 4 300 local jobs.

“The DTIC is working with the National Economic Development and Labour Council, National Treasury and provincial authorities, to monitor and enforce 100% local content in the sector.

“Proudly SA has developed a portal to house locally manufactured personal protective equipment, including fabric face masks used during national lockdown, that continues to focus on promoting buy local campaigns,” said Phele.

In the sugar industry, the South African Sugar Association set aside R1-billion over five years, towards industry transformation, and R575-million has been allocated to remedy inequalities experienced by black sugarcane growers.

Phele highlighted the recent investment of R15-billion by Ford Motor Company South Africa at the Tshwane Automotive Special Economic Zone as one of the major moves in the automotive sector. The investment is towards the production of the new Ford Ranger bakkies.