The Deputy Minister of Trade, Industry and Competition, Zuko Godlimpi, has underscored the crucial role of local government in strengthening South Africa’s manufacturing and export capabilities.
Addressing the 2nd Annual District Development Model (DDM) Conference at Nelson Mandela University in Gqeberha on Saturday, Godlimpi said municipalities are central to providing services, reducing bureaucratic obstacles, and creating opportunities for manufacturing enterprises -- whether located in central business districts, industrial parks or special economic zones.
"Manufacturing is not just an economic activity, it’s the engine that drives growth, supports resilience and creates stable, well-paying jobs.
“For our municipalities, this means fostering environments where manufacturing enterprises can flourish and in turn, drive local economies forward,” Godlimpi said.
Godlimpi emphasised that manufacturing is an essential foundation of economic stability due to its resilience to external factors such as global commodity prices and weather conditions.
“Unlike sectors that rely on finite resources or favourable weather, manufacturing can operate in diverse environments, provided there is solid municipal infrastructure."
Manufacturing is also a key driver of upstream and downstream industry growth. The Deputy Minister said that for each manufactured item, like an automobile, numerous supporting sectors such as plastics, textiles, and logistics are activated, stimulating local economies.
The Department of Trade, Industry and Competition (the dtic) initiatives aimed at empowering businesses through export-focused programmes, such as the Global Exporter Passport Programme (GEPP) and Export Awareness Seminars, have equipped over 285 businesses since April 2023 with export-readiness skills across various districts.
“Our objective is to make exporting accessible to enterprises nationwide, not just those in urban hubs. Programmes like GEPP ensure that businesses in rural areas are equally prepared to engage with global markets,” Godlimpi said.
He stressed the importance of reducing red tape at the municipal level.
"Municipalities that prioritise efficiency and active support for manufacturers are creating environments far more attractive to investors than those focused on merely offering financial incentives."
The Deputy Minister lauded the DDM as a unique opportunity to unlock economic potential and build inclusive, resilient economies across the country's districts.
"By working in partnership with municipalities and stakeholders, we are creating a vibrant export sector that not only enhances South Africa’s competitiveness globally but also generates local employment,” Godlimpi explained.
The DDM Conference provided a platform to highlight the synergy between national, provincial and local government efforts in economic development. – SAnews.gov.za
