Measures To Enhance Competitiveness In South Africa, But Not To Textile Manufacturing

To enhance competitiveness in South Africa's manufacturing industry, South Africa's Ministry of trade and industry launched 5 billion 750 million South African currency.

Manufacturing Competitiveness Enhancement Programme (MCEP) helps the development of medium-sized or industrial downstream enterprises rather than large ones.

Rob Davies, the Minister of trade and industry in South Africa, said that the award plan mainly focused on the importance of manufacturing to national economic development, and hoped that the manufacturing industry could be regenerated and the whole economy would be revival and development.

It indicated that the main reason for the stagnation of South African economic development was the poor performance of the manufacturing sector, and hoped that the award could help manufacturers enhance their competitiveness.

The plan to enhance the competitiveness of the manufacturing industry mainly consists of 6 Awards. The operators can choose their own needs to solve the problems they face.

The relevant awards include:

1. the new investment case provides 30% to 50% cost sharing grant, with a maximum amount of 50 million South African currency.

2. green energy technology investment provides 30% to 50% of the cost sharing subsidy, the maximum amount is 50 million South African currency;

3. provide a cost sharing subsidy of up to 70% for the promotion of enterprise competitiveness.

4. the feasibility analysis of the new enterprise can provide a cost sharing subsidy of up to 70%.

5. industry cluster cluster activities, for example, integration

To provide up to 80% cost sharing grants;

6. 6% of fixed rate financing will be provided during the period before and after the sale of products.

Tumelo Chipfupa, deputy director of the Ministry of trade and industry of South Africa, said that the award would apply to all manufacturers, but not to the industries that had previously enjoyed a special incentive subsidy scheme, such as automobiles.

And manufacturers of basic metals, chemicals, paper and pulp.

Chipfupa said that although the award scheme was not targeted at industry, the Ministry of trade and industry hoped that agricultural products processing, downstream metal and plastic manufacturers, pportation and machinery manufacturing sectors could be the biggest beneficiaries.

According to statistics, the employment of these industries accounts for 45% of the manufacturing industry, and its value is increased by about 33% of the total value added of the manufacturing industry.