The Department of Trade and Industry (the dti) has spent more than R5 billion on the Industrial Development Zones (IDZ) programmes since its inception in the year 2000. This was said by the department’s Chief Director of Infrastructure Support, Mr Kaya Ngqaka. He was speaking at a public hearing session on the Special Economic Zones Bill and Policy that was held in Mafikeng.
Ngqaka said that the improvement of the performance of the current IDZs was one of the objectives of the draft Special Economic Zones Bill which the Minister of Trade and Industry, Dr Rob Davies gazetted for public comment last month.
“The IDZs have created more than 33 000 jobs including construction jobs. Therefore, the draft bill will not in any way make the current IDZs redundant or obsolete as government has invested so much in them. They will be part of the new special economic zones that are going to be established as a result of the new legislation. In fact, the purpose of the bill is to broaden the scope and composition of dedicated industrial areas and to support industrial decentralisation” said Ngqaka.
The dti’s Chief Director of Regional and Spatial Economic Development, Mr Alfred Tau said South Africa's acceptance to BRICS (Brazil, Russia, India, China and South Africa) dictated that the country had to move with the times and broaden the scope of IDZs into the SEZs.
"This meant that the criterion that an area required to be close to the sea in order to be designated as an IDZ should fall away. We want to strengthen our industrial capabilities globally. Government wants to move away from traditional industrial centres like Gauteng and Durban and have industries in the whole of the country. To this end, we are working with provinces to identify new zones that can be set up. Once this process has been concluded at least two SEZs will be established in each of the country's provinces,” he said.
Tau continued that if South Africa was looking for industrial success, industrialisation would be key to achieving it.
“We need to produce world class products that would be able to compete globally. To achieve all of this we need tools, and SEZs are one of the best tools," he added.
All citizens, stakeholders, interested parties, structures, institutions and organisations have until Thursday, 22 March 2012 to express opinions, proposals or recommendations on the bill.
The purpose of the Bill is to provide for an effective mechanism for the development, operation and management of Special Economic Zones in order to promote accelerated industrial development and industrial decentralisation.
Enquiries:Sidwell Medupe (Departmental Spokesperson)
Cell: 079 492 1774
Tel: 012 394 1650
E-mail: MSMedupe@thedti.gov.za
