Pretoria - Tenders worth R54 billion have been awarded to local manufacturers and suppliers in the past year, says Trade and Industry Minister Rob Davies.
Speaking at the Buy Local Summit hosted by Proudly South African earlier this week, Minister Davies said more than 160 tenders went to local manufacturers and suppliers in the country.
According to the Minister, the increase in local tenders going to local manufacturers is due to the support of government in the Preferential Procurement Policy Framework Act, which designates specific goods that should be locally manufactured. These tenders, said the Minister, include local components manufactured for locomotives and buses.
“These 2011 designated products also include rail rolling stock, bus bodies, the textile, pharmaceutical, clothing and leather sector, power valves, steel conveyance pipes, electrical and telecommunications cables and set-top boxes. There are more designated products in the pipelines for fruit products and steel,” explained Minister Davies.
The Buy Local Summit serves as a platform for government and business to provide feedback on local procurement efforts and the influence it has on job creation.
The summit also provides an opportunity for government and corporate businesses to access the Proudly SA member companies, with some 200 exhibitors showcasing their products and services at the Expo.
The Minister praised the Passenger Rail Agency of South Africa for awarding a tender to Alstom to manufacture more than 7 200 coaches locally at a cost of R123 billion that will see the company creating more than 8 000 direct jobs.
“Transnet also awarded a total of R50 billion in contracts to a number of local companies to build 1 064 electric and diesel locomotives in South Africa that were mainly imported during the 2010 World Cup. This has also led to all the buses that are being procured by municipalities for rapid transport being made and procured in the country,” added the Minister.
The Minister urged local consumers to support, buy and consume local products and goods in order to create jobs and grow the economy. South Africa needs to move away from just government procurement, the private sector also needs to take decision in favour of local goods and products.
Minister Davies also encouraged ordinary consumers to learn a few tricks and pay attention to products that display a country of origin. He said if a product bar code doesn't start with 600, then the consumers must know that the products or goods are imported. – SAnews.gov.za
