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Gauteng secures millions of rands to drive 2015/16 job-creating projects

Gauteng secures millions of rands to drive 2015/16 job-creating projects

23rd June 2015

By: Tracy Hancock
Creamer Media Contributing Editor

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Gauteng would continue to facilitate job-creating investment in the economy, said Economic Development and Agriculture and Rural Development MEC Lebogang Maile on Tuesday, highlighting that it had secured significant funds for key projects earmarked for the 2015/16 financial year.

One such project involved a R222-million investment in an incubation facility in conjunction with vehicle manufacturer Nissan.

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Gauteng had invested R22-million, while Nissan funded the R200-million balance of the project.

Through the facility eight black-owned small, medium-sized and microenterprises would supply parts and components for the Nissan Pick Up Truck due for production in 2018.

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“The project will create 27 000 jobs in the medium to long term and increase black participation in the automotive industry,” Maile pointed out during a media briefing prior to his Budget Vote speech at the Gauteng Provincial Legislature in Johannesburg.

The department had also concluded a R200-million funding agreement with the Department of Trade and Industry (DTI) to “kick-start” the OR Tambo International Airport industrial development zone (IDZ).

The province had allocated R8-million to the project and the IDZ was expected to boost the manufacturing capability of targeted, export-driven sectors, such as pharmaceuticals and electronics assembly.

The Gauteng Department of Economic Development had also finalised the regional economic and industrial plans for the West Rand and Sedibeng, assigning R3-billion to drive the industrialisation of the Western and Southern Corridors through agroprocessing, green industries and tourism.

In terms of agroprocessing, Maile said strides were being made to reposition the Gauteng economy through the sector, stating that progress had been made since the adoption of the Gauteng Agro-Processing Strategy at a summit, in Soweto, in March.

“We have facilitated market access and enterprise development for black smallholder farmers by striking partnerships with retail giants like Woolworths and Pick n Pay.” These partnerships were expected to provide offtake agreements for farmers and training in areas such as product development, quality management, brand packaging and grading, as well as post-harvest handling.

Gauteng public hospitals would also do their part to assist black emerging farmers, as of this year, sourcing 40% of their fresh produce supplies from such farmers. Maile advised that the province aimed to grow this percentage to 80% by 2016.

Further, the Gauteng Department of Agriculture and Rural Development was investing R7-million to upgrade infrastructure at the Vereeniging Fresh Produce Market and had selected the townships of Bekkersdal, Khutsong, Sebokeng and Eikenhof for the development of agriparks.

“The agriparks will not only increase the volume of economic activity in [these] townships, but will also expose unemployed youth to farming opportunities, provide economic infrastructure for clustered agricultural production and encourage agricultural value-adding activities in townships,” Maile outlined.

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