Development finance and SMME support

Training in cellphone repairs is being offered.

The Northern Cape Department of Economic Development and Tourism (DEDaT) is partnering with the National Department of Telecommunications and Digital Technologies, the National Electronic Media Institute South Africa and the Vaal University of Technology to train unemployed young in cellphone repairs.

The South African National Roads Agency (SANRAL) will spend about R4-billion on road maintenance and improvements in the province in the three years to 2013. A sum of R50-million has been set aside for entry-level road maintenance subcontractors and of the R500million to be spent on routine maintenance, something between 40% and 60% will go to SMMEs.

Matsietsa Brothers Earthmoving and Equipment (pictured) are specialists in collision avoidance systems, something that is a necessity at Kumba Iron Ore’s giant open-cast Kolomela Mine where trucks are constantly coming and going. As participants in the company’s Inclusive Procurement programme, Matsietsa Brothers has grown into a substantial and sustainable enterprise with the help of prompt payments from Kumba and various training courses in how to run a successful business.

The province’s biggest new mine, the Vedanta Zinc International mine at Aggeneys, spends extensively on corporate social responsibility, with supplier development forming a large part. Some 45 black-owned businesses have so far been supported on the project, with the 12 new businesses created having tripled in value since 2015.

The Provincial Government of the Northern Cape is focussed on two sectors for SMMEs, agriculture and tourism. The intention is to link 80 young agricultural graduates for in-service training with commercial operations for two years. These young people would then be expected to start small businesses.

SMMEs will be catered for in the planned Kathu Industrial Park which is being supported by the Industrial Development Corporation (IDC) and companies in the mining sector. The focus of the park is metals. The park’s infrastructure will enable smaller companies to be in a position to tender for supply contracts to mines.

The Industrial Development Corporation is one of the biggest development finance operators in the Northern Cape. The IDC has approved funds for 12 renewable energy projects in the province, including Abengoa’s Khi Solar One concentrated solar power farm near Upington and the Kakamas Hydro-Electric Power plant on the Orange River.

The Small Enterprise Development Agency (Seda) is a partner in the Kimberley incubation hub related to the Kimberley International Diamond and Jewellery Academy. The Kimberley Diamond and Jewellery Incubator (KIDJA) helps establish SMMEs, supports existing business and trains students. There are six Seda branches in the province and a satellite office of the Seda unit known as the Zenzele Technology Demonstration Centre. ■

ONLINE RESOURCES

Department of Small Business Development: www.dsbd.gov.za Industrial Development Corporation: www.idc.co.za Northern Cape Economic Development Agency: www.nceda.co.za SECTOR INSIGHT SMMEs will benefit from SANRAL spending R4-billion.