Admin
05 Sep, 2020
Igniting entrepreneurship and creating wealth creators
Good morning and thank you for taking the time to join me on a Saturday morning to talk about entrepreneurship in South Africa. 1. Entrepreneurship in South Africa: a failure thus far 1.1. The ballgame for entrepreneurs was quite different in 1994, as the South African business landscape started to change. A few, some would call, lucky black souls who got their foot in the door, were brought on board in companies as BEE partners, they were nurtured and received 25% control in companies for their efforts. Others became directors, earning fees and were not interested in running businesses and no-one checked if any black South Africans were actually being empowered, and not only being enriched, and even then, it was doubtful whether this wealth was really shared amongst the many. 1.2. Government banks and investment bodies like the PIC, DBSA, IDC and so on, have become piggy banks for the elite and creates more instant multi-millionaires and billionaires, who don’t pay their loans back, than wealth-creators who generate job opportunities for others. 1.3. Tenderpreneurship unfortunately became a negative buzzword somewhere along the line. Of course, business should be done with government, but it became a dirty game of one-upmanship, greed and shoddy or failed deliverables. 1.4. In some instances, black South Africans are used by foreign nationals to score tenders and once you trace where these monies go, they leave our shores for good, which is also unacceptable. Another aspect of foreign competition on South African soil is that foreign entrepreneurs are often subsidised by their governments, for instance in the retail sector to obtain cheap stock, thus making it tough for our local entrepreneurs to compete. 1.5. Another aspect to consider is our economic policy. We had RDP, GEAR, AsgiSA, NGP, NDP and so on. This chopping and changing erodes investor confidence and drives out entrepreneurship. To compound matters, the tri-partite alliance’s differing stances on the economy further confuses policies. 1.6. Without belabouring it too much, the Coronavirus and lockdown, could not have hit us at a worse time and has set us back. 2. The UDM’s thoughts on entrepreneurship 2.1. There must be a paradigm shift in the way that we think of job creation and focus on the empowerment of our youth to be wealth creators, future employers, manufacturers and business owners. 2.2. In order to achieve this, the UDM thinks the following things must be in place: • A distinct national fund must be established to assist frustrated entrepreneurs to get the basic tools to start their businesses. When I say “tools”, I literally mean “tools”, like equipment and gear. The investment must be directly into the operation of those businesses. • Investment in sector-based planning and implementation, including the creation of sector-specific banks to provide financial assistance to historically disadvantaged groups and individuals. Such sector banks could assist the youth to start their own business in, for instance, the textile, IT, tourism, hospitality and agricultural industries. People might disagree with the UDM, but we think billions of Rands are wasted on the SETAs, whilst they could be transformed into such sector banks. • Markets for small firms must be identified through promoting domestic and foreign connections to adequately address both supply and demand. • A massive training programme should help entrepreneurs to build and manage their companies. • Loan opportunities and sources of capital should be identified, as well as facilitating loans and investments in community businesses. • More resources should be devoted to promote: “buying South African” as a tool to stimulate local wealth generation and job creation. 3. Closing 3.1. There is enough money available, but there must be enough political will to make the necessary changes. 3.2. We cannot wait for a minority of whites and a black elite to mass create work opportunities; it hasn’t happened in 26 years. I thank you.
Admin
06 May, 2014
UDM Siyabulela Rally – address by UDM President, Mr Bantu Holomisa
• UDM Leaders from all across South Africa • UDM public representatives • Citizens of the Eastern Cape • The people of my hometown, Mthatha, and • My fellow South Africans 1.WELCOME AND THANK YOU TO ALL UDM ACTIVISTS Before we get into the politics and issues of Elections 2014, I want to welcome you all and quickly say something about teamwork. Many of you might not be familiar with the name Vince Lombardi. He was a legend in American football and had astounding success as a coach. He was an expert on teamwork. In honour of our election teams, I quote Mr Lombardi: “The achievements of an organisation are the results of the combined effort of each individual.” The United Democratic Movement (UDM) says: thank you, realeboga, dankie, and siyabulela to each individual who: • distributed flyers or hung posters, • represented the UDM on radio and television interviews, • spent weekends spreading the gospel of the UDM, and • dedicated the past months to this organisation we all love. 2. THE PAST, PRESENT AND FUTURE 2.1. THE PAST On 15 August 1985, PW Botha gave his infamous “Rubicon” speech. There was much hope pinned on him to announce big changes to the policies of apartheid. To say that he disappointed us, is a colossal understatement. Fortunately we were blessed with people who fought for our freedom. They were principled individuals who never faltered in their cause; who were willing to make an enormous sacrifice for our freedom at their personal expense. [You might want to use fewer examples – names are alphabetically listed according to surname] We think of, amongst others, Helen Joseph, Chris Hani, Albert Luthuli, Govan Mbeki, Raymond Mhlaba, Walter and Albertina Sisulu, Robert Sobukwe, Desmond Tutu and of course in 1990 the Father of our Freedom, Mr Nelson Mandela, walked out of Victor Verster prison a free man. The Eastern Cape takes a proud place in this history. In almost every town and remote rural areas you can find traces of the heroes and heroines who made the ultimate sacrifice in the fight for freedom. FW de Klerk followed Botha’s rule and during the early nineties we at last felt the winds of change. In 1994 we, at last, crossed the “Rubicon”. We recently celebrated 20 years of our new democracy. It is remarkable that we came so far in such a short time. We will never forget the oppression of the past. It serves as a reminder to never allow that history to be repeated. 2.2. THE PRESENT The tragedy of the last years of ANC rule is that this nation is sinking deeper into the quagmire of corruption, poor service delivery, maladministration and no regard for the rule of law. Our hard won liberties are systematically being destroyed with the socio-economic circumstances of our people making it impossible to protect the gains of our freedom. It is even worse that institutionalised corruption has reached the highest office in the country. We are led by a man who refuses to be held accountable and whose vocabulary extends to one phrase: I did not know. In addition, the executives (nationally and provincially) practice corruption as a sport – where one strives to best the other in a game where taxpayers’ money is misused. They are shameless. The ruling elite’s arrogance is a slap in the face of a nation. They cavort around, whilst many people go to bed hungry; our children receive a second-hand education and our townships, as well as villages, belong in a 3rd world country. In particular, the Eastern Cape is heavily under-budgeted. The infrastructure of the two homelands – and the townships in the province – was never brought on par with the developed one we inherited in 1994. A description of the current state of affairs; amongst others, includes: • The people in the province have become accustomed to mediocre schooling and results. • Dilapidated hospitals have become places of death. • Municipal administrations are rife with corruption and tenderpreneurship. • The industrial hubs in Butterworth, Ezibeleni, Dimbaza and Fort Jackson have perished or are following suit. • This province was the granary of Southern Africa, but agriculture was allowed to systematically wane and this threatens food security. • Roads are in disrepair, electrification and water supply are erratic and in some places non-existent. • Respect and power of traditional leaders are almost non-existent. The ANC of today has forgotten the values of the Freedom Charter. They have abandoned the original agenda, which is to improve the lives of all South Africans. 2.3. THE FUTURE The obvious question is: Are things so bad that we might as well throw in the towel? The UDM emphatically says NO! We believe that it is not too late to turn the situation around. 3. THE FUTURE – WHAT ARE THE UDM’s PLANS FOR THE EASTERN CAPE? Should I, as the UDM’s candidate for premiership in the Eastern Cape, be given the opportunity to govern, the following critical objectives shall be on the agenda for change: 3.1. Addressing the democracy dividend deficiency in the Eastern Cape so that it becomes a model province in terms of all development goals. 3.2. Turning the province into a key economic growth area so that it becomes the 4th fastest growing economy in South Africa by 2019. 3.3. Bringing essential services closer to the people and increasing the capacity the institutions that provide those services such as healthcare and education, as well as programmes that ensure food security and local employment. 3.4. Turning around the performance of provincial government – in particular the departments of health and education. 3.5. Providing effective governance by employing the right people, with the right skills, in the right places. Ensuring proper short and long-term planning, the appropriate use of resources as well as managing performance and monitoring. 3.6. A zero tolerance for corruption and not employing people for political reasons and/or their association to our party. 4. THE FUTURE – OUR PLANS FOR SOUTH AFRICA 4.1. We will promote good governance and the separation of the powers of government, legislatures and the judiciary. 4.2. A UDM government will do more and invest in our economy. We will: • implement checks and balances to ensure that taxpayers’ money is not wasted and take speedy action against corrupt government officials. • ensure that our people, especially in rural areas, have access to passable roads, electricity, irrigation and reticulation as well as a functioning railway network. • provide a conducive environment for our people, especially the youth, to become entrepreneurs and creators of wealth. 4.3. The UDM will ensure quality education and • go back to the basics i.e. teachers must teach and learners must learn. • translate the large education budget into quality education that produces school-leavers and graduates that are equipped with job related and life skills. 4.4. One of our main priorities is food security and rural development. The UDM will: • use agriculture as a tool to expand our economy, to create jobs and generate wealth. • prioritise the needs of farmers, emerging and commercial alike, by developing policies that enable them to compete against their international counterparts. 4.5. A UDM government will make quality health care a priority and bring services closer to communities, improve on emergency response; provide necessary supplies and equipment, as well as maintain hospitals and clinics. 4.6. Regarding safety and security, a UDM government will: • restore civil order and develop a doctrine for the police service to function in line with our constitution’s values. • enhance coordination between the ministries and departments of justice, the police and correctional services, as well as defence and national intelligence. • We will champion the environment and teach our people of climate change, water scarcity and energy, so that they – and future generations – become partners of a UDM government in protecting our natural heritage. 4.7. The UDM will bring about electoral reform by: • introducing a mix of a constituency and proportional representation system where politicians are accountable to the people. • changing electoral laws so that we elect our president directly – instead of a ruling party foisting a president on the people. 5. CONCLUSION An annual South African Social Attitudes Survey, done by the Human Sciences Research Council, showed that 66% of South Africans believe that the country is heading in the wrong direction. Why then do people want to again vote for the ANC? Open your eyes and punish the ANC for its cavalier attitude and callously risking our futures and the prosperity South Africa. It is time for us to cross another “Rubicon”. This Wednesday will give voters the opportunity to affect such a change. This is your country. Take charge and vote UDM! Thank you
Admin
22 Apr, 2014
Government not honouring contractual obligations at the expense of small businesses – Dimbaza
TO: His Excellency, Mr JG Zuma, President of the Republic South Africa Minister of Trade and Industry, Dr Rob Davies Chief Executive Officer: Coega Development Corporation, Mr Mninawe Silinga FROM: Bantu Holomisa, MP Government not honouring contractual obligations at the expense of small businesses – Dimbaza See below, correspondence from Mr B Willows, representative of SBM Iron and Steel Manufacturers (Pty) Limited from Dimbaza, near King William’s Town in the Eastern Cape. Mr Willows clearly outlines the history of the situation and the company’s frustrations with government’s non-payment since February 2012. This is yet another example where government’s administrative bungling results in the non-payment of its service providers. This unacceptable situation is proof enough that the promises recently made by the national chairperson of the ruling party, Ms Baleka Mbete, are hollow. Government touts small business development and entrepreneurship as a focus points to generate jobs, however actions speak louder than words. It is an undeniable fact that government is responsible for ruining many companies, because of its non-payment, thus forcing them to close their doors. Clearly the past, and current, election promises of the ruling party is nothing more than election rhetoric that never realises at grassroots level. We call on you and the relevant authorities to urgently attend to this matter. Kindly advise Bantu Holomisa, MP UDM President ——————————————————————————————– To: The Honourable Bantu Holomisa 17th April 2014 Dear Sir. My name is Barry Willows and I represent SBM Iron and Steel Manufacturers (Pty) Ltd herein after referred to as (SBM). In September 2011 we were in the process of concluding a deal to open a Steel Plant in the Coega Industrial Development Zone (CDZ). We had a site reserved right next to another applicant, called Agni Steel SA. In October 2011, we were approached by Economic Development Department (EDD) asking us to please consider moving our operation to Dimbaza, as Scaw Metals were closing down their foundry and retrenching 500+ staff. We agreed to look at it and after a rapid Due Diligence, and decided that it would be beneficial to construct a steel plant in Dimbaza, but would need to conduct a Detailed Feasibility Study (DFS) first. EDD agreed and they applied to the Employment Creation Fund for funding to conduct the DFS, and the structure was that EDD owned the Dimbaza DFS Project, and SBM were appointed as the Implementing Agency to conduct the study. In February 2012 the ECF approved the funding for the DFS. Memorandum of Agreements were drawn up between the DTI and EDD, and EDD and SBM respectively. These were signed by all parties in January 2012, and the transfer of funds was to occur within 30 day thereafter. Initial investigations by SBM showed the potential to open a steel mill and a Direct Reduced Iron (DRI) Plant, which combined has the possibility to create 700+ direct jobs. A support Letter was received from the ECDC offering SBM the use of any or all vacant factory space in Dimbaza. Besides the steel mill and DRI plant, the DFS is designed to convert all disused factories in Dimbaza into a steel hub or cluster whereby small businesses will be set up to fabricate products from the steel mill such as window and door frames, reinforced concrete, nuts, bolts, screws, nails, Eskom pylons, a galvanising plant etc. The aim is to create between 3000-5000 jobs and entrepreneurs in Dimbaza. To cut to the chase; let us fast forward to April 2014. Despite many promises of payment, continued correspondence, pleas, requests etc, absolutely nothing has happened. In fact, just last month March 2014, the DG of the DTI has requested a re-verification of all projects, whether approved or not to be conducted by Ernest and Young. So in effect the Dimbaza Project is right back to BEFORE we started. Whilst EDD and SBM felt this was unnecessary as this is only a feasibility study, SBM complied and a re-verification has been done on the Dimbaza Project, there has still been no further communication from the ECF and both EDD and SBM do not know what is happening. Agni Steel have since opened a R400 million billet plant at Coega, whilst SBM have still not received one cent to conduct the DFS to assess the viability of a Steel mill and cluster in Dimbaza. This has clearly frustrated job creation in the area, and we are concerned that this may continue as SBM and EDD receive information from the ECF that continuously fails to materialize. SBM has been promised the “Transfer of Funds” on so many occasions, but absolutely nothing ever comes of it. It continuously gets delayed for some reason or another. We have (and have had for over 14 months now), signed legal and binding agreements but still nothing ever materializes. All documentation is complete and with the ECF including tax clearance certificates etc, so there is absolutely no reason whatsoever for these hold-ups, but still they persist. We are appealing for your intervention as we know the Eastern Cape is very close to your heart, and we pray that we will be able to conclude the DFS as soon as possible so-as to possibly get a steel mill up and running and change the fortunes of the unemployed and destitute in Dimbaza. It would be greatly appreciated if you could intervene in the hope that you may be able to accelerate the process so that the Dimbaza Project can actually materialize and an employment initiative can be explored. Thank you and we look forward to implementing this exciting project soon. Kind Regards. B Willows SBM Iron & Steel Manufacturers (Pty) Ltd.
