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Western Cape Regional Office PRESENTATION. THE ENTERPRISE ORGANISATION. MISSION. EXPORT PROMOTION. DTI (TEO) INCENTIVE SCHEMES. DTI “ CALL CENTER ”. Regional Collaboration. Joint roadshows/workshops Joint forward planning excercises Trade Point concept
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Western Cape Regional Office PRESENTATION THE ENTERPRISE ORGANISATION
MISSION • EXPORT PROMOTION. • DTI (TEO) INCENTIVE SCHEMES. • DTI “CALL CENTER”
Regional Collaboration • Joint roadshows/workshops • Joint forward planning excercises • Trade Point concept • City’s program to fund worthy export promotion initiatives. • Export Councils
Regional Collaboration cont. • Physically moving 3 together. (TPO) • Joint database. • South Cape Business Center • Role model or benchmark
OBJECTIVES (Exports) • Preferential access to the EU market (GSP scheme.) • Assistance with Export Incentive scheme. (EMIA). • Advice to new exporters
OBJECTIVES (Industrial) • Raise fixed investment in Western Cape industry. • Restructure domestic industry towards international competitiveness • A higher degree of labour absorption • Promote empowerment • Reduce investment costs
Exports: Key Sectors • Eight priority economic sectors: • Chemicals and bio-technology sector • Agro-processing sector • Furniture and jewellery • ICT and electronics sector • Mining and metals beneficiation sector • Transport sector including automotive, vehicle and components sector • The tourism sector • The cultural industries sector(craft, film) • The textiles, clothing and footwear sector
EXPORTS:What is the EMIA scheme? • to partially compensate exporters for certain export marketing costs incurred. • to recruit new foreign direct investment into South Africa
EXPORTS:Type of assistance Granted • Assistance is granted on the following basis: • Travel - economy class airfares • Daily subsistence allowance • Transport of samples for specific events • Development of marketing materials for specific events • Product registration. eg. Patent registration, quality marks • Cost of setting up and running an exhibition • Cost of brochures
EXPORTS:Exhibitions (National Pavilions) • This scheme applies to exhibitions in which South Africa participates officially by means of a national pavilion. Individual Exhibitions • Assistance is granted to individual exporters to exhibit products at exhibitions abroad where TISA does not provide for a National Pavilion • Primary Export Market Research (PMR) • Assistance is provided with certain cost related to market research.
SMALL MEDIUM ENTERPRISE DEVELOPMENT PROGRAMME (SMEDP) • Tax free grant based on assets • New ventures and expansions • Maximum qualifying level R100 million
SMEDP - SECTORS: All “manufacturing” and also: - Tourism - Aqua Culture - High-value agriculture - Bio-technology - Information and Communication Technology - Cultural industries - Agro-processing
SMEDP-TOURISM: QUALIFYING ACTIVITIES • Short term accommodation. (hotels, B&Bs, Game lodges etc) • Tour operators, buses, vans. • Funicular railways, private railways, aerial cable ways • Boats for tourists
SKILLS SUPPORT PROGRAMME (SSP) • A cash grant for cost of training new skills required for a new or expansion project WHO QUALIFIES FOR THE SSP? • Investment projects that qualify for the SMEDP and SIP may qualify
CRITICAL INFRASTRUCTURE PROGRAMME (CIP) • Grant (10 TO 30%) • Local authorities • support certain selected strategic projects to promote economic growth
QUALIFYING ENTITIES • Any private sector enterprise • Any Local Government • Any Public Enterprise • Partnerships of the above
STRATEGIC INDUSTRIAL PROJECT (SIP) • A tax incentive to encourage investment in large strategic projects • Increase production without causing substantial displacement of existing enterprises – market share and jobs • Long-term commercial viable
COMPETITIVENESS FUND (CF) • Cost sharing grant scheme • Improving competitiveness • Manufacturing and service industries • Reimburse up to 50% of eligible costs (max of R 600 000)
SECTOR PARTNERSHIP FUND (SPF) • Same as the CF except: • Manufacturing, Agro-processing and Information Technology sectors • Available to any partnership of 5 or more companies • SPF will fund 65% of costs (max R 1m)
INDUSTRIAL DEVELOPMENT ZONES (IDZ’S) Industrial park -mainly for exports. • No duties to be paid • Near International port or airport • Normal incentives/grants applicable
DTI - Western Cape Regional Office:Contact Details • Stefan Pretorius, Regional Manager, Western Cape. • Vuyo Zitha. • Fax 021 461 9296 • E-mail wcape@dti.pwv.gov.za • Tel 021 465 1508