the dti Strategic Plan 2012-2017 & Annual Performance Plan 2012-2015

1. the dti Strategic Plan 2012-2017 & Annual Performance Plan 2012-2015 Presentation to the Select Committee on Trade and International Relations (NCOP) Date : 25 April 2012

2. CONTENTS • the dti’s Vision, Mission and Strategic Oriented-Outcomes Goals • Key achievements for the 2011/12 financial year • Key Interventions for the 2012/13 period • Allocated resources • Challenges

3. VISION “A dynamic industrial, globally competitive South African economy, characterised by inclusive growth and development, decent employment and equity, built on the full potential of all citizens”.

4. STRATEGIC FOCUS • Facilitate transformation of the economy to promote industrial development, investment, competitiveness and employment creation. • Build mutually beneficial regional and global relations to advance South Africa’s trade, industrial policy and economic development objectives. • Facilitate broad-based economic participation through targeted interventions to achieve more inclusive growth. • Create a fair regulatory environment that enables investment, trade and enterprise development in an equitable and socially responsible manner. • Promote a professional, ethical, dynamic, competitive and customer-focused working environment that ensures effective and efficient service delivery.

5. CORE PROGRAMMES AND CLUSTERS • Industrial Development – the development of policies and strategies that promote sector competitiveness, growth, job creation and efficient administration of support measures. • Trade, Investment and Exports– the strengthening trade and investment links with key economies and fostering African development, including through regional and continental integration and development co-operation in line with the New Partnership for African’s Development (NEPAD). • Broadening Participation- the development interventions and strategies that promote enterprise growth, empowerment and equity • Regulation– the development and implementation of coherent, predictable and transparent regulatory solutions that facilitate easy access to redress and efficient regulatory services for economic citizens. • Administration and Co-ordination- effective co-ordination of departmental programmes and provision of necessary support for efficient implementation.

6. KEY ACHIEVEMENTS FOR 2011/12

7. Key Achievements Industrial Development 7

9. Trade, Investment & Exports

10. Broadening Participation

11. Regulation

12. Administration & Co-ordination

13. Overview of the dti’s key interventions over the 2012/13 period

14. KEY INTERVENTIONS – INDUSTRIAL DEVELOPMENT Sector interventions • Upscale industrial policy by tabling the annual rolling Industrial Policy Action Plan to Cabinet and implementation carried out. • Complete and submit designation templates to the National Treasury for three (3) subsector/sectors for local procurement. • Support technological competencies via the Technology and Human Resources for Industry (THRIP),by supporting 2 200 students and 850 researchers in Chemical, ICT, Metal and Minerals, Agriculture and Biotech and Energy. • Support 20 new projects to the total value of R36m (SPII contribution R20m and industry contribution R16m) through the Support Programme for Industrial Innovation (SPII).

15. KEY INTERVENTIONS – INDUSTRIAL DEVELOPMENT • Support to enterprises through Automotive Incentive Scheme (AIS) and 12I tax allowance • AIS: 54 enterprises; Value of investment: R2bn; and projected jobs: 2 300 • 12I: 12 enterprises; Value of investment: R10bn; and projected jobs: 2 000 • Critical Infrastructure Programme (CIP) – support twelve (12) enterprises worth R6bn. • Business Process Services (BPS), Film and TV Production-support 15 BPS projects, 63 Film productions worth R400m and R1.8bn respectively. • Business Process Services (BPS),support 6 000 jobs projected from applications for BPS grants. • Export Market and Investment Assistance (EMIA)-support 860 enterprises to participate in the EMIA Scheme. • Green Enterprise Competitiveness (GEC)- to support 140 enterprises. • Launch the Manufacturing Competiveness Enhancement Programme (MCEP)

16. KEY INTERVENTIONS – TRADE, INVESTMENT & EXPORTS • Africa regional development programme implemented-report on implementation of agreed programme and projects for priority development areas in SACU, SADC-FTA and SDI infrastructure projects. • Conclusion of EPA trade negotiations with the EU, SACU-EAC-COMESA (T-FTA) - Report on conclusion of trade negotiations. • Increased manufactured exports under EMIA by increasing the value of exports to R850 m. • Investment facilitation in targeted sectors to R45bn

17. KEY INTERVENTIONS – BROADENING PARTICIPATION • seda Technology Support Programme (stp) • Establish 44 incubators • Approve 40 technology transfer interventions • Support 268 SMMEs • Implement Enterprise Investment Programme (EIP) • Enterprises Supported • Approve 450 SMMEs for MIP (Manufacturing Incentive Programme) • Approve 300 SMMEs for TSP (Tourism Support Programme) • Value of projected investments • MIP-R6.3bn • TSP-R4.2bn • Number of new jobs projected • MIP- 9 240 • TSP- 6 160

18. KEY INTERVENTIONS – BROADENING PARTICIPATION • Implement approved action plan emanating from the SMME review report. • Implement the agreement with National Treasury on the Ten-set aside products. • Support 30 new contracts with companies to participate in the Workplace challenge programme. • Utilisation of SEZs to facilitate regional economic activity – request to all provinces to submit 2 proposals for SEZs. • Release the amended Codes of Good Practice for B-BBEE implementation.

19. KEY INTERVENTIONS – BROADENING PARTICIPATION • Finalise the National Strategic Framework on Gender and Women Economic Empowerment. • Support 60 new projects through the Isivande Women’s Fund. • Cooperative Incentive Scheme (CIS) and Black Business Supplier Development Programme (BBSDP): • Support 490 enterprises through CIS. • Support 700 enterprises through BBSDP. • Release the approved amended Co-operatives Act for implementation. • Finalise Informal Sector Strategy. • Finalise Youth Enterprise Development Strategy. * Internal targets for BBSDP & CIS will be set for the 2012/13 financial year to ensure a more equitable geographic spread

20. KEY INTERVENTIONS - REGULATION • Submission of three (3) reports on Regulatory Impact Assessment (RIA) for regulation on business and economic citizens. • Development of the National Credit Act (NCA) policy. • Development of two (2) Regulations on Intellectual Property for the protection of Indigenous Knowledge (IK) and the National Lotteries Board. • Special Economic Zones Bill to be processed. • Businesses Amendment Bill to be processed. • Release the approved amended B-BBEE Act for implementation. • Legal Metrology Bill to be processed.

21. KEY INTERVENTIONS – ADMINISTRATION & COORDINATION Attract, develop & retain professional and skilled officials Reduction of the vacancy rate to 5% Reduction of the staff turnover rate to 9% Employment of People With Disability increased to 2.4% Employment of Women in senior management positions increased to 43% Financial Management All eligible creditors’ payments to suppliersmade within 30 days Service Delivery Improvement The Service Delivery Improvement Plan (SDIP) 2012-2015 approved and implemented. 21

22. KEY INTERVENTIONS – ADMINISTRATION & COORDINATION Public Awareness Platforms and Events Conduct 12 programme focused publications to improve the public awareness. Conduct 6 multimedia awareness campaigns. Conduct 80 outreach initiatives. Roll-out of Intellectual Property for the Protection of Indigenous Knowledge Bill 22

23. ALLOCATED RESOURCES

24. MTEF PER PROGRAMME

25. MTEF PER ECONOMIC CLASSIFICATION

26. Categories of which the Department’s expenditure are classified

27. Five year comparison of Budget vs expenditure

28. CHALLENGES • The prolonged global recession especially in relation to South Africa’s traditional trading partners, which had a negative impact on the domestic economy. • The high cost of capital for productive sectors. • Steeply escalating administered prices, especially electricity and ports charges. • Skills shortages in critical areas.

29. THANK YOU QUESTIONS ?